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Contents
Welcome to Business Central

New and Planned
Get Started
Overview of Business Functionality
Learn
Business Central Learning Catalog
Business Central on Microsoft Learn
Business Process Walkthroughs
Available Walkthroughs
Walkthrough: Conducting a Sales Campaign
Walkthrough: Set Up and Invoicing Sales Prepayments
Walkthrough: Set Up and Use a Purchase Approval Workflow
Walkthrough: Manage Projects with Jobs
Walkthrough: Calculating Work in Process for a Job
Walkthrough: Picking and Shipping in Basic Warehouse Configurations
Walkthrough: Making Cash Flow Forecasts by Using Account Schedules
Contoso Coffee Demo Data for Manufacturing
Introduction to Contoso Coffee Demo Data
Create a New Production BOM and BOM Version
Create a New Routing
Create a Firm Planned Production Order and Change It
Combine Automatic and Manual Flushing
Use Order Planning to Create and Reserve Supply
Set up and Process a Subcontracting Operation
Set Up New Capacity
Variants
Design Details
Application Design Details Overview
Design Details: Inventory Costing
Inventory Costing Design Details
Design Details: Costing Methods
Design Details: Change the Costing Method for Items
Design Details: Item Application
Design Details: Known Item Application Issue
Design Details: Cost Adjustment
Design Details: Expected Cost Posting
Design Details: Average Cost
Design Details: Variance
Design Details: Rounding
Design Details: Cost Components
Design Details: Inventory Periods
Design Details: Inventory Posting
Design Details: Production Order Posting
Design Details: Assembly Order Posting
Design Details: Reconciliation with the General Ledger
Design Details: Accounts in the General Ledger
Design Details: Inventory Valuation
Design Details: Revaluation
Design Details: Posting Date on Adjustment Value Entry
Posting Date on Adjustment Value Entry Overview
Error Message "Posting Date is not within your range of allowed posting dates"
Posting Date on Adjustment Value Entry Compared to the Source Entry
Design Details: Dimension Set Entries
Design Details: Dimension Set Entries Overview
Design Details: Searching for Dimension Combinations
Design Details: Table Structure
Design Details: Supply Planning
Supply Planning Design Details
Design Details: Central Concepts of the Planning System
Design Details: Reservation, Order Tracking, and Action Messaging
Design Details: Balancing Demand and Supply
Design Details: Handling Reordering Policies
Design Details: Planning Parameters
Design Details: Planning Assignment Table
Design Details: Demand at Blank Location
Design Details: Transfers in Planning
Design Details: Warehouse Management
Warehouse Management Design Details
Design Details: Warehouse Overview
Design Details: Warehouse Setup
Design Details: Inbound Warehouse Flow
Design Details: Internal Warehouse Flows
Design Details: Availability in the Warehouse
Design Details: Outbound Warehouse Flow
Design Details: Integration with Inventory
Design Details: Item Tracking
Item Tracking Design Details
Design Details: Item Tracking Design
Design Details: Item Tracking Posting Structure
Design Details: Active versus Historic Item Tracking Entries
Design Details: Item Tracking Lines Page
Design Details: Item Tracking Availability
Design Details: Item Tracking and Planning
Design Details: Item Tracking and Reservations
Design Details: Item Tracking in the Warehouse
Design Details: General Journal Post Line
General Journal Post Line Design Details
General Journal Post Line Overview
Design Details: Posting Interface Structure
Design Details: Posting Engine Structure
Try
Sign up for a free Dynamics 365 Business Central trial
Dynamics 365 Business Central trial FAQ
Trials and Subscriptions (English only)
Get Ready for Doing Business
Troubleshoot Self-Service Sign-Up
Extend Your Trial Version
Unsubscribe or Remove Business Central
Buy
Get Started with a Subscription
Quick Starts
Business Central Quick Starts
Set up Company Information
Sell Products and Services
Buy Products and Services
Get productive in Business Central
General Functionality Overview
Print-Friendly Cheat Sheet
Find Pages and Information with Tell Me
Find Pages with the Role Explorer
Tell Me FAQ
Sort, Search, and Filter
Search and Filter FAQ
Enter Data
Copy and Paste FAQ
Work with Calendar Dates and Times
Detect Mandatory Fields
Change Language and Region
View and Edit in Excel
Store and Share Files in OneDrive
Manage Attachments, Links, and Notes on Cards and Documents
Use Word Templates for Bulk Communication
Change Basic Settings
Switch to Another Company or Environment
Manage Notifications
Performance Tips for Business Users
Warnings and Error Messages
Personalize Business Central
Personalize Your Workspace
Why a Page is Locked from Personalizing
Save and Personalize List Views
Bookmark a Page or Report on Your Role Center
Display Lists in Different Ways
Run and Print Reports
Set Up Printers
Schedule a Report to Run
Manage Saved Settings
View Test Reports Before Posting
Run Batch Jobs and XML ports
Change the Look of Externally-Facing Documents
About Report and Document Layouts
Get Started Creating Layouts
Work with Word Layouts
Work with Excel Layouts
Work with RDLC Layouts
Set the Layout Used by a Report
Define Document Layouts for Customers and Vendors
Available Fonts
Using Legacy Features
Create and Modify Custom Report Layouts
Import and Export Custom Report Layouts
Update Custom Report Layouts
Sharing Business Data
Overview
Sharing Records and Page Links in Teams
Sharing Files in OneDrive
Viewing and Editing in Excel
Accessibility, Keyboard Shortcuts, and Touch Gestures
Accessibility
Keyboard Shortcuts
Keyboard Quick Reference - PC Only
Touch and Pen Gestures
Troubleshoot: Access Camera and Location
Intelligent Insights (online only)
Frequently Asked Questions
Tell Me FAQ
Search and Filter FAQ
List Views FAQ
Copy and Paste FAQ
Mobile Apps FAQ
Teams FAQ
Electronic Invoicing FAQ
Minimum Requirements
Help and Support
Resources for Help and Support
Visit Our Video Library
Get Technical Support
Business Functionality
General Business Functionality
Business Functionality Overview
Add Comments to Cards and Documents
Track Document Lines
Send Documents by Email
Archive Documents
Add Extended Item Text
Define User Tasks
Exporting Your Business Data to Excel
Post Documents and Journals
Post Multiple Documents at the Same Time
Preview Posting Results
Edit Posted Documents
Work with General Journals
Use Job Queues to Schedule Tasks
Let Business Central Suggest Values
Incoming Documents
Incoming Documents Overview
Set Up Incoming Documents
Create Incoming Document Records
Use OCR to Turn PDF and Image Files into Electronic Documents
Create Incoming Document Records Directly from Documents and Entries
Find Posted Documents without Incoming Document Records
Manage Many Incoming Document Records
Workflows
Workflow Overview
Use Business Central in Power Automate Flows
Use Workflows
Use Workflows
Enable Workflows
Use Approval Workflows
Restrict and Allow Usage of a Record
View Archived Workflow Step Instances
Delete Workflows
Exchange Data Electronically
OData Exchange Overview
About the Data Exchange Framework
Set Up Data Exchange
Set Up Data Exchange
Set Up a Document Exchange Service
Update Currency Exchange Rates
Set Up Electronic Document Sending and Receiving
Collect Payments with SEPA Direct Debit
Use the AMC Banking 365 Fundamentals extension
Set Up the Bank Statement Service
Set Up Bank Accounts
Use XML Schemas to Prepare Data Exchange Definitions
Exchange Data
Exchange Data
Set Up Data Exchange Definitions
Send Electronic Documents
Use OCR to Turn PDF and Image Files into Electronic Documents
Receive and Convert Electronic Documents
Set Up the Envestnet Yodlee Bank Feeds Service
Export Payments to a Bank File
Make Payments with AMC Banking 365 Fundamentals extension or SEPA Credit
Transfer
Field Mapping When Importing SEPA CAMT Files
Field Mapping for the AMC Banking 365 Fundamentals Extension
Finance
Finance Overview
Financial Reports
Manage Receivables
Receivables Overview
Accounts Receivable Reports and Analytics
Applying Payments Automatically and Reconcile Bank Accounts
Payment Application Overview
Reconcile Payments Use Automatic Application
Review or Apply Payments Manually after Automatic Application
Reconcile Payments that Cannot be Applied Automatically
Map Text on Recurring Payments to Accounts for Automatic Reconciliation
Set Up Rules for Automatic Application of Payments
Reconcile Customer Payments from a List of Unpaid Sales Documents
Reconcile Customer Payments with the Cash Receipt Journal or from Customer
Ledger Entries
Collect Outstanding Balances
Send Reminders of Outstanding Balances
Block Customers
Work with Payment Tolerances and Payment Discount Tolerances
The Late Payment Prediction Extension
Manage Payables
Payables Overview
Accounts Payable Reports and Analytics
Make Payments
Make Payments
Record Payments and Refunds
Suggest Vendor Payments
Make Check Payments
Make Payments with AMC Banking 365 Fundamentals extension or SEPA Credit
Transfer
Settle Purchase Invoices Promptly
Export a Positive Pay file
Payments Application Overview
Reconcile Payments Use Automatic Application
Review or Apply Payments Manually after Automatic Application
Reconcile Payments that Cannot be Applied Automatically
Map Text on Recurring Payments to Accounts for Automatic Reconciliation
Reconcile Vendor Payments with the Payment Journal or from Vendor Ledger
Entries
Block Vendors
Use Item Charges to Account for Additional Trade Costs
Invoicing Prepayments
Prepayments Overview
Set Up Prepayments
Create Prepayment Invoices
Correct Prepayments
Reconcile Bank Accounts
Bank Reconciliation Overview
Manage Intercompany Transactions
Intercompany Overview
Set Up Intercompany
Work with Intercompany Documents and Journals
Manage the Intercompany Inbox and Outbox
Allocate Costs to Intercompany Partners
Accounting for Costs
Cost Accounting Overview
Terminology in Cost Accounting
About Cost Accounting
Set Up Cost Accounting
Transferring and Posting Cost Entries
Defining and Allocating Costs
Creating Cost Budgets
Deleting Cost Budget Entries
Manage Inventory Costs
Inventory Costing Overview
About Inventory Costing
About Calculating Standard Cost
About Unit Cost Calculation
Work with Inventory Periods
Set Up Inventory Valuation and Costing
Revalue Inventory
Adjust Item Costs
Handle Inventory and Manufacturing Costs
Update Standard Costs
Remove and Reapply Item Ledger Entries
Close Open Item Ledger Entries Resulting from Fixed Application in the Item
Journal
Report Costs and Reconcile with the General Ledger
Report Costs
Reconcile Inventory Costs with the General Ledger
Monitor Job Progress and Performance
Adjust and Reconcile Inventory Cost with General Ledger with Job Queue
Manage Cash Flow
Cash Flow Overview
Analyzing Cash Flows in Your Company
Closing Years and Periods
Year Closing Overview
Work with Accounting Periods and Fiscal Years
Specify Posting Periods
Closing Periods
Allocate Costs and Income
Report VAT to Tax Authorities
Prepare Pre-Closing Reports
Close Books
Prepare Closing Statements
Close Accounting Periods
Close Income Statement Accounts
Post the Year-End Closing Entry
Consolidate Financial Data from Multiple Companies
Company Consolidation
Set Up Company Consolidation
Consolidate Balances for a Company that is a Customer and a Vendor
Understand the General Ledger and the COA
Work with Dimensions
Troubleshoot and Correct Dimensions
Currencies in Business Central
Create G/L Budgets
Post Transactions Directly to the General Ledger
Reverse Journal Postings and Undo Receipts/Shipments
Record and Reimburse Employees' Expenses
Defer Revenues and Expenses
Import Payroll Transactions
Work with VAT on Sales and Purchases
Convert Service Contracts that Include VAT Amounts
Manage VAT Rate Changes
Walkthrough: Make Cash Flow Forecasts by Using Account Schedules
Analyze Financial Statements in Excel
Transfer Bank Funds
Create Bank Deposits
Accountant Experiences in Business Central
Multi-Site and International Organizations
Business Intelligence and Financial Reporting
Business Intelligence and Financial Reporting Overview
Financial Reports
Analyze Actual Amounts Versus Budgeted Amounts
Prepare Financial Reporting with Account Schedules and Account Categories
Set Up and Publish KPI Web Services Based on Account Schedules
Analyze Data by Dimensions
Create Analysis Reports
Create Reports with XBRL
Manage Database Access Intent
Sales
Sales Overview
Sales Reports
Walkthrough: Conducting a Sales Campaign
Walkthrough: Set Up and Invoicing Sales Prepayments
Register New Customers
Make Sales Quotes
Invoice Sales
Sell Products
Print the Picking List
Post Sales
Create Recurring Sales and Purchase Lines
Make Drop Shipments
Create Special Orders
Process Sales Returns or Cancellations
Process Sales Return Orders
Correct or Cancel Unpaid Sales Invoices
Work with Blanket Sales Orders
Combine Shipments on a Single Invoice
Calculate Order Promising Dates
Track Packages
Date Calculation for Sales
Merge Duplicate Records
Work with Recurring Revenue
Enter External Document Numbers
Purchasing
Purchasing Overview
Purchasing Reports
Record Purchases
Request Quotes
Purchase Items for a Sale
Post Purchases
Correct or Cancel Unpaid Purchase Invoices
Combine Receipts on a Single Invoice
Process Purchase Returns or Cancellations
Date Calculation for Purchases
Work With Blanket Purchase Orders
External Document Numbers on Purchase Documents
Inventory
Inventory Overview
Inventory and Warehouse Reports
Register New Items
Work with Bills of Material
Categorize Items
Work with Item Attributes
Work with Catalog Items
Count and Adjust Inventory Use Documents
Count, Adjust, and Reclassify Inventory Use Journals
View the Availability of Items
Transfer Inventory Between Locations
Reserve Items
Set Up Item Tracking with Serial, Lot, and Package Numbers
Track Items with Serial, Lot, and Package Numbers
Trace Item-Tracked Items
Use Item References
Block Items
Work with Responsibility Centers
Project Management
Project Management Overview
Project Reports
Create Jobs
Use Resources for Projects
Use Time Sheets
Manage Job Budgets
Record Usage for Jobs
Manage Job Supplies
Understand WIP Methods
Invoice Jobs
Fixed Assets
Fixed Assets Overview
Fixed Assets Reports and Analytics
Acquire Fixed Assets
Maintain Fixed Assets
Insure Fixed Assets
Transfer, Split, or Combine Fixed Assets
Revalue Fixed Assets
Depreciate or Amortize Fixed Assets
Dispose of or Retire Fixed Assets
Manage Budgets for Fixed Assets
Troubleshooting FA Ledger Entries
Relationship Management
Relationship Management Overview
Set Up Relationship Management
Manage Contacts
Contacts
Set Up Contacts
Create Contacts
Use Profile Questionnaires to Classify Business Contacts
Manage Segments
Segments
Create Segments
Add Contacts to Segments
Manage Interactions for Segments
Manage Interactions
Interactions
Record Interactions with Contacts
Create Interactions on Contacts and Segments
Automatically Record Interactions with Contacts
Manage Sales Opportunities
Opportunities
Set Up Opportunity Sales Cycles and Cycle Stages
Create Opportunities
Track Email Message Exchanges
Process Sales Opportunities
Use Profile Questionnaires to Classify Business Contacts
Use Dynamics 365 for Sales from Business Central
Couple and Synchronize Records Manually
View the Status of a Synchronization
Human Resources
HR Overview
Register Employees
Manage Employee Absence
Planning
Production Planning
About Planning Functionality
Plan With or Without Locations
Create a Forecast
Create Production Orders from Sales Orders
Plan for New Demand Order by Order
Run Full Planning, MPS or MRP
Replan or Refresh Production Orders Directly
Track Relations Between Demand and Supply
Requisition Worksheet
Action Messages
Assembly Management
Assemble Items
Assembly Reports
Understand Assemble-to-Order and Assemble-to-Stock
Quote an Assemble-to-Order Sale
Assemble Items
Sell Items Assembled to Order
Sell Inventory Items in Assemble-to-Order Flows
Sell Assemble-to-Order Items and Inventory Items Together
Create Blanket Assembly Orders
Undo Assembly Posting
Manufacturing
Manufacturing Overview
Production Reports
About Production Orders
Create Production Orders
Subcontract Manufacturing
Post Consumption and Output for One Released Production Order Line
Batch Post Consumption
Batch Post Output and Run Times
Reverse Output Posting
Post Scrap
View the Load in Work and Machine Centers
Post Capacities
About Finished Production Order Costs
Warehouse Management
Receive Items
Cross-Dock Items
Put Items Away
Put Items Away
Put Items Away with Inventory Put-aways
Put Items Away with Warehouse Put-aways
Put Away Production or Assembly Output
Plan Put-Aways in Worksheets
Pick and Put Away Without a Source Document
Move Items
Move Items
Move Items Ad Hoc in Basic Warehouse Configurations
Move Items in Advanced Warehouse Configurations
Move Components to an Operation Area in Basic Warehouse Configurations
Calculate Bin Replenishment
Plan Warehouse Movements in Worksheets
Pick Items
Pick Items
Pick Items with Inventory Picks
Pick Items for Warehouse Shipment
Pick for Production or Assembly in Basic Warehouse Configurations
Pick for Production or Assembly in Advanced Warehouse Configurations
Plan Picks in Worksheets
Pick By FEFO
Split Warehouse Activity Lines
Ship Items
Find Your Warehouse Assignments
Use Automated Data Capture Systems (ADCS)
Service Management
Service Management
Planning Service
Planning Service Management
Service Price Management
Service Order Status and Repair Status
Allocation Status and Repair Status of Service Items
View Service Statistics
Fulfill Service Contracts
Fulfill Service Contracts
Multiple Contracts
Work with Service Contracts and Service Contract Quotes
Change the Annual Amount on Service Contracts or Contract Quotes
Deliver Service
Deliver Service
Create Service Quotes
Create Service Orders
Create Service Invoices or Credit Memos
Allocate Resources
Work on Service Tasks
Service Posting
Post Service Orders and Credit Memos
Lend and Receive Loaners
Online store with Shopify
Get started with the Shopify connector
Synchronize items with Shopify
Synchronize customers with Shopify
Synchronize and fulfill sales orders with Shopify
Run tasks in background
Troubleshoot the Shopify connector
FAQ for the Shopify connector
Company Hub
Manage Work across Companies with the Company Hub
Add Companies to Your Company Hub
Troubleshoot Your Company Hub
Local Functionality
Local Functionality Overview
Australia
Overview of the Australian Version
Tax
Tax in the Australian Version
Withholding Tax
Set Up Withholding Tax
Set Up Revenue Types for Withholding Tax
Set Up Vendors Without ABN for Calculating the Withholding Tax
Calculate and Post Withholding Tax Settlements
View Withholding Tax Entries
View Posted Tax Invoices
View Posted Tax Credit Memos
Set Up Goods and Service Tax Posting
Calculate Goods and Services Tax on Prepayments
Adjust Settlement Exchange Rates for VAT Entries
Print Goods and Service Tax Settlement Reports
Banking & Payments
Compare Bank Cash Flow
Create Check Installments
Electronic Funds Transfer (EFT)
Print Bank Account Reconciliation Reports
Print Deposit Slip Reports
Core Finance
Set Up Business Units for Business Activity Statements
Print Balance Sheet Reports
Print Income Statements
Calculate Distribution Amounts
General
Addresses
Determine Sales Price by Cost Plus Percentage
Australian Business Numbers and Adjustment Notes
Enter Australian Business Numbers
Payment Times Reporting
Austria
Local Functionality in the Austrian Version
VAT
Create a VAT Statement
VAT Reporting
Banking & Payments
Print Vendor Payments List Reports
Purchasing
Delivery Reminders
Set Up Delivery Reminders
Set Up Delivery Reminder Terms, Levels, and Text
Assign Delivery Reminder Codes to Vendors
Generate Delivery Reminders
Create Delivery Reminders Manually
Issue Delivery Reminders
Print Test Reports for Delivery Reminders
General
Print General Ledger Setup Information
Belgium
Local Functionality in the Belgian Version
VAT
Belgian VAT
Set Up Non-Deductible VAT
Make Manual Corrections to VAT
Print Periodic VAT Reports
Set Up Belgian Tariff Numbers
Belgian Intrastat Reporting
Set Up Intrastat Establishment Numbers
Print the Intrastat Form Report
Set Up Declaration Types
Export Intrastat Third-Party Declarations
Banking & Payments
Electronic Banking (BE
Electronic Payments (BE)
Set Up Export Protocols
Summarize Payment Lines and General Journal Lines
Set Up Vendors for Automatic Payment Suggestions
Create Payment Journal Templates and Batches
Test Electronic Payments
Export Payment Files
Direct Debit Use Domiciliation
CODA Bank Statements
Apply CODA Statements
Automatically Transfer and Post CODA Statements
Manually Transfer and Post CODA Statements
Import CODA Statements
Core Finance
Apply and Unapply General Ledger Entries
Create Financial Journals
Export to Accon
General
Enterprise Numbers and Branch Numbers
Limit the Posting Period
Set the Work Date as the Posting Date
Make Journal Templates Mandatory
Canada
Local Functionality in the Canadian Version
Tax
Report Sales Tax and Goods/Services Tax in Canada
Report Sales Tax in Canada
Set Up Unrealized Sales Tax and Sales Payment Discounts
Set Up Use Tax and Purchase Tax
Banking & Payments
Create Deposits
Make Electronic Payments
General
Print Troubleshoot Reports
Work With GIFI Codes
Czech Republic
Local Functionality in the Czech Version
Core Localization Pack for Czech (Extension)
Advanced Localization Pack for Czech (Extension)
Core Finance
Finance
Year Close Operations
General Ledger Entries Application
Exchange Rate Update
VAT
Finance - VAT
VAT Control Report
Fixed Assets
Fixed Assets
Fixed Asset Localization for Czech (Extension)
Banking and Payments
Bank Feature
Banking Documents Localization for Czech (Extension)
Cash Desk Management
Cash Desk Localization for Czech (Extension)
Registration of Sales (EET)
Advances
Advance Payments Localization for Czech (Extension)
Payables and Receivables
Intrastat
Compensations Localization for Czech (Extension)
Inventory
Inventory
General
Extended User Control
Best Practices
Denmark
Local Functionality in the Danish Version
VAT
Print VAT Reconciliation Reports
VAT-VIES Reporting
VAT Registration Number Setup for Intrastat
Banking & Payments
FIK Details in the Payment Reconciliation Journal
The Payments and Reconciliations (DK) Extension
Electronic Invoicing
Overview of OIOUBL Electronic Invoicing
Set Up Customers for OIOUBL
Set Up OIOUBL Electronic Invoicing
The OIOUBL Extension for Electronic Invoicing
Create Electronic Documents in an OIOUBL Format
Payroll
Payroll Data Definitions (DK)
Finland
Local Functionality in the Finnish Version
VAT
Print Finnish Intrastat Reports
Print VAT Information on Invoices
VAT-VIES Declaration in Finland
Banking & Payments
Electronic Banking in Finland
Generate Payment Files
Set Up Bank Reference Files
SEPA Credit Transfer Payments
Disregard Payment Discounts
Core Finance
Set Up Automatic Account Posting Groups
Automatic Account Codes
Post Depreciation Differences
France
Local Functionality in the French Version
VAT
Export General Ledger Entries for Tax Audits
Export General Ledger Entries to an XML File
Requirements for Reporting Declaration of Trade in Goods
Banking & Payments
Payment Management
Set Up Payment Addresses
Set Up Payment Classes
Create Payment Slips
Export Payments
Post Payment Slips
Archive Payment Slips
Export or Import Payment Management Setup Parameters
Core Finance
General Ledger
Apply General Ledger Entries
Unapply General Ledger Entries
Print General Ledger Reports
View Ledger Reconciliations
Fiscal Periods and Fiscal Years
Overview of Year-End Processes
Fiscally Close Accounting Periods
Close a Year
Fiscally Close Years
Open a New Fiscal Year Duplicate
Reopen Accounting Periods
Fixed Assets
Set Up Accelerated Depreciation
Accelerated Depreciation
Calculate Accelerated Depreciation
Germany
Local Functionality in the German Version
VAT
Set Up Reports for VAT and Intrastat
Set Up VAT Reports
VAT Reporting
Create VAT Reports
Correct VAT Reports
Sales VAT Advance Notifications
Declare VAT-VIES Tax
Banking & Payments
Core Finance
Export and Print Intrastat Reports
Post a Negative Entry
Process for Digital Audits
Set Up Data Exports for Digital Audits
Export Data for a Digital Audit
GDPDU Filter Examples
Upgrade a .DTD Definition File
Walkthrough: Exporting Data for a Digital Audit
Purchasing
Delivery Reminders
General
Currency Exchange Rates
EU Sales List in Germany
Include Company Registration Numbers on Sales Reports and Purchase Reports
Certification of Business Central for German market (document is in German)
Iceland
Local Functionality in the Icelandic Version
VAT
Print VAT Summary Information on Documents
Special Data Output and Reports for the Tax Authority
Electronic Invoicing Requirement: Issuing Single Copy Invoice
General
Map IRS Numbers to the Chart of Accounts
Deleting Posted Invoices and Credit Memos
India
Overview
Set Up Posting Number Series
Tax Engine
Overview
Tax Engine Import Export configuration
Tax Engine Configuration
Configuration of Tax Type and Tax Rate
Configuration of Use Case
Tax Engine Lookup
Tax Engine Design Consideration
Tax Engine Script
GST
GST Overview
GST on Purchase
Purchase from Composite Vendor
Purchase from Registered Vendor
Purchase from Unregistered Vendor (Reverse Charge)
Purchase from SEZ Vendor
Purchase from Foreign Vendor
Purchase from Vendor with Overseas Place of Supply
GST and TDS on Purchase Transaction
GST on Purchase Return
Purchase Return to Composite Vendor
Purchase Return to Registered Vendor
Purchase Return to Unregistered Vendor (Reverse Charge)
Purchase Return to Foreign Vendor
Purchase Return to Vendor with Overseas Place of Supply
GST on Journals/Payment/Application
GST on Journals
GST on Advance Payment to Vendor
GST Application of Payment and Invoice
GST on Advance Receipt from Customer
GST Application of Receipt and Invoice
GST and TCS on Customer Advance
GST and TDS on Vendor Advance
GST on Sales
Exempted Sales
Sale to Registered and Unregistered Customer
Sale to Foreign Customer
Sale to Registered Customer with Overseas POS
GST and TCS on Sales Transaction
GST Kerala Flood Cess
GST on Sales Return
Sale Return from Registered and Unregistered Customer
Sale Return from Registered Customer with Overseas POS
GST on Transfer
GST Stock Transfer
GST Service Transfer
GST on Bank Charge
GST Bank Charges Overview
GST Bank Charges Transaction
GST TDS/TCS
GST TDS TCS Overview
GST TCS on Payment
GST TDS TCS on Receipt
GST Adjustments/Periodic Activities
GST Credit and Liability Adjustment
GST Reconciliation
GST E-Way Bill
GST Input Cedit Adjustment
GST Settlement
GST E-Invoice
GST Cess
GST Cess Basic Setup
GST Cess Calculation
GST on Service Management
GST on Serviec Management
GST Input Service Distribution
GST Input Service Distribution Overview
GST Input Service Distribution Process
GST Input Service Distribution Transaction
TDS
TDS Overview
TDS Transactions
TDS Threshold
TDS Provisional Entry
TDS Adjustment Entry
TDS Payment to Authority
TDS 194Q Section Overview
TDS 194Q Transactions
TDS for Customer
TDS for Customer Overview
TDS Calculation for Customer
TDS Certificate Update
TCS
TCS Overview
TCS Transactions
TCS Threshold
TCS Adjustment Entry
TCS Payment to Authority
206C-1H-Overview
206C-1H-Transaction
Voucher Interface
Voucher Interface Overview
Voucher Interface Transaction
Fixed Asset
Fixed Asset Overview
Fixed Asset Depreciation
Gate Entry
Gate Entry Overview
Gate Entry Inward Transaction
Gate Entry Outward Transaction
Subcontracting
Subcontracting Overview
Subcontracting Transactions
Create GST Liability
Subcontracting Report
Stale Cheque
Italy
Local Functionality in the Italian Version
VAT
Italian VAT
Submit VAT Statements
Correct VAT Transactions Reports
Create Electronic VAT Transactions Reports
Export VAT Transactions Reports
Update VAT Transactions Data
Prepare for VAT Transactions Reports
Print and Reprint G/L Books and VAT Registers
Print Intrastat Reports for Italy
Withholding Tax
Set Up Withholding Tax in the Italian Version
Print Withholding Reports
Banking & Payments
Set Up Payment Terms
Set Up Automatic Payments and Automatic Bills
Vendor Payments and Customer Bills Overview
Issue Vendor Payments and Customer Bills
Core Finance
Close a Fiscal Year
Define Debit and Credit Amounts
Reversing Journal Entries
Inventory
Set Up Initial Item Costs
Fiscal Inventory Valuation
Set Up Fiscal Inventory Valuation
Fixed Assets
Italian Fixed Assets
Set Up Compressed Depreciation of Fixed Assets
Set Up Alternate Depreciation Methods
Create Multiple Fixed Asset Cards
Print Depreciation Book Reports
General
Set Up Company Information
Italian Subcontracting
Set Up Journal Templates and Batches
Mexico
Local Functionality in the Mexican Version
Tax
Set Up and Generate DIOT Reports
Tax Identification Types for Mexico
VAT Recalculation
Electronic Invoicing (MX)
Set Up PAC Web Services
Set Up Electronic Invoicing (MX)
Generate Electronic Invoices (MX)
Carta de Porte Packing Slips and Transfer Orders (MX)
General
Electronic Accounting Regulations in Mexico
Print Troubleshooting Reports
Create Deposits
Netherlands
Local Functionality in the Dutch Version
VAT
Create a Audit File for the Tax Authority
Set Up VAT Categories
Electronic VAT and ICP Declarations
Set Up Electronic VAT and ICP Declarations
Submitting Electronic VAT and ICP Declarations
Banking & Payments
Dutch Electronic Banking
Telebanking
Payment Scenarios
Payment Scenario 1 - Domestic Payments (LCY to LCY)
Payment Scenario 2 - Foreign Payment (FCY to FCY)
Payment Scenario 3 - Foreign Payment (LCY to FCY)
Create Proposals
Docket Reports
Enter and Post Cash and Bank or Giro Journals
Print Test Reports for Cash and Bank or Giro Journals
Single Euro Payments Area (SEPA)
Activate SEPA Payments
Submit Vendor Payments Electronically in SEPA ISO 20022 Payment Format
Create and Export Payment History
Import and Reconcile Bank Statements
Core Finance
Required Descriptions in G/L Entries
Purchasing
Check Purchase Amounts
Edit Document Amounts in Purchase Invoices and Credit Memos
Set Up Validation of Purchase Amounts
General
CMR Notes
Dutch Postal Codes
Import Postal Codes
Import Postal Code Updates
New Zealand
Local Functionality in the NZ Version
Tax
Withholding Tax
Set Up Goods and Services Tax Posting
Set Up Vendors Without ABN for Calculating Withholding Tax
Print Goods and Services Tax Settlement Reports
Banking & Payments
Electronic Funds Transfer
Print Deposit Slip Reports
Print Bank Account Reconciliation Reports
Core Finance
Calculating Distribution Amounts
General
Addresses
Determine Sales Price by Cost Plus Percentage
Enter New Zealand Business Numbers
New Zealand Inland Revenue Department Numbers and Adjustment Notes
Norway
Local Functionality in the Norwegian Version
VAT
Norwegian Standard Audit File - Tax (SAF-T) Management
Norwegian VAT Reporting
Norwegian VAT Codes
How to Use One VAT Code in Journals
Proportional VAT
Calculate Proportional VAT
Print a VAT Reconciliation Report
Banking & Payments
Electronic Banking in Norway
Electronic Payments to Vendors in Norway
EHF Electronic Invoicing in Norway
Set Up Customers for EHF
Set Up EHF
Create Electronic Documents for EHF
Create Manual Remittance Payments
Set Up Remittance Agreements
Set Up Vendors for Remittance
Recipient Reference Codes
Set Up Payment Line Information
Create Remittance Accounts
Test Remittance Payments
Create Remittance Suggestions
Types of Payment Return Files
Import Payment Return Data
Remittance Errors
View Remittance Error Codes
Cancel Payments
Delete Remittance Payment Orders
Export Remittance Payments
Norwegian Giro and OCR-B Font
Set Up OCR Payments
Import and Post OCR Payments
Print the OCR Journal Test Report
Core Finance
Apply General Ledger Entries in Closed Periods
General
Recurring Orders
Create Recurring Orders
Set Up Recurring Groups
Set Up Recurring Orders
Payroll Data Definitions
Import Payroll Transactions
Set Up KID Numbers on Sales Documents
Set Up Document Printing
Russia
Local Functionality in the Russian Version
Core Finance
Account Schedules Overview
Import and Export Account Schedules
Define an Account Schedule Extension
Define an Account Schedule Constant
Work with Account Schedules
General Ledger Correspondence
Сurrency
Set Up Responsible Employees and Advance Statements
Payables and Receivables in the Russian Version
Enter Custom Declarations Information
Set Up and Create Letters of Attorney
Russian Payables Reports
Russian Receivables Reports
Set Up Customer Prepayments
Set Up Vendor Prepayments
Posting Vendor and Customer Prepayments
Prepayment Differences
Set Up Customer and Vendor Agreements
Fixed Assets
Fixed Assets in the Russian Version
Calculate Assessed Tax
Depreciation Bonus
Fixed Asset Charges
Gratuitous receipt of fixed assets
Fixed Asset Inventory
Fixed Asset Locations and Employees
Fixed Asset Turnover
Create Future Expense Journals
Create a Fixed Asset Charge
Create a Credit Memo for a Fixed Asset Charge
Selling Fixed Assets
Release, Track, and Write off Fixed Assets
View Posted Entries on a Fixed Asset Charge
Set Up an Intangible Assets Account
Account for the Cost to Dispose a Fixed Asset
Undepreciable Fixed Assets
VAT
VAT in the Russian Version
Set Up VAT Ledgers
Prepare VAT Entries for Posting
VAT Settlement
Upload Books of Purchases and Sales and the VAT Declaration in XML Format
VAT by Customer Prepayment
VAT Reinstatement
Vendor Tax Agent Scheme
Tax Accounting
Tax Accounting in the Russian Version
Set Up Tax Accounting
Tax Registers
Create Tax Registers
Set Up Tax Register Sections
Tax Differences
Accounting for Personal Income Tax Payments
Upload KLADR
Statutory Reports
Banking
Bank Management
Inventory
Inventory in the Russian Version
Inventory Setup
Item Documents
Item Obligatory Acts
Inventory Act of Receivables And Payables INV-17
Item General Ledger Turnover
Create the TORG-29 Goods Report
Bill of Lading
Human Resources
HR in the Russian Version
Payroll
Establishing Charges and Deductions to the Employee
Absence registration
Dismissal
Forming and Change the Staff List Order
Vacation Planning
Spain
Local Functionality in the Spanish Version
VAT
VAT Reports
Report 340
Create Report 340
Report 347
Create Report 347
Report 349
Create Report 349
Set Up 340 Reports for Small Businesses
Create Templates for Telematic VAT Statements in Text File Format
Create Templates for Telematic VAT Statements in XML File Format
Export VAT Statements in XML Format
Export VAT Statements in Text Format
Equivalence Charges
Banking & Payments
Electronic Payments – AEB N34.1
Set Up Bank Accounts for Electronic Payments
Pay Vendors by Using Electronic Payments
Export Electronic Payments
Void Electronic Payments
Set Up Bank CCC Codes
Enter CCC Codes
Set Up Payment Days and Non-Payment Periods
Cash Payments
Cartera Module
Receivables Cartera Module
Payments Cartera Module
SII - Invoice and Credit Memo Types in Sales and Purchase Documents
Set Up SII for VAT Reporting
Core Finance
Set Up and Close Income Statement Balances
Indent and Validate Chart of Accounts
Ignore Discounts in General Ledger Accounts
Export Account Schedules to ASC Format
Print Account Book Reports
Print Sales and Purchase Invoice Books
Transaction Numbers
Print and Post All Transactions for a Period
General
Corrective Invoices
Calculating Due Dates
Set Up Operation Codes
Enter NACE Codes
Set Limits for Due Dates
Sweden
Local Functionality in the Swedish Version
VAT
Set Up EU Third-Party Purchase Transactions
Core Finance
Import and Export Data in Standard Import Export Format
Print Balance Sheet and Income Statement Reports
Switzerland
Local Functionality in the Swiss Version
VAT
Create and print a Swiss VAT Statement
Print Swiss VAT Statements (Older Versions)
Swiss Value Added Tax
VAT Rates for Switzerland
Banking & Payments
QR-Bill Management
Swiss Electronic Payments
Swiss Electronic Payments Using ESR
Swiss Electronic Payments Using LSV
Process an LSV Collection
Post LSV Payments
Close an LSV Collection
Export Payments Using LSV
Import ESR Payments
Print ESR Invoices
Import Swiss Bank Clearing Numbers
Core Finance
Swiss General Ledger Accounts
Balance
Adjust Exchange Rates
View Temporary Balances in General Ledger Journals
Purchasing
Delivery Reminders
Set Up Delivery Reminder Terms, Levels, and Texts
Assign Delivery Codes to Vendors
Inventory
Swiss Inventory Management
Print an Inventory Picking List from a Sales Order
General
Import Swiss Post Codes
Swiss Purchase Documents and Sales Orders
United Kingdom
Local Functionality in the UK Version
VAT
Make Tax Digital - VAT Returns submission
Change VAT Setup in Journals
Print VAT Audit Reports
Print VAT Reports
Set Up Reverse Charges on VAT
Banking & Payments
Print Checks for APACS
Print Remittance Advice
Fixed Assets
Define Accounting Periods for Straight Line Depreciation of Fixed Assets
General
Set Up a Posting Date Warning
Enter Statutory Information
Send Fraud Prevention Data
The GetAddress.io UK Postcodes Extension
Set Up the GetAddress.io UK Postcodes Extension
United States
Local Functionality in the US Version
Tax
US Sales Tax
Reporting Sales Tax in the US
Set Up and Use the IRS 1099 Form
Regulatory 1099 Format Changes and Details
Set Up Use Tax and Purchase Tax
Set Up Unrealized Sales Tax and Sales Payment Discounts
Banking & Payments
Create Deposits
General
Print Troubleshoot Reports
Submit Regulatory Alerts
Set Up Business Central
Overview of Tasks
Set Up Finance
Set Up Finance
Set Up Payment Methods
Set Up Payment Terms
Set Up Posting Groups
Set Up Reminder Terms and Levels
Set Up Finance Charge Terms
Set Up Value-Added Tax (VAT)
Set Up Calculations and Posting Methods for Value-Added Tax (VAT)
Set Up Unrealized VAT for Cash-Based Accounting
Validate VAT Registration Numbers
Set Up Source Codes and Reason Codes for Audit Trails
Enable Application of Ledger Entries in Different Currencies
Set Up an Additional Reporting Currency
Set Up Multiple Interest Rates
Set Up Invoice Rounding
Set Up the Chart of Accounts
Set Up Cash Flow Analysis
Set Up Cash Customers
Set Up and Report Intrastat
Use Allocation Keys in General Journals
Set Up Banking
Set Up Banking
Select a Check Layout
Set Up Sales
Set Up Sales
Enable Customer Payments Through Payment Services
Record Special Sales Prices and Discounts
Set Up Customer Price Groups
Set Up Customer Discount Groups
Set Up Salespeople
Set Up Document Sending Profiles
Set Up Shipment Methods
Set Up Shipping Agents
Set Up Purchasing
Set Up Purchasing
Register New Vendors
Record Special Purchase Prices and Discounts
Prioritize Vendors
Set Up Purchasers
Set Up Inventory
Set Up Inventory
Set Up General Inventory Information
Set Up Locations
Register New Items
Copy Existing Items to Create New Items
About Item Types
Set Up Units of Measure
Set Up Stockkeeping Units
Categorize Items
Import Multiple Item Pictures
Set Up Project Management
Set Up Projects
Set Up Resources
Set Up Time Sheets
Set Up Jobs
Set Up Fixed Assets
Set Up Fixed Assets
Set Up General Fixed Assets Information
Set Up Fixed Asset Depreciation
Define Depreciation Methods
Set Up User-Defined Depreciation Methods
Set Up Fixed Asset Insurance
Set Up Fixed Asset Maintenance
Set Up Warehouse Management
Set Up Warehouses
Set Up Bin Types
Create Bins
Create Bin Contents
Assign Default Bins to Items
Set Up Put-away Templates
Set Up Warehouse Employees
Set Up Locations to Use Bins
Convert Existing Locations to Warehouse Locations
Set Up Basic Warehouses with Operations Areas
Set Up Items and Locations for Directed Put-away and Pick
Enable Automatic Breaking Bulk with Directed Put-away and Pick
Enable Picking by FEFO
Enable Automated Data Capture Systems (ADCS)
Restructure Warehouses
Set Up Manufacturing
Set Up Manufacturing
Create Work Center Calendars
Set Up Work Centers and Machine Centers
Create Routings
Create Production BOMs
Enable Flushing of Components According to Operation Output
Work With Manufacturing Batch Units of Measure
Handling Lot Sizes in Production
Work With Production Families
Set Up Standard Routing Lines
Set Up Service Management
Set Up Service Management
Create Service Items
Set Up Standard Service Codes
Configure Service Processes
Set Up Fault Reporting
Set Up Service Offerings
Set Up Troubleshoot
Set Up Resource Allocation
Set Up Pricing and Additional Costs for Services
Set Up Service Items and Service Item Components
Set Up Work Hours and Service Hours
Set Up Statuses for Service Orders and Repairs
Set Up a Loaner Program
Set Up Service Contracts
Set Up Complex Application Areas Using Best Practices
Setup Best Practices
Setup Best Practices: Supply Planning
Set Up Supply Planning
Setup Best Practices: Planning Parameters
Setup Best Practices: Global Planning Setup
Setup Best Practices: Reordering Policies
Setup Best Practices: Costing Methods
Set Up Email
Set Up Email
Set Up Your Business Inbox in Microsoft Outlook
Get the Business Central Add-in for Outlook
Use Business Central as Your Business Inbox in Outlook
Synchronize with Contacts in Outlook
Optimize Outlook
Use Business Central without Outlook
FAQ
Set Up Reports
Report Selection
Set Up Approval Workflows Based on Templates
Set Up Approval Workflows
Set Up Workflow Users
Set Up Approval Users
Workflow Notifications
Specify When and How to Receive Workflow Notifications
Create Workflows
Create Workflows from Workflow Templates
Export and Import Workflows
Set Up Connections
Get the Business Central Add-in for Excel
Use Business Central as Your Business Inbox in Outlook
Overview
Synchronize with Contacts in Microsoft Outlook
Use Business Central Without Outlook
Use Microsoft Teams with Business Central
Overview
Manage Teams Integration
Install Business Central App for Teams
Search for Customers, Vendors, and Contacts
Share Records and Page Links in Teams
Change Company and Other Settings
Teams FAQ
Troubleshoot Teams Integration
Use OneDrive for Business with Business Central
Overview
Manage OneDrive for Business Integration
Open Business Central Files in OneDrive
OneDrive FAQ
Use Power BI with Business Central
Introduction
Administrator
Integration Overview
Enable Power BI Integration
Report Creator
Get Started Building Reports
Create Reports for Displaying List Data
Business User
Work with Power BI Reports in Business Central
Work with Business Central Data in Power BI
Use the Business Central Apps in Power BI
FAQ
Use Power Automate with Business Central
Troubleshoot Your Automated Workflows
Use Power Apps with Business Central
Connecting to Your Business Central Data to Build a Business App Use Power
Apps
Change from a QuickBooks App to Business Central
Bulk Invoicing for Microsoft Bookings
Import Business Data from Other Finance Systems
Company Information
Create Number Series
Set Up Base Calendars
Set Up Printers
Get Business Central on Your Mobile Device
Get Business Central on Your Desktop
Business Intelligence and reporting
Overview
Use Reports in Daily Work
Overview
Run Reports
Bookmark a Report
Analyze Report Data with Excel
Print Reports
Schedule Reports
Manage Saved Report Settings
(Legacy) Set the Layout Used by a Report
Built-in Reports
Report Overview
Finance
Financial analytics
Analyze Financial Statements With Excel
Key Financial Reports
Accounts Receivable Reports
Accounts Payable Reports
Cash Flow Analysis
Sales
Sales Reports
Blanket Sales Order Status
Package Tracking
View unposted and posted blanket sales order lines
Purchasing
Purchasing Reports
View Purchasing Ledger Entries
Inventory and Warehouse
Item Availability
Audit the Reconciliation between the Inventory Ledger and the General Ledger
View cross-docked items in a shipment or pick worksheet
Project
Project Reports
View job usage estimates
Fixed Assets
Fixed Assets Reports
Monitoring maintenance costs
Monitoring insurance coverage
View changed depreciation book values
View disposal ledger entries
View projected disposal values
Assembly Management
Assembly Management Reports
View the Bill Of Material (BOM) structure
Manufacturing
Production Reports
Viewing Load on Work and Machine Centers
Viewing Work Center Ledger Entries
Service Management
Viewing Service Statistics
Service Orders Overview
Service Quotes Overview
Posted Service Document Overview
Ad-hoc Data Analysis
Overview
Sorting, Searching, and Filtering
Searching and Filtering FAQ
Analyzing Page Data in Excel
Analyzing Report Data with Excel
Financial Analytics
Built-in Analytics
Overview
Intelligent Insights
Work with Power BI Reports
Financial analytics
Analyze Financial Statements With Excel
Report Usage Telemetry
Analyze Data in Business Intelligence Tools
Overview
Using Power BI with Business Central
Analyze Financial Statements with Excel
Extracting data to data warehouses or data lakes
Reading data with the Business Central API
Developing reports
Overview
Developing report layouts
Layout types (Word, Excel, RDLC)
Create and Modify Layouts
Using Fonts in Layouts
Set the Default Layout
Developing report datasets
Report Development Guide
Report Performance Tuning Guide
Security, Privacy, Compliance
Security and Protection
Security and Protection Overview (in English only)
Privacy
Privacy (microsoft.com)
Compliance
Compliance Overview
Application Compliance
Service Compliance
Certifications
Service Overview (in English only)
Development and Administration
Get started with development and administration documentation
Administration Tasks in Business Central
Administration Tasks
Create Users According to Licenses
Assign Permissions to Users and Groups
Manage Profiles
Manage User Settings and Preferences
Set Up Printers
Classify Data Sensitivity
Respond to Requests About Personal Data
Create New Companies
Log Changes
Manage Storage by Compressing Data or Deleting Documents
Archive Data
Define Data Retention Policies
Publish a Web Service
Configure API Templates
Manage Data Encryption
Extend Your Trial Version
Inspect Pages
View Database Locks
View Table Information
Enable New Features Ahead of Time
Onboard Users with Checklists
Sandbox Environments
Customize Business Central
Customization Overview
Customize Pages for Profiles
Change Which Features are Displayed
Set Up a Colored Indicator on Cues
Customize with Extensions
Extensions Overview
Install and Uninstall Extensions
AMC Banking 365 Fundamentals Extension
Ceridian Payroll
Company Hub
Envestnet Yodlee Bank Feeds
Essential Business Insights
Image Analyzer
Cloud Migration Extensions
Cloud Migration Base
Late Payment Predictions
Microsoft Pay
PayPal Payments Standard
QuickBooks Data Migration
QuickBooks Online Data Migration
Quickbooks Payroll File Import
Sales and Inventory Forecast
WorldPay Payments Standard
DK - C5 Data Migration
DK - Payments and Reconciliations
DK - Tax File Formats
UK - GetAddress.io UK Postcodes
UK - VAT Group Management
US/CA/UK/AU/NZ/ZA - Send Remittance Advice
Business Central Extensions by Other Providers
Integrate with Dynamics 365 Sales
Integrate with Dynamics 365 Sales
Integrate with Microsoft Dataverse
Integrate with Microsoft Dataverse
Data Ownership Models
Set Up User Accounts for Integrating with Microsoft Dataverse
Connect to Microsoft Dataverse
Synchronize Business Central and Microsoft Dataverse
Map the Tables and Fields to Synchronize
Manually Synchronize Table Mappings
Schedule a Synchronization
Troubleshoot Synchronization Errors
Design Details
Application Design Details Overview
Supply Planning Overview
Costing Overview
Error Message "Posting Date is not within your range of allowed posting dates"
Posting Date on Adjustment Value Entry Compared to the Source Entry
Warehouse Management Overview
Item Tracking Overview
General Journal Post Line
Design Details: Dimension Set Entries Overview
Migrate to Business Central Online
Migrating On-Premises Data
Running the Cloud Migration Tool
Manage the Migration to the Cloud
Migrating from Business Central On-Premises
Migrating from Dynamics GP
Migrating from Dynamics NAV
FAQ about Migrating to the Cloud
Administration of Business Central Online
Development
Security and Protection
Performance
Removed or Deprecated Features
Welcome to Dynamics 365 Business Central
6/29/2022 • 4 minutes to read • Edit Online
Business Central is a business management solution for small and mid-sized organizations that automates and
streamlines business processes and helps you manage your business. Highly adaptable and rich with features,
Business Central enables companies to manage their business, including finance, manufacturing, sales, shipping,
project management, services, and more. Companies can easily add functionality that is relevant to the region of
operation, and that is customized to support even highly specialized industries. Business Central is fast to
implement, easy to configure, and simplicity guides innovations in product design, development,
implementation, and usability.
If you already have Business Central, then sign in at https://businesscentral.dynamics.com. Otherwise, get the
overview, take the guided tour, and then learn how to start a free trial. Check out the quick start articles to help
you get to know Business Central. For more information about onboarding to Business Central, see Get Ready
for Doing Business.
TIP
Did you land here from inside Business Central? If you are not sure where to find what you are looking for, you can filter
by titles in the navigation pane to the left, or you can use the Search field at the top of the browser window.
You can also use the search capabilities in Business Central to find relevant documentation. For more information, see
Finding Pages and Information with Tell Me.
Business Central includes tooltips for fields and actions that can help guide you through the various business
processes. Some pages also have teaching tips and tours to help you. On each tooltip and teaching tip, choose
the Learn more link to open the Help pane where you find information about the current page and related
tasks. On all pages, use Ctrl+F1 on your keyboard to open the Help pane. On any device, use the question mark
in the upper right corner to get to the Help.
Microsoft Docs
In the navigation panel to the left, you can find information about using Business Central in your company. Find
links to descriptions of the most commonly used capabilities in the Business Processes section. See also the Use
the docs.microsoft.com site to learn more section.
You can also visit our video library, or start with the Get started with Microsoft Dynamics 365 Business Central
learning path on Microsoft Learn.
NOTE
Unless otherwise specified, the content on the Docs.microsoft.com site reflects the latest version of Business Central
online. If your organization uses a different version of Business Central online, then some capabilities might not yet be
available. Also, if your organization uses Business Central on-premises, you might be using an earlier version. For more
information, see Frequently Asked Questions.
The following sections point to key articles that can help you get familiar with Business Central.
Business Processes
Getting Ready for Doing Business
Setting up Business Central
Work with Business Central
Administration
Application Design Details
Customize Business Central
Finance
Sales
Purchasing
Inventory
Project Management
Fixed Assets Overview
Human Resources
Production Planning
Assembly Management
Manufacturing
Service Management
Local Functionality
Development and administration content

Development and Administration
Trials and Subscriptions
Development in AL
AL Development Environment
Rules and Guidelines for AL Code
Learn
Find free e-learning content for Business Central on Microsoft Learn.
You can also view videos of new and commonly used capabilities in our video library. For more information, see
Visit Our Video Library.
Community Resources
Microsoft Dynamics 365 Business Central Community
Microsoft Dynamics 365 Business Central on the Dynamics 365 blog
Microsoft Dynamics 365 Release Plans
Microsoft Dynamics 365 Business Central Roadmap
Microsoft Partner Network (requires Microsoft Partner Network membership account)|
Get notified about changes through an RSS feed

To subscribe to a Really Simple Syndication (RSS) feed of all updates that are to the business functionality
content on docs.microsoft.com for Business Central, use the following link:
RSS feed
NOTE
The RSS feed returns a list of the 100 articles most recently updated. The list is not sorted by date.
See Related Training at Microsoft Learn

See Also
Dynamics 365 Business Central on Microsoft Learn
Getting Started with Business Central
Customizing Business Central Using Extensions
Use Business Central as my Business Inbox in Outlook
Getting Business Central on Your Mobile Device
Use the docs.microsoft.com site to learn more
Business Central Compliance
Business Central Online Service Terms
Major Updates and Minor Updates of Business Central Online
Dynamics 365 documentation
Dynamics 365 Business Central on microsoft.com
Explore Dynamics 365 Business Central capabilities
Introducing docs.microsoft.com (original blog post)
Start a free trial!

New and Planned for Dynamics 365 Business
Central
IMPORTANT
Wondering about upcoming and recently released capabilities in Dynamics 365 Business Central?
Check out the latest version of the release plan. We've captured all the details, end to end, top to bottom, which you can
use for planning. For each version, you can get the release plan as a single PDF.
You can always refer to the release plan for an overview of new and upcoming functionality. Here in the
documentation, you can then find topics that can help you learn about new and existing features in the default
version of Dynamics 365 Business Central.
The following list provides information about the latest versions of Business Central.
2022 release wave 1
2021 release wave 2
2021 release wave 1
You can also explore the Dynamics 365 Business Central Capabilities site, and the Dynamics 365 Business
Central Roadmap site.
Get notified about changes through an RSS feed

To subscribe to a Really Simple Syndication (RSS) feed of all updates that are to the business functionality
content on docs.microsoft.com for Business Central, use the following link:
RSS feed
NOTE
The RSS feed returns a list of the 100 articles most recently updated. The list is not sorted by date.
See Also
Dynamics 365 Business Central on Microsoft Learn
Dynamics 365 Business Central Capabilities
Dynamics 365 Business Central Roadmap
Dynamics 365 Blog
Business Central pricing
Dynamics 365 Business Central Community
Start a free trial!

Business Central provides functionality for common business processes in small and mid-sized companies,
mainly within wholesale and professional services. However, more complex processes, such as assembly,
manufacturing, service, and directed warehouse management are also supported. Learn how to get a free trial
here.
TIP
Take free e-learning content about the Business Central user interface on Microsoft Learn.
Business Central includes standard configurations for most business processes, but you can change the
configuration to suit your business' needs. From your Role Center, you can access assisted setup guides that
help you configure certain scenarios and add features to Business Central. Several areas of business
functionality must be set up manually. The Business Central quick start articles can help you take the first steps
into making Business Central your own. For more information, see Setting Up Business Central.
TO SEE
Make and collect payments, manage your cash flow, defer Finance
income and revenue, prepare year-end closing, and manage
fixed assets.
Get insight to the performance of your business activities Business Intelligence

through budgets, account schedules, and analysis views.
Manage sales processes and information, such as quotes, Sales

orders, returns, and customer accounts, and make drop
shipments.
Manage purchasing processes and information, such as Purchasing

invoices, orders, returns, and vendor accounts, and purchase
items from sales documents.
Register new inventory or service-type items, categorize Inventory

items for easy searching, adjust inventory levels, and
perform common inventory costing tasks.
Create jobs and schedule resources for project, manage job Project Management
budgets, monitor progress, and track machine and employee
hours.
Organize your fixed assets, ensure correct periodic Fixed Assets

depreciation, and keep track of maintenance costs.
Manage and support your sales efforts and focus your Relationship Management
interactions on preferred customers and contacts.
Keep detailed records of your employees, and register Human Resources

absence for analysis purposes.
TO SEE
Plan the production operations that are required to Planning

transform inputs into finished goods.
Put sellable items together in simple steps to make a new Assembly Management
item, such as a kit.
Define shop floor resources and their capacity, schedule Manufacturing

operations, pull production components, and execute
production operations.
Ensure an effective flow of goods that are received and Warehouse Management
shipped.
Schedule service calls and set up service orders, and track Service Management
repair parts and supplies.
Set up and use workflows that connect tasks performed by Workflow

different users or by the system, such as automatic posting.
Requesting and granting approval to create or post
documents are typical workflow steps.
Enable users to exchange data with external sources during Exchanging Data Electronically
daily tasks, such as sending/receiving electronic documents,
importing/exporting bank files, and updating currency
exchange rates.
Record external documents in Business Central, including Incoming Documents

their file attachments, and then manually create the related
documents or automatically convert the files to electronic
documents.
See Also
Administration
Setting Up Business Central
Find the right online training, in person workshops, and events for your role as a Business Central user or
partner.
Business decision maker
Do you decide whether to invest in new technologies?
Learn the business value of Business Central (Free, self-paced online learning path)
Get started (Free, self-paced online learning path)
Explore Dynamics 365 Business Central Capabilities
Business Central videos on YouTube
Business user
Did you just get a new application to use?
Get started (Free, self-paced online learning path)
Business Central learning paths (Free, self-paced online learning paths)
Developer
Do you need to write code to integrate with other data sources, extend core system functionality, or build a
complex application?
Developer documentation
Functional Consultant
Are you an implementation expert for a business domain?
This selection of walkthroughs provides step-by-step, end-to-end business processes that you can perform
using the CRONUS demonstration company. The walkthroughs consist of multiple procedures, some of which
would normally be performed by one user, while others incorporate several different user roles. In order to
simulate the working environment, some of the walkthroughs contain setup steps necessary to complete the
exercises as described. These steps can provide insight into the kind of information users need to share with
their company's IT professionals.
The walkthroughs are complete scenarios, and should be performed from beginning to end for the greatest
benefit. Many are based on Business Central demonstrations, and enable you to try those procedures yourself,
at your own pace.
NOTE
Some of the walkthroughs require sample data that is not available in the default demonstration company in Business
Central.
TO SEE
Set up a marketing campaign. Walkthrough: Conducting a Sales Campaign
Use prepayments to manage part payments for sales and Walkthrough: Setting Up and Invoicing Sales Prepayments
purchases.
Set up approval users, when and how the users receive Walkthrough: Setting Up and Using a Purchase Approval
notification about approval workflows, and then modify and Workflow
enable the relevant approval workflow.
Plan a project, from start to finish. Walkthrough: Managing Projects with Jobs
Report on the costs of a project. Walkthrough: Calculating Work in Process for a Job
Pick items for shipment in basic warehouse configurations. Walkthrough: Picking and Shipping in Basic Warehouse
Configurations
Export business data for auditing purposes in Germany. Walkthrough: Exporting Data for a Digital Audit
See Also
Start a free trial!

Walkthrough Conducting a Sales Campaign
A campaign is any kind of activity that involves several contacts. An important part of setting up a campaign
involves selecting the target audience for your campaign. For this purpose, in Business Central, you create a
segment, or a group of contacts using filters.
You use these features in Sales & Marketing to carefully plan your marketing activities and to manage your
interactions with contacts and customers. You can create campaigns and set up segments of your contacts for
mailings and other types of interactions with your contacts and prospective customers.
The Campaign and Segment features with their automated processes enable you to plan, organize, and keep
track of your marketing activities. This will increase the chances of winning new customers and retaining
existing customers.
About This Walkthrough

This walkthrough demonstrates the process for following up on a trade show and targeting potential customers
(contacts) in a follow-up campaign.
The walkthrough introduces the campaign and segment management feature in the Sales & Marketing
department. This walkthrough illustrates the following tasks:
Preparing the data.
Setting up a campaign.
Selecting the target audience.
Mining data.
Sending letters to contacts.
Registering campaign responses.
Roles
This walkthrough demonstrates tasks that are performed by the following user roles:
Marketing Manager or Sales Manager
Marketing Staffer
Prerequisites
Before you can perform the tasks in the walkthrough, you must install the Business Central.
Story
The marketing manager in the Sales department of CRONUS is responsible for planning campaigns and for
executing them. He also makes decisions about which trade shows to participate in and he evaluates campaign
progress.
The marketing staffer in the Marketing department handles producing, distributing, and placing marketing
material.
The company has just launched a new product called the Rome Guest Chair. The product was recently promoted
at a trade show, Office Futurus. Many customers expressed great interest in the product, and as part of a
promotional effort, customers who bought Rome Guest Chair during a campaign period were offered a special
campaign price.
One of the marketing staffer’s tasks after the trade show is to enter all the potential customers as contacts.
The marketing manager sets up a campaign, creates a segment that contains all the new contacts and then
mines the contact data to select the target audience for the campaign.
The staffer helps send out thank you letters to all the contacts who left their cards with the staff at the stand, and
finally, the manager records all the responses they receive from the prospective customers.
Setting Up a Campaign
As soon as the staffer has entered the business cards received at the trade show, the marketing manager sets up
a campaign card to manage the activities involved in the campaign.
To set up a campaign
1. Choose the icon, enter Campaigns , and then choose the related link.
2. Choose the New action to create a new campaign. On the campaign card, press Enter to have a campaign
number automatically inserted.
3. In the Description field, enter a description for the campaign, for example, Office Futurus trade show .
4. Choose the Status Code field, and select the status code "1-PLAN".
5. Fill in the Star ting Date and Ending Date fields of the campaign as appropriate.
Selecting the Target Audience

The marketing manager creates a segment to select the contacts that they want to interact with.
When you create a segment, you can use a variety of criteria to select the contacts that must be targets for the
segment. For example, you can select contact persons who work at a customer site or a prospective customer
site who are responsible for purchases at their company. You use filters to add contacts according to the criteria
that best fit your purposes. For example, you can choose to filter by the job responsibility of the contact person
or the business relation or industry of the contact company. For this walkthrough, we'll choose the Job
Responsibility filter to select contacts.
To create a segment with the relevant contacts
1. Choose the Navigate action, and then choose Segments .
2. Choose the New action to create a new segment. On the segment card, select Enter to have a segment
3. On the General FastTab, in the Description field, enter, for example, Visitors at the Office Futurus trade
show .
4. Choose the Add Contacts action to open the Add Contacts filter.
5. Scroll down to the Contact Job Responsibility FastTab, select the Purchase filter as the Job
Responsibility Code and choose the OK button.
The Segment page now contains a list of contacts based on the filter you entered. On the General FastTab, in
the No. of Lines field, you can see at a glance the number of contacts that meet these criteria.
NOTE
You can save your segmentation criteria to be reused at a later stage.
To save your segmentation criteria

1. On the Segment page, choose Actions .
2. Choose Functions , then Segment , and then choose the Save Criteria action.
3. On the Save Segment Criteria page, enter a code for the segment. In the Description field, enter a
description of the segment criteria.
4. Choose the OK button.
Mining the Data

The marketing manager takes a closer look at the segmented list of contacts and realizes that the list is much
too big. He decides to reduce the list based on actual, prospective customers to make sure he focuses on the
correct target group. This process of refining and reducing the data is also referred to as data mining.
To remove contacts from the segment
2. In the menu bar below, choose Functions , choose Contacts , and the choose Reduce Contacts .
This opens the Remove Contacts – Reduce dialog.
4. On the Contact Business Relation FastTab, select the CUST filter as the Business Relation Code , and
choose the OK button.
The Segment page now contains a reduced list of contacts, and in the No. of Lines field, you can see the
number of contacts that now meet these new criteria.
NOTE
If you have to reverse this removal of a group of contacts, you can do this using the Go Back function. In other words,
you can undo your last segmentation.
To bring back the removed contacts

1. On the Segment page, choose the Segment action.
2. Choose the Go Back action.
The contacts that you just removed are added back to the list of contacts.
Linking a Segment to a Campaign

The marketing manager decides that the reduced list is the final list of contacts that they want to be part of the
campaign. They therefore link this segment to the campaign FUTURUS trade show.
To link a segment to the campaign
1. On the Segment page, on the Campaign FastTab, choose the Campaign No. field to select the campaign
that you want the segment to be attached to, for example, CP0001 .
2. Select Yes .
3. Since this segment is the target of the campaign, select the Campaign Target check box and choose Yes .
Sending Letters and Email Messages to Contacts

The marketing staffer helps the marketing manager send out correspondence to the prospective customers, in
which they thank them for visiting the trade show.
To use a segment to send a letter to a contact
NOTE
In this procedure you have to attach a Word document. You can add attachments in any language.
NOTE
If needed click on the Edit Pencil icon to open the page in edit mode.
1. Open the Segment card for the Visitors at the FUTURUS trade show .
2. On the Interaction FastTab, in the Interaction Template Code field, select the Business Letter template
code BUS and select Yes .
3. Choose the Language Code (Default) field to open the Segment Interaction Languages page. Select a
Language Code and then choose the OK button.
4. Make sure that the Correspondence Type (Default) is set to Hard Copy .
5. In the Attachment field select the Ellipsis box. This opens the Import Attachment dialog.
a. Select the Choose button to choose your file.
b. Find the file and select the Open button to attach it.
6. In the Subject (Default) field, enter the following example text: Thank you for visiting the trade show .
Press the Tab key to leave the field, and select the Yes button.
7. Slide the Send Word Docs as Attmt to on and select the Yes button.
8. Choose the action Log . In the Log Segment pop-up window enable: Create Follow-up Segment
9. Choose the OK button to start the Log Segment batch job .
The attachments are sent. When the process is done, choose the OK button for the message that states that the
segment has been logged.
The letters are automatically printed and the segment is logged. Because the segment has been logged, it is no
longer in the list of segments but is moved to the list of logged segments. To see that list, Choose the icon,
enter Logged Segments , and then choose the related link.
After the segment is logged, each letter that is sent is recorded as an interaction, which you can view in the log.
Choose the icon, enter Interaction Log Entries , and then choose the related link. There is an entry for each
sent letter.
To send an email message to a contact
1. On the Interaction FastTab, in the Interaction Template Code field, select the Business Letter template,
code BUS .
3. In the Correspondence Type field, choose E-Mail .
4. Specify language settings, and attach a Word document, as in the previous procedure.
5. Choose the Log action. The Log Segment page opens.
6. Select the Send Attachments check box to have the attachments sent by email.
7. Select the Create Follow-up Segment check box.
The letters are automatically sent by email, and the segment is logged. Because the segment has been logged, it
is no longer in the list of segments but is saved in the list of logged segments. To see that list, Choose the icon,
Registering Campaign Responses
During the next couple of weeks, the prospective customers respond to the letter. The marketing manager wants
to keep track of the responses and record these interactions.
For this purpose, set up a segment for the contacts who have responded to the letter.
To register campaign responses
1. On the Segment page, on the Interaction FastTab, choose the Interaction Template Code field.
There is no interaction template for recording responses to campaigns. Therefore, create a new template.
2. On the Interaction Templates dropdown, choose the New action.
3. In the Code field, enter RESP , and in the Description field, enter Campaign Responses .
5. Choose Yes to confirm that you want to apply this interaction template code to all segment lines.
6. On the Campaign FastTab, select the Campaign Response field. Choose Yes to confirm the message You
have modified Campaign Response.
7. On the Segment page, choose the Log action.
8. On the Log Segment page, clear the Send Attachments check box. Then choose the OK button to confirm
the message that the segment has been logged.
See Also
Walkthrough: Setting Up and Invoicing Sales
Prepayments
This walkthrough takes you through the process of setting up and using prepayments in Business Central.
Prepayments are payments that are invoiced and posted to a sales or purchase order before you post the final
invoice. For example, you might require a deposit before you manufacture items to order, or you might require
payment before you ship items to a customer. You can use the prepayments capabilities to invoice and collect
deposits from customers, and to remit deposits to vendors. This way, all relevant payments are posted against
the same invoice.
For each customer or vendor, you can define prepayment requirements for all items or selected items. When
you've set up prepayments, you can then generate prepayment invoices from sales and purchase orders with
prepayment amounts that are based on your setup. You can change the amounts on the invoice as needed.
For example, you can send additional prepayment invoices if additional items are added to the order.

This walkthrough will take you through the following scenarios:
Setting up prepayments
Creating an order that requires a prepayment
Creating a prepayment invoice
Correcting the prepayment requirements on an order
Applying prepayments to an order
Invoicing the final amount on an order with prepayment
Roles
This walkthrough includes tasks for the following roles:
Accounting Manager (Phyllis)
Order Processor (Susan)
Accounts Receivable Administrator (Arnie)
Story
Phyllis is an accounting manager. She makes decisions about which customers are required to pay a deposit
before items are manufactured or shipped. Phyllis sets up Business Central to calculate prepayments
automatically.
Susan is a sales order processor. When a customer calls to place an order, she enters the order into the system
while the customer is on the telephone. This way, she can verify prices and payment terms with the customer
immediately, and she can make adjustments to the order while she negotiates with the customer.
Arnie works in the Accounts Receivable department, where he posts invoices and payments.
In this scenario, Phyllis sets up prepayment requirements for the customer Selangorian, based on their credit
history, and gives Susan instructions for how to handle their orders.
When the customer calls, Susan negotiates with the customer until they reach an agreement. She can then
choose to calculate the prepayment in several different ways.
After Susan sends the prepayment invoice, the customer orders an extra item. Susan updates the order and
creates a second prepayment invoice.
Arnie registers the customer's payment and applies it to the invoices, and then sends the final invoice.
Setting Up Prepayments
Phyllis sets up the system to handle prepayments for customers.
Phyllis decides to have the same number series for prepayments as the one used for sales invoicing.
Phyllis sets application to check if prepayments are required before final invoicing on an order.
Phyllis sets up default values for a required prepayment percentage for particular items and customers.
The following procedures describe how to complete Phyllis' tasks:
To set up number series for prepayments
1. Choose the icon, enter Sales & Receivables Setup , and then choose the related link.
2. On the Sales & Receivables Setup page, expand the Number Series FastTab.
3. Verify that the number series for posted prepayment invoices in the Posted Prepmt. Inv. Nos. field is the
same as for posted sales invoices (Posted Invoice Nos.) and the number series for posted prepayment
credit memos (Posted Prepmt. Cr. Memo Nos.) is the same as for posted credit memos (Posted Credit
Memo Nos.).
To block shipments for unpaid prepayment
1. On the Sales & Receivables Setup page, on the General FastTab, select the Check Prepayment when
Posting check box.
Now you cannot ship or invoice an order that has an unpaid prepayment amount.
By default, Phyllis requires customer 20000 to be invoiced for a 30% down payment on all orders. Therefore,
she will enter a default prepayment percentage on the customer card.
Phyllis requires all customers to be invoiced a 20% deposit for item 1896-S. Customer 20000 has a poor
payment history. Therefore, she requires a 40% prepayment from customer 20000 for item 1896-S. The
following procedure illustrates how to set up default prepayment percentages.
To assign default prepayment percentages to customers and items
1. Choose the icon, enter Customers , and then choose the related link.
2. Open the card for customer 20000 (Trey Research).
3. On the Payments FastTab, in the Prepayment % field, enter 30 .
4. Choose the Related action, select the Sales menu item, and then choose the Prepayment Percentages
menu item.
5. Fill in two lines on the Sales Prepayment Percentages page as follows.
SA L ES T Y P E SA L ES C O DE IT EM N O. P REPAY M EN T %
Customer 20000 1896-S 40
Customer 20000 1900-S 30

TIP
Depending on your country/region, you must also specify a tax group code on the Costs & Posting FastTab for
item 1896-S. When you use the demonstration company, this field is already set.
6. Close all pages.

To specify an account for sales prepayments in general posting setup
1. Choose the icon, enter General Posting Setup , and then choose the related link.
2. Select the line where the Gen. Bus. Posting Group field is set to DOMESTIC , and the Gen. Prod. Posting
Group field is set to RETAIL .
3. In the Sales Prepayments Account field, specify the relevant account. Your selection is automatically
saved.
TIP
If you cannot see the field in the General Posting Setup page, then use the horizontal scroll bar at the bottom of the
page to scroll to the right.
Creating an Order that Requires a Prepayment

In the following scenario, Susan, the order processor, creates an order when talking to a customer. The items that
the customer orders require a prepayment, and the customer has made some late payments in the past.
Therefore, Susan has been instructed to require a fixed amount of 800 as a prepayment on the order.
The customer requests to be able to pay 35%, to which Susan can agree. Therefore, she changes the order.
Susan creates the prepayment invoice and sends it to the customer.
To create a sales order with a prepayment
1. Choose the icon, enter Sales Orders , and then choose the related link.
2. Choose the New action.
3. In the Customer Name field, choose Trey Research .
4. Close the overdue balance warning that is displayed.
5. Fill in two sales lines with the following information.
TYPE N O. Q UA N T IT Y
Item 1896-S 1
Item 1900-S 1
By default, the prepayment fields on the sales line are hidden, so you must display them. To do this you
need to personalize the page. For more information, see To start personalizing a page through the
Personalizing banner.
6. Verify that the Prepayment % field on the line with item 1900-S contains 30 . The default value was
taken from the sales header, which was populated from the customer card.
The Prepayment % field on the line with item 1896-S contains 40 . This is the percentage you entered
on the Sales Prepayment Percentages page for item 1896-S and customer 20000 .
For more information, see Set Up Prepayments.
7. In the Order action, choose Statistics .
8. On the Prepayment FastTab, the Prepayment Amount Excl. VAT field contains 458.16 . If you create a
prepayment invoice for the order now, then this is the amount that is displayed on the invoice.
In this scenario, Susan has been instructed to suggest a total prepayment of 800 for the order.
IMPORTANT
Depending on your country/region, the following step might not apply.
9. Change the amount in the Prepmt. Amount Excl. Tax field to 800 and then close the page.
10. Verify the Prepayment % field on the sales lines, and you will see that it has been recalculated to
67.02438 and 67.02282 .
The recalculation includes all lines that have a prepayment percentage that is greater than 0.
Now the customer asks if the prepayment percent can be set to 35%. Susan's supervisor approves the
change.
11. On the Sales Order page, on the Prepayment FastTab in the Prepayment % field, enter 35 .
12. In the warning that appears, choose the Yes button. A rate of 35% will be applied as the payment
percentage for the whole order.
13. Verify that the lines have been updated accordingly.
Creating a Prepayment Invoice

After entering the correct prepayment values on the order, Susan creates the prepayment invoice and sends it to
the customer.
To create a prepayment invoice
1. On the Sales Order page, choose Actions , then Posting , then Prepayment and then select Post and
Print Prepayment Invoice
2. Choose the Yes button to post the invoice.
NOTE
Susan would now send the invoice to the customer.
Creating an Additional Prepayment Invoice

The following day, the customer calls Susan and makes changes to the order. The customer wants two of item
1896-S. Susan reopens and updates the order, and then she creates a second prepayment invoice on the order
and sends it to the customer.
To create an additional prepayment invoice
1. On the Sales Order page, choose the Release action, and then Reopen .
2. On the line for item 1896-S , in the Quantity field, enter 2 .
In the Order action, choose Statistics . The Prepayment Amount Excl. VAT field now contains 768.04 ,
and the Prepmt. Amt. Inv. Excl. VAT field contains 417.76 . This shows that there is an additional
prepayment amount that has not been invoiced yet.
3. To post an invoice for the additional prepayment amount, choose Actions , then Posting , then
Prepayment and then select Post and Print Prepayment Invoice
Applying the Prepayments

The customer pays the prepayments amount and Arnie, who works in the accounts department, registers the
payment and applies it to the prepayment invoices.
To apply a payment to the prepayment invoices
1. Choose the icon, enter Cash Receipt Journals , and then choose the related link.
2. Fill in a journal line with the following information.
F IEL D N A M E EN T ER
Document Type Payment
Account Type Customer
Account No. 20000
3. Choose the Process action, and then Apply Entries .

4. On the Apply Customer Entries page, select the first prepayment invoice, and then choose the
Process action, and then choose the Set Applies-to ID action.
5. Repeat the previous step for the second prepayment.
The Amount fields have now been filled in with the sum of the two prepayment invoices.
7. To post the journal, choose the Post/Print action, then select Post .
8. Choose the Yes button.
Invoicing the Remaining Amount

Now Arnie has been informed that the items on the order have been shipped and that the order is ready for
invoicing. Arnie creates the invoice for the order.
To invoice the remaining amount
1. Open the sales order.
2. Choose the Posting action, then Post .
3. Select Ship and Invoice , and then choose the OK button.
4. If you want to preview the invoice, choose the Yes button.
NOTE
Normally, the shipping department would have already posted the shipment.
Arnie can view the history to verify that the sales invoice was created as intended.
5. Choose the icon, enter Posted Sales Invoices , and then choose the related link.
Next Steps
This walkthrough has taken you through steps to set up Business Central to handle prepayments. You have set
up default prepayment percentages on customers and items, and you have also used different methods to
calculate the prepayments on an order. You have tried to assign one total prepayment amount to the order, and
you have had the prepayment amount calculated as a percentage of the whole order.
You have also posted a prepayment invoice, created a second prepayment invoice when the order has changed,
and posted the final invoice for the remaining amount.
The prepayments functionality in Business Central makes it easy to set up and enforce prepayment rules for
customers and items, and it enables you to post every payment against an invoice.
See related training at Microsoft Learn

See also
Finance
Walkthrough: Setting Up and Using a Purchase
Approval Workflow
You can automate the process of approving new or changed records, such as documents, journal lines, and
customer cards, by creating workflows with steps for the approvals in question. Before you create approval
workflows, you must set up an approver and substitute approver for each approval user. You can also set
approvers' amount limits to define which sales and purchase records they are qualified to approve. Approval
requests and other notifications can be sent as email or internal note. For each approval user setup, you can also
set up when they receive notifications.
NOTE
In addition to the Workflow functionality within Business Central, you can use Power Automate to define workflows for
events in Business Central. Note that although they are two separate workflow systems, any flow template that you
create with Power Automate is added to the list of workflow templates within Business Central. For more information, see
Use Business Central in an Automated Workflow.
You can set up and use workflows that connect business-process tasks performed by different users. System
tasks, such as automatic posting, can be included as steps in workflows, preceded or followed by user tasks.
Requesting and granting approval to create new records are typical workflow steps. For more information, see
Workflow.

This walkthrough illustrates the following tasks:
Setting up approval users
Setting up notifications for approval users
Modifying and enabling an approval workflow
Requesting approval of a purchase order, as Alicia
Receiving a notification and then approving the request, as Sean
Story
Sean is a super user at CRONUS. He creates two approval users. One is Alicia who represents a purchasing
agent. The other is himself representing Alicia's approver. Sean then gives himself unlimited purchase approval
rights and specifies that he will receive notifications by internal note as soon as a relevant event occurs. Last,
Sean creates the required approval workflow as a copy of the existing Purchase Order Approval Workflow
workflow template, leaves all existing event conditions and response options unchanged, and then enables the
workflow.
To test the approval workflow, Sean first signs in to Business Central as Alicia, and then requests approval of a
purchase order. Sean then signs in as himself, sees the note on his Role Center, follows the link to the approval
request for the purchase order, and approves the request.
Users
Before you can set up approval users and their notification method, you must make sure that two users exist in
Business Central: One user will represent Alicia. The other user, yourself, will represent Sean. For more
information, see Create Users According to Licenses.
Setting Up Approval Users
When signed in as yourself, set Alicia up as an approval user whose approver is yourself. Set up your approval
rights and specify how and when you are notified of approval requests.
To set up yourself and Alicia as approval users
1. Choose the icon, enter Approval User Setup , and then choose the related link.
2. On the Approval User Setup page, choose the New action.
NOTE
You must set up an approver before you can set up users who require that approver's approval. Therefore, you
must set up yourself before you set up Alicia.
3. Set up the two approval users by filling the fields as described in the following table.
USER ID A P P RO VER ID UN L IM IT ED P URC H A SE A P P RO VA L
YOU Selected
ALICIA YOU
Setting Up Notifications
In this walkthrough, the user is notified by internal note about requests to approve. Approval notification can
also be by email, and you can add a workflow response step that notifies the sender when a request is approved
or rejected. For more information, see Specify When and How to Receive Notifications.
To set up how and when you are notified
1. On the Approval User Setup page, select the line for yourself, and then choose the Notification Setup
action.
2. On the Notification Setup page, in the Notification Type field, choose Approval .
3. In the Notification Method field, choose Note .
4. On the Notification Setup page, choose the Notification Schedule action.
5. On the Notification Schedule page, in the Recurrence field, select Instantly .
Creating the Approval Workflow

Create the purchase order approval workflow by copying the steps from the Purchase Order Approval
Workflow workflow template. Leave the existing workflow steps unchanged, and then enable the workflow.
TIP
Optionally, add a workflow response step to notify the sender when their request is approved or rejected. For more
information, see Specify When and How to Receive Notifications.
To create and enable a purchase order approval workflow

1. Choose the icon, enter Workflows , and then choose the related link.
2. On the Workflows page, select Actions , then select New , and then choose the New Workflow from
Template action.
3. On the Workflow Templates page, select the workflow template named Purchase Order Approval
Workflow .
The Workflow page opens for a new workflow containing all the information of the selected template.
The value in the Code field is extended with -01 to indicate that this is the first workflow that is created
from the Purchase Order Approval Workflow workflow template.
4. On the header of the Workflow page, select the Enabled check box.
Use the Approval Workflow

Use the new Purchase Order Approval Workflow workflow by first signing in to Business Central as Alicia to
request approval of a purchase order. Then sign in as yourself, view the note on the Role Center, follow the link
to the approval request, and then approve the request.
To request approval of a purchase order, as Alicia
1. Sign in as Alicia.
2. Choose the icon, enter Purchase Orders , and then choose the related link.
3. Select the line to open Purchase Order 106001.
4. On the Purchase Order page, choose Actions , then Request Approval , and then choose the Send
Approval Request action.
Notice that the value in the Status field has changed to Pending Approval .
To approve the purchase order, as Sean
1. Sign in as Sean.
2. On the Role Center, in the Self Ser vice area, choose the Requests to Approve tile.
3. On the Requests to Approve page, select the line about the purchase order by Alicia, and then choose the
Approve action.
The value in the Status field on Alicia's purchase order changes to Released .
You have now set up and tested a simple approval workflow based on the first two steps of the Purchase Order
Approval Workflow workflow. You can easily extend this workflow to automatically post Alicia's purchase order
when Sean approves it. To do this, you must enable the Purchase Invoice Workflow workflow, in which the
response to a released purchase invoice is to post it. First you must change the event condition on the first
workflow step from (purchase) Invoice to Order .
The generic version of Business Central includes a number of workflow templates for scenarios that are
supported by the application code. Most of these are for approval workflows.
You define variations of workflows by filling fields on workflow lines from fixed lists of event and response
values representing scenarios that are supported by the application code. For more information, see Create
Workflows.
If a business scenario requires a workflow event or response that is not supported, a Microsoft partner must
implement them through code, or you can set up a workflow using Power Automate. For more information, see
Use Business Central in an Automated Workflow or Events in AL in the developer help, respectively.

See also
Setting Up Workflow Notifications
Create Workflows
Workflow
Use Business Central in an Automated Workflow
Walkthrough: Managing Projects with Jobs
This walkthrough introduces you to the project management features in jobs. Jobs are a way for you to schedule
the usage of your company's resources and to keep track of the various costs associated with the resources on a
specific project. Jobs involves the consumption of employee hours, machine hours, inventory items, and other
types of usage that you may want to track as a job progresses.
This walkthrough covers the setup of a new job in addition to some common tasks such as handling fixed
pricing, making payment by installments, posting invoices from jobs, and copying jobs.

This walkthrough demonstrates the following tasks:
Setting Up a Job
With the budget structure set up for jobs, creating a job is straightforward. This walkthrough covers the
following procedures:
Setting up job task lines and planning lines.
Creating job-specific prices for items, resources, and general ledger accounts.
Invoicing from a job.
Handling Fixed Prices
In jobs, you can handle fixed prices and the prices for services or goods that are agreed upon in advance with
customers. In this walkthrough, you can do the following:
See how contract and invoice values are determined.
Allow for extra work in the schedule that has not been invoiced.
Copying a Job
This part of the walkthrough focuses on how to copy part or all of a job in order to reduce manual data entry
and improve accuracy. It includes the following:
Copying part of a job to a new job.
Copying job-specific prices.
Copying planning lines.
Making Payment by Installment
When a large, expensive project lasts for a long period, the customer often makes an agreement with the
company to pay by installments. This scenario shows how you set up payment by installments and covers:
Creating payment by installments for a job.
Invoicing payments to customers.
Accounting for usage in a job set up for payment by installments.
Roles
Project Manager
Project Team Member
Prerequisites
Before you can perform the tasks in the walkthrough, you must do the following:
Install the CRONUS demonstration database.
Create sample data by using the steps in the following section.
Story
This walkthrough focuses on CRONUS, a design and consultancy firm that designs and fits new infrastructures,
such as conference halls and offices, with furniture, accessories, and storage units. Most of its work is project
oriented. Prakash is a project manager at CRONUS. He uses jobs to give him an overview of each ongoing job
that CRONUS has started, as well as the jobs that are completed. He is usually the one who sets up deals with
customers and enters the core of the job, which is task and planning lines in addition to prices, into Business
Central. He finds that creating, maintaining, and reviewing information is straightforward. Prakash also likes the
way Business Central enables copying jobs and payment by installments.
Tricia, a project team member who reports to Prakash, is responsible for monitoring the job day-to-day. She
enters her own work in addition to the work performed by technicians on every task. She records the items that
they have used and the costs that they have incurred.
Preparing Sample Data

To prepare for this walkthrough, you must add Tricia as a new resource.
To prepare the sample data
1. Choose the icon, enter Resources , and then choose the related link.
2. Choose the New action to create a new resource card.
3. On the General FastTab, enter the following information:
No.: Tricia
Name : Tricia
Type : Person
4. Choose the Base Unit of Measure field, and choose the New action to open the Resource Unit of
Measure page. In the Code field, select Hour .
5. On the Invoicing FastTab, enter the following information:
Direct Unit Cost : 5
Indirect Cost % : 4
Unit Cost : 10
Gen. Prod. Posting Group : Ser vices
VAT Prod. Posting Group : VAT 25
6. Close the page.
In the next procedure, you create a job journal batch for Tricia in order to post her usage.
To create a Job Journal batch
1. Choose the icon, enter Job Journals , and then choose the related link.
2. On the Job Journal page, choose the Batch Name field. The Job Journal Batches page opens.
3. Choose the New action to create a new line with the following information:
Name : Tricia
Description : Tricia
No. Series : JJNL-GEN
4. Choose the OK button to save the changes.
Setting Up a Job
In this scenario, CRONUS has won a contract with a customer, Progressive Home Furnishings, to design a
conference and dining hall. The customer is based in the United States and the project will require special
software. The project manager reaches an agreement with the customer and creates a job that covers the
agreement.
To set up a job
1. Choose the icon, enter Jobs , and then choose the related link.
2. Choose the New action to create a new card.
3. On the General FastTab, enter the following information:
Description : Advising on conference hall setup
Bill-to-Customer No.: 01445544
4. On the Posting FastTab, enter the following information:
Status : Planning
Job Posting Group : Setting Up
WIP Method : Cost Value
5. On the Duration FastTab, type today's date into the Star ting Date and Ending Date fields. These dates
will help apply currency conversions when the job is invoiced.
6. On the Foreign Trade FastTab, set the currency code to USD . If you select USD in the Invoice Currency
Code field, then the job will be invoiced in U.S. dollars and planned in the local currency of CRONUS only.
You can customize the pricing for customers on a per job basis, depending on the agreements you have set up.
In the next procedure, the project manager specifies a cost for Tricia's time, sets the price for the required
software, and adds in the travel costs that the customer has agreed to pay.
To customize pricing
1. From the job card, choose the Resource action.
2. On the Job Resource Prices page, enter the following information:
Code : Tricia
Unit Price : 20
3. Close the page.
4. Choose the Item action.
5. On the Job Item Prices page, enter the following information and customized price:
a. Item No.: 80201 (Graphic Program)
b. Unit Price : 200
6. Close the page.
7. Choose the G/L Account action.
8. On the Job G/L Account Prices page, enter the following information and the cost of travel, for which
the customer has agreed to pay cost plus 25 percent:
a. G/L Account : 8430 (Travel)
b. Unit Cost Factor : 1.25
9. Close the page.
The final steps in setting up a job are adding the job tasks and the planning lines that are part of each task. The
planning lines determine what is invoiced to the customer.
To add job tasks
1. On the Job card for the new job, choose the Job Task Lines action.
2. The following table describes the information that you should enter in the fields.
JO B TA SK N O. DESC RIP T IO N JO B TA SK T Y P E
1000 Consulting on hall setup Begin-Total
1010 Consultation meeting with customer Posting
1020 Development Posting
1090 Consulting Total End-Total
3. To show that some tasks are subcategories of other tasks, choose the Indent Job Tasks action.
A planning line can be one of the following types:
Budget : Added to the schedule, but not invoiced.
Billable : Invoiced, but not added to the schedule.
Both Budget and Billable : Invoiced and added to the schedule.
In this walkthrough, the project manager uses Both Budget and Billable . He creates three planning lines for
task 1010, and two planning lines for task 1020.
To create planning lines
1. Select line 1010, and then choose the Job Planning Lines action.
2. Create planning lines with the following information:
P L A N N IN G
L IN E L IN E T Y P E DAT E TYPE N O. Q UA N T IT Y UN IT P RIC E
1 Both Budget (today's Resource Tricia 40

and Billable date)
2 Both Budget (today's Resource Timothy 40

and Billable date)
3 Both Budget (today's G/L Account 8430 (Travel) 2 400

and Billable date)
Close the page. The totals are updated on the Job Task Lines page.
3. Select line 1020, and then choose the Job Planning Lines action. Enter the following information:
P L A N N IN G
1 Both Budget (today's Resource Tricia 80

and Billable date)
2 Both Budget (today's Item 80201 1

and Billable date) (Graphic
program)
4. Close the page. Totals are updated on the Job Task Lines page.
Calculating Remaining Usage

Tricia, the team project member, has been working on the job for a while and wants to register her hours and
usage on the job. She has not worked more hours than was agreed upon with the customer in advance. She
uses the Calculate Remaining Usage batch job to calculate remaining usage for the job in a job journal. For
each task, the batch job calculates the difference between scheduled usage of items, resources, and general
ledger expenses and the actual usage posted in job ledger entries. The remaining usage is then displayed in the
job journal from where she can post it.
To calculate remaining usage
2. On the Job Journal page, in the Batch Name field, open the Job Journals Batches list. Select the Tricia
job journal batch.
3. Choose the Calc. Remaining Usage action.
4. On the Job Calc. Remaining Usage page, on the Job Task FastTab, choose the Job No. field, and select
the relevant job number, typically job J00010.
5. On the Options FastTab, type J00001 in the Document No. field. This makes future tracking of the posting
easier.
6. Enter today's date as the posting date.
7. Choose the OK button. This will generate job journal lines derived from the planning lines that Prakash
created for the job.
8. Choose the OK button on the confirmation page. The generated lines are added to the job journal.
9. Make sure that all the document numbers are J00001, and then choose the Post action. Choose Yes to
confirm the posting.
The lines are now posted.
Creating and Posting a Job Sales Invoice

Next, Tricia can create a new invoice for the whole job or for part of a job. She can also attach the invoice to
another invoice for the same customer for the same job. In this case, she invoices for the whole job, because the
project is now completed.
To create a job sales invoice
2. Select the job that you created earlier, and then choose the Create Job Sales Invoice action.
3. On the Job Task FastTab, clear any filter on Job Task No. in order to invoice the job. In the Job No. field,
select the relevant job.
4. On the Options FastTab, fill in the posting date and define whether you want to create one invoice per task
or just a single invoice for all tasks.
5. Choose the OK button to create the invoice and choose the OK button on the confirmation page.
After Tricia creates the invoice, she can access it from the Sales Order Processor Role Center, for example.
To post a new sales invoice
1. Choose the icon, enter Sales Invoices , and then choose the related link.
2. Open the invoice for Customer No. 01445544. You can see the information that was entered from the
planning lines.
3. Choose the Post action. Choose Yes to confirm the posting.
To view the posted invoice
1. Open the job, and then choose the Job Planning Lines action.
2. Select any of the planning lines that have been invoiced, and then choose the Sales Invoice/Credit Memo
action.
3. On the Job Invoices page, choose the Open Sales Invoice/Credit Memo action.
Tricia has a question about the prices, costs, and profits that are relevant to this particular job, so she accesses
that information on the Statistics page.
To open the Statistics page
2. Choose the Statistics action. You can review detailed information about the job prices, costs, and profits in
both local and foreign currencies.
3. Choose the Close button to close the Job Statistics page.
Handling Fixed Prices

CRONUS has been contracted to set up conference rooms. As the project manager, Prakash wants a good
overview of the tasks required for the job with the associated budgeted and incurred costs for each task. In
addition, he wants to know the total contracted price for the job and the amount that has been invoiced to this
point. He has reached an agreement with the customer regarding fixed pricing for the job.
To manage fixed pricing in jobs
2. Select the Guildford job number, and then choose the Jobs Task Lines action.
3. Select line 1120, and in the Budget (Total Cost) field, right-click the amount and choose DrillDown .
By reviewing the Job Planning lines, Prakash determines that he will also need Tricia for 30 hours for this
stage of the project. He agrees on a fixed price with the customer.
4. On the Job Task Lines page, select line 1120, and then choose the Job Planning Lines action. Create a
planning line with the following information:
L IN E L IN E T Y P E TYPE N O. Q UA N T IT Y
1 Both Budget and Resource Tricia 30

Billable
Close the page.

5. In the Budget (Total Cost) field, right-click the field, and choose Drilldown again on the Job Task
Lines page. View the changes to the schedule. You see that 30 hours have been added to the schedule.
6. Close the pages.
After Tricia has been added to the schedule for this task line, she works 25 hours on the job. She enters these
hours into the job journal.
To enter hours in the Job Journal
2. On a new line, enter the following information:
Line Type : (blank)
Posting Date : (today's date)
Document No.: J00002
Job No.: Guildford
Job Task No.: 1120
Type : Resource
No.: Tricia
Quantity : 25
3. Choose the Post action.
A few days later, Tricia works for another 10 hours on the job. She has now worked 35 hours in all.
Because the agreement is for 30 hours with the customer, only five of these hours will be charged to the
customer. Tricia will manually add the additional five hours she worked to the schedule.
4. On the Job Journal page, choose the Calc. Remaining Usage action.
5. On the Job Calc. Remaining Usage page, on the Options FastTab, enter the following information:
Document No.: J00003
Posting Date : (today's date)
6. On the Job Task FastTab, enter the following information:
Job No.: Guildford
Job Task No.: 1120
7. Choose the OK button to run the calculation.
There are five hours of work remaining for Tricia. The Line Type field is blank, which indicates that only
the usage remains to be posted because the work has already been scheduled.
8. In the Job Journal , create a new line with the following information. Make sure that both job numbers
are sequential with those that you have already used:
Line Type : Budget
Job No.: Guildford
Job Task No.: 1120
Type : Resource
No.: Tricia
Quantity : 5
By using the Budget line type, there are updates to the scheduled costs and prices, but no updates to the
contract costs and prices that are invoiced to the customer.
9. Choose the Post action. Choose the OK button to close the page.
10. Open the Jobs list.
11. Select the GUILDFORD job, and then, in the Job Task Lines section, select line 1120 and in the Budget
(Total Cost) field, right-click the amount. Choose DrillDown to view the information.
Changes are automatically entered on the line for Job Task No. 1120. In the total cost of scheduled work,
five additional hours of work by Tricia has been added to the schedule.
12. Choose the Close button to close the page.
13. Right-click the amount in the Contract (Total Cost) field and choose DrillDown to view the
information.
In the total price for the contract, only the original contracted 30 hours are included, because this is what was
agreed upon with the customer.
Copying Jobs
Prakash has reached an agreement with a customer, Selagorian Ltd, to set up 10 conference rooms. The
agreement resembles an earlier job. Therefore, it will save time to copy that earlier job.
On the Copy Job page, you can select the job and task lines that you want to copy. You can also select to copy
the source job ledger entries, which creates planning lines based on actual usage, or you can copy the source job
planning lines, which copies the original planning lines to the new job. You can then choose what planning line
or ledger entry line type that you want to include, selecting only what is relevant to this new job. Finally, you can
select the job that you want to copy to and define whether prices and quantities should be copied as well.
To copy a job
2. Choose the New action to create a new job. Enter the following information:
Description : Setting up 10 Conference Rooms
Bill-To Customer No.: 20000
3. Choose the Copy Job Tasks from action.
4. On the Copy Job Tasks page, enter the following:
Job No.: Guildford
Job Task No. From : 1000
Source : Job Planning Lines
Incl. Planning Line Type : Budget + Billable
To Job No.: GuildfordSetting up 10 Conference Rooms
Select the Copy Dimensions and Copy Quantity fields.
5. Choose the OK button to copy the job, and then choose the OK button to close the confirmation page.
By comparing prices, job task lines, and job planning lines for the two jobs, you can see that the information was
successfully copied.
Making Payments by Installments

CRONUS has just landed a large project that will take a year to be completed. Because it requires the dedication
of many resources, the project manager sets up the contract so that the customer pays part of the price up front,
part when the project is halfway completed, and the final payment upon completion.
To set up a new account
1. Choose the icon, enter Char t of Accounts , and then choose the related link.
2. On the Char t of Accounts page, choose the New action to create a new card.
3. On the New G/L Account card, enter the following information:
No.: 40255
Name : Job Payment
4. On the Posting FastTab, in the Gen. Prod. Posting Group field, select Ser vices . Close the page.
5. On the Char t of Accounts page, select No. 40255 Job Payment , and then choose the Indent Char t
of Accounts action. Choose Yes to confirm.
The following procedures show how to create a new job, set pricing, and then set up payment by installment. In
the job task lines, you can create specific lines dedicated to the payment by installments. All work completed on
the job that is added to the schedule will be entered on the usage lines. For each payment task line on the
planning lines, the line type is Billable , which means that the customer will be invoiced. Enter a new line for the
down payment. On the usage task line, you can enter the information for the items and resources that have
been used in this project, which will increase the schedule, such as employee hours and items used on the job.
To make a payment by installment
1. Create a new job.
2. On the new Job card, fill in the following information:
Description : Redecoration of Reception Area
Bill-to-Customer No.: 30000
Job Posting Group : Setting up
WIP Method : Cost Value
3. On the job card, choose the Prices action, and then choose the Resource action. Enter the following
information:
Code : Tricia
Unit Price : 10
Close the page.
4. On the Job card, in the Tasks section, add job task lines as described in the following table:
L IN E JO B TA SK N O. DESC RIP T IO N JO B TA SK T Y P E
1 1000 Payment-Down Payment Posting
2 2000 Usage Posting
3 3000 Payment - Midway Posting
4 4000 Payment - Completion Posting
5. Choose task 1000, and then choose the Job Planning Lines action.
6. Create a planning line with the following information:
P L A N N IN G
1 Billable (today's G/L Account 40255 1 5000

date)
Close the page.

P L A N N IN G
L IN E L IN E T Y P E DAT E TYPE N O. Q UA N T IT Y
1 Budget (today's date) Resource Tricia 120
2 Budget (today's date) Item 70104 10
Close the page. On the Job Task Lines page, you can see the schedule amounts have been updated.
P L A N N IN G
1 Billable (a future G/L Account 40255 1 5000

date)
Close the page.

11. Create a similar planning line entry for job task 4000.
Now that the task and planning lines have been entered, Prakash creates an invoice for the first payment. He
does this from the job task lines to make sure that the invoice only contains the lines for the first payment. You
can open the sales order from the planning lines or the task lines.
To create an invoice
1. On the Job Task Lines page, select line 1000, and then choose the Create Sales Invoice action.
2. On the Create Sales Invoice page, set today's date as the posting date, specify Per Task , and choose the
OK button to create an invoice with the default information. Choose the OK button to close the confirmation
page.
3. Choose the Sales Invoice/Credit Memo action. On the sales invoice, you can see that only the down
payment is included in the invoice. You can now send this to the customer as agreed.
Next Steps
This walkthrough has taken you through some of the basic steps of working with jobs in Business Central. You
have learned about how to create a new job, how to copy a job, and how to handle payments. Also, you have
seen a demonstration of how to track hours and create invoices.

See also
Setting Up Project Management
Use Resources
Monitor Progress and Performance
Invoice Jobs
Walkthrough: Calculating Work in Process for a Job
With jobs, you can schedule the usage of your company's resources and keep track of the various costs
associated with the usage of resources on a specific project. Jobs involve the consumption of employee hours,
machine hours, inventory items, and other types of usage that have to be tracked as a job progresses. If a job
runs over a long period, you may want to transfer these costs to a Work in Process (WIP) account on the balance
sheet while the job is being completed. You can then recognize the costs and sales in your income statement
accounts when it is appropriate.

Calculating WIP.
Selecting a WIP calculation method.
Excluding part of a job from the WIP.
Posting the WIP to the general ledger.
Reversing a WIP posting.
Each step of the process calculates the value and moves the job transactions to the general ledger. The
calculation and posting steps are separated to help you review your data and to make modifications before
posting to the general ledger. Therefore, you should make sure that all information is correct after you run the
calculation batch jobs and before you run the posting batch jobs.
Roles
This walkthrough uses the project team member (Tricia) as the persona.
Prerequisites
Before you can perform the tasks in the walkthrough, the Business Central must be installed on your computer.
Story
This walkthrough focuses on CRONUS International Ltd., a design and consultancy firm that designs and fits
new infrastructures, such as conference halls and offices, with furniture, accessories, and storage units. Most of
the work at CRONUS is project-oriented and Tricia, a project team member, uses jobs to have an overview of
each ongoing job that CRONUS has started and also the jobs that are completed. Some of the jobs can be very
lengthy and can run over months. Tricia can use a WIP account to record the work in process and to track the
costs throughout the job.
Calculating WIP
CRONUS has taken on a lengthy project that has now extended across reporting periods. Tricia, a project team
member, calculates the work in process (WIP) to make sure that the financial statement of the company will be
accurate.
During this procedure, Tricia will select a specific group of tasks that will be included in the WIP calculation. On
the Job Task Lines page, she can specify these lines in the WIP-Total column.
The following table describes the three options.
F IEL D DESC RIP T IO N
<blank> Leave blank if the job task is a part of a group of tasks.
Total Defines the range or group of tasks that are included in the
WIP and recognition calculation. Within the group, any job
task with Job Task Type set to Posting will be included in
the WIP Total, unless its WIP-Total field is set to Excluded .
Excluded Applies only to a task with Job Task Type of Posting . The
task is not included when WIP and recognition are
calculated.
In the following walkthrough, Tricia applies the Cost Value method, her company standard, to calculate WIP. She
specifies what part of the job will be included in the WIP calculation by assigning WIP-Total values to various job
task lines.
To calculate WIP
2. In the Jobs list, select the Deerfield job, and then choose the Edit action. This will open the job card in
edit mode.
WIP can be calculated based on Cost Value, Sales Value, Cost of Sales, Percentage of Completion, or
Completed Contract. In this example, CRONUS uses the Cost Value method.
3. On the Posting FastTab, choose the WIP Method field, and then select Cost Value .
4. Choose the Job Task Lines action and set the following values in the WIP-Total field.
The following table describes the values.
JO B TA SK N O. W IP - TOTA L F IEL D
1130 Excluded
1190 Total
1210 Excluded
1310 Excluded
5. Choose the WIP action, and then choose the Calculate WIP action.
6. On the Job Calculate WIP page, you can select a job that you want to calculate WIP. On the Job FastTab,
select Deerfield in the No. field.
7. In the Posting Date field, enter a date that is later than the work date.
8. In the Document No. field, enter 1 . This creates a document that you can refer to later for traceability.
9. Choose the OK button to run the batch job. A message is displayed. Choose the OK button to continue.
Close the Job Task Lines page.
NOTE
The message states that there are warnings associated with the WIP calculation. You will review the warnings in
the next procedure.
10. On the Job card, expand the WIP and Recognition FastTab to see the calculated values. You can also see
the WIP Posting Date and the values that have been posted to the general ledger, if any.
Notice that the value for Recog. Costs Amount is 215.60 in the To Post column. This reflects the total costs of
two of the items in the group of job tasks 1110 – 1130. The third item was set to Excluded , and therefore is not
included in the WIP calculation.
To review WIP warnings
1. Choose the icon, enter Job WIP Cockpit , and then choose the related link.
2. Select the Deerfield job, and then choose the Show Warnings action.
3. On the Job WIP Warnings page, review the warning associated with the job.
After the accounting period ends, Tricia has to recalculate the WIP to include completed work to this point.
To recalculate WIP
1. On the Job card, choose the WIP Entries action to view the WIP calculation.
The Job WIP Entries page shows the WIP entries that were last calculated on a job, even if WIP has not
yet been posted to the general ledger.
2. You can follow the steps in the procedure that explains how to calculate WIP to recalculate WIP. Every
time WIP is calculated, an entry is created on the Job WIP Entries page.
3. Close the page.
NOTE
Work in Process and Recognition is only calculated. It is not posted to the general ledger. To do so, you must run Post
WIP to G/L batch job after you have calculated the WIP and Recognition.
Posting WIP to General Ledger

Now that Tricia has calculated WIP for this job, she can post it to the general ledger.
To post WIP to general ledger
1. From the Jobs list, select the Deerfield job.
2. Choose the WIP action, and then choose the Post WIP to G/L action.
3. On the Job Post WIP to G/L page, on the Job FastTab, select Deerfield in the No. field.
4. On the Options FastTab, in the Reversal Document No. field, enter 1 .
5. Choose the OK button to post WIP to the general ledger.
6. Choose the OK button to close the confirmation page.
After you have completed the posting, you can view the posting information on the WIP G/L Entries
page.
7. In the Jobs list, select the Deerfield job, and then choose the WIP G/L Entries action.
On the Job WIP G/L Entries page, verify that the WIP has been posted to the general ledger.
8. Close the page.
9. Open the Job card for the Deerfield job.
10. On the WIP and Recognition FastTab, notice that in the Posted column, the Recog. Costs G/L
Amount field is now filled in, which indicates that WIP was posted to the general ledger successfully.
11. Choose the OK button to close the card.
Reversing a WIP Posting

Tricia determines that the job tasks that were excluded from the calculation of WIP should have been calculated
in WIP. She can reverse the incorrect postings without having to post new WIP postings.
To reverse a WIP posting
1. From the Jobs list, select the Deerfield job.
2. Choose the WIP action, and then choose the Post WIP to G/L action.
3. On the Job Post to WIP to G/L page, on the Job FastTab, select Deerfield in the No. field.
4. On the Options FastTab, in the Reversal Document No. field, enter 1 .
5. In the Reversal Posting Date field, enter the original posting date. It should be the same date that you
used to calculate WIP the first time.
6. Select the Reverse Only check box. This will reverse previously posted WIP, but does post new WIP to
the general ledger.
7. Choose the OK button to run the batch job, and choose the OK button to close the confirmation page.
8. Open the Job card for Deerfield .
9. On the WIP and Recognition FastTab, verify that there are no posted WIP entries.
10. Close this page.
11. In the Jobs list, select the Deerfield job, choose the WIP action, and then choose the WIP G/L Entries
action. The WIP entries have the Reversed check box selected.
12. Close this page.
13. Open Job Task Lines for the job, include the parts of the job that should be in the WIP calculation, and
then recalculate and post the new value to the general ledger.
NOTE
Suppose Tricia calculated and posted WIP for a job with incorrect dates. Following the method that was discussed
earlier, she can reverse the incorrect postings, correct the dates, and repost to the general ledger.
Next Steps
This walkthrough has taken you through the steps of calculating WIP in Business Central. In larger jobs, it may
be useful to transfer the costs to a WIP account periodically while the job is being completed. This walkthrough
has shown you how to exclude task lines from a calculation. It also shows you when you would have to
recalculate. And finally, this walkthrough demonstrates how to post the WIP to the general ledger. An example of
how to reverse a WIP posting to the general ledger is also included.
See Also
Walkthrough: Managing Projects with Jobs
Understanding WIP Methods
Monitor Progress and Performance
Walkthrough: Picking and Shipping in Basic
Warehouse Configurations
In Business Central, the outbound processes for picking and shipping can be performed in four ways using
different functionalities depending on the warehouse complexity level.
C O M P L EXIT Y
L EVEL ( SEE
DESIGN DETA IL S:
IN B O UN D WA REH O USE
M ET H O D P RO C ESS B IN S P IC K S SH IP M EN T S SET UP )
A Post pick and X 2

shipment from
the order line
B Post pick and X 3

shipment from
an inventory
pick document
C Post pick and X 4/5/6

shipment from a
warehouse
shipment
document
D Post pick from a X X 4/5/6

warehouse pick
document and
post shipment
from a
warehouse
shipment
document
For more information, see Design Details: Outbound Warehouse Flow.

The following walkthrough demonstrates method B in the previous table.

In basic warehouse configurations where your location is set up to require pick processing but not ship
processing, you use the Inventor y Pick page to record and post pick and ship information for your outbound
source documents. The outbound source document can be a sales order, purchase return order, outbound
transfer order, or a production order with component need.
Setting up SOUTH location for inventory picks.
Creating a sales order for customer 10000 for 30 Amsterdam Lamps.
Releasing the sales order for warehouse handling.
Creating an inventory pick based on a released source document.
Registering the warehouse movement from the warehouse and at the same time posting the sales shipment
for the source sales order.
Roles
Warehouse Manager
Order Processor
Warehouse Worker
Story
Ellen, the warehouse manager at CRONUS, sets up SOUTH warehouse for basic pick handling where warehouse
workers process outbound orders individually. Susan, the order processor, creates a sales order for 30 units of
item 1928-S to be shipped to customer 10000 from the SOUTH Warehouse. John, the warehouse worker must
make sure that the shipment is prepared and delivered to the customer. John manages all involved tasks on the
Inventor y Pick page, which automatically points to the bins where 1928-S is stored.
Setting Up the Location

The setup of the Location Card page defines the company's warehouse flows. Use the Locations card to set up
a location with the code name SOUTH.
To set up the location SOUTH
1. Choose the icon, enter Locations , and then choose the related link.
2. Create a location card named SOUTH.
3. On the Warehouse FastTab, select both the Require Pick and Bin Mandator y fields.
4. Next, you must add posting setup in the Inventor y Posting Setup page for location SOUTH with
Inventor y Posting Group Code RESALE. For more information see Set Up Locations.
Setting Up the Bin Codes
Once you have the location set up, you must add two bins.
To setup the bin codes
1. Select the Bins action.
2. Create two bins, with the codes S-01-0001 and S-01-0002.
Making Yourself a Warehouse Employee at Location SOUTH
In order to use this functionality, you must add yourself to the location as a warehouse worker.
To make yourself a warehouse employee
1. Choose the icon, enter Warehouse Employees , and then choose the related link.
2. Choose the User ID field, and select your own user account on the Warehouse Employees page.
3. In the Location Code field, choose SOUTH.
4. Select the Default field, and then select the Yes button.
Making Item 1928-S Available
To make item 1928-S available at the SOUTH location follow these steps:
1. Choose the icon, enter Item Journals , and then choose the related link.
2. Open the default journal, and then create two item journal lines with the following information about the
work date (January 23).
EN T RY T Y P E IT EM N UM B ER LO C AT IO N C O DE B IN C O DE Q UA N T IT Y
Positive Adjmt. 1928-S SOUTH S-01-0001 20
By default, the Bin Code field on the sales lines are hidden, so you must display it. To do this you need to
personalize the page. For more information, see To start personalizing a page through the Personalizing
banner.
3. Choose Actions , then Posting , and then choose Post .
4. Select the Yes button.
Creating the Sales Order

Sales orders are the most common type of outbound source document.
To create the sales order
3. Create a sales order for customer 10000 on the work date (January 23) with the following sales order
line.
IT EM LO C AT IO N C O DE Q UA N T IT Y
1928-S SOUTH 30
Proceed to notify the warehouse that the sales order is ready for warehouse handling.
4. Choose the Release action.
John proceeds to pick and ship the sold items.
Picking and Shipping Items

On the Inventor y Pick page, you can manage all outbound warehouse activities for a specific source
document, such as a sales order. Hover over a field to read a short description.
To pick and ship items
1. Choose the icon, enter Inventor y Picks , and then choose the related link.
Make sure that the No. field on the General FastTab is filled in.
3. Select the Source Document field, and then select Sales Order .
4. Select the Source No. field, select the line for the sale to customer 10000, and then choose the OK
button.
Alternatively, choose the Get Source Document action, and then select the sales order.
5. Choose the Autofill Qty. to Handle action.
Alternatively, in the Qty. to Handle field, enter 10 and 20 respectively on the two inventory pick lines.
6. Choose the Post action, select Ship , and then choose the OK button.
The 30 Amsterdam Lamps are now registered as picked from bins S-01-0001 and S-01-0002, and a
negative item ledger entry is created reflecting the posted sales shipment.

See also
Pick for Production or Assembly
Walkthrough: Making Cash Flow Forecasts by Using
Account Schedules
This walkthrough describes how you can use account schedules to make cash flow forecasts. Account schedules
perform calculations that cannot be done directly in the chart of cash flow accounts. In the account schedules,
you can set up subtotals for cash flow receipts and disbursements. These subtotals can be included in new totals
that can then be used in making cash flow forecasts.

This walkthrough describes the following tasks:
Setting up a new cash flow account schedule name.
Setting up account schedule lines.
Setting up a new column layout.
Assigning a column layout to an account schedule.
Viewing and printing the cash flow forecast.
Prerequisites
To complete this walkthrough, you will need:
Business Central
The cash flow worksheet lines are registered
Roles
This walkthrough demonstrates tasks that are performed by the following user role:
Controller
Story
Ken is a controller at CRONUS who makes monthly cash flow forecasts. He includes finance, sales, purchase, and
fixed assets in the forecast, and then he presents it to CFO Sara for business insight.
Setting Up a New Account Schedule Name

An account schedule consists of a cash flow account schedule name with a series of lines and a column layout.
To set up a new account schedule name
1. Choose the icon, enter Account Schedules , and then choose the related link.
2. On the Account Schedule Names page, choose the New to create a new cash flow account schedule
name.
3. In the Name field, enter Forecast .
4. In the Description field, enter Cash Flow Forecast .
5. Leave the Default Column Layout and Analysis View Name fields blank.
Setting Up Account Schedule Lines

After an account schedule name is set up, Ken defines each line that appears in the cash flow account schedule.
Ken defines lines that can be shown in reports in addition to lines that are only for calculation purposes.
To set up account schedule lines
1. On the Account Schedule Names page, select the new Forecast account schedule name that you have
created, and then choose the Edit Account Schedule action.
2. On the Account Schedule page, enter each line as shown in the following table.
TIP
Using the Inser t CF Accounts function, you can quickly mark the cash flow accounts from the chart of cash flow
accounts and copy them to account schedule lines.
DESC RIP T IO TOTA L IN G A M O UN T

RO W N O. N TYPE TOTA L IN G RO W T Y P E TYPE SH O W
R10 Open sales Cash Flow 20 Net Change Net Amount Yes
orders Entry
Accounts
R10 Rentals Cash Flow 30 Net Change Net Amount Yes

Entry
Accounts
R10 Financial Cash Flow 40 Net Change Net Amount Yes

assets Entry
Accounts
R10 Fixed assets Cash Flow 50 Net Change Net Amount Yes
disposal Entry
Accounts
R10 Private Cash Flow 60 Net Change Net Amount Yes

investments Entry
Accounts
R10 Miscellaneou Cash Flow 70 Net Change Net Amount Yes

s receipts Entry
Accounts
R10 Open Cash Flow 80 Net Change Net Amount Yes

service Entry
orders Accounts
R20 Total Cash Formula R10 Net Change Net Amount Yes
Receipts
Receipts
R30 Payables Cash Flow 1010 Net Change Net Amount Yes
Entry
Accounts
purchase Entry
orders Accounts
R30 Personnel Cash Flow 1030 Net Change Net Amount Yes
costs Entry
Accounts
R30 Running Cash Flow 1040 Net Change Net Amount Yes
costs Entry
Accounts
R30 Finance Cash Flow 1050 Net Change Net Amount Yes
costs Entry
Accounts
R30 Investments Cash Flow 1070 Net Change Net Amount Yes
Entry
Accounts
consumptio Entry
ns Accounts
R30 VAT due Cash Flow 1100 Net Change Net Amount Yes
Entry
Accounts
R30 Other Cash Flow 1110 Net Change Net Amount Yes
expenses Entry
Accounts
R40 Total cash Formula R30 Net Change Net Amount Yes
disbursemen
ts
R50 Surplus Formula R20+R40 Net Change Net Amount Yes
R60 Cash Flow Cash Flow 2100 Net Change Net Amount Yes
Funds Entry
Accounts
R70 Total Cash Formula R50+R60 Net Change Net Amount Yes
Flow
NOTE
The row number R10 is used to capture the account totals for receivables. The row number R20 is used to
calculate the sum of all cash receipts. The row number R30 is used to capture the account totals for payables. The
row number R40 is used to calculate the sum of all cash disbursements. The row number R50 is used to capture
the sum of cash surplus. The row number R60 is used to capture the liquid funds. The row number R70 is used to
calculate the forecasted cash flow.
Setting Up a New Column Layout
Before Ken can print the cash flow forecast, he needs to create the column layout for the numerical information.
In the columns, he defines the information that he wants to use from the lines.
The first column has the number C10 with the title Amount and contains the net change.
The second column has the number C20 with the title Balance at Date and contains the transactions for the
period.
The third column has the number C30 with the title Entire Year and contains the net change in the balances
for the entire fiscal year.
Finally, he assigns the column layout as the default column layout for the account schedule Forecast .
To set up a new column layout

1. In the Account Schedule Names window, select the new Forecast account schedule name that you
have created. On the Home tab, in the Process group, choose Edit Column Layout Setup .
TIP
You can find the same action in the Account Schedule page if you are still editing the Forecast account
schedule there.
2. Create a new column layout with the name Cash Flow .

4. Enter each line exactly as shown in the following table.
C O L UM N L EDGER EN T RY
C O L UM N N O. H EA DER C O L UM N T Y P E TYPE A M O UN T T Y P E SH O W
C10 Amount Net Change Entries Net Amount Always
C20 Amount until Balance at Date Entries Net Amount Always

Date
C30 Entire Fiscal Entire Fiscal Entries Net Amount Always

Year Year
Assigning the Column Layout to the Account Schedule Name

Ken is now ready to assign the column layout to the account schedule name.
To assign the column layout to the account schedule name
1. In the Account Schedule page where you're working with the Forecast account schedule, choose the Edit
Column Layout Setup action.
2. In the Column Layout Name field, choose the column layout Cash Flow to assign as the default column
layout.
To view and print the cash flow forecast
1. On the Account Schedule Names page, choose the Over view action to view the cash flow forecast.
2. On the Acc. Schedule Over view page, you can select an amount and then view the cash flow forecast
entries that make up the amount. In addition, you can view the formula that is used to calculate the amount.
You can also filter the amounts by date and dimension.
3. Choose the Print action to print the cash flow forecast.

See also
Analyzing Cash Flow in Your Company
Contoso Coffee is a fictitious company that produces consumer and commercial coffee makers. The Contoso
Coffee apps for Business Central add demo data that you can use to learn how to use the manufacturing
capabilities in Business Central.
The app provides four products that are optimized for different scenarios:
SP-SCM1009 Airpot
This product is a bill of material (BOM) with a subassembly, Routing . Use it to demonstrate the standard
production flow. It's set up with alternative routings that you can use to demonstrate various scenarios
that involve subcontractors. The costing method is Standard.
SP-SCM1011 Airpot Duo
This product requires item tracking and has a component that also requires item tracking. The costing
method is Special.
SP-SCM1004 Autodrip
This product is a BOM with a subassembly, Routing . We recommend it to demonstrate the various
flushing methods both for components and operations. The costing method is Standard.
SP-SCM1008 AutoDripLite
This product has three variants and three bills of material (BOMs) that can be assigned to stockkeeping
units. The product uses the phantom BOM concept. The costing method is Standard.
The manufacturing activities for all scenarios use the NORTH location.
IMPORTANT
Before you run any of the scenarios for Contoso Coffee, post any item journal lines with opening balances. For more
requirements, see the Set up Contoso Coffee data section.
Set up Contoso Coffee data

To use the Contoso Coffee demo data, you must install two apps in the relevant company in Business Central:
Contoso Coffee Demo Dataset
This app delivers demo data for the base application.
Contoso Coffee Demo Dataset (countr y ID)
This app adds country-specific content on top of the base application.
Add the apps to an empty company in a paid subscription or as part of a trial. For example, create a new
company with no sample data from the Create New Company assisted setup guide that you can open from
the Companies list. Then add the apps from the marketplace if they are not already listed in the Extension
Management page.
Once the relevant apps are installed, go to the Contoso Coffee Demo Data page in Business Central, and change
the default settings to suit your needs. The following tables describes the settings:
Star ting Year Specifies the first year that you you want to use for the
Contoso Coffee demonstration data. Depending on the
company setup, the year is either a calendar year or a fiscal
year.
Manufacturing Location Specifies the warehouse that you want to use for production
operations. The default is NORTH, but you can change it to
suit your needs.
Company Type Specifies if the current company must report VAT or sales
tax.
Domestic - General Business Posting Group Specifies a business code for domestic customers and
vendors. The business codes are used when transactions are
posted.
Capacity - General Product Posting Group Specifies a code for items or resources that must be used for
posting capacity.
Retail - General Product Posting Group Specifies a code for items or resources that must be used for
posting retail.
Raw - General Product Posting Group Specifies a code for items or resources that must be used for
posting raw material.
Base VAT Code Specifies an existing VAT product group that will be used for
items.
Finished Code Specifies an existing product group that will be used for
finished items.
Price Factor Specifies a factor to convert a price from USD/EUR to the

local currency. 1 means that the price is the same amount in
any currency. A higher number will be used to get the price
in the local currency.
Rounding Precision Defines how calculated consumption quantities are rounded

when entered on consumption journal lines. Quantities less
than 0.5 will be rounded down. Quantities equal to or
greater than 0.5 will be rounded up.
Once you're ready, choose the Create Demo Data action. It takes a few minutes to add the data to the
underlying database, but then you're ready to run the various scenarios.
Scenarios
The Contoso Coffee demo data currently supports the following scenarios for test and training:
1. Create a New Production BOM and BOM Version
2. Create a New Routing
3. Create a Firm Planned Production Order and Change It
4. Combine Automatic and Manual Flushing
5. Use Order Planning to Create and Reserve Supply
6. Set Up and Process a Subcontracting Operation
7. Set Up New Capacity
8. Forecast demand for item variants with different BOMs assigned
Read the steps for each scenario in the relevant article.
IMPORTANT
These walkthroughs require that the user experience is set to Premium in the Company Information page.
See also
Manufacturing
Production Reports and Analytics in Business Central
Walkthrough: Create a New Production BOM and
BOM Version
In this article, we take you through the steps to use the Contoso Coffee demo data to work with bills of material
(BOM) in production processes.
Scenario
Contoso Coffee has decided to add another coffee maker to their product line: SP-SCM1008 Airpot Lite . This
coffee maker is identical to the existing item SP-SCM1009 Airpot , except that it does not include the warming
plate, SP-BOM1104 . In a separate step, the on/off light, SP-BOM1106 is removed for a version of the Airpot
Lite BOM.
Oscar, the process engineer at Contoso Coffee, must set up a new production BOM to define the initial
component requirements for the Airpot Lite. He must then set up a new BOM version, with a start date of July
01, to align with further plans on releasing another edition.
Steps
1. Create a new production BOM for the Airpot Lite.
a. Choose the icon, enter production BOM , and then choose the related link.
b. Choose the New action, and then fill in the fields as described in the following table.
F IEL D VA L UE
No. SP-SCM1008
Description Airpot Lite
Unit of Measure Code PCS
2. Copy the BOM components from production BOM SP-SCM1009 .

a. Choose the Copy BOM action.
b. In the Production BOMs page, choose the line for SP-SCM1009, Airpot , and then choose the
OK button.
3. Change the components for the new production BOM as described in the scenario.
a. On the Lines FastTab, select the line for the item SP-BOM1104 , and then choose the Delete Line
action.
4. Certify the new BOM.
a. In the Status field, choose Certified.
5. Create a production BOM version for the Airpot Lite.
a. Choose the Versions action.
b. On the Prod. BOM Version List page, choose the New action, and then fill in the fields as
described in the following table.
F IEL D VA L UE
Versions Code 02
Description Airpot Lite, v2
Unit of Measure Code PCS
Star ting Date July 01
6. Copy the component lines from the production BOM into the new BOM version.
a. Choose the Copy BOM action, and then choose the Yes button to copy the components from the
original production BOM.
7. Remove the item SP-BOM1106, On/off light from the version components.
8. Certify the new BOM version.
a. In the Status field, choose Certified.
b. Close the BOM Version
The new coffee maker is now set up as a production BOM with one version.
See also
Walkthrough: Create a New Routing
In this article, we take you through the steps to use the Contoso Coffee demo data to manually set up a new
production routing in Business Central.
Scenario
Oscar, the process engineer, at Contoso Coffee, decides to create a new routing with the name New Path.
Because this routing is unlike any other routing at Contoso Coffee, he must manually enter all of the information
for the routing.
Steps
1. Create the routing header.
a. Choose the icon, enter routings , and then choose the related link.
F IEL D VA L UE
No. 1099
Description New Path
2. Create the routing lines.

a. On the Lines FastTab, add a new line, and then fill in the fields as described in the following table.
F IEL D VA L UE
Operation No. 10
Type Work Center
No. 100
Setup Time 20
Run Time 15
b. Add a new line, and then fill in the fields as described in the following table.
F IEL D VA L UE
Operation No. 20
Type Work Center
No. 200
F IEL D VA L UE
Setup Time 30
Run Time 5
3. Certify the routing.

1.In the Status field, choose Certified.
The new routing is now set up.
See also
Walkthrough: Create a Firm Planned Production
Order and Change It
In this article, we take you through the steps to use the Contoso Coffee demo data to work with production
orders.
Scenario
Eduardo, the production planner at Contoso Coffee, must create a new production order for 10 units of the item
SP-SCM1009, Airpot that must be due on April 28. He backward schedules this and confirms that he can start
the order on April 27.
Shortly after he finishes this task, he is asked to increase the order to 50 units. When he does this, the backward
scheduling functionality pushes the order start date too early. So he forward schedules the order from April 23
in order to determine a more realistic finish date.
Steps
1. Create the initial production order for 10 units of the item SP-SCM1009, Airpot .
a. Choose the icon, enter firm planned prod. orders , and then choose the related link.
F IEL D VA L UE
Source Type Item
Source No. SP-SCM1009
Quantity 10
Due Date April 28
c. Choose the Refresh Production Order action.

d. On the Refresh Production Order page, accept all defaults, and then choose the OK button to
start the process.
In the current setup, this process uses backwards scheduling. In the new line on the production
order, the starting date is April 26.
2. Change the production order's quantity to 50 units and schedule the order.
a. On the Lines FastTab of the Production BOM , select the recently added line, and then, in the
Quantity field, enter 50.
3. Choose the Refresh Production Order action.
The start date has now been pushed back to April 20. This is not an acceptable date for Eduardo.
4. Trigger a forward scheduling of the production order.
a. On the Schedule FastTab, set the Star ting Date field to April 23.
The starting for the order is now April 25, and the ending date is May 2. The due date for the order is set
one day later, May 3. Eduardo now knows that it will take until May 3 to deliver the increased order.
NOTE
Scheduling an order by changing its starting or ending date does not require the Refresh Production Order batch job
because all dates recalculate automatically.
The new production order is now set up, and Eduardo's requirements are met.
See also
Walkthrough: Combine Automatic and Manual
Flushing
In this article, we take you through the steps to use the Contoso Coffee demo data in flushing.
Scenario
You are the production planner at Contoso Coffee. You must create a new production order for ten units of item
SP-SCM1004, AutoDrip. Some components and operations will be forward flushed, others backward flushed
based on different conditions.
Steps
[Note!] Remember to adjust inventory by posting Item Journal with opening balances.
1. Create a firm planned production order for five units of the item SP-SCM1004, AutoDrip on NORTH
location. For guidance, see Walkthrough: Create a Firm Planned Production Order and Change It.
2. Release the production order.
a. Choose the Change Status action.
b. In the page that appears, set the New Status field to Released, and then choose the Yes button.
A message that has a status bar appears and references automatic consumption. This is followed
by a confirmation message that the order is changed to have the status Released.
c. Choose the OK button to close the confirmation message.
3. Review the item and capacity ledger entries for the production order.
a. Choose the icon, enter Released Production Order , and then choose the related link.
b. Open the production order with the 5 units of the AutoDrip coffee machine.
c. Choose the Item Ledger Entries action.
The item SP-BOM1305 Screw Hex M3 Zink is flushed immediately with the full expected
quantity. Close the Item Ledger Entries page.
d. Choose the Capacity Ledger Entries action. Note that a body assembly operations entry was
also completed at moment when order was released. Close the Capacity Ledger Entries
window.
You can manually flush component items by using the consumption or production journal. Manual
flushing allows you to adjust quantity before posting. For example, if additional quantity is needed to
cover low quality raw materials.
4. Flush components manually.
a. Choose the icon, enter Consumption Journal , and then choose the related link.
b. Choose the Calc. Consumption action.
c. In the Calc. Consumption request page, on the Production Order FastTab, define a filter for the
specific order in the Order No. field, and then choose the OK button. After the batch job request
page closes, notice that the Consumption Journal page populates with the components that
require manual consumption.
d. Choose Post action. Close the consumption journal.
5. Manually register output for electrical wiring.
You must manually fill in the Setup Time and Run Time fields. You can also specify the actually
produced quantity and scrap. Enter 3 as the output quantity and post the output.
a. Choose the icon, enter Output Journal , and then choose the related link.
b. In the Output Journal page, create a new journal line.
c. In the Order No. field, specify the order.
d. Choose the Explode Routing action.
The Output Journal page populates with the operation line only for electrical wiring.
e. Set the Run Time field to 10.
f. Change the Quantity field from 5 to 3.
g. Choose Post .
h. Close the output journal.
6. Review the item ledger entries for the production order.
a. In the page for the production order, choose the Item Ledger Entries action.
The item SP-BOM1302, Control panel display is posted with a quantity of 3, based on the actual
output, while SP-BOM1303, Button is posted with the full expected quantity. Close the Item Ledger
Entries page.
7. Finish the production order.
a. Choose the Change Status action.
b. In the page that appears, set the New Status field to Finished, and then choose the Yes button.
A message displays with a status bar that reflects the automatic consumption. This is followed by a
confirmation message that the order is changed to an order with the status Finished. The finished
production order has the same number as it had as with the status Released.
c. Choose the OK button to close the confirmation message.
8. Review the item and capacity ledger entries for the production order again.
a. Choose the Capacity Ledger Entries action.
The packing operations entry was completed at the moment when the order was released. The
produced (output) quantity is 5, regardless of the output of the previous step. Close the Capacity
Ledger Entries page.
b. Choose the Item Ledger Entries action.
The quantity in the item ledger entry of type Output is equal to the output quantity in the capacity
ledger entry. The consumed quantity of SP-BOM1301, Housing AutoDrip , and SP-BOM1304,
Stainless still thermal carafe is 5 for both because the expected output and the actual output
are the same.
c. Close the Item Ledger Entries page.
That's it for manual and automatic flushing of components.
See also
Flush Components According to Operation Output
Walkthrough: Use Order Planning to Create and
Reserve Supply
In this article, we take you through the steps to use the Contoso Coffee demo data in order planning.
Scenario
You are the production planner at Contoso Coffee. You created a production order for 100 units of the item SP-
SCM1009, Airpot , and you want to plan subassemblies for this order. You use order planning to create the
required production order for the supply. Because you are creating the production order to fulfill the
requirements of a specific order, you decide to reserve the output of the production order.
Steps
1. Create the new released production order for 100 units of item SP-SCM1009, Airpot .
F IEL D VA L UE
Source Type Item
Quantity 100

Note the number of the released production order.
2. Open the Order Planning page and calculate a new plan.
a. Choose the Planning action.
b. On the Order Planning page, choose the Calculate Plan action.
c. Scroll down to the demand line that represents the released production order that you created
earlier.
d. Expand the lines to view the details for the demand line. Confirm that it is a suggestion for a
production order of 100 units of item 1001.
3. Create a new production order for 100 units of item SP-BOM2000, Reser voir Assy., and reserve the
output of this production order on behalf of the related parent order.
a. Select the check box in the Reser ve field on the demand line for the 100 units of item SP-
BOM2000.
b. Choose the Make Orders action.
c. Set the Make Orders for field to The Active Line.
d. Set the Create Production Order field to Firm Planned.
e. Choose the OK button to create the production order.
f. On the Order Planning page, confirm that the demand line for the 100 units of item 1001 is
removed.
That's it for order planning in Business Central.
See also
Set up and Process a Subcontracting Operation
In this article, we take you through the steps to use the Contoso Coffee demo data in subcontracting.
Scenario
You are the production planner at Contoso Coffee. Due to capacity constraints, you plan to use a subcontractor
to produce the item SP-SCM1009, Airpot .
Here, you create a new released production order for 12 units of item SP-SCM1009, Airpot, using Routing - SP-
SCM1009-SUB-2. Use the subcontracting worksheet to generate a purchase order for the production, and then
finish the operation by receiving and invoicing the purchase order.
Steps
1. Create a new released production order for 12 units of item SP-SCM1009, Airpot.
F IEL D VA L UE
Source Type Item
Quantity 100

2. Replace the routing to SP-SCM1009-SUB-2 in the production order line, and then refresh the production
order but for routing only.
a. Add Production Routing No field to the Lines in the Released Production Order.
b. Change the Routing No. field from SP-SCM1009-SERIAL to SP-SCM1009-SUB-2.
d. On the Refresh Production Order request page, clear the Lines and Component Need fields
so that the task will run for Routing only, and then choose the OK button.
3. Use the subcontracting worksheet to generate a purchase order for the subcontracted operation on the
production order that you created in step 2.
a. Choose the icon, enter subcontracting worksheets , and then choose the related link.
b. Choose the Calculate Subcontracts action.
c. Select the Accept Action Message field for the new line.
d. Choose the Carr y Out Action Message action.
e. On the Carr y Out Action Msg. – Req. request page, accept all default values, and then choose
the OK button.
f. When the batch job finishes, choose the OK button to close the subcontracting worksheet.
4. Receive and invoice the purchase order.
a. Choose the icon, enter purchase orders , and then choose the related link.
b. On the Purchase Orders list, find the purchase order from the vendor 82000 Subcontractor.
c. In the Vendor Invoice No. field, enter 542349.
d. On the Lines FastTab, select the line, and then set the Direct Cost field to 18.
e. Choose the Post action.
f. On the request message, choose the Receive and Invoice option.
The output of item SP-SCM1009 Airpot is now registered.
See also
Walkthrough: Set Up New Capacity
In this article, we take you through the steps to use the Contoso Coffee demo data in how you manage capacity.
Scenario
You are the production planner at Contoso Coffee. In response to changes on the shop floor, you must set up a
new work center, Test Department. The new work center has one machine center, Testing. The new centers must
have a capacity calendar for a single shift from 08:00:00 AM to 4:00:00 PM, Monday to Friday.
Steps
1. Set up the work center.
a. Choose the icon, enter work centers , and then choose the related link.
F IEL D VA L UE
No. 700
Name Test Department
Work Center Group Code 1, Production department
Direct Unit Cost 3.25
Unit Cost Calculation Time
Flushing Method Manual
Gen. Prod. Posting Group NO VAT
Note that this selection depends on your accounting

setup and country.
Unit of Measure Code MINUTES
Capacity 1
Efficiency 90
Shop Calendar Code 1
In the Shop Calendar Code field, the setting 1 means one shift from Monday to Friday.
c. Close the work center card.
2. Set up the machine center.
a. Choose the icon, enter machine centers , and then choose the related link.
F IEL D VA L UE
No. 760
Name Testing
Work Center No. 700, Test department
Direct Unit Cost 3.25
Flushing Method Manual
Gen. Prod. Posting Group NO VAT
Note that this selection depends on your accounting

setup and country.
Capacity 1
Efficiency 90
c. Expand the Routing Setup FastTab, and then, in the Setup Time field, enter 10.
3. Calculate the machine center capacity calendar.
a. Choose the Calendar action.
b. In the Machine Center Calendar page, on the Matrix Options FastTab, set the View by field to
Month.
c. Choose the Show Matrix action.
d. On the Machine Center Calendar Matrix page, choose the Calculate action.
e. In the Calc. Machine Center Calendar page, on the Options FastTab, set the Star ting Date
field to January 01.
f. Set the Ending Date field to December 31.
g. On the Machine Center FastTab, in the No. filter field, select 760, Testing.
h. Choose the OK button. After the batch job finishes, it returns you to the Machine Center
Calendar Matrix page.
i. Choose the Refresh action.
j. On the line for machine center 760, Testing, drill down into the value in the January column.
On the Calendar Entries page, the daily capacity entries in the Capacity (Total) field are for 480 minutes. This
reflects one eight-hour shift for each work day. Also, the Capacity (Effective) field shows 432 minutes. This
reflects the 90 percent efficiency rate that you assigned to the machine center.
See also
Walkthrough: Variants
In this article, we take you through the steps to use the Contoso Coffee demo data to learn about variants.
Scenario
You are the production planner at Contoso Coffee. You must update the demand forecast for each variant of
item SP-SCM1006, AutoDripLite. Since they have different colors, you must make sure that the right bill of
material (BOM) is used for each variant. Run the planning worksheet to calculate supply.
Steps
1. Set up the stockkeeping units for item SP-SCM1006, AutoDripLite. Assign a BOM for SKU with the
variants RED and WHITE.
a. Choose the icon, enter items, and then choose the related link.
b. Open the item SP-SCM1006, AutoDripLite .
c. Choose the Create Stockkeeping Unit action.
d. Set the Create Per field to Location & Variant.
e. Set a filter for location to North, and then choose the OK button.
f. Choose the Stockkeeping Units action.
g. Update the production BOMs for the following stockkeeping units:
a. RED on NORTH, set SP-SCM1006-RED
b. WHITE on NORTH, set SP-SCM1006-WHITE
c. Keep Production BOM No. empty for BLACK on NORTH
2. Update Manufacturing Setup and respect demand forecast on locations and variants.
a. Choose the icon, enter manufacturing setup, and then choose the related link.
b. Switch on the Use forecast on location field.
c. Switch on the Use forecast on variant field.
d. Close the Manufacturing Setup window.
3. Create a new monthly demand forecast, AUTODRIP. Filter it by the item SP-SCM1006 and location
NORTH. Set demand for May for each variant.
a. Choose the icon, enter demand forecast, and then select the related link.
b. Create a new demand forecast with the name AUTODRIP.
c. Choose the Edit Demand Forecast action.
d. In the View by field, select Month.
e. In the Item Filter field select SP-SCM1006
f. Switch on the Use forecast on location field.
g. In the Location Filter field, select NORTH.
h. Switch on the Use forecast on variant field.
i. For each line updated values in the May column
a. RED on NORTH, set 100
b. WHITE on NORTH, set 200
c. BLACK on NORTH, set 300
j. Close Demand Forecast windows
4. Run MPS plan in May for created demand forecasts. Review components to see that item paint correlates
to variant.
a. Choose the icon, enter planning worksheet, and then choose the related link.
b. Choose the Calculate Regenerative Plan action.
c. Switch on the MPS field.
d. Switch off the MPS field.
e. In the Star ting Date field, select May,1
f. In the Ending Date field, select May, 31
g. In the Use Forecast field, select AUTODRIP
h. Choose the OK action.
i. For each created line, choose the Components action and review which paint is used.
See also
Application Design Details
The articles in this section contain detailed technical information about complex application features in Business
Central.
Design details content is aimed at implementers, developers, and super users who need deeper insight to
implement, customize, or set up the features in question.
TO SEE
Understand mechanisms in the costing engine, such as Design Details: Inventory Costing
costing method and cost adjustment, and which accounting
principles they are designed for.
Learn about how the Adjust Cost - Item Entries batch job Design Details: Posting Date on Adjustment Value Entry
identifies and assigns a posting date to the value entries that
the batch job is about to create.
Learn about the design for storing and posting dimensions, Design Details: Dimension Set Entries
including code examples on how to migrate and upgrade
dimension code.
Learn how the planning system works and how to adjust the Design Details: Supply Planning
algorithms to meet planning requirements in different
environments.
Learn about central principles behind advanced and basic Design Details: Warehouse Management
warehouse features and how they integrate with other
supply chain features.
Learn about historic and the current design of item tracking Design Details: Item Tracking
functionality and how it integrates with the reservation
system to include serial/lot numbers in availability
calculations.
Learn about the General Journal Posting Line feature. Design Details: General Journal Post Line
See Also
Planning
Managing Inventory Costs
Setting Up Complex Application Areas Using Best Practices
Start a free trial!

This documentation provides detailed technical insight to the concepts and principles that are used within the
Inventory Costing features in Business Central.
Inventory costing, also referred to as cost management, is concerned with recording and reporting business
operating costs.
In This Section
The costing method determines whether an actual or a budgeted value is capitalized and used in the cost
calculation. Together with the posting date and sequence, the costing method also influences how the cost flow
is recorded.
NOTE
You cannot change an item's costing method if item ledger entries exist for the item. For more information, see Design
Details: Change the Costing Method for Items.
The following methods are supported in Business Central:
C O ST IN G M ET H O D DESC RIP T IO N W H EN TO USE
FIFO An item's unit cost is the actual value In business environments where
of any receipt of the item, selected by product cost is stable.
the FIFO rule.
(When prices are rising, the balance
In inventory valuation, it is assumed sheet shows greater value. This means
that the first items placed in inventory that tax liabilities increase, but credit
are sold first. scores and the ability to borrow cash
improve.)
For items with a limited shelf life,

because the oldest goods need to be
sold before they pass their sell-by
date.
LIFO An item's unit cost is the actual value Disallowed in many countries/regions,
of any receipt of the item, selected by as it can be used to depress profit.
the LIFO rule.
(When prices are rising, the value on
In inventory valuation, it is assumed the income statement decreases. This
that the last items placed in inventory means that tax liabilities decrease, but
are sold first. the ability to borrow cash
deteriorates.)
Average An item's unit cost is calculated as the In business environments where

average unit cost at each point in time product cost is unstable.
after a purchase.
When inventories are piled or mixed
For inventory valuation, it is assumes together and cannot be differentiated,
that all inventories are sold such as chemicals.
simultaneously.
C O ST IN G M ET H O D DESC RIP T IO N W H EN TO USE
Specific An item's unit cost is the exact cost at In production or trade of easily
which the particular unit was received. identifiable items with fairly high unit
costs.
For items that are subject to

regulation.
For items with serial numbers.
Standard An item's unit cost is preset based on Where cost control is critical.
estimated.
In repetitive manufacturing, to value
When the actual cost is realized later, the costs of direct material, direct
the standard cost must be adjusted to labor, and manufacturing overhead.
the actual cost through variance
values. Where there is discipline and staff to
maintain standards.
The following image shows how costs flow through the inventory for each costing method.
Costing methods differ in the way that they value inventory decreases and if they use actual cost or standard
cost as the valuation base. The following table explains the different characteristics. (The LIFO method is
excluded, as it is very similar to the FIFO method.)
C AT EGO RY F IF O AVERA GE STA N DA RD SP EC IF IC

C AT EGO RY F IF O AVERA GE STA N DA RD SP EC IF IC
General characteristic Easy to understand Based on period Easy to use, but Requires item
options: requires qualified tracking on both
Day /Week /Month / maintenance. inbound and
Quar ter /Accountin outbound
g Period . transaction.
Can be calculated per Typically used for

item or per serialized items.
item/location/variant.
Application/Adjustme Application keeps Application keeps Application keeps All applications are
nt track of the track of the track of the fixed.
remaining remaining remaining
quantity . quantity . quantity .
Adjustment forwards Costs are calculated Application is based

costs according to and forwarded per on FIFO.
quantity application. the valuation date .
Revaluation Revalues invoiced Revalues invoiced Revalues invoiced Revalues invoiced

quantity only. quantity only. and un-invoiced quantity only.
quantities.
Can be done per Can be done per Can be done per
item or per item item only. Can be done per item or per item
ledger entry. item or per item ledger entry.
Can be done ledger entry.
Can be done backward in time. Can be done
backward in time. Can be done backward in time.
backward in time.
Miscellaneous If you back-date an If you back-date an Use the Standard You can use specific
inventory decrease, inventory increase or Worksheet page to item tracking without
then existing entries decrease, then the periodically update using the Specific
are NOT reapplied to average cost is and roll up standard costing method.
provide a correct recalculated, and all costs. Then the cost will
FIFO cost flow. affected entries are NOT follow the lot
adjusted. Is NOT supported number, but the cost
per SKU. assumption of the
If you change the selected costing
period or calculation No historic records method.
type, then all affected exist for standard
entries must be costs.
adjusted.
Example
This section gives examples of how different costing methods affect inventory value.
The following table shows the inventory increases and decreases that the examples are based on.
P O ST IN G DAT E Q UA N T IT Y EN T RY N O.
01-01-20 1 1
01-01-20 1 2
01-01-20 1 3
02-01-20 -1 4
03-01-20 -1 5
04-01-20 -1 6
NOTE
The resulting quantity in inventory is zero. Consequently, the inventory value must also be zero, regardless of the costing
method.
Effect of Costing Methods on Valuing Inventory Increases

For items with costing methods that use actual cost as the valuation base (FIFO , LIFO , Average , or Specific ),
inventory increases are valued at the item's acquisition cost.
Standard
For items using the Standard costing method, inventory increases are valued at the item's current
standard cost.
Standard
For items using the Standard costing method, inventory increases are valued at the item's current standard
cost.
Effect of Costing Methods on Valuing Inventory Decreases
FIFO
For items using the FIFO costing method, items that were purchased first are always sold first (entry
numbers 3, 2, and 1 in this example). Accordingly, inventory decreases are valued by taking the value of
the first inventory increase.
COGS is calculated using the value of the first inventory acquisitions.
The following table shows how inventory decreases are valued for the FIFO costing method.
C O ST A M O UN T
P O ST IN G DAT E Q UA N T IT Y ( A C T UA L ) EN T RY N O.
02-01-20 -1 -10.00 4
03-01-20 -1 -20.00 5
04-01-20 -1 -30.00 6
LIFO
For items using the LIFO costing method, items that were purchased most recently are always sold first
(entry numbers 3, 2, and 1 in this example). Accordingly, inventory decreases are valued by taking the
value of the last inventory increase.
COGS is calculated using the value of the most recent inventory acquisitions.
The following table shows how inventory decreases are valued for the LIFO costing method.
C O ST A M O UN T
02-01-20 -1 -30.00 4
03-01-20 -1 -20.00 5
04-01-20 -1 -10.00 6
Average
For items using the Average costing method, inventory decreases are valued by calculating a weighted
average of the remaining inventory on the last day of the average cost period in which the inventory
decrease was posted. For more information, see Design Details: Average Cost.
The following table shows how inventory decreases are valued for the Average costing method.
C O ST A M O UN T
02-01-20 -1 -20.00 4
03-01-20 -1 -20.00 5
04-01-20 -1 -20.00 6
Standard
For items using the Standard costing method, inventory decreases are valued similar to the FIFO
costing method, except valuation is based on a standard cost, not on the actual cost.
The following table shows how inventory decreases are valued for the Standard costing method.
C O ST A M O UN T
02-01-20 -1 -15.00 4
03-01-20 -1 -15.00 5
04-01-20 -1 -15.00 6
Specific
Costing methods make an assumption about how cost flows from an inventory increase to an inventory
decrease. However, if more accurate information about the cost flow exists, then you can override this
assumption by creating a fixed application between entries. A fixed application creates a link between an
inventory decrease and a specific inventory increase and directs the cost flow accordingly.
For items using the Specific costing method, inventory decreases are valued according to the inventory
increase that it is linked to by the fixed application.
The following table shows how inventory decreases are valued for the Specific costing method.
C O ST A M O UN T
P O ST IN G DAT E Q UA N T IT Y ( A C T UA L ) A P P L IES- TO EN T RY EN T RY N O.
02-01-20 -1 -20.00 2 4
03-01-20 -1 -10.00 1 5
04-01-20 -1 -30.00 3 6
See Also
Finance
Design Details: Change the Costing Method for
Items
In Business Central, you cannot change a costing method for an item after you have included the item in a
transaction. For example, after you have bought or sold the item. If an incorrect costing method was assigned to
the item or items, you might not discover the issue until you do your financial reporting.
This topic describes how to resolve this situation. The recommended approach is to replace the item that has the
incorrect costing method with a new item, and use an assembly order to transfer the inventory from the old
item to the new.
NOTE
Using assembly orders allows the costs to still flow although there are outstanding purchase invoices or shipping charges
to post. Additionally, it allows you to undo the conversion and get the quantities of the original items back, if needed.
TIP
To become familiar with the process, we recommend that you start the conversion process with a single item or a small
set of items.
About Costing Methods

Costing methods control cost calculations when goods are purchased, received in inventory, and sold. Costing
methods affect the timing of amounts recorded in COGS that affect gross profit. It is this flow that calculates
COGS. The cost of goods sold (COGS) and revenue are used to determine gross profit, as follows:
gross profit = revenue - COGS
When you set up inventory items, you must assign a costing method. The method can vary from business to
business, and from item to item, so it's important to choose the right one. Business Central supports the
following costing methods:
Average
FIFO
LIFO
Standard
Specific
For more information, see Design Details: Costing Methods.
Use Assembly Orders to Change Costing Method Assignments

This section describes the following steps for changing the costing method assigned to an item:
1. Define a default costing method.
2. Identify the items that to change the costing method for and renumber them.
3. Create new items with the old numbering scheme and copy the master data in a batch.
4. Manually copy related master data from the existing item to the new item.
5. Determine the inventory quantity to convert from the original item to the new item.
6. Transfer the inventory to the new item.
7. Handle inventory quantities that are allocated to demand.
8. Block the original item from further use.
Define a default costing method
To help avoid future mistakes you can specify a default costing method for new items. Whenever someone
creates a new item, Business Central will suggest the default costing method. You specify the default method in
the Default Costing Method field on the Inventor y Setup page.
Identify the items to change the costing method for and renumber them
You may want to give your new items the same numbers as those they are replacing. To do that, change the
numbers of the existing items. For example, if the existing item number is "P1000," you might change it to "X-
P1000." This is a manual change that you must make for each item.
Create new items with the old numbering scheme and copy the master data in a batch
Create the new items using the current number scheme. With the exception of the Costing Method field, the
new items should contain the same master data as the existing items. To transfer the master data for the item,
and related data from other features, use the Copy Item action on the Item Card page. For more information,
see Copy Existing Items to Create New Items.
After you create the new items and transfer the master data, assign the correct costing method.
Manually copy related master data from the original item to the new item
To make the new items fully useful you must manually copy some master data from other areas, as described in
the following table.
A REA W H AT TO C O P Y H O W TO C O P Y IT
Inventory Stock-keeping units (SKUs) Check whether a SKU is specified for

the original item. If planning
parameters have been entered for
each SKU card, then you must
manually create the SKU for the new
item. If the parameters are not
specified, you can use the Create
Stockkeeping Unit batch job from
the Item Card page to create the
data.
Item substitutions Check whether any item substitutions

are defined for the original item. If
there are, transfer that data to the new
item. To view substitute items, use the
Substitutions action on the Item
Card page.
Analysis reports Review the Item Analysis, Sales

Analysis, and Purchase Analysis
reports. For those that reference the
original items you can either create a
new analysis report with a reference to
the new item (keeping the original
analysis report to use as history) or
adjust the reports so that they
reference the new item.
Standard journals Check whether standard journals

reference the original item and transfer
that data to the new item when
necessary. This information is found on
the standard journals, which are
available on the item journal.
Sales Sales prepayment percentage Check whether any sales prepayment

percentages are defined for the
original item and transfer that data to
the new item. To view prepayment
percentages, on the Item Card page,
choose Sales , and then Prepayment
Percentages .
Purchase Purchase prepayment percentage Check whether any purchase

prepayment percentages are defined
for the original item and transfer that
data to the new item. To view
prepayment percentages, on the Item
Card page, choose Purchases , and
then Prepayment Percentages .
Warehouse Bin contents Review the bin content defined for the
original item. If columns such as as
Min. Qty., Max. Qty., Default, and
Dedicated have been individually
entered then you must manually
create bin content for the new item. If
they are not, no action is required.
Business Central will maintain the
records when you register warehouse
documents and journals.
Job Job Prices Check whether job prices are defined

for the original item and transfer that
data to the new item. This information
is available on the Job Card page in
the Job Details – No. of Prices part
on the FactBox pane .
Service Service resource skill Check whether service resource skills

are defined for the original item and
transfer that data to the new item. To
view resource skills, use the Resource
Skills action on the Item Card page.
Service item components Check whether components are

defined for the original service item
and transfer that data to the new item.
To view service item components, on
the Item Card page use the Ser vice
Item action to open the list of related
service items, and then choose the
Components action.
Production Production BOMs Check whether any production BOMs

contain the original item and replace it
with the new item. To replace the
original item, on the Production
BOMs page, choose the Exchange
Production BOM Item action.
Assembly Assembly BOMs Check whether any assembly BOMs

contain the original item and manually
replace it with the new item.
IMPORTANT
If the new costing method is Standard you should enter a value in the Standard Cost field on the Item Card page. You
can use the Standard Cost Worksheet page to set the cost shares accordingly. For more information, see Update
Standard Costs.
Determine the inventory quantity to convert from the original item to the new item
NOTE
This step does not consider quantities that are included in unshipped orders. For more information, see Handle inventory
quantities that are allocated to demand.
Use a physical inventory journal to produce a list of the quantities in inventory. Depending on the warehouse
location setup, use one of the following:
Physical Invt. Journals
Whse. Phys. Invt. Journals
Both journals can calculate the inventory quantity of the item, including the location, variant, bin, and storage
location. For more information, see Count, Adjust, and Reclassify Inventory Using Journals.
Transfer the inventory to the new item
Create and post assembly orders to transfer the cost and inventory quantity from the original item to the new
item. Assembly orders can convert one item to another while preserving the costs. This helps ensure that the net
totals for the inventory account and COGS are not affected (except when the new costing method is Standard, in
which case costs may be distributed to variance accounts). For more information, see Assembly Management.
When creating assembly orders, use the information from the Physical Invt. journal or Whse. Phys. Invt. journal.
The following tables describe the information in the reports to enter in the header and lines on the assembly
order.
F IEL D VA L UE TO EN T ER
Item No. The number of the new item.
Quantity The quantity in physical inventory journal.

NOTE: The quantities calculated by the physical inventory
journals does not include the quantities that are on orders
that have not yet shipped.
Variant Code The same as in physical inventory journal.

Location Code The same as in physical inventory journal.
Unit of Measure Code The same as in physical inventory journal.
Bin Code The same as in physical inventory journal.
Lines
Type Item
No. The number of the original item.
Quantity per 1
Variant Code The same as in physical inventory journal.
Location Code The same as in physical inventory journal.
Unit of Measure Code The same as in physical inventory journal.
NOTE
An assembly order can handle only one SKU of an item at a time. You must create an assembly order for each
combination of SKU that has a quantity in inventory.
NOTE
For a warehouse location, you might have to create picks before you can post the assembly order. To investigate that,
review the setup for picking on the Location Card page. For more information, see Set Up Items and Locations for
Directed Put-away and Pick.
Handle inventory quantities that are allocated to demand

Ideally, the inventory for the original item should go to zero after you transfer the inventory quantities. However,
there can be outstanding orders, worksheets, and journals (see the table below) that still require a quantity of
the original item. The quantity could also be blocked by a reservation or item tracking.
Example There are 1000 pcs. in inventory, and 20 pcs. are reserved for a sales order that has not yet shipped. In
that case, you might decide to keep the 20 pcs. in the old item so that you can fulfill the outstanding order.
NOTE
There are functional areas that can affect the quantity, as listed in the table below, so it can be tricky to find the correct
amount. To be safe, using the example above, you can choose to keep 100 pcs. and transfer the remaining 900 pcs.
instead. Another way to do it would be to process the documents and journals so that only a manageable few remain. Yet
another alternative is to transfer the entire quantity to the new item and then transfer some of it back to the original item
using the assembly order.
The following table lists functional areas where there might be outstanding quantities.
A REA W H ERE TO LO O K F O R O UT STA N DIN G Q UA N T IT IES
Sales Sales documents, including orders, return orders, invoices,

quotes, blanket orders, and credit memos
Inventory Item journals, reservations, item tracking, and standard cost

worksheet
Purchase Purchase documents, including orders, return orders,

invoices, quotes, blanket orders, and credit memos
Planning Requisition worksheet, planning worksheet, and order

planning
Warehouse Transfer orders, warehouse shipments, warehouse journals,

and warehouse picks, put-aways, and movements, internal
picks and put-aways, and bin creation worksheets
Assembly Assembly documents, including orders, return orders, and

blanket orders
Jobs Job planning lines and job journal lines
Service Service documents and service contracts
Production Production orders (planned, firm planned, and released)
Block the original item from further use

When the inventory for the original item is zero, you can block the item to prevent it fom being used in new
transactions. To block the item, on the Item Card page, turn on the Blocked toggle. For more information, see
Block Items from Sales or Purchasing.
Summary
Changing the costing method on items that have been used in transactions is a process, and not a standard
action in Business Central. You can use the steps described in this topic as a template for the process.
The process can be time consuming because there are several manual steps. However, taking the time to
complete it will minimize the impact of mistakes on your general ledger.
We recommend the following:
1. Assess the feasibility of the process by taking one, or maybe a few, representative items through the entire
process.
2. Consider contacting an experienced partner who can help you with the process.
See Also
Overview
When you post an inventory transaction, the quantity posting is recorded in the item ledger entries, the value
posting in the value entries. For more information, see Design Details: Inventory Posting.
In addition, an item application is made to link the cost recipient to its cost source to provide cost forwarding
according to the costing method. For more information, see Design Details: Costing Methods.
Business Central makes two types of item application.
A P P L IC AT IO N T Y P E DESC RIP T IO N
Quantity application Created for all inventory transactions
Cost application Created for inbound entries together with a quantity

application as a result of user interaction in special processes.
Item applications can be made in the following ways.
M ET H O D DESC RIP T IO N A P P L IC AT IO N T Y P E
Automatic Occurs as general cost forwarding Quantity application

according to the costing method
Fixed Made by the user when: Quantity application
- Processing returns Cost application Note: Cost

- Posting corrections application only occurs in inbound
- Undoing quantity postings transactions where the Appl.-from
- Creating drop shipments Note: The Item Entr y field is filled to create a
fixed application can be made either fixed application. See the next table.
manually by entering an entry number
in the Appl.-from Item Entr y field
or by using a function, such as the Get
Posted Document Lines to
Reverse .
Whether quantity applications or cost applications are made depends on the direction of the inventory
transaction and whether the item application is made automatically or fixed, in connection with special
processes.
The following table shows, based on the central application fields on inventory transaction lines, how costs flow
depending on the transaction direction. It also indicates when and why the item application is of type quantity or
cost.
- A P P L . - TO IT EM EN T RY F IEL D A P P L . - F RO M IT EM EN T RY F IEL D
Application for outbound entry The outbound entry pulls the cost Not supported
from the open inbound entry.
Quantity application
- A P P L . - TO IT EM EN T RY F IEL D A P P L . - F RO M IT EM EN T RY F IEL D
Application for inbound entry The inbound entry pushes the cost The inbound entry pulls the cost from
onto the open outbound entry. the outbound entry. Note: When
making this fixed application, the
The inbound entry is the cost source. inbound transaction is treated as a
sales return. Therefore, the applied
Quantity application outbound entry remains open.
The inbound entry is NOT the cost

source.
Cost application
IMPORTANT
A sales return is NOT considered a cost source when fixed applied.
The sales entry remains open until the real source is posted.
An item application entry records the following information.
Item Ledger Entr y No. The number of the item ledger entry for the transaction that
this application entry is created for.
Inbound Item Entr y No. The item ledger entry number of the inventory increase to
which the transaction should be linked, if applicable.
Outbound Item Entr y No. The item ledger entry number of the inventory decrease to
which the transaction should be linked, if applicable.
Quantity The quantity being applied.
Posting Date The posting date of the transaction.
Inventory Increase
When you post an inventory increase, then a simple item application entry is recorded without an application to
an outbound entry.
Example
The following table shows the item application entry that is created when you post a purchase receipt of 10
units.
IN B O UN D IT EM O UT B O UN D IT EM IT EM L EDGER EN T RY
P O ST IN G DAT E EN T RY N O. EN T RY N O. Q UA N T IT Y N O.
01-01-20 1 0 10 1
Inventory Decrease
When you post an inventory decrease, an item application entry is created that links the inventory decrease to
an inventory increase. This link is created by using the item's costing method as a guideline. For items using
FIFO, Standard, and Average costing methods, the linking is based on the first-in-first-out principle. The
inventory decrease is applied to the inventory increase with the earliest posting date. For items using the LIFO
costing method, the linking is based on the last-in-first-out principle. The inventory decrease is applied to the
inventory increase with the most recent posting date.
In the Item Ledger Entr y table, the Remaining Quantity field shows the quantity that has not yet been
applied. If the remaining quantity is more than 0, then the Open check box is selected.
Example
The following example shows the item application entry that is created when you post a sales shipment of 5
units of the items that were received in the previous example. The first item application entry is the purchase
receipt. The second application entry is the sales shipment.
The following table shows the two item application entries that result from the inventory increase and the
inventory decrease, respectively.
01-01-20 1 0 10 1
01-03-20 1 2 -5 2
Fixed Application
You make a fixed application when you specify that the cost of an inventory increase should apply to a specific
inventory decrease, or vice versa. The fixed application affects the remaining quantities of the entries, but the
fixed application also reverses the exact cost of the original entry that you are applying to, or from.
To make a fixed application, you use the Appl.-to Item Entr y field or the Appl.-from Item Entr y field in the
document lines to specify the item ledger entry that you want the transaction line to apply to, or from. For
example, you might make a fixed application when you want to create a cost application that specifies that a
sales return should apply to a specific sales shipment to reverse the cost of the sales shipment. In this case,
Business Central ignores the costing method and applies the inventory decrease, or increase, for a sales return,
to the item ledger entry that you specify. The advantage of making a fixed application is that the cost of the
original transaction is passed to the new transaction.
Example – Fixed Application in Purchase Return
The following example, which illustrates the effect of fixed application of a purchase return of an item using the
FIFO costing method, is based on the following scenario:
1. In entry 1, the user posts a purchase at a cost of LCY 10.00.
2. In entry 2, the user posts a purchase at a cost of LCY 20.00.
3. In entry 3, the user posts a purchase return. The user makes a fixed application to the second purchase by
entering the item ledger entry number in the Appl.-to Item Entr y field on the purchase return order line.
The following table shows item ledger entries resulting from the scenario.
IT EM L EDGER EN T RY C O ST A M O UN T IT EM L EDGER EN T RY
P O ST IN G DAT E TYPE Q UA N T IT Y ( A C T UA L ) N O.
01-04-20 Purchase 10 10.00 1
01-05-20 Purchase 10 20.00 2

IT EM L EDGER EN T RY C O ST A M O UN T IT EM L EDGER EN T RY
P O ST IN G DAT E TYPE Q UA N T IT Y ( A C T UA L ) N O.
01-06-20 Purchase (Return) -10 -20.00 3
Because a fixed application is made from the purchase return to the second purchase entry, the items are
returned at the correct cost. If the user had not performed the fixed application, then the returned item would be
incorrectly valued at LCY 10.00 because the return would have been applied to the first purchase entry
according to the FIFO principle.
The following table shows the item application entry that results from the fixed application.
01-06-20 2 3 10 3
The cost of the second purchase, LCY 20.00, is passed correctly to the purchase return.
Example – Fixed Application with Average Cost
The following example, which illustrates the effect of fixed application, is based on the following scenario for an
item that uses the Average costing method:
1. In entry numbers 1 and 2, the user posts two purchase invoices. The second invoice has the incorrect direct
unit cost of LCY 1000.00.
2. In entry number 3, the user posts a purchase credit memo with a fixed application applied to the purchase
entry with the wrong direct unit cost. The sum of the Cost Amount (Actual) field for the two fixed applied
value entries becomes 0.00
3. In entry number 4, the user posts another purchase invoice with the correct direct unit cost of LCY 100.00
4. In entry number 5, the user posts a sales invoice.
5. The inventory quantity is 0, and the inventory value is also 0.00
The following table shows the result of the scenario on the item's value entries.
The following table shows the result of the scenario on the item's value entries after posting is complete and
cost adjustment has been run.
IT EM
L EDGER C O ST A P P L . - TO VA L UED B Y IT EM
P O ST IN G EN T RY VA L UED A M O UN T IT EM AVERA GE L EDGER
DAT E TYPE Q UA N T IT Y ( A C T UA L ) EN T RY C O ST EN T RY N O. EN T RY N O.
01-01-20 Purchase 1 200.00 No 1 1
01-01-20 Purchase 1 1000.00 No 2 2
01-01-20 Purchase -1 -1000 2 No 3 3
01-01-20 Purchase 1 100.00 No 4 4
01-01-20 Sale -2 -300.00 Yes 5 5
If the user had not made the fixed application between the purchase credit memo and the purchase with the
incorrect direct unit cost (step 2 in the previous scenario), then the cost would have been adjusted differently.
The following table shows the result on the item's value entries if step 2 in the previous scenario is performed
without a fixed application.
IT EM
L EDGER C O ST A P P L . - TO VA L UED B Y IT EM
P O ST IN G EN T RY VA L UED A M O UN T IT EM AVERA GE L EDGER
DAT E TYPE Q UA N T IT Y ( A C T UA L ) EN T RY C O ST EN T RY N O. EN T RY N O.
01-01-20 Purchase 1 200.00 No 1 1
01-01-20 Purchase 1 1000.00 No 2 2
01-01-20 Purchase -1 433,33 Yes 3 3
01-01-20 Purchase 1 100.00 No 4 4
01-01-20 Sale -2 866,67 Yes 5 5
In entry number 3, the value in the Cost Amount (Actual) field is valued by average and therefore includes the
erroneous posting of 1000.00. Accordingly, it becomes -433,33, which is an inflated cost amount. The calculation
is 1300 / 3 = .-433,33.
In entry number 5, the value of the Cost Amount (Actual) field for this entry is also inaccurate for the same
reason.
NOTE
If you create a fixed application for an inventory decrease for an item that uses the Average costing method, then the
decrease will not receive the average cost for the item as usual, but will instead receive the cost of the inventory increase
that you specified. That inventory decrease is then no longer part of the average cost calculation.
Example – Fixed Application in Sales Return

Fixed applications are also a very good means of reversing cost exactly, such as with sales returns.
The following example, which illustrates how a fixed application ensures exact cost reversal, is based on the
following scenario:
1. The user posts a purchase invoice.
2. The user posts a sales invoice.
3. The user posts a sales credit memo for the returned item, which applies to the sales entry, to reverse the cost
correctly.
4. A freight cost, related to the purchase order that was posted earlier, arrives. The user posts it as an item
charge.
The following table shows the result of scenario steps 1 through 3 on the item's value entries.
C O ST
P O ST IN G IT EM L EDGER VA L UED A M O UN T A P P L . - F RO M IT EM L EDGER
DAT E EN T RY T Y P E Q UA N T IT Y ( A C T UA L ) IT EM EN T RY EN T RY N O. EN T RY N O.
01-01-20 Purchase 1 1000.00 1 1
02-01-20 Sale -1 1000.00 2 2
03-01-20 Sale (Credit 1 1000 2 3 3

Memo)
The following table shows the value entry resulting from scenario step 4, posting the item charge.
C O ST
04-01-20 (Item Charge) 1 100.00 1 4
The following table shows the effect of the exact cost reversal on the item's value entries.
C O ST
01-01-20 Purchase 1 1000.00 1 1
02-01-20 Sale -1 1100.00 2 2
03-01-20 Sale (Credit 1 1100.00 2 3 3

Memo)
04-01-20 (Item Charge) 1 100.00 1 4
When you run the Adjust Cost - Item Entries batch job, the increased cost of the purchase entry, due to the
item charge, is forwarded to the sales entry (entry number 2). The sales entry then forwards this increased cost
to the sales credit entry (entry number 3). The final result is that the cost is correctly reversed.
NOTE
If you are working with returns or credit memos and you have set up the Exact Cost Reversing Mandator y field in
either the Purchases & Payables Setup page or the Sales & Receivables Setup page, as appropriate for your
situation, then Business Central automatically fills the various application entry fields when you use the Copy from
Document function. If you use the Get Posted Document Lines to Reverse function, then the fields are always filled
automatically.
NOTE
If you post a transaction with a fixed application, and the item ledger entry that you are applying to is closed, meaning
that the remaining quantity is zero, then the old application is automatically undone and reapplies the item ledger entry
using the fixed application that you specified.
Transfer Application
When an item is transferred from one location to another, inside the company inventory, then an application is
created between the two transfer entries. Valuing a transfer entry depends on the costing method. For items
using the Average costing method, valuation is made using the average cost in the average cost period in which
the valuation date of the transfer occurs. For items using other costing methods, valuation is made by tracing
back to the cost of the original inventory increase.
Example – Average Costing Method
The following example, which illustrates how transfer entries are applied, is based on the following scenario for
an item using Average costing method and an average cost period of Day.
1. The user purchases the item at a cost of LCY 10.00.
2. The user purchases the item again at a cost of LCY 20.00.
3. The user transfers the item from EAST to WEST location.
The following table shows the effect of the transfer on the item's value entries.
IT EM L EDGER VA L UED C O ST A M O UN T
P O ST IN G DAT E EN T RY T Y P E LO C AT IO N C O DE Q UA N T IT Y ( A C T UA L ) EN T RY N O.
01-01-20 Purchase EAST 1 10.00 1
01-01-20 Purchase EAST 1 20.00 2
02-01-20 Transfer EAST -1 15.00 3
02-01-20 Transfer WEST 1 15.00 4
Example – Standard Costing Method

The following example, which illustrates how transfer entries are applied, is based on the following scenario for
an item using Standard costing method and an average cost period of Day.
1. The user purchases the item at a standard cost of LCY 10.00.
2. The user transfers the item from EAST to WEST location at a standard cost of LCY 12.00.
The following table shows the effect of the transfer on the item's value entries.
IT EM L EDGER VA L UED C O ST A M O UN T
P O ST IN G DAT E EN T RY T Y P E LO C AT IO N C O DE Q UA N T IT Y ( A C T UA L ) EN T RY N O.
01-01-20 Purchase EAST 1 10.00 1
02-01-20 Transfer EAST -1 10.00 2
02-01-20 Transfer WEST 1 10.00 3
Since the value of the original inventory increase is LCY 10.00, the transfer is valued at that cost, not at LCY
12.00.
Reapplication
Because of the way an item's unit cost is calculated, an incorrect item application could lead to a skewed average
cost and unit cost. The following scenarios may cause incorrect item applications, which require that you undo
item applications and reapply item ledger entries:
You have forgotten to make a fixed application.
You have made an incorrect fixed application.
You want to overrule the application created automatically when posting, according to the item's costing
method.
You have to return an item to which a sale has already been manually applied, without using the Get Posted
Document Lines to Reverse function, and you must therefore undo the application.
Business Central offers a feature for analyzing and correcting item applications. This work is performed on the
Application Worksheet page.
See Also
Finance
This article addresses an issue where the inventory level is zero although open item ledger entries exist in
Business Central.
The article starts by listing typical symptoms of the issue, followed by the basics of item application to support
the described reasons for this issue. At the end of the article is a workaround to address such open item ledger
entries.
Symptoms of the Issue

Typical symptoms of the issue with zero inventory although open item ledger entries exist are the following:
The following message when you try to close an inventory period: “The inventory cannot be closed
because there is negative inventory for one or more items.”
An item ledger entry situation where both an outbound item ledger entry and its related inbound item
ledger entry are open.
See the following example of an item ledger entry situation.
REM
C O ST IN VO A IN I
DO C DO C AMO IC ED NG
EN T R P O ST EN T R UM E UM E LO C A Q UA UN T Q UA Q UA
Y IN G Y NT NT IT EM T IO N N T IT (ACT N T IT N T IT
N O. DAT E TYPE TYPE N O. N O. C O DE Y UA L ) Y Y O P EN
333 01/2 Sale Sales 1020 TEST BLUE -1 -10 -1 -1 Yes

8/20 Ship 43
18 ment
334 01/2 Sale Sales 1020 TEST BLUE 1 10 1 1 Yes

8/20 Ship 43
18 ment
Basics of Item Application

An item application entry is created for every inventory transaction to link the cost recipient to its cost source so
that the cost can be forwarded according to the costing method. For more information, see Design Details: Item
Application.
For an inbound item ledger entry, the item application entry is created when the item ledger entry is
created.
For an outbound item ledger entry, the item application entry is created when the item ledger entry is
posted, IF there is an open inbound item ledger entry with available quantity that it can apply to. If there
is no open inbound item ledger entry that it can apply to, then the outbound item ledger entry remains
open until an inbound item ledger entry that it can apply to is posted.
There are two types of item application:
Quantity Application
Cost Application
Quantity Application
Quantity applications are made for all inventory transactions and are created automatically, or manually in
special processes. When made manually, quantity applications are referred to as fixed application.
The following diagram shows how quantity applications are made.
Notice above that item ledger entry 1 (Purchase) is both the supplier of the item and the cost source to the
applied item ledger entry, item ledger entry 2 (Sale).
NOTE
If the outbound item ledger entry is valued by average cost, then the applied inbound item ledger entry is not the unique
cost source. It merely plays a part in the calculation of the average cost of the period.
Cost Application
Cost applications are only created for inbound transactions where the Appl.-from Item Entr y field is filled to
provide a fixed application. This typically happens in connection with a sales credit memo or an undo shipment
scenario. The cost application ensures that the item re-enters inventory with the same cost as when it was
shipped.
The following diagram shows how cost applications are made.
C O ST
AMO IN VO I REM A
P O ST I EN T R DO C U DO C U LO C A UN T C ED IN IN G
EN T R NG Y M EN T M EN T IT EM T IO N Q UA N (ACT Q UA N Q UA N
Y N O. DAT E TYPE TYPE N O. N O. C O DE T IT Y UA L ) T IT Y T IT Y O P EN
333 01/28 Sale Sales 1020 TEST BLUE -1 -10 -1 -1 Yes

/2018 Shipm 43
ent
334 01/28 Sale Sales 1020 TEST BLUE 1 10 1 1 Yes

/2018 Shipm 43
ent
Notice above that inbound item ledger 3 (Sales Return) is a cost recipient for the original outbound item ledger
entry 2 (Sale).
Illustration of a Basic Cost Flow

Assume a complete cost flow where an item is received, is shipped and invoiced, is returned with exact-cost
reversal, and is shipped again.
The following diagram illustrates the cost flow.
Notice above that the cost is forwarded to item ledger entry 2 (Sale), then to item ledger entry 3 (Sales Return),
and finally to item ledger entry 4 (Sale 2).
Reasons for the Issue
The issue with zero inventory although open item ledger entries exist can be caused by the following scenarios:
Scenario 1: A shipment and invoice is posted although the item is not available. The posting is then exact-
cost reversed with a sales credit memo.
Scenario 2: A shipment is posted although the item is not available. The posting is then undone with the
Undo Shipment function.
The following diagram illustrates how item applications are made in both scenarios.
Notice above that a cost application is made (represented by the blue arrows) to ensure that item ledger entry 2
(Sales Return) is assigned the same costs as the item ledger entry that it reverses, item ledger entry 1 (Sale 1).
However, a quantity application (represented by the red arrows) is not made.
Item ledger entry 2 (Sales Return) cannot be both a cost recipient of the original item ledger entry and at the
same time be a supplier of items and their source of costs. Therefore, the original item ledger entry 1 (Sale 1)
remains open until a valid source appears.
Identifying the Issue

To find out if the open item ledger entries are created, do as follows for the respective scenario:
For scenario 1, identify the issue as follows:
In the Posted Sales Credit Memo or Posted Return Receipt page, look up from the Appl.-from Item
Entr y field to see if the field is populated, and in that case to which item ledger entry the return receipt is
cost applied.
For scenario 2, identify the issue in either of the following ways:
Look for an open outbound item ledger entry and an inbound item ledger entry with same number in the
Document No. field, and Yes in the Correction field. See the following example of such an item ledger
entry situation.
REM
C O ST IN VO A IN I
DO C DO C LO C A AMO IC ED NG
EN T R P O ST EN T R UM E UM E T IO N Q UA UN T Q UA Q UA C OR
Y IN G Y NT NT IT EM C OD N T IT (ACT N T IT N T IT OPE REC T
N O. DAT E TYPE TYPE N O. N O. E Y UA L ) Y Y N IO N
333 01/2 Sale Sales 1020 TEST BLUE -1 -10 -1 -1 Yes No

8/20 Ship 43
18 ment
334 01/2 Sale Sales 1020 TEST BLUE 1 10 1 1 Yes Yes

8/20 Ship 43
18 ment
On the Posted Sales Shipment page, look up from the Appl.-from Item Entr y field to see if the field is
populated, and in that case to which item ledger entry the return receipt is cost applied.
NOTE
Cost applications cannot be identified on the Applied Item Entries page because that page only shows quantity
applications.
For both scenarios, identify the involved cost application as follows:

1. Open the Item Application Entr y table.
2. Filter on the Item Ledger Entr y No. field using the number of the Sales Return item ledger entry.
3. Analyze the item application entry, taking note of the following:
If the Outbound Item Entr y No. field is populated for an inbound item ledger entry (positive quantity),
then it means that the inbound item ledger entry is the cost recipient of the outbound item ledger entry.
See the following example of an item application entry.
IT EM IN B O UN D O UT B O UN D C O ST
L EDGER IT EM EN T RY IT EM EN T RY P O ST IN G A P P L IC AT IO
EN T RY N O. EN T RY N O. N O. N O. Q UA N T IT Y DAT E N
299 334 334 333 1 01/28/2018 Yes
Notice above that inbound item ledger entry 334 is cost applied to outbound item ledger entry 333.
Workaround for the Issue

On the Item Journal page, post the following lines for the item in question:
A positive adjustment to close the open outbound item ledger entry.
A negative adjustment with the same quantity.
This adjustment balances the inventory increase caused by the positive adjustment and closes the open
inbound item ledger entry.
The result is that inventory is zero and all item ledger entries are closed.
See Also
The main purpose of cost adjustment is to forward cost changes from cost sources to cost recipients, according
to an item’s costing method, to provide correct inventory valuation.
An item can be sales invoiced before it has been purchase invoiced, so that the recorded inventory value of the
sale does not match the actual purchase cost. Cost adjustment updates the cost of goods sold (COGS) for
historic sales entries to ensure that they match the costs of the inbound transactions to which they are applied.
For more information, see Design Details: Item Application.
The following are secondary purposes, or functions, of cost adjustment:
Invoice finished production orders:
Change the status of value entries from Expected to Actual .
Clear WIP accounts. For more information, see Design Details: Production Order Posting.
Post variance. For more information, see Design Details: Variance.
Update the unit cost on the item card.
Inventory costs must be adjusted before the related value entries can be reconciled with the general ledger. For
more information, see Design Details: Reconciliation with the General Ledger.
Detecting the Adjustment

The task of detecting if cost adjustment should occur is primarily performed by the Item Jnl.-Post Line routine,
while the task of calculating and generating cost adjustment entries is performed by the Adjust Cost – Item
Entries batch job.
To be able to forward costs, the detection mechanism determines which sources have changed in costs and to
which destination these costs should be forwarded. The following three detection functions exist in Business
Central:
Item Application Entry
Average Cost Adjustment Entry Point
Order Level
Item Application Entry
This detection function is used for items that use FIFO, LIFO, Standard, and Specific costing methods and for
fixed applications scenarios. The function works as follows:
Cost adjustment is detected by marking the source item ledger entries as Applied Entry to Adjust whenever
an item ledger entry or value entry is posted.
Cost is forwarded according to the cost chains that are recorded in the Item Application Entr y table.
Average Cost Adjustment Entry Point
This detection function is used for items that use the Average costing method. The function works as follows:
Cost adjustment is detected by marking a record in the Avg. Cost Adjmt. Entr y Point table whenever a
value entry is posted.
Cost is forwarded by applying the costs to value entries with a later valuation date.
Order Level
This detection function is used in conversion scenarios, production and assembly. The function works as follows:
Cost adjustment is detected by marking the order whenever a material/resource is posted as
consumed/used.
Cost is forwarding by applying the costs from material/resource to the output entries associated with the
same order.
The Order Level function is used to detect adjustments in assembly posting. The following graphic shows the
adjustment entry structure:
For more information, see Design Details: Assembly Order Posting.
Manual versus Automatic Cost Adjustment

Cost adjustment can be performed in two ways:
Manually, by running the Adjust Cost - Item Entries batch job. You can run this batch job either for all
items or for only certain items or item categories. This batch job runs a cost adjustment for the items in
inventory for which an inbound transaction has been made, such as a purchase. For items that use the
average costing method, the batch job also makes an adjustment if any outbound transactions are created.
Automatically, by adjusting costs every time that you post an inventory transaction, and when you finish a
production order. The cost adjustment is only run for the specific item or items affected by the posting. This is
set up when you select the Automatic Cost Adjustment check box on the Inventor y Setup page.
It is good practice to run the cost adjustment automatically when you post because unit costs are more
frequently updated and therefore more accurate. The disadvantage is that the performance of the database can
be affected by running the cost adjustment so often.
Because it is important to keep the unit cost of an item up to date, it is recommend that you run the Adjust
Cost - Item Entries batch job as often as possible, during nonworking hours. Alternatively, use automatic cost
adjustment. This ensures that the unit cost is updated for items daily.
Regardless if you run the cost adjustment manually or automatically, the adjustment process and its
consequences are the same. Business Central calculates the value of the inbound transaction and forwards that
cost to any outbound transactions, such as sales or consumptions, which have been applied to the inbound
transaction. The cost adjustment creates value entries that contain adjustment amounts and amounts that
compensate for rounding.
The new adjustment and rounding value entries have the posting date of the related invoice. Exceptions are if
the value entries fall in a closed accounting period or inventory period or if the posting date is earlier than the
date in the Allow Posting From field on the General Ledger Setup page. If this occurs, the batch job assigns
the posting date as the first date of the next open period.
Adjust Cost - Item Entries Batch Job

When you run the Adjust Cost - Item Entries batch job, you have the option to run the batch job for all items
or for only certain items or categories.
NOTE
We recommend that you always run the batch job for all items and only use the filtering option to reduce the runtime of
the batch job, or to fix the cost of a certain item.
Example
The following example shows if you post a purchased item as received and invoiced on 01-01-20. You later post
the sold item as shipped and invoiced on 01-15-20. Then, you run the Adjust Cost - Item Entries and Post
Inventor y Cost to G/L batch jobs. The following entries are created.
Value Entries (1)
IT EM L EDGER C O ST A M O UN T C O ST P O ST ED IN VO IC ED
P O ST IN G DAT E EN T RY T Y P E ( A C T UA L ) TO G/ L Q UA N T IT Y EN T RY N O.
01-01-20 Purchase 10.00 10.00 1 1
01-15-20 Sale -10.00 -10.00 -1 2
Relation Entries in the G/L – Item Ledger Relation Table (1)
G/ L EN T RY N O. VA L UE EN T RY N O. G/ L REGIST ER N O.
1 1 1
2 1 1
3 2 1
4 2 1
General Ledger Entries (1)
A C C O UN T N O. ( EN -
P O ST IN G DAT E G/ L A C C O UN T US DEM O ) A M O UN T EN T RY N O.
01-01-20 [Inventory Account] 2130 10.00 1
01-01-20 [Direct Cost Applied 7291 -10.00 2

Account]
01-15-20 [Inventory Account] 2130 -10.00 3
01-15-20 [COGS Account] 7290 10.00 4
Later, you post a related purchase item charge for 2.00 LCY invoiced on 02-10-20. You run the Adjust Cost -
Item Entries batch job and then run the Post Inventor y Cost to G/L batch job. The cost adjustment batch job
adjusts the cost of the sale by -2.00 LCY accordingly, and the Post Inventor y Cost to G/L batch job posts the
new value entries to the general ledger. The result is as follows.
Value Entries (2)
C O ST C O ST
P O ST IN G IT EM L EDGER A M O UN T P O ST ED TO IN VO IC ED
DAT E EN T RY T Y P E ( A C T UA L ) G/ L Q UA N T IT Y A DJUST M EN T EN T RY N O.
02-10-20 Purchase 2.00 2.00 0 No 3
01-15-20 Sale -2.00 -2.00 0 Yes 4
Relation Entries in the G/L – Item Ledger Relation Table (2)
5 3 2
6 3 2
7 4 2
8 4 2

Account]
01-15-20 [COGS Account] 7290 2.00 8
Automatic Cost Adjustment

To set up cost adjustment to run automatically when you post an inventory transaction, use the Automatic
Cost Adjustment field on the Inventor y Setup page. This field enables you to select how far back in time
from the current work date that you want automatic cost adjustment to be performed. The following options
exist.
O P T IO N DESC RIP T IO N
Never Costs are not adjusted when you post.
Day Costs are adjusted if posting occurs within one day from the
work date.
Week Costs are adjusted if posting occurs within one week from
the work date.
Month Costs are adjusted if posting occurs within one month from
the work date.
Quarter Costs are adjusted if posting occurs within one quarter from
the work date.
Year Costs are adjusted if posting occurs within one year from the
work date.
Always Costs are always adjusted when you post, regardless of the
posting date.
The selection that you make in the Automatic Cost Adjustment field is important for performance and the
accuracy of your costs. Shorter time periods, such as Day or Week , affect system performance less, because
they provide the stricter requirement that only costs posted in the last day or week can be automatically
adjusted. This means that the automatic cost adjustment does not run as frequently and therefore affects system
performance less. However, it also means that unit costs may be less accurate.
Example
The following example shows an automatic cost adjustment scenario:
On January 10, you post a purchased item as received and invoiced.
On January 15, you post a sales order for the item as shipped and invoiced.
On February 5, you receive an invoice for a freight charge on the original purchase. You post this freight
charge, applying it to the original purchase invoice, which increases the cost of the original purchase.
If you have set up the automatic cost adjustment to apply to postings that occur within a month or a quarter
from the current work date, then the automatic cost adjustment runs and forwards the cost of the purchase to
the sale.
If you have set up the automatic cost adjustment to apply to postings that occur within a day or a week from the
current work date, then the automatic cost adjustment does not run, and the cost of the purchase is not
forwarded to the sale until you run the Adjust Cost - Item Entries batch job.
See Also
Adjust Item Costs
Finance
Expected costs represent the estimation of, for example, a purchased item’s cost that you record before you
receive the invoice for the item.
You can post expected cost to inventory and to the general ledger. When you post a quantity that is only
received or shipped but not invoiced, then a value entry is created with the expected cost. This expected cost
affects the inventory value, but is not posted to the general ledger unless you set up the system up to do so.
NOTE
Expected costs are only managed for item transactions. Expected costs are not for immaterial transaction types, such as
capacity and item charges.
If only the quantity part of an inventory increase has been posted, then the inventory value in the general ledger
does not change unless you have selected the Expected Cost Posting to G/L check box on the Inventor y
Setup page. In that case, the expected cost is posted to interim accounts at the time of receipt. After the receipt
has been fully invoiced, the interim accounts are then balanced and the actual cost is posted to the inventory
account.
To support reconciliation and traceability work, the invoiced value entry shows the expected cost amount that
has been posted to balance the interim accounts.
Prerequisites for posting expected costs

To make it possible to post expected costs you need to do the following:
1. On the Inventor y Setup page, select the Automatic Cost Posting check box and the Expected Cost
Posting to G/L check box.
2. Set up which interim accounts to use during the expected cost posting process.
On the Inventor y Posting Setup page, verify the Inventor y Account and the Inventor y Account
(Interim) fields for the Location Code and Invt. Posting Group Code of the item you will be purchasing. To
learn more about these accounts see Design Details - Accounts in the General Ledger. 3. On the General
Posting Setup page, verify the Invt. Accrual Acc. (Interim) field for the Gen. Bus. Posting Group and the
Gen. Prod. Posting Group you will be using. 4. When you create a purchase order the default is that the
Vendor Invoice No. field is required. You need to turn that off on the Purchase & Payables Setup page, by
unselecting the Ext. Doc. No. Mandator y field.
Example
NOTE
The account numbers used in this example are there for reference only, and will be different in your system. Set them up
as directed in the Prerequisites above.
You post a purchase order as received. The expected cost is LCY 95.00.
Value Entries
EXP EC T ED
C O ST C O ST
P O ST IN G A M O UN T P O ST ED TO EXP EC T ED IT EM L EDGER
DAT E EN T RY T Y P E ( EXP EC T ED) G/ L C O ST EN T RY N O. EN T RY N O.
01-01-20 Direct Cost 95.00 95.00 Yes 1 1
Relation Entries in the G/L – Item Ledger Relation Table
1 1 1
2 1 1
General Ledger Entries
01-01-20 Inventory Accrual 5530 -95.00 2

Account (Interim)
01-01-20 Inventory Account 2131 95.00 1

(Interim)
At a later date, you post the purchase order as invoiced. The invoiced cost is LCY 100.00.
Value Entries
C O ST C O ST C O ST
P O ST IN G A M O UN T A M O UN T P O ST ED TO EXP EC T ED IT EM L EDGER
DAT E ( A C T UA L ) ( EXP EC T ED) G/ L C O ST EN T RY N O. EN T RY N O.
01-15-20 100.00 -95.00 100.00 No 1 2
Relation Entries in the G/L – Item Ledger Relation Table
3 2 2
4 2 2
5 2 2
6 2 2
A C C O UN T N O.
P O ST IN G DAT E G/ L A C C O UN T ( EXA M P L ES O N LY !) A M O UN T EN T RY N O.
01-15-20 Inventory Accrual 5530 95.00 4

Account (Interim)
A C C O UN T N O.
P O ST IN G DAT E G/ L A C C O UN T ( EXA M P L ES O N LY !) A M O UN T EN T RY N O.
01-15-20 Inventory Account 2131 -95.00 3

(Interim)
01-15-20 Direct Cost Applied 7291 -100 6

Account
01-15-20 Inventory Account 2130 100 5
See Also
Finance
The average cost of an item is calculated with a periodic weighted average, based on the average cost period
that is set up in Business Central.
The valuation date is set automatically.
Setting Up Average Cost Calculation

The following table describes the two fields on the Inventor y Setup page that must be filled to enable average
cost calculation.
Average Cost Period Specifies which period the average cost is calculated in. The
following options exist:
- Day
- Week
- Month
- Accounting Period
All inventory decreases that are posted in the average cost

period receive the average cost calculated for that period.
Average Cost Calc. Type Specifies how the average cost is calculated. The following
options exist:
- Item
- Item, Variant, and Location
With this option, the average cost is calculated for each item,
for each location, and for each variant of the item. This
means that the average cost of this item depends on where
it is stored and which variant of the item that you have
selected, such as color.
NOTE
You can only use one average cost period and one average cost calculation type in a fiscal year.
The Accounting Periods page shows which average cost period and which average cost calculation type is in effect
during that period, for each accounting period.
Calculating Average Cost

When you post a transaction for an item that uses the Average costing method, an entry is created in the Avg.
Cost Adjmt. Entr y Point table. This entry contains the transaction’s item number, variant code, and location
code. The entry also contains the Valuation Date field, which specifies the last date of the average cost period
in which the transaction was posted.
NOTE
This field should not be confused with the Valuation Date field in the Value Entr y table, which shows the date when
the value takes effect and is used to determine the average cost period in which the value entry belongs.
The average cost of a transaction is calculated when the item’s cost is adjusted. For more information, see
Design Details: Cost Adjustment. A cost adjustment uses the entries in the Avg. Cost Adjmt. Entr y Point table
to identify which items (or items, locations, and variants) to calculate average costs for. For each entry with a
cost that has not been adjusted, the cost adjustment uses the following to determine the average cost:
Determines the cost of the item at the start of the average cost period.
Adds the sum of the inbound costs that were posted during the average cost period. These include
purchases, sales returns, positive adjustments, and production and assembly outputs.
Subtracts the sum of the costs of any outbound transactions that were fixed-applied to receipts in the
average cost period. These typically include purchase returns and negative outputs.
Divides by the total inventory quantity for the end of the average cost period, excluding inventory decreases
that are being valued.
The calculated average cost is then applied to the inventory decreases for the item (or item, location, and
variant) with posting dates in the average cost period. If any inventory increases exist that were fixed applied to
inventory decreases in the average cost period, then the calculated average cost is forwarded from the increase
to the decrease.
Example: Average Cost Period = Day
The following example shows the effect of calculating the average cost based on an average cost period of one
day. The Average Cost Calc. Type field on the Inventor y Setup page is set to Item .
The following table shows item ledger entries for the sample average-cost item, ITEM1, before the Adjust Cost
- Item Entries batch job has been run.
IT EM L EDGER EN T RY C O ST A M O UN T
P O ST IN G DAT E TYPE Q UA N T IT Y ( A C T UA L ) EN T RY N O.
01-01-20 Purchase 1 20.00 1
01-01-20 Purchase 1 40.00 2
01-01-20 Sale -1 -20.00 3
02-01-20 Sale -1 -40.00 4
02-02-20 Purchase 1 100.00 5
02-03-20 Sale -1 -100.00 6
NOTE
Because cost adjustment has not yet occurred, the values in the Cost Amount (Actual) field of the inventory decreases
corresponding to the inventory increases that they are applied to.
The following table shows the entries in the Avg. Cost Adjmt. Entr y Point table that apply to value entries
resulting from the item ledger entries in the preceding table.
IT EM N O. VA RIA N T C O DE LO C AT IO N C O DE VA L UAT IO N DAT E C O ST IS A DJUST ED
ITEM1 BLUE 01-01-20 No
The following table shows the same item ledger entries after the Adjust Cost - Item Entries batch job has
been run. The average cost per day is calculated and applied to the inventory decreases.
01-01-20 Purchase 1 20.00 1
01-01-20 Purchase 1 40.00 2
01-01-20 Sale -1 -30.00 3
02-01-20 Sale -1 -30.00 4
02-02-20 Purchase 1 100.00 5
02-03-20 Sale -1 -100.00 6
Example: Average Cost Period = Month

The following example shows the effect of calculating the average cost based on an average cost period of one
month. The Average Cost Calc. Type field on the Inventor y Setup page is set to Item .
If the average cost period is one month, then only one entry is created for each combination of item number,
variant code, location code, and valuation date.
The following table shows item ledger entries for the sample average-cost item, ITEM1, before the Adjust Cost
- Item Entries batch job has been run.
01-01-20 Purchase 1 20.00 1
01-01-20 Purchase 1 40.00 2
01-01-20 Sale -1 -20.00 3
02-01-20 Sale -1 -40.00 4
02-02-20 Purchase 1 100.00 5
02-03-20 Sale -1 -100.00 6

NOTE
Because cost adjustment has not occurred yet, the values in the Cost Amount (Actual) field of the inventory decreases
corresponding to the inventory increases that they are applied to.
The following table shows the entries in the Avg. Cost Adjmt. Entr y Point table that apply to value entries
resulting from the item ledger entries in the preceding table.
IT EM N O. VA RIA N T C O DE LO C AT IO N C O DE VA L UAT IO N DAT E C O ST IS A DJUST ED
NOTE
The valuation date is set to the last day in the average cost period, which in this case is the last day of the month.
The following table shows the same item ledger entries after the Adjust Cost - Item Entries batch job has
been run. The average cost per month is calculated and applied to the inventory decreases.
01-01-20 Purchase 1 20.00 1
01-01-20 Purchase 1 40.00 2
01-01-20 Sale -1 -30.00 3
02-01-20 Sale -1 -65.00 4
02-02-20 Purchase 1 100.00 5
02-03-20 Sale -1 -65.00 6
The average cost of entry number 3 is calculated in the average cost period for January, and the average cost for
entries 4 and 6 is calculated in the average cost period for February.
To get the average cost for February, the average cost of the piece received in inventory (100.00) is added to the
average cost at the beginning of the period (30.00). The sum of the two (130.00) is then divided by the total
quantity in inventory (2).This gives the resulting average cost of the item in the February period (65.00). The
average cost is assigned to the inventory decreases in the period (entries 4 and 6).
Setting the Valuation Date

The Valuation Date field in the Value Entr y table is used to determine in which average cost period an
inventory decrease entry belongs. This also applies to work in process (WIP) inventory.
The following table shows the criteria that are used to set the valuation date.
SC EN A RIO P O ST IN G DAT E VA L UED Q UA N T IT Y REVA L UAT IO N VA L UAT IO N DAT E
1 Positive No Posting date of item

ledger entry
2 Later than the latest Negative No Posting date of item

valuation date of ledger entry
applied value entries
3 Earlier than the latest Positive No Latest valuation date

valuation date of of the applied value
applied value entries entries
4 Negative Yes Posting date of the

revaluation value
entry
Example
The following table of value entries illustrates the different scenarios.
IT EM
L EDGER C O ST IT EM
P O ST IN G EN T RY VA L UAT IO N VA L UED A M O UN T L EDGER
SC EN A RIO DAT E TYPE DAT E Q UA N T IT Y ( A C T UA L ) EN T RY N O. EN T RY N O.
1 01-01-20 Purchase 01-01-20 2 20.00 1 1
2 01-15-20 (Item 01-01-20 2 8.00 1 2

Charge)
3 02-01-20 Sale 02-01-20 -1 -14.00 2 3
4 03-01-20 (Revaluatio 03-01-20 1 -.4.00 1 4

n)
5 02-01-20 Sale 03-01-20 -1 -10.00 3 5
NOTE
In entry number 5 in the preceding table, the user has entered a sales order with a posting date (02-01-20) that comes
before the latest valuation date of applied value entries (03-01-20). If the corresponding value in the Cost Amount
(Actual) field for this date (02-01-20) were used for this entry, then it would be 14.00. This would give a situation where
the quantity on inventory is zero, but the inventory value is –4.00.
To avoid such a quantity-value mismatch, the valuation date is set to equal the latest valuation date of the applied value
entries (03-01-20). The value in the Cost Amount (Actual) field becomes 10.00 (after revaluation), which means that
the quantity on inventory is zero, and the inventory value is also zero.
Cau t i on
Because the Inventor y Valuation report is based on posting date, the report will reflect any quantity-value
mismatches in scenarios as in the above example. For more information, see Design Details: Inventory Valuation.
If the quantity on inventory is less than zero after posting the inventory decrease, then the valuation date is first
set to the posting date of the inventory decrease. This date may be changed later, according to the rules
described in the note earlier in this section, when the inventory increase is applied.
Recalculating Average Cost
Valuing inventory decreases as a weighted average would be straightforward if purchases were always invoiced
before sales are invoiced, postings were never backdated, and you never made mistakes. However, the reality is
somewhat different from this ideal.
As illustrated in the examples in this topic, the valuation date is defined as the date from which the value entry is
included in the average cost calculation. This gives you the flexibility to do the following for items using the
Average costing method:
Invoice the sale of an item before the purchase of the item has been invoiced.
Backdate a posting.
Recover an incorrect posting.
NOTE
Another reason for this flexibility is fixed application. For more information about fixed application, see Design Details:
Item Application.
Because of this flexibility, you may have to recalculate the average cost after the related posting has occurred.
For example, if you post an inventory increase or decrease with a valuation date that comes before one or more
inventory decreases. The recalculation of the average cost will occur automatically when you run the Adjust
Cost - Item Entries batch job, manually or automatically.
It is possible to change the inventory valuation base within an accounting period by changing the Average
Cost Period field and the Average Cost Calc. Type field. However, this should be done with care and in
agreement with an auditor.
Example
The following example illustrates how the average cost is recalculated when a late posting is introduced on a
date that comes before one or more inventory decreases. The example is based on an average cost period of
Day .
The following table shows the value entries that exist for the item before the posting is introduced.
VA L UAT IO N DAT E Q UA N T IT Y C O ST A M O UN T ( A C T UA L ) EN T RY N O.
01-01-20 1 10.00 1
01-02-20 1 20.00 2
02-15-20 -1 -15.00 3
02-16-20 -1 -15.00 4
The user posts an inventory increase (entry number 5) with a valuation date (01-03-20) that comes before one
or more inventory decreases. To balance the inventory, the average cost must be recalculated and adjusted to
17.00.
The following table shows the value entries that exist for the item after entry number 5 is introduced.
01-01-20 1 10.00 1
01-02-20 1 20.00 2
01-03-20 1 21.00 5
02-15-20 -1 -17.00 3
02-16-20 -1 -17.00 4
See Also
Finance
Variance is defined as the difference between the actual cost and the standard cost, as described in the following
formula.
actual cost – standard cost = variance
If the actual cost changes, for example, because you post an item charge on a later date, then the variance is
updated accordingly.
NOTE
Revaluation does not affect the variance calculation, because revaluation only changes the inventory value.
Example
The following example illustrates how variance is calculated for purchased items. It is based on the following
scenario:
1. The user purchases an item at LCY 90.00, but the standard cost is LCY 100.00. Accordingly, the purchase
variance is LCY –10.00.
2. LCY 10.00 is credited to the purchase variance account.
3. The user posts an item charge of LCY 20.00. Accordingly, the actual cost is increased to LCY 110.00, and the
value of the purchase variance becomes LCY 10.00.
4. LCY 20.00 is debited to the purchase variance account. Accordingly, the net purchase variance becomes LCY
10.00.
5. The user revalues the item from LCY 100.00 to LCY 70.00. This does not affect the variance calculation, only
the inventory value.
The following table shows the resulting value entries.
Determining the Standard Cost

The standard cost is used when calculating variance and the amount to capitalize. Since the standard cost can be
changed over time because of manual update calculation, you need a point in time when the standard cost is
fixed for variance calculation. This point is when the inventory increase is invoiced. For produced or assembled
items, the point when standard cost is determined is when the cost is adjusted.
The following table shows how different cost shares are calculated for produced and assembled items when you
use the Calculate Standard Cost function.
C O ST SH A RE P URC H A SED IT EM P RO DUC ED/ A SSEM B L ED IT EM
Standard Cost Single-Level Material Cost + Single-

Level Capacity Cost + Single-Level
Subcontrd. Cost + Single-Level Cap.
Ovhd. Cost + Single-Level Mfg. Ovhd.
Cost
Single-Level Material Cost Unit Cost
Single-Level Capacity Cost Not applicable
Single-Level Subcontrd. Cost Not applicable
Single-Level Cap. Ovhd Cost Not applicable
Single-Level Mfg. Ovhd Cost Not applicable (Single-Level Material Cost + Single-
Level Capacity Cost + Single-Level
Subcontrd. Cost) * Indirect Cost % /
100 + Overhead Rate
Rolled-up Material Cost Unit Cost
Rolled-up Capacity Cost Not applicable
Rolled-Up Subcontracted Cost Not applicable
Rolled-up Capacity Ovhd. Cost Not applicable
Rolled-up Mfg. Ovhd. Cost Not applicable
See Also
Design Details: Costing Methods Managing Inventory Costs
Finance
Rounding residuals can occur when you value the cost of an inventory decrease that is measured in a different
quantity than the corresponding inventory increase. Rounding residuals are calculated for all costing methods
when you run the Adjust Cost - Item Entries batch job.
When you use the average costing method, the rounding residual is calculated and recorded on a cumulative,
entry-by-entry basis.
When you use a costing method other than Average, the rounding residual is calculated when the inventory
increase has been fully applied, that is when the remaining quantity for the inventory increase is equal to zero. A
separate entry is then created for the rounding residual, and the posting date on this rounding entry is the
posting date of the last invoiced value entry of the inventory increase.
Example
The following example illustrates how different rounding residuals are handled for the average costing method
and non-Average costing method, respectively. In both cases, the Adjust Cost - Item Entries batch job has
been run.
The following table shows the item ledger entries that the example is based on.
01-01-20 3 1
02-01-20 -1 2
03-01-20 -1 3
04-01-20 -1 4
For an item using the Average costing method, the rounding residual (1/300) is calculated with the first
decrease (entry number 2) and is carried forward to entry number 3. Therefore, entry number 3 is valued at –
3.34.
C O ST A M O UN T IT EM L EDGER EN T RY
P O ST IN G DAT E Q UA N T IT Y ( A C T UA L ) N O. EN T RY N O.
01-01-20 3 10 1 1
02-01-20 -1 -3.33 2 2
03-01-20 -1 -3.34 3 3
04-01-20 -1 -3.33 4 4
For an item using a costing method other than Average, the rounding residual (0.01) is calculated when the
remaining quantity for the inventory increase is zero. The rounding residual has a separate entry (number 5).
P O ST IN G DAT E Q UA N T IT Y ( A C T UA L ) N O. EN T RY N O.
01-01-20 3 10 1 1
02-01-20 -1 -3.33 2 2
03-01-20 -1 -3.33 3 3
04-01-20 -1 -3.33 4 4
01-01-20 0 -0.01 1 5
See Also
Design Details: Costing Methods Managing Inventory Costs
Finance
Cost components are different types of costs that make up the value of an inventory increase or decrease.
The following table shows the different cost components and any subordinate cost components that they
consist of.
C O ST C O M P O N EN T SUB O RDIN AT E C O ST C O M P O N EN T DESC RIP T IO N
Direct cost Unit cost (direct purchase price) Cost that can be traced to a cost
object.
Direct cost Freight cost (item charge) Cost that can be traced to a cost
object.
Direct cost Insurance cost (item charge) Cost that can be traced to a cost
object.
Indirect cost Cost that cannot be traced to a cost

object.
Variance Purchase variance The difference between actual and

standard costs, which is only posted
for items using the Standard costing
method.
Variance Material variance The difference between actual and

method.
Variance Capacity variance The difference between actual and

method.
Variance Subcontracted variance The difference between actual and

method.
Variance Capacity overhead variance The difference between actual and

method.
Variance Manufacturing overhead variance The difference between actual and

method.
C O ST C O M P O N EN T SUB O RDIN AT E C O ST C O M P O N EN T DESC RIP T IO N
Revaluation A depreciation or appreciation of the

current inventory value.
Rounding Residuals caused by the way in which

valuation of inventory decreases are
calculated.
NOTE
Freight and insurance costs are item charges that can be added to an item’s cost at any time. When you run the Adjust
Cost - Item Entries batch job, the value of any related inventory decreases are updated accordingly.
See Also
Design Details: Variance Managing Inventory Costs
Finance
Backdated transactions or cost adjustments often affect balances and stock valuations for accounting periods
that may be considered closed. This can have adverse effects on accurate reporting, especially within global
corporations. The Inventory Periods feature can be used to avoid such problems by opening or closing
inventory periods to limit posting in a set period of time.
An inventory period is a period of time, defined by an ending date, in which you post inventory transactions.
When you close an inventory period, no value changes can be posted in the closed period. This includes new
value postings, expected or invoiced postings, changes to existing values, and cost adjustments. However, you
can still apply to an open item ledger entry that falls in the closed period. For more information, see Design
Details: Item Application.
To make sure that all transaction entries in a closed period are final, the following conditions must be met before
an inventory period can close:
All outbound item ledger entries in the period must be closed (no negative inventory).
All item costs in the period must be adjusted.
All released and finished production orders in the period must be cost adjusted.
When you close an inventory period, an inventory period entry is created by using the number of the last item
register that falls in the inventory period. In addition, the time, date, and user code of the user closing the period
are recorded in the inventory period entry. By using this information with the last item register for the previous
period, you can see which inventory transactions were posted in the inventory period. It is also possible to
reopen inventory periods if you need to post in a closed period. When you reopen an inventory period, an
inventory period entry is created.
See Also
Finance
Working with Business Central
Each inventory transaction, such as a purchase receipt or a sales shipment, posts two entries of different types.
EN T RY T Y P E DESC RIP T IO N
Quantity Reflects the change of quantity in inventory. This information

is stored in item ledger entries.
Accompanied by item application entries.
Value Reflects the change of inventory value. This information is

stored in value entries.
One or more value entries can exist for each item ledger
entry or capacity ledger entry.
For information about capacity value entries related to the

use of production or assembly resources, see Design Details:
Production Order Posting.
In relation to quantity postings, item application entries exist to link inventory increase with inventory decrease.
This enables the costing engine to forward costs from increases to the related decreases and vice versa. For
more information, see Design Details: Item Application.
Item ledger entries, value entries, and item application entries are created as a result of posting an item journal
line, either indirectly by posting an order line or directly in the Item Journal page.
At regular intervals, value entries that are created in the inventory ledger are posted to the general ledger to
reconcile the two ledgers for financial control reasons. For more information, see Design Details: Reconciliation
with the General Ledger.
Example
The following example shows how item ledger entries, value entries, and item application entries result in
general ledger entries.
You post a purchase order as received and invoiced for 10 items with a direct unit cost of LCY 7 and an overhead
rate of LCY 1. The posting date is 01-01-20. The following entries are created.
Item Ledger Entries (1)
C O ST A M O UN T
P O ST IN G DAT E EN T RY T Y P E ( A C T UA L ) Q UA N T IT Y EN T RY N O.
01-01-20 Purchase 80.00 10 1
Value Entries (1)

P O ST IN G DAT E EN T RY T Y P E ( A C T UA L ) N O. EN T RY N O.
01-01-20 Direct Cost 70.00 1 1
01-01-20 Indirect Cost 10.00 1 2
Item Application Entries (1)

IT EM L EDGER EN T RY IN B O UN D IT EM O UT B O UN D IT EM
EN T RY N O. N O. EN T RY N O. EN T RY N O. Q UA N T IT Y
1 1 1 0 10
Next, you post a sale of 10 units of the item with a posting date of 01-15-20.
Item Ledger Entries (2)
C O ST A M O UN T
P O ST IN G DAT E EN T RY T Y P E ( A C T UA L ) Q UA N T IT Y EN T RY N O.
01-15-20 Sale -80.00 -10 2
Value Entries (2)

P O ST IN G DAT E EN T RY T Y P E ( A C T UA L ) N O. EN T RY N O.
01-15-20 Direct Cost -80.00 2 3
Item Application Entries (2)

IT EM L EDGER EN T RY IN B O UN D IT EM O UT B O UN D IT EM
EN T RY N O. N O. EN T RY N O. EN T RY N O. Q UA N T IT Y
2 2 1 2 -10
At the end of the accounting period, you run the Post Inventor y Cost to G/L batch job to reconcile these
inventory transactions with the general ledger.
For more information, see Design Details: Accounts in the General Ledger.
The following tables show the result of reconciling the inventory transactions in this example with the general
ledger.
Value Entries (3)
C O ST A M O UN T C O ST P O ST ED IT EM L EDGER
P O ST IN G DAT E EN T RY T Y P E ( A C T UA L ) TO G/ L EN T RY N O. EN T RY N O.
01-01-20 Direct Cost 70.00 70.00 1 1
01-01-20 Indirect Cost 10.00 10.00 1 2
01-15-20 Direct Cost -80.00 -80.00 2 3


Account]
01-01-07 [Overhead Applied 7292 -10.00 4

Account]
01-15-20 [COGS Account] 7290 80.00 6
NOTE
The posting date of the general ledger entries is the same as for the related value entries.
The Cost Posted to G/L field in the Value Entr y table is filled.
The relation between value entries and general ledger entries is stored in the G/L - Item Ledger Relation
table.
Relation Entries in the G/L – Item Ledger Relation table (3)
1 1 1
2 1 1
3 2 1
4 2 1
5 3 1
6 3 1
Assembly and Production Posting

Capacity and resource ledger entries represent the time that is posted as consumed in production or assembly.
These process costs are posted as value entries to the general ledger along with the involved material costs in a
similar structure as described for item ledger entries in this topic.
See Also
Design Details: Cost Components Managing Inventory Costs
Finance
Similar to assembly order posting, the consumed components and the used machine time are converted and
output as the produced item when the production order is finished. For more information, see Design Details:
Assembly Order Posting. However, the cost flow for assembly orders is less complex, especially because
assembly cost posting only occurs once and therefore does not generate work-in-process inventory.
Transactions that occur during the manufacturing process can be tracked through the following stages:
1. Purchase of materials and other manufacturing inputs.
2. Conversion into work in process.
3. Conversion into finished goods inventory.
4. Sale of finished goods.
Therefore, apart from regular inventory accounts, a manufacturing company must establish three separate
inventory accounts to record transactions at various stages of production.
IN VEN TO RY A C C O UN T DESC RIP T IO N
Raw Materials account Includes the cost of raw materials that are purchased but
not yet transferred to production. The balance in the Raw
Materials account indicates the cost of raw materials on
hand.
When raw materials move into the production department,

the cost of the materials is transferred from the Raw
Materials account to the WIP account.
Work in Process (WIP) account Accumulates the costs that are incurred during production in
the accounting period. The WIP account is debited for the
cost of raw materials that are transferred from the raw
materials warehouse, the cost of direct labor performed, and
the manufacturing overhead costs that are incurred.
The WIP account is credited for the total manufacturing cost

of units that are completed in the factory and transferred to
the finished goods warehouse.
Finished Goods account This account includes the total manufacturing cost of units
that are completed but not yet sold. At the time of sale, the
cost of units sold is transferred from the Finished Goods
account to the Cost of Goods Sold account.
The inventory value is calculated by tracking the costs of all increases and decreases, as expressed by the
following equation:
inventory value = beginning balance of inventory + value of all increases - value of all decreases
Depending on the type of inventory, increases and decreases are represented by different transactions.
IN C REA SES DEC REA SES

IN C REA SES DEC REA SES
Raw material inventor y - Net purchases of material Material consumption

- Output of subassemblies
- Negative consumption
WIP inventor y - Material consumption Output of end items (cost of goods

- Capacity consumption manufactured)
- Manufacturing overhead
Finished goods inventor y Output of end items (cost of goods - Sales (cost of goods sold)
manufactured) - Negative output
Raw material inventor y - Net purchases of material Material consumption

- Output of subassemblies
- Negative consumption
The values of increases and decreases are recorded in the different types of manufactured inventory in the same
way as for purchased inventory. Every time a transaction of inventory increase or decrease takes place, an item
ledger entry and a corresponding general ledger entry are created for the amount. For more information, see
Design Details: Inventory Posting.
Although values of transactions that are related to purchased goods are posted only as item ledger entries with
related value entries, transactions that are related to produced items are posted as capacity ledger entries with
related value entries, in addition to the item ledger entries.
Posting Structure
Posting production orders to WIP inventory involves output, consumption, and capacity.
The following diagram shows the involved posting routines in codeunit 22.
The following diagram shows the associations between the resulting entries and the cost objects.
The capacity ledger entry describes the capacity consumption in terms of time units, whereas the related value
entry describes the value of the specific capacity consumption.
The item ledger entry describes the material consumption or output in terms of quantities, whereas the related
value entry describes the value of this specific material consumption or output.
A value entry that describes WIP inventory value can be associated with one of the following combinations of
cost objects:
A production order line, a work or machine center, and a capacity ledger entry.
A production order line, an item, and an item ledger entry.
Only a production order line
For more information about how costs from production and assembly are posted to the general ledger, see
Design Details: Inventory Posting.
Capacity Posting
Posting output from the last production order routing line results in a capacity ledger entry for the end item, in
addition to its inventory increase.
The capacity ledger entry is a record of the time that was spent to produce the item. The related value entry
describes the increase of the WIP inventory value, which is the value of the conversion cost. For more
information, see “From the Capacity Ledger” in Design Details: Accounts in the General Ledger.
Production Order Costing

To control inventory and production costs, a manufacturing company must measure the cost of production
orders, because the predetermined standard cost of each produced item is capitalized in the balance sheet. For
information about why produced items use the Standard costing method, see Design Details: Costing Methods.
NOTE
In environments that do not use the Standard costing method, the actual rather than the standard cost of produced
items is capitalized on the balance sheet.
The actual cost of a production order consists of the following cost components:
Actual material cost
Actual capacity cost or subcontractor cost
Manufacturing overhead
These actual costs are posted to the production order and compared to the standard cost to calculate variances.
Variances are calculated for each of the item cost components: raw materials, capacity, subcontractor, capacity
overhead, and manufacturing overhead. The variances can be analyzed to determine problems, such as
excessive waste in processing.
In standard-cost environments, the costing of a production order is based on the following mechanism:
1. When the last routing operation is posted, the production order cost is posted to the item ledger and set
to the expected cost.
This cost equals the output quantity that is posted in the output journal multiplied by the standard cost
that is copied from the item card. The cost is treated as expected cost until the production order is
finished. For more information, see Design Details: Expected Cost Posting.
NOTE
This differs from assembly order posting, which always posts actual costs. For more information, see Design
Details: Assembly Order Posting.
2. When the production order is set to Finished , the order is invoiced by running the Adjust Cost-Item
Entries batch job. As a result, the total cost of the order is calculated based on the standard cost of the
consumed materials and capacity. The variances between the calculated standard costs and the actual
production costs are calculated and posted.
See Also
Managing Inventory Costs Finance
Assembly order posting is based on the same principles as when posting the similar activities of sales orders
and production consumption/output. However, the principles are combined in that assembly orders have their
own posting UI, like that for sales orders, while the actual entry posting happens in the background as direct
item and resource journal postings, like that for production consumption, output, and capacity.
Similarly to production order posting, the consumed components and the used resources are converted and
output as the assembly item when the assembly order is posted. For more information, see Design Details:
Production Order Posting. However, the cost flow for assembly orders is less complex, especially because
The following journal postings occur during assembly order posting:
The item journal posts positive item ledger entries, representing output of the assembly item, from the
assembly order header
The item journal posts negative item ledger entries, representing consumption of assembly components,
from the assembly order lines.
The resource journal posts usage of assembly resources (time units), from the assembly order lines.
The capacity journal posts value entries relating to the resource usage, from the assembly order lines.
The following diagram shows the structure of item and resource ledger entries that result from assembly order
posting.
NOTE
Machine and work centers are included to illustrate that capacity ledger entries are created from both production and
assembly.
The following diagram shows how assembly data flows into ledger entries during posting:
Posting Sequence
The posting of an assembly order occurs in the following order:
1. The assembly order lines are posted.
2. The assembly order header is posted.
The following table outlines the sequence of actions.
A C T IO N DESC RIP T IO N
Initialize Posting 1. Make preliminary checks.

2. Add posting number and modify the assembly order
header.
3. Release the assembly order.
Post 1. Create the posted assembly order header.

2. Copy comment lines.
3. Post assembly order lines (consumption):
a. Create a status page to calculate assembly

consumption.
b. Get the remaining quantity on which the item
journal line will be based.
c. Reset the consumed and remaining quantities.
d. For assembly order lines of type Item:
a. Populate fields on the item journal line.

b. Transfer reservations to the item
journal line.
c. Post the item journal line to create the
item ledger entries.
d. Create warehouse journal lines and
post them.
e. For assembly order lines of type Resource:

b. Post the item journal line. This creates
capacity ledger entries.
c. Create and post resource journal line.
f. Transfer field values from the assembly order
line into a newly created posted assembly
order line.
4. Post the assembly order header (output):

b. Transfer reservations to the item journal line.
c. Post the item journal line to create the item
ledger entries.
d. Create warehouse journal lines and post
them.
e. Reset the assembly quantities and remaining
quantities.
IMPORTANT
Unlike for production output, which is posted at expected cost, assembly output is posted at actual cost.
Cost Adjustment
Once an assembly order is posted, meaning that components (material) and resources are assembled into a new
item, then it should be possible to determine the actual cost of that assembly item, and the actual inventory cost
of the components involved. This is achieved by forwarding costs from the posted entries of the source (the
components and resources) to the posted entries of the destination (the assembly item). The forwarding of costs
is done by calculating and generating new entries, called adjustment entries that become associated with the
destination entries.
The assembly costs to be forwarded are detected with the Order Level detection mechanism. For information
about other adjustment detection mechanisms, see Design Details: Cost Adjustment.
The order Level detection function is used in conversion scenarios, production and assembly. The function works
as follows:
consumed/used.
same order.
The following graphic shows the adjustment entry structure and how assembly costs are adjusted.
Performing the Adjustment

The spreading of detected adjustments from material and resource costs onto the assembly output entries is
performed by the Adjust Cost – Item Entries batch job. It contains the Make Multilevel Adjustment function,
which consists of the following two elements:
Make Assembly Order Adjustment – which forwards cost from material and resource usage to the assembly
output entry. Lines 5 and 6 in the algorithm below are responsible for that.
Make Single Level Adjustments – which forwards costs for individual items using their costing method. Lines
9 and 10 in the algorithm below are responsible for that.
NOTE
The Make WIP Adjustments element, in lines 7 and 8, is responsible for forwarding production material and capacity
usage to the output of unfinished production orders. This is not used when adjusting assembly order costs as the concept
of WIP does not apply to assembly.
For information about how costs from assembly and production are posted to the general ledger, see Design
Details: Inventory Posting.
Assembly Costs are Always Actual

The concept of work in process (WIP) does not apply in assembly order posting. Assembly costs are only posted
as actual cost, never as expected cost. For more information, see Design Details: Expected Cost Posting.
This is enabled by the following data structure.
In the Type field on item journal lines, in the Capacity Ledger Entr y and Value Entr y tables, Resource is
used to identify assembly resource entries.
In the Item Ledger Entr y Type field on item journal lines, in the Capacity Ledger Entr y and Value Entr y
tables, Assembly Output and Assembly Consumption are used to identify the output assembly item entries
and the consumed assembly component entries respectively.
In addition, posting group fields on the assembly order header and assembly order lines are populated by
default as follows.
GEN . P RO D. P O ST IN G
EN T IT Y TYPE P O ST IN G GRO UP GRO UP
Assembly Order Header Item Inventory Posting Group Gen. Prod. Posting Group
Assembly Order Line Item Inventory Posting Group Gen. Prod. Posting Group
Assembly Order Line Resource Gen. Prod. Posting Group
Accordingly, only actual costs are posted to the general ledger, and no interim accounts are populated from
assembly order posting. For more information, see Design Details: Accounts in the General Ledger
Assemble to Order
The item ledger entry that results from posting an assemble-to-order sale is fixed applied to the related item
ledger entry for the assembly output. Accordingly, the cost of an assemble-to-order sale is derived from the
assembly order that it was linked to.
Item ledger entries of type Sale that result from posting assemble-to-order quantities are marked with Yes in
the Assemble to Order field.
Posting sales order lines where a part is inventory quantity and another part is assemble-to-order quantity
results in separate item ledger entries, one for the inventory quantity and one for the assemble-to-order
quantity.
Posting dates
In general, posting dates are copied from a sales order to the linked assembly order. The posting date in the
assembly order is automatically updates when you change the posting date in the sales order directly or
indirectly, such as if you change the posting date in the wareshouse shippment, inventory pick, or as part of a
bulk posting.
You can change the posting date in the assembly order manually. However, it can not be later then posting date
in the linked sales order. The system will keep this date unless you update the posting date in the sales order.
See Also
Finance
Design Details: Reconciliation with the General
Ledger
When you post inventory transactions, such as sales shipments, production output, or negative adjustments, the
quantity and value changes to the inventory are recorded in the item ledger entries and the value entries,
respectively. The next step in the process is to post the inventory values to the inventory accounts in the general
ledger.
There are two ways to reconcile the inventory ledger with the general ledger:
Manually, by running the Post Inventor y Cost to G/L batch job.
Automatically, every time that you post an inventory transaction.
Post Inventory Cost to G/L Batch Job

When you run the Post Inventor y Cost to G/L batch job, the general ledger entries are created based on
value entries. You have the option to summarize general ledger entries for each value entry, or create general
ledger entries for each combination of posting date, location code, inventory posting group, general business
posting group, and general product posting group.
The posting dates of the general ledger entries are set to the posting date of the corresponding value entry,
except when the value entry falls in a closed accounting period. In this case, the value entry is skipped, and you
must change either the general ledger setup or the user setup to enable posting in the date range.
When you run the Post Inventor y Cost to G/L batch job, you might receive errors because of missing setup
or incompatible dimension setup. If the batch job encounters errors in the dimension setup, it overrides these
errors and uses the dimensions of the value entry. For other errors, the batch job does not post the value entries
and lists them at the end of the report in a section titled, Skipped Entries . To post these entries, you must first
fix the errors. To see a list of errors before you run the batch job, you can run the Post Invt. Cost to G/L - Test
report. This report lists all of the errors that are encountered during a test posting. You can fix the errors, and
then run the inventory cost posting batch job without skipping any entries.
Automatic Cost Posting

To set up cost posting to the general ledger to run automatically when you post an inventory transaction, select
the Automatic Cost Posting check box on the Inventor y Setup page. The posting date of the general ledger
entry is the same as the posting date of the item ledger entry.
Account Types
During reconciliation, inventory values are posted to the inventory account in the balance sheet. The same
amount, but with the reverse sign, is posted to the relevant balancing account. Usually the balancing account is
an income statement account. However, when you post direct cost related to consumption or output, the
balancing account is a balance sheet account. The type of the item ledger entry and value entry determines
which general ledger account to post to.
The entry type indicates which general ledger account to post to. This is determined either by the sign of the
quantity on the item ledger entry or the valued quantity on the value entry, since the quantities always have the
same sign. For example, a sales entry with a positive quantity describes an inventory decrease caused by a sale,
and a sales entry with a negative quantity describes an inventory increase caused by a sales return.
Example
The following example shows a bike chain that is manufactured from purchased links. This example shows how
the various general ledger account types are used in a typical scenario.
The Expected Cost Posting to G/L check box on the Inventor y Setup page is selected, and the following
setup is defined.
The following table shows how the link is set up on the item card.
SET UP F IEL D VA L UE
Costing Method Standard
Standard Cost LCY 1.00
Overhead Rate LCY 0.02
The following table shows how the chain is set up on the item card.
Standard Cost LCY 150.00
Overhead Rate LCY 25.00
The following table shows how the work center is set up on the work center card.
Direct Unit Cost LCY 2.00
Indirect Cost Percentage 10
Sc e n a r i o
1. The user purchases 150 links and posts the purchase order as received. (Purchase)
2. The user posts the purchase order as invoiced. This creates an overhead amount of LCY 3.00 to be
allocated and a variance amount of LCY 18.00. (Purchase)
a. The interim accounts are cleared. (Purchase)
b. The direct cost is posted. (Purchase)
c. The indirect cost is calculated and posted. (Purchase)
d. The purchase variance is calculated and posted (only for standard-cost items). (Purchase)
3. The user sells one chain and posts the sales order as shipped. (Sale)
4. The user posts the sales order as invoiced. (Sale)
a. The interim accounts are cleared. (Sale)
b. Cost of goods sold (COGS) is posted. (Sale)
5. The user posts consumption of 150 links, which is the number of links used to produce one chain.
(Consumption, Material)
6. The work center used 60 minutes to produce the chain. The user posts the conversion cost.
(Consumption, Capacity)
a. The direct costs are posted. (Consumption, Capacity)
b. The indirect costs are calculated and posted. (Consumption, Capacity)
7. The user posts the expected cost of one chain. (Output)

8. The user finishes the production order and runs the Adjust Cost - Item Entries batch job. (Output)
a. The interim accounts are cleared. (Output)
b. The direct cost is transferred from the WIP account to the inventory account. (Output)
c. The indirect cost (overhead) is transferred from the indirect cost account to the inventory account.
(Output)
d. This results in a variance amount of LCY 157.00. Variances are only calculated for standard-cost
items. (Output)
NOTE
For the sake of simplicity, only one variance account is shown. In reality, five different accounts exist:
Material Variance
Capacity Variance
Capacity Overhead Variance
Subcontracting Variance
Manufacturing Overhead Variance
9. The user revalues the chain from LCY 150.00 to LCY 140.00. (Adjustment/Revaluation/Rounding/Transfer)
For more information about the relationship between the account types and the different types of value entries,
see Design Details: Accounts in the General Ledger.
See Also
Design Details: Cost Adjustment Managing Inventory Costs
Finance
To reconcile inventory and capacity ledger entries with the general ledger, the related value entries are posted to
different accounts in the general ledger. For more information, see Design Details: Reconciliation with the
General Ledger.
From the Inventory Ledger

The following table shows the relationship between different types of inventory value entries and the accounts
and balancing accounts in the general ledger.
IT EM L EDGER VA L UE EN T RY B A L A N C IN G
EN T RY T Y P E TTYPE VA RIA N C E T Y P E EXP EC T ED C O ST A C C O UN T A C C O UN T
Purchase Direct Cost Yes Inventory Invt. Accrual Acc.

(Interim) (Interim)
Purchase Direct Cost No Inventory Direct Cost

Applied
Purchase Indirect Cost No Inventory Overhead

Applied
Purchase Variance Purchase No Inventory Purchase

Variance
Purchase Revaluation No Inventory Inventory Adjmt.
Purchase Rounding No Inventory Inventory Adjmt.
Sale Direct Cost Yes Inventory COGS (Interim)

(Interim)
Sale Direct Cost No Inventory COGS
Sale Revaluation No Inventory Inventory Adjmt.
Sale Rounding No Inventory Inventory Adjmt.
Positive Direct Cost No Inventory Inventory Adjmt.

Adjmt.,Negative
Adjmt., Transfer
Positive Revaluation No Inventory Inventory Adjmt.

Adjmt.,Negative
Adjmt., Transfer
Positive Rounding No Inventory Inventory Adjmt.

Adjmt.,Negative
Adjmt., Transfer
(Production) Direct Cost No Inventory WIP

Consumption
(Production) Revaluation No Inventory Inventory Adjmt.

Consumption
(Production) Rounding No Inventory Inventory Adjmt.

Consumption
Assembly Direct Cost No Inventory Inventory Adjmt.

Consumption
Assembly Direct Cost No Direct Cost Inventory Adjmt.

Consumption Applied
Assembly Indirect Cost No Overhead Inventory Adjmt.

Consumption Applied
(Production) Direct Cost Yes Inventory WIP

Output (Interim)
(Production) Direct Cost No Inventory WIP

Output
(Production) Indirect Cost No Inventory Overhead

Output Applied
(Production) Variance Material No Inventory Material Variance

Output
(Production) Variance Capacity No Inventory Capacity

Output Variance
(Production) Variance Subcontracted No Inventory Subcontracted

Output Variance
(Production) Variance Capacity No Inventory Cap. Overhead

Output Overhead Variance
(Production) Variance Manufacturing No Inventory Mfg. Overhead

(Production) Revaluation No Inventory Inventory Adjmt.

Output
(Production) Rounding No Inventory Inventory Adjmt.

Output
Assembly Direct Cost No Inventory Inventory Adjmt.

Output
Assembly Revaluation No Inventory Inventory Adjmt.

Output
Assembly Indirect Cost No Inventory Overhead

Output Applied
Assembly Variance Material No Inventory Material Variance

Output
Assembly Variance Capacity No Inventory Capacity

Output Variance
Assembly Variance Capacity No Inventory Cap. Overhead

Assembly Variance Manufacturing No Inventory Mfg. Overhead

Assembly Rounding No Inventory Inventory Adjmt.

Output
From the Capacity Ledger

The following table shows the relationship between different types of capacity value entries and the accounts
and balancing accounts in the general ledger. Capacity ledger entries represent labor time consumed in
assembly or production work.
C A PA C IT Y L EDGER B A L A N C IN G
W O RK T Y P E EN T RY T Y P E VA L UE EN T RY T Y P E A C C O UN T A C C O UN T
Assembly Resource Direct Cost Direct Cost Applied Inventory Adjmt.
Assembly Resource Indirect Cost Overhead Applied Inventory Adjmt.
Production Machine Direct Cost WIP Account Direct Cost Applied

Center/Work Center
Production Machine Indirect Cost WIP Account Overhead Applied

Center/Work Center

As shown in the table above, assembly postings are not represented in interim accounts. This is because the
concept of work in process (WIP) does not apply in assembly output posting, unlike in production output
posting. Assembly costs are only posted as actual cost, never as expected cost.
Calculating the Amount to Post to the General Ledger

The following fields in the Value Entr y table are used to calculate the expected cost amount that is posted to
the general ledger:
Cost Amount (Actual)
Cost Posted to G/L
Cost Amount (Expected)
Expected Cost Posted to G/L
The following table shows how the amounts to post to the general ledger are calculated for the two different
cost types.
C O ST T Y P E C A L C UL AT IO N
Actual Cost Cost Amount (Actual) – Cost Posted to G/L
Expected Cost Cost Amount (Expected) – Expected Cost Posted to G/L
See Also
Finance
Inventory valuation is the determination of the cost that is assigned to an inventory item, as expressed by the
following equation.
Ending inventory = beginning inventory + net purchases – cost of goods sold
The calculation of inventory valuation uses the Cost Amount (Actual) field of the value entries for the item.
The entries are classified according to the entry type that corresponds to the cost components, direct cost,
indirect cost, variance, revaluation, and rounding. For more information, see Design Details: Cost Components.
Entries are applied against each other, either by the fixed application or according to the general cost-flow
assumption defined by the costing method. One entry of inventory decrease can be applied to more than one
increase entry with different posting dates and possibly different acquisition costs. For more information, see
Design Details: Item Application. Therefore, calculation of the inventory value for a given date is based on
summing up positive and negative value entries.
Inventory Valuation report

To calculate the inventory value in the Inventor y Valuation report, the report begins by calculating the value
of the item’s inventory at a given starting date. It then adds the value of inventory increases and subtracts the
value of inventory decreases up to a given ending date. The end result is the inventory value on the ending date.
The report calculates these values by summing the values in the Cost Amount (Actual) field in the value
entries, using the posting dates as filters.
The printed report always shows actual amounts, that is, the cost of entries that have been posted as invoiced.
The report will also print the expected cost of entries that have posted as received or shipped, if you select the
Include Expected Cost field on the Options FastTab.
IMPORTANT
Values in the Inventor y Valuation report is reconciled with the Inventory account in the general ledger, meaning the
value entries in question have been posted to the general ledger.
IMPORTANT
Amounts in the Value columns of the report are based on the posting date of transactions for an item.
Inventory Valuation - WIP report

A manufacturing company needs to determine the value of three types of inventory:
Raw Materials inventory
WIP inventory
Finished Goods inventory
The value of WIP inventory is determined by the following equation:
Ending WIP inventory = Beginning WIP inventory + manufacturing costs – cost of goods manufactured
As for purchased inventory, the value entries provide the basis of the inventory valuation. The calculation is
made using the values in the Cost Amount (Actual) field of the item and capacity value entries associated with
a production order.
The purpose of WIP inventory valuation is to determine the value of the items whose manufacturing has not yet
been completed on a given date. Therefore the WIP inventory value is based on the value entries related to the
consumption and capacity ledger entries. Consumption ledger entries must be completely invoiced at the date
of the valuation. Therefore, the Inventor y Valuation – WIP report shows the costs representing the WIP
inventory value in two categories: consumption and capacity.
See Also
Design Details: Production Order Posting Managing Inventory Costs
Finance
You can revalue the inventory based on the valuation base that most accurately reflects the inventory value. You
can also backdate a revaluation, so that the cost of goods sold (COGS) is correctly updated for items that have
already been sold. Items using the Standard costing method that have not been completely invoiced can also be
revalued.
In Business Central, the following flexibility is supported regarding revaluation:
The revaluable quantity can be calculated for any date, also back in time.
For items using Standard costing method, expected cost entries are included in revaluation.
Inventory decreases affected by revaluation are detected.
Calculating the Revaluable Quantity

The revaluable quantity is the remaining quantity on inventory that is available for revaluation on a given date. It
is calculated as the sum total of the quantities of completely invoiced item ledger entries that have a posting
date equal to or earlier than the revaluation posting date.
NOTE
Items using the Standard costing method are treated differently when calculating the revaluable quantity per item,
location, and variant. The quantities and values of item ledger entries that are not completely invoiced are included in the
revaluable quantity.
After a revaluation has been posted, you can post an inventory increase or decrease with a posting date that
comes before the revaluation posting date. However, this quantity will not be affected by the revaluation. To
balance the inventory, only the original revaluable quantity is considered.
Because revaluation can be made on any date, you must have conventions for when an item is considered part
of inventory from a financial point of view. For example, when the item is on inventory and when the item is
work in process (WIP).
Example
The following example illustrates when a WIP item transitions to become part of inventory. The example is
based on the production of a chain with 150 links.
1Q : The user posts the purchased links as received. The following table shows the resulting item ledger entry.
P O ST IN G DAT E IT EM EN T RY T Y P E Q UA N T IT Y EN T RY N O.
01-01-20 LINK Purchase 150 1

NOTE
Now an item using the Standard costing method is available for revaluation.
1V : The user posts the purchased links as invoiced and the links become part of inventory, from a financial point
of view. The following table shows the resulting value entries.
VA L UAT IO N C O ST A M O UN T IT EM L EDGER
P O ST IN G DAT E EN T RY T Y P E DAT E ( A C T UA L ) EN T RY N O. EN T RY N O.
01-15-20 Direct Cost 01-01-20 150.00 1 1
2Q + 2V : The user posts the purchased links as consumed for the production of the iron chain. From a financial
point of view, the links become part of WIP inventory. The following table shows the resulting item ledger entry.
02-01-20 LINK Consumption -150 1
The following table shows the resulting value entry.
02-01-20 Direct Cost 02-01-20 -150.00 2 2
The valuation date is set to the date of the consumption posting (02-01-20), as a regular inventory decrease.
3Q : The user posts the chain as output and finishes the production order. The following table shows the
resulting item ledger entry.
02-15-20 CHAIN Output 1 3
3V : The user runs the Adjust Cost - Item Entries batch job, which posts the chain as invoiced to indicate that
all material consumption has been completely invoiced. From a financial point of view, the links are no longer
part of WIP inventory when the output is completely invoiced and adjusted. The following table shows the
resulting value entries.
01-15-20 Direct Cost 01-01-20 150.00 2 2
02-01-20 Direct Cost 02-01-20 -150.00 2 2
02-15-20 Direct Cost 02-15-20 150.00 3 3
Expected Cost in Revaluation

The revaluable quantity is calculated as the sum of the quantity for completely invoiced item ledger entries with
a posting date equal to or earlier than the revaluation date. This means that when some items are
received/shipped but not invoiced, their inventory value cannot be calculated. Items that use the Standard
costing method are not limited in this respect.
NOTE
Another type of expected cost that can be revalued is WIP inventory, within certain rules. For more information, see WIP
Inventory Revaluation.
When calculating the re-valuable quantity for items using the Standard costing method, item ledger entries that
have not been completely invoiced are included in the calculation. These entries are then revalued when you
post the revaluation. When you invoice the revalued entry, the following value entries are created:
The usual invoiced value entry with an entry type of Direct Cost . The cost amount on this entry is the direct
cost from the source line.
A value entry with an entry type of Variance . This entry records the difference between the invoiced cost
and the revalued standard cost.
A value entry with an entry type of Revaluation . This entry records the reversal of the revaluation of the
expected cost.
Example
The following example, which is based on the production of the chain in the previous example, illustrates how
the three types of entries are created. It is based on the following scenario:
1. The user posts the purchased links as received with a unit cost of LCY 2.00.
2. The user then posts a revaluation of the links with a new unit cost of LCY 3.00, updating the standard cost
to LCY 3.00.
3. The user posts the original purchase of the links as invoiced, which creates the following:
a. An invoiced value entry with an entry type of Direct Cost .
b. A value entry with an entry type of Revaluation to record the reversal of the revaluation of the
expected cost.
c. A value entry with an entry type of Variance, recording the difference between the invoiced cost and
the revalued standard cost.
C O ST
A M O UN T C O ST IT EM
P O ST IN G EN T RY VA L UAT IO N ( EXP EC T ED A M O UN T L EDGER
ST EP DAT E TYPE DAT E ) ( A C T UA L ) EN T RY N O. EN T RY N O.
1. 01-15-20 Direct Cost 01-15-20 300.00 0.00 1 1
2. 01-20-20 Revaluation 01-20-20 150.00 0.00 1 2
3.a. 01-15-20 Direct Cost 01-15-20 -300.00 0.00 1 3
3.b. 01-15-20 Revaluation 01-20-20 -150.00 0.00 1 4
3.c. 01-15-20 Variance 01-15-20 0.00 450.00 1 5
Determining Whether an Inventory Decrease is Affected by

Revaluation
The date of the posting or the revaluation is used to determine if an inventory decrease is affected by a
revaluation.
The following table shows the criteria that is used for an item that does not use the Average costing method.
A F F EC T ED B Y
SC EN A RIO EN T RY N O. T IM IN G REVA L UAT IO N
A Earlier than revaluation Earlier than revaluation No

entry number posting date
B Earlier than revaluation Equal to revaluation posting No

entry no. date
C Earlier than revaluation Later than revaluation Yes

entry no. posting date
D Later than revaluation entry Earlier than revaluation Yes

no. posting date
E Later than revaluation entry Equal to revaluation posting Yes

no. date
F Later than revaluation entry Later than revaluation Yes

no. posting date
Example
The following example, which illustrates revaluation of an item that uses the FIFO costing method, is based on
the following scenario:
1. On 01-01-20, the user posts a purchase of 6 units.
2. On 02-01-20, the user posts a sale of 1 unit.
5. On 03-01-20, the user calculates the inventory value for the item, and posts a revaluation of the item’s unit
cost from LCY 10.00 to LCY 8.00.
9. The user runs the Adjust Cost - Item Entries batch job.
C O ST IT EM
01-01-20 Purchase 01-01-20 6 60.00 1 1
03-01-20 Revaluation 03-01-20 4 -8.00 1 5
A 02-01-20 Sale 02-01-20 -1 -10.00 2 2
B 03-01-20 Sale 03-01-20 -1 -10.00 3 3

C O ST IT EM
C 04-01-20 Sale 04-01-20 -1 -10.00 4 4
04-01-20 Sale 04-01-20 -1 2.00 4 9
D 02-01-20 Sale 03-01-20 -1 -10.00 5 6
02-01-20 Sale 03-01-20 -1 2.00 5 10
E 03-01-20 Sale 03-01-20 -1 -10.00 6 7
03-01-20 Sale 03-01-20 -1 2.00 6 11
F 04-01-20 Sale 04-01-20 -1 -10.00 7 8
04-01-20 Sale 04-01-20 -1 2.00 7 12
WIP Inventory Revaluation

Revaluation of WIP inventory implies revaluing components that are registered as part of WIP inventory at the
time of the revaluation.
With this in mind, it is important to establish conventions as to when an item is considered part of the WIP
inventory from a financial point of view. In Business Central, the following conventions exist:
A purchased component becomes part of the raw material inventory from the time of posting a purchase as
invoiced.
A purchased/sub-assembled component becomes part of the WIP inventory from the time of posting its
consumption in connection with a production order.
A purchased/sub-assembled component remains part of the WIP inventory until the time when a production
order (manufactured item) is invoiced.
The way the valuation date for the value entry of consumption is set, follows the same rules as for non-WIP
inventory. For more information, see Determining Whether an Inventory Decrease is Affected by Revaluation.
WIP inventory can be revalued as long as the revaluation date is not later than the posting date of the
corresponding item ledger entries of type Consumption and as long as the corresponding production order has
not been invoiced yet.
Cau t i on
The Inventor y Valuation - WIP report shows the value of posted production order entries and may therefore
be a little confusing for WIP items that have been revalued.
See Also
Design Details: Inventory Valuation Managing Inventory Costs
Finance
Design Details: Posting Date on Adjustment Value
Entry
This article provides guidance for users of the Inventory Costing functionality in Business Central, and in
particular for how the Adjust Cost - Item Entries batch job identifies and assigns a posting date to the value
entries that the batch job is about to create.
How posting dates are assigned

The Adjust Cost – Item Entries batch job assigns a posting date to the value entry it is about to create in the
following steps:
1. Initially the Posting Date of the entry to be created is the same date as the entry it adjusts.
2. The Posting Date is validated against Inventory Periods and/or General Ledger Setup.
3. Assignment of Posting Date; If the initial Posting Date is not within allowed posting date range the batch
job will assign an allowed Posting Date from either General Ledger Setup or Inventory Period. If both
Inventory Periods and allowed posting dates in General Ledger Setup are defined, the later date of the
two will be assigned to the Adjustment Value Entry.
Let’s review this process more in practice. Assume we have an Item Ledger Entry of Sale. The item was shipped
on September 5, 2020 and it was invoiced the day after.
Item Ledger Entry
C O ST
A M O UN IN VO IC E REM A IN
LO C AT I T D IN G
EN T RY IT EM P O ST IN EN T RY DO C UM ON Q UA N T I ( A C T UA Q UA N T I Q UA N T I
N O. N O. G DAT E TYPE EN T N O. C O DE TY L) TY TY
319 A 2020- Sale 102033 Blue -1 -11 -1 0

09-05
Below are the related value entries:

Entr y No. 379 represents the shipment and carry the same Posting Date as the parent Item ledger Entry.
Entr y No. 381 represents the invoice.
Entr y No. 391 is an Adjustment of the invoicing Value Entry (Entry No. 381 above).
IT E
M C OS
IT E L ED C OS T
M IT E GER IN V T AM
L ED M EN T O IC AM OU
POS GER DO L ED LO C RY ED OU NT APP
T IN EN T EN T CU GER AT I QU QU NT ( EX A DJ L IES SO U
EN T IT E G RY RY ME EN T ON AN AN (AC P EC UST - TO RC E
RY M DAT TYP TYP NT RY CO T IT T IT T UA T ED ME EN T CO
N O. N O. E E E N O. N O. DE Y Y L) ) NT RY DE
IT E
M C OS
IT E L ED C OS T
379 A 202 Sale Dire 102 319 Blu -1 0 0 -10 No 0 Sale

0- ct 033 e s
09- Cos
05 t
381 A 202 Sale Dire 103 319 Blu 0 -1 -10 10 No 0 Sale

0- ct 022 e s
09- Cos
06 t
391 A 202 Sale Dire 103 319 Blu 0 0 -1 0 Yes 181 INV
0- ct 022 e TAD
09- Cos JMT
10 t
To assign the posting date for Entr y No. 391 the following steps were applied:
1. The Adjustment Value Entr y to be created (Entr y No. 391 ) is assigned same Posting Date as the
entry it adjusts.
2. The Adjust Cost – Item Entries batch job determines if the initial Posting Date of the Adjustment Value
Entry is within allowed posting date range based upon Inventory Periods and/or General Ledger Setup.
Let’s review the above mentioned Sale by adding setup of allowed posting date ranges.
Inventory Periods
EN DIN G DAT E NAME C LO SED
2020-01-31 January 2020 Yes
2020-02-28 February 2020 Yes
2020-03-31 March 2020 Yes
2020-04-30 April 2020 Yes
2020-05-31 May 2020 Yes
2020-06-30 June 2020 Yes
2020-07-31 July 2020 Yes
2020-08-31 August 2020 Yes
2020-09-30 September 2020
2020-10-31 October 2020

2020-11-30 November 2020
2020-12-31 December 2020
The first allowed posting date is the first day in the first open period, which is September 1, 2020.
General Ledger Setup
F IEL D VA L UE
Allow Posting From: 2020-09-10
Allow Posting To: 2020-09-30
Register Time:
Local Address Format: Post Code
The first allowed posting date is the date stated in field Allow Posting From : September 10, 2020. If both
Inventory Periods and allowed posting dates in General Ledger Setup are defined, the later date of the two
will define the allowed posting date range.
Assignment of an allowed posting date
The initial assigned Posting Date was September 6 as illustrated in step 1. However, in the second step the Adjust
Cost – Item entries batch job identifies that earliest allowed Posting Date is September 10 and thereby assigns
September 10 to the Adjustment Value Entry (Entr y No. 391 ), below.
IT E
M C OS
IT E L ED C OS T
379 A 202 Sale Dire 102 319 Blu -1 0 0 -10 No 0 Sale

0- ct 033 e s
09- Cos
05 t
381 A 202 Sale Dire 103 319 Blu 0 -1 -10 10 No 0 Sale

0- ct 022 e s
09- Cos
06 t
391 A 20 Sale Dire 103 319 Blu 0 0 -1 0 Yes 181 INV

20- ct 022 e TAD
09- Cos JMT
10 t
Common problems with the "Adjust Cost - Item entries"-batch job

There are two scenarios that the support team encounters frequently enough for them to warrant their own
problem resolution articles.
Error message: "Posting Date is not within your range of allowed posting dates…"
If you encounter this error you need to adjust the dates for which the user is allowed to post entries. To learn
more, see Error Message "Posting Date is not within your range of allowed posting dates".
Posting Date on Adjustment Value Entry versus Posting Date on entry causing the adjustment such as
Revaluation or Item charge
To learn more, see Posting Date on Adjustment Value Entry Compared to the Source Entry.
See Also
Error message: "Posting Date is not within your
range of allowed posting dates…"
When using the Adjust Cost - Item Entries batch job you may run into the following error message:
Posting date is not within your range of allowed posting dates
This error message indicates that the user is not allowed to post entries for the date in question, and this can be
remedied by changing the user setup.
Change the user setup

USER ID A L LO W P O ST IN G F RO M A L LO W P O ST IN G TO
EUROPE 2020-09-11 2020-09-30
The user in this case has an allowed posting date range from September 11th to September 30th and is
therefore not allowed to post the Adjustment Value Entry with Posting Date September 10th.
Overview of involved posting date setup
Inventory Periods
2020-01-31 January 2020 Yes
2020-02-28 February 2020 Yes
2020-03-31 March 2020 Yes
2020-04-30 April 2020 Yes
2020-05-31 May 2020 Yes
2020-06-30 June 2020 Yes
2020-07-31 July 2020 Yes
2020-08-31 August 2020 Yes
2020-09-30 September 2020
2020-10-31 October 2020
2020-11-30 November 2020
2020-12-31 December 2020

F IEL D VA L UE
Allow Posting From: 2020-09-10
Allow Posting To: 2020-09-30
Register Time:
Local Address Format: Post Code
User Setup
USER ID A L LO W P O ST IN G F RO M A L LO W P O ST IN G TO
USERNAME 2020-09-10 2020-09-30
Assigning a wider allowed posting date range, as in Inventory Period or General Ledger Setup, makes it possible
to avoid the conflict that causes the error message. The Adjustment Value Entry with Posting Date September
10th will be posted successfully with this setup.
See Also
Posting Date on Adjustment Value Entry Compared
to the Source Entry
This article compares the Posting Date on the Adjustment Value Entry with the Posting Date on the entry
causing the running of the Adjust Cost - Item Entries batch job, in particular a Revaluation scenario and an Item
Charge scenario.
The Adjust Cost - Item Entries batch job will process your data depending on your scenario and
configuration of Business Central. In this section, we describe two separate processes, and for each one we show
the type of impact the Adjust Cost - Item Entries batch job has on the data.
Revaluation scenario
Prerequisites
Please enter the following values:
Inventor y setup :
Automatic Cost Posting = Yes
Automatic Cost Adjustment = Always
Average Cost Calc. Type = Item
Average Cost Period = Day
General Ledger Setup :
Allow Posting From = January 1, 2021
Allow Posting To = Empty
User Setup :
Allow Posting From = December 1, 2020
To test the scenario
Test this scenario by carrying out the following steps.
1. Create an Item called TEST with the following values:
Base unit of measure = PCS
Costing Method = Average
Select optional posting groups.
2. Open an Item Journal , then create a new entry, and post a line as follows:
Posting Date = December 15, 2020
Item = TEST
Entry Type = Purchase
Quantity = 100
Unit Amount = 10
Date = December 20, 2020
Item = TEST
Entry Type = Negative Adjustment
Quantity = 2
Date = January 15, 2021
Item = TEST
Entry Type = Negative Adjustment
Quantity = 3
5. Open an Item Revaluation Journal , then create a new entry, and post a line as follows:
Item = TEST
Applies-to Entry = select Purchase entry posted at step 2. The Posting Date of the revaluation will
be the same as the entry it adjusts.
Unit Cost (Revalued) = 40
The following Item Ledger and Value Entries have been posted:
Item Ledger Entr y - purchase :
C O ST REM A IN IN
EN T RY P O ST IN G EN T RY DO C UM EN A M O UN T G
N UM B ER IT EM N O. DAT E TYPE T N O. Q UA N T IT Y ( A C T UA L ) Q UA N T IT Y
317 TEST 2020-12- Purchase T00001 100 4000 95

15
Value Entries
IT EM
N UM
IT EM IT EM B ER
L EDG L EDG EN T R C O ST C O ST APPL
EN T R ER ER DO C Y AMO P O ST IES SO UR
Y P O ST EN T R EN T R EN T R UM E Q UA UN T ED A DJU TO CE
N UM IT EM IN G Y Y Y NT N T IT (ACT TO ST M E EN T R C OD
B ER N O. DAT E N O. TYPE TYPE N O. Y UA L ) G/ L NT Y E
376 TEST 2020 317 Purc Direc T000 100 1 1 No 0 ITEM

-12- hase t 01 000, 000, NL
15 Cost 00 00
IT EM
N UM
IT EM IT EM B ER
379 TEST 202 317 Purc Reval T040 0 3 3 No 0 REVA

0- hase uatio 02 000, 000, LINL
12- n 00 00
15
Item Ledger Entr y - negative adjustment, Step 3
C O ST REM A IN IN
P O ST IN G EN T RY DO C UM EN A M O UN T G
EN T RY N O. IT EM N O. DAT E TYPE T N O. Q UA N T IT Y ( A C T UA L ) Q UA N T IT Y
318 TEST 2020-12- Negative T00002 -2 -80 0

20 Adjmt.
Value Entries
IT EM
N UM
IT EM IT EM B ER
377 TEST 2020 318 Nega Direc T000 -2 -20 -20 No 0 ITEM
-12- tive t 02 NL
20 Adjm Cost
t.
380 TEST 202 318 Nega Direc T040 0 -60 -60 Yes 377 INVT
1- tive t 02 ADA
01- Adjm Cost MT
01 t.
Item Ledger Entr y - negative adjustment, Step 4
C O ST REM A IN IN
319 TEST 2021-01- Negative T00003 -3 -120 0

15 Adjmt.
Value Entries
IT EM
N UM
IT EM IT EM B ER
378 TEST 2021 319 Nega Direc T000 -3 -30 -30 No 0 ITEM
-01- tive t 03 NL
15 Adjm Cost
t.
381 TEST 202 319 Nega Direc T040 0 -90 -90 Yes 378 INVT
1- tive t 03 ADA
01- Adjm Cost MT
15 t.
The Adjust Cost – Item Entries batch job has recognized a change in cost and adjusted the Negative
Adjustments.
Review of Posting Dates on created adjustment value entries: The earliest allowed Posting Date the
Adjust Cost - Item Entries batch job has to relate to is January 1, 2021 as stated in the General Ledger Setup.
Negative Adjustment in step 3: assigned Posting Date is January 1, provided by General Ledger Setup. The
Posting Date of the Value Entry in the scope for adjustment is December 20, 2020. According to the General
Ledger Setup, the date is not within the allowed posting date range. Therefore the Posting Date stated in the
Allow Posting From field in the General Ledger Setup is assigned to the Adjustment Value Entry.
Negative Adjustment in step 4: assigned Posting Date is January 15. The Value Entry in scope of adjustment
has Posting Date January 15, which is within the allowed posting date range according to General Ledger Setup.
The adjustment made for the Negative Adjustment in step 3 causes discussion. The favorable Posting Date for
the Adjustment Value Entry would have been December 20 or at least within December as the revaluation
causing the change in COGS was posted in December.
To achieve adjustment in December of the Negative Adjustment in step 3, the General Ledger Setup, Allow
Posting From field, needs to state a date in December.
Conclusion
With the experience gained in this scenario, when considering the most suitable setup for an allowed posting
date range for a company, you might want to consider the following. As long as you allow changes in the
inventory value to be posted in a period, such as December in this case, the setup that the company uses for
allowed posting date ranges should be aligned with this decision. The Allow Posting From in the General Ledger
Setup, stating December 1, would allow the revaluation made in December to be forwarded to affected
outbound entries in the same period.
User groups not allowed to post in December but in January, which was probably intended to be limited by the
General Ledger Setup in this scenario, should instead be addressed via the User setup.
Item charge scenario

Prerequisites
Please enter the following values:
Inventor y setup :
Automatic Cost Posting = Yes
Automatic Cost Adjustment = Always
Average Cost Calc. Type = Item
Average Cost Period = Day
General Ledger Setup :
Allow Posting From = December 1, 2020.
User Setup :
Allow Posting From = December 1, 2020.
Allow Posting to = Empty
To test the scenario
Test this scenario by carrying out the following steps:
1. Create an Item Charge with the following values:
Base unit of measure = PCS
Costing Method = Average
Select optional posting groups.
2. Create a new Purchase Order with the following values:
Buy-from Vendor No.: 10000
Vendor Invoice No.: 1234
On the Purchase Order Line select the following values:
Item = CHARGE
Quantity = 1
Direct Unit Cost = 100
To complete the step, Post the document as Received and Invoiced.
3. Create a new Sales Order with the following values:
Sell-to Customer No.: 10000
On the Sales Order Line:
Item = CHARGE
Quantity = 1
Unit Price = 135
4. Enter values for the General Ledger Setup page:
Allow Posting From = January 1, 2021
Allow Posting To = blank
5. Create a new Purchase Order with the following values:
Posting Date = January 2, 2021
On the Purchase Order Line:
Item Charge = JB-FREIGHT
Quantity = 1
Assign the Item Charge to the Purchase Receipt from step 2.
Status Item Ledger Entr y of purchase step 2 :
C O ST REM A IN IN
324 CHARGE 2020-12- Purchase 107030 1 105 0

15
Value Entries
IT EM
L EDG
IT EM IT EM ER
EN T R ER ER DO C IT EM Y AMO P O ST IES-
Y P O ST EN T R EN T R EN T R UM E CHA Q UA UN T ED A DJU TO
N UM IT EM IN G Y Y Y NT RGE N T IT (ACT TO ST M E EN T R
B ER N O. DAT E N O. TYPE TYPE N O. N O. Y UA L ) G/ L NT Y
397 CHA 2020 324 Purc Direc 1080 1 100 100 NO 0

RGE -12- hase t 29
15 Cost
399 CHA 2021 324 Purc Direc 1080 JBFR 0 3 3 NO 0

RGE -01- hase t 09 EIGH
02 Cost T
Status Item Ledger Entr y sale :
C O ST REM A IN IN
325 CHARGE 2020-12- Sale 102035 -1 -105 0

16
Value Entries
IT EM
L EDG
IT EM IT EM ER
EN T R ER ER DO C IT EM Y AMO P O ST IES-
Y P O ST EN T R EN T R EN T R UM E CHA Q UA UN T ED A DJU TO
N UM IT EM IN G Y Y Y NT RGE N T IT (ACT TO ST M E EN T R
B ER N O. DAT E N O. TYPE TYPE N O. N O. Y UA L ) G/ L NT Y
398 CHA 2020 325 Sale Direc 1090 -1 -100 -100 NO 0

RGE -12- t 24
16 Cost
400 CHA 2021 325 Sale Direc 1090 0 -3 -3 Yes 398

RGE -01- t 24
01 Cost
6. On work date January 3, a purchase invoice arrives containing an additional item charge to the purchase
made in step 2. This invoice has document date December 30, and is therefore posted with Posting Date
December 30, 2020.
Create a new Purchase Order with the following values:
On the Purchase Order Line select the following values:
Item Charge = JB-FREIGHT
Quantity = 1
Assign Item Charge to the Purchase Receipt from step 2
Status Item Ledger Entr y of purchase :
C O ST REM A IN IN
324 CHARGE 2020-12- Purchase 107030 1 105 0

15
Value Entries
IT EM
L EDG
IT EM IT EM ER
ER ER DO C IT EM Y AMO P O ST IES-
EN T R P O ST EN T R EN T R EN T R UM E CHA Q UA UN T ED A DJU TO
Y IT EM IN G Y Y Y NT RGE N T IT (ACT TO ST M E EN T R
N O. N O. DAT E N O. TYPE TYPE N O. N O. Y UA L ) G/ L NT Y
397 CHA 2020 324 Purc Direc 1080 1 100 100 No 0

RGE -12- hase t 29
15 Cost
IT EM
L EDG
IT EM IT EM ER
399 CHA 2021 324 Purc Direc 1080 JBFR 0 3 3 No 0

RGE -01- hase t 30 EIGH
02 Cost T
401 CHA 202 324 Purc Direc 1080 JBFR 0 2 2 No 0

RGE 0- hase t 31 EIGH
12- Cost T
30
Status Item Ledger Entr y sale :
C O ST REM A IN IN
325 CHARGE 2020-12- Sale 102035 -1 -105 0

16
Value Entries
IT EM
L EDG
IT EM IT EM ER
398 CHA 2020 325 Sale Direc 1030 -1 -100 -100 No 0

RGE -12- t 24
16 Cost

RGE -01- t 24
01 Cost

RGE 1- t 24
01- Cost
01
Inventory Valuation report is printed as of Date December 31, 2020
Summar y of scenario:
The described scenario ends up with an Inventory Valuation report demonstrating Quantity = 0 while the Value
= 2. The Item charge posted in step 6 is part of the Inventory Increase value of December while the Inventory
Decrease of the same period is not affected.
Having the General Ledger Setup stating Allow Posting From January 1 was a good thing for the first Item
charge. The costs of the Inventory Increase and Decrease was recorded in the same period. For the second Item
charge however, the General Ledger Setup causes the change in COGS to be recognized in the period after.
Conclusion:
It is a challenge to get the Inventory Valuation report to demonstrate Quantity = 0 while the Value <> 0. In this
case it is also more difficult to express the optimal settings, having purchase invoices arriving the same day but
addressing different periods or even fiscal years. Crossing to a new fiscal year usually requires some planning
and as part of that the insight into Adjust Cost – Item entries process, recognizing COGS, is to be considered.
In this scenario one option could have been to have the General Ledger Setup, field Allow Posting From, stating
a date in December for a couple of more days and the posting of the first item charge postponed to allow all
costs for the previous period/fiscal year to be recognized for the period they belong to first, having the Adjust
Cost – Item entries batch job run and thereafter move the allowed posting date to the new period/fiscal year. The
first item charge with posting date January 2 could then be posted.
See Also
Dimension Set Entries Overview
This topic describes how dimension set entries are stored and posted in Business Central.
Dimension Sets
A dimension set is a unique combination of dimension values. It is stored as dimension set entries in the
database. Each dimension set entry represents a single dimension value. The dimension set is identified by a
common dimension set ID that is assigned to each dimension set entry that belongs to the dimension set.
The following example shows a dimension set that has three dimension set entries. The dimension set is
identified by a dimension set ID, which is 108.
DIM EN SIO N SET ID DIM EN SIO N C O DE DIM EN SIO N VA L UE C O DE DIM EN SIO N VA L UE N A M E
108 AREA 70 America North
108 BUSINESSGROUP HOME Home
108 DEPARTMENT SALES Sales
Dimension Set Entries

Dimension sets are stored in the Dimension Set Entr y table as dimension set entries with the same dimension
set ID.
When you create a new journal line, document header, or document line, you can specify a combination of
dimension values. Instead of explicitly storing each dimension value in the database, a dimension set ID is
assigned to the journal line, document header, or document line to specify the dimension set.
When you edit and close the Edit Dimension Set Entries page, a check is performed to see whether the
combination of dimension values exists as a dimension set in the table. If the combination occurs in the table,
then the corresponding dimension set ID is assigned to the journal line, document header, or document line.
Otherwise, a new dimension set is added to the table, and the new dimension set ID is assigned to the journal
line, document header, or document line.
Codeunit 408 Dimension Management

Codeunit 408, Dimension Management, is a function library that handles common tasks that are related to
dimensions, such as copying from one table to another or from one document to another.
Performance Improvement
By storing dimension sets once in the database, database space is preserved and overall performance is
improved.
See Also
Design Details: Searching for Dimension
Combinations
When you close a page after you edit a set of dimensions, Business Central evaluates whether the edited set of
dimensions exists. If the set does not exist, a new set is created and the dimension combination ID is returned.
Building Search Tree

Table 481 Dimension Set Tree Node is used when Business Central evaluates whether a set of dimensions
already exists in table 480 Dimension Set Entr y table. The evaluation is performed by recursively traversing
the search tree starting at the top level numbered 0. The top level 0 represents a dimension set with no
dimension set entries. The children of this dimension set represent dimension sets with only one dimension set
entry. The children of these dimension sets represent dimension sets with two children, and so on.
Example 1
The following diagram represents a search tree with six dimension sets. Only the distinguishing dimension set
entry is displayed in the diagram.
The following table describes a complete list of dimension set entries that make up each dimension set.
DIM EN SIO N SET S DIM EN SIO N SET EN T RIES
Set 0 None
Set 1 AREA 30
Set 2 AREA 30, DEPT ADM
Set 3 AREA 30, DEPT PROD
Set 4 AREA 30, DEPT ADM, PROJ VW
Set 5 AREA 40
DIM EN SIO N SET S DIM EN SIO N SET EN T RIES
Set 6 AREA 40, PROJ VW
Example 2
This example shows how Business Central evaluates whether a dimension set that consists of the dimension set
entries AREA 40, DEPT PROD exists.
First, Business Central also updates the Dimension Set Tree Node table to make sure that the search tree
looks like the following diagram. Thus dimension set 7 becomes a child of the dimension set 5.
Finding Dimension Set ID

At a conceptual level, Parent ID , Dimension , and Dimension Value , in the search tree, are combined and
used as the primary key because Business Central traverses the tree in the same order as the dimension entries.
The GET function (record) is used to search for dimension set ID. The following code example shows how to find
the dimension set ID when there are three dimension values.
DimSet."Parent ID" := 0; // 'root'

IF UserDim.FINDSET THEN
REPEAT
DimSet.GET(DimSet."Parent ID",UserDim.DimCode,UserDim.DimValueCode);
UNTIL UserDim.NEXT = 0;
EXIT(DimSet.ID);
However, to preserve the ability of Business Central to rename both a dimension and a dimension value, table
349, Dimension Value , is extended with an integer field, Dimension Value ID . This table converts the field
pair, Dimension and Dimension Value , to an integer value. When you rename the dimension and dimension
value, the integer value is not changed.
DimSet."Parent ID" := 0; // 'root'

IF UserDim.FINDSET THEN
REPEAT
DimSet.GET(DimSet.ParentID,UserDim."Dimension Value ID");
UNTIL UserDim.NEXT = 0;
EXIT(DimSet.ID);
See Also
To understand how dimension entries are stored and posted, it is important to understand the table structure.
Table 480, Dimension Set Entry

You cannot change this table. After data has been written to the table, you cannot delete or edit it.
F IEL D N O. F IEL D N A M E DATA T Y P E C O M M EN T
1 ID Integer >0.0 is reserved for the

empty dimension set.
References field 3 in table
481.
2 Dimension Code Code 20 Table relation to table 348.
3 Dimension Value Code Code 20 Table relation to table 349.
4 Dimension Value ID Integer References field 12 in table

349. It is the secondary key
that is used when
traversing table 481.
5 Dimension Name Text 30 CalcField. Lookup to table

348.
6 Dimension Value Name Text 30 CalcField. Lookup to table

349.
Table 481, Dimension Set Tree Node

You cannot change this table. It is used to search for a dimension set. If the dimension set is not found, a new set
is created.
1 Parent Dimension Set ID Integer 0 for top level node.
2 Dimension Value ID Integer Table relation to field 12 in

table 349.
3 Dimension Set ID Integer AutoIncrement. Used in

field 1 in table 480.
4 In Use Boolean False if not in use.
Table 482 Reclas. Dimension Set Buffer

This table is used when you change a dimension value code, for example, on an item ledger entry by using the
Item Reclassification Journal page.
1 Dimension Code Code 20 Table relation to table 348.
2 Dimension Value Code Code 20 Table relation to table 349.
3 Dimension Value ID Integer References field 12 in table

349.
4 New Dimension Value Code 20 Table relation to table 349.

Code
5 New Dimension Value Integer References field 12 in table

ID 349.
6 Dimension Name Text 30 CalcField. Lookup to table

348.
7 Dimension Value Name Text 30 CalcField. Lookup to table

349.
8 New Dimension Value Text 30 CalcField. Lookup to table

Name 349.
Transaction and Budget Tables

In addition to other dimension fields in the table, this field is important:
480 Dimension Set ID Integer References field 1 in table

480.
Table 83, Item Journal Line

In addition to other dimension fields in the table, these fields are important.
480 Dimension Set ID Integer References field 1 in table

480.
481 New Dimension Set ID Integer References field 1 in table

480.
Table 349, Dimension Value

In addition to other dimension fields in the table, these fields are important.
12 Dimension Value ID Integer AutoIncrement. Used for

references in table 480 and
table 481.
Tables That Contain the Dimension Set ID Field
The Dimension Set ID field (480) exists in the following tables. For the tables that store posted data, the field
only provides a non-editable display of dimensions, which is marked as Drill-down. For the tables that store
working documents, the field is editable. The buffer tables that are used internally do not need editable or non-
editable capabilities.
Field 480 is non-editable in the following tables.
TA B L E N O. TA B L E N A M E
17 G/L Entr y
21 Cust. Ledger Entr y
25 Vendor Ledger Entr y
32 Item Ledger Entr y
110 Sales Shipment Header
111 Sales Shipment Line
112 Sales Invoice Header
113 Sales Invoice Line
114 Sales Cr.Memo Header
115 Sales Cr.Memo Line
120 Purch. Rcpt. Header
121 Purch. Rcpt. Line
122 Purch. Inv. Header
123 Purch. Inv. Line
124 Purch. Cr. Memo Hdr.
125 Purch. Cr. Memo Line
169 Job Ledger Entr y
203 Res. Ledger Entr y
271 Bank Account Ledger Entr y
281 Phys. Inventor y Ledger Entr y
297 Issued Reminder Header
304 Issued Fin. Charge Memo Header

5107 Sales Header Archive
5108 Sales Line Archive
5109 Purchase Header Archive
5110 Purchase Line Archive
5601 FA Ledger Entr y
5625 Maintenance Ledger Entr y
5629 Ins. Coverage Ledger Entr y
5744 Transfer Shipment Header
5745 Transfer Shipment Line
5746 Transfer Receipt Header
5747 Transfer Receipt Line
5802 Value Entr y
5832 Capacity Ledger Entr y
5907 Ser vice Ledger Entr y
5908 Ser vice Header
5933 Ser vice Order Posting Buffer
5970 Filed Ser vice Contract Header
5990 Ser vice Shipment Header
5991 Ser vice Shipment Line
5992 Ser vice Invoice Header
5993 Ser vice Invoice Line
5994 Ser vice Cr. Memo Header
5995 Ser vice Cr. Memo Line
6650 Return Shipment Header
6651 Return Shipment Line

6660 Return Receipt Header
6661 Return Receipt Line
Field 480 is editable in the following tables.
36 Sales Header
37 Sales Line
38 Purchase Header
39 Purchase Line
81 Gen. Journal Line
83 Item Journal Line
89 BOM Journal Line
96 G/L Budget Entr y
207 Res. Journal Line
210 Job Journal Line
221 Gen. Jnl. Allocation
246 Requisition Line
295 Reminder Header
302 Finance Charge Memo Header
5405 Production Order
5406 Prod. Order Line
5407 Prod. Order Component
5615 FA Allocation
5621 FA Journal Line
5635 Insurance Journal Line
5740 Transfer Header

5741 Transfer Line
5900 Ser vice Header
5901 Ser vice Item Line
5902 Ser vice Line
5965 Ser vice Contract Header
5997 Standard Ser vice Line
7134 Item Budget Entr y
99000829 Planning Component
Field 480 exists in the following buffer tables.
49 Invoice Post. Buffer
212 Job Posting Buffer
372 Payment Buffer
382 CV Ledger Entr y Buffer
461 Prepayment Inv. Line Buffer
5637 FA G/L Posting Buffer
7136 Item Budget Buffer
See Also
Supply Planning features in Business Central.
It explains how the planning system works and how to adjust the algorithms to meet planning requirements in
different environments. It first introduces central solution concepts and then describes the logic of the central
mechanism, supply balancing, before proceeding to explain how inventory planning is performed with the use
of reordering policies.
In This Section
Design Details: Central Concepts of the Planning
System
The planning functions are contained in a batch job that first selects the relevant items and period to plan for.
Then, according to each item’s low-level code (BOM position), the batch job calls a code unit, which calculates a
supply plan by balancing supply-demand sets and suggesting possible actions for the user to take. The
suggested actions appear as lines in the planning worksheet or the requisition worksheet.
The planner of a company, such as a purchaser or a production planner is presumed to be the user of the
planning system. The planning system assists the user by performing the extensive but rather straightforward
calculations of a plan. The user can then concentrate on solving the more difficult problems, such as when things
differ from normal.
The planning system is driven by anticipated and actual customer demand, such as forecast and sales orders.
Running the planning calculation will result in the application suggesting specific actions for the user to take
concerning possible supply from vendors, assembly or production departments, or transfers from other
warehouses. These suggested actions could be to create new supply orders, such as purchase or production
orders. If supply orders already exist, the suggested actions could be to increase or expedite the orders to meet
the changes in demand.
Another goal of the planning system is to ensure that the inventory does not grow unnecessarily. If demand
decreases, the planning system will suggest that the user postpone, decrease in quantity, or cancel existing
supply orders.
MRP and MPS, Calculate Net Change Plan, and Calculate Regenerative Plan are all functions within one code
unit that contains the planning logic. However, the supply plan calculation involves different sub systems.
Note that the planning system includes no dedicated logic for capacity leveling or fine scheduling. Therefore,
such scheduling work is performed as a separate discipline. The lack of direct integration between the two areas
also means that substantial capacity or schedule changes will require that the planning is rerun.
Planning Parameters
Planning parameters that the user sets for an item or a group of items control which actions the planning
system will suggest in the various situations. The planning parameters are defined on each item card to control
when, how much, and how to replenish.
Planning parameters can also be defined for any combination of item, variant, and location by setting up a
stockkeeping unit (SKU) for each needed combination, and then specifying individual parameters.
For more information, see Design Details: Handling Reordering Policies and Design Details: Planning Parameters.
Planning Starting Date

To avoid a supply plan that incorporates open orders in the past and suggests potentially impossible actions, the
planning system treats all dates before the planning starting date as a frozen zone where the following special
rule applies:
All supply and demand before the starting date of the planning period will be considered a part of inventory or
shipped.
In other words, it assumes that the plan for the past is executed according to the given plan.
For more information, see Dealing with Orders Before the Planning Starting Date.
Dynamic Order Tracking (Pegging)

Dynamic Order Tracking, with its simultaneous creation of action messages in the planning worksheet, is not a
part of the supply planning system in Business Central. This feature links, in real-time, the demand and the
quantities that could cover them, whenever a new demand or supply is created or changed.
For example, if the user enters or changes a sales order, the dynamic order tracking system will instantly search
for the appropriate supply to cover the demand. This could be from inventory or from an expected supply order
(such as a purchase order or a production order). When a supply source is found, the system creates a link
between the demand and the supply, and displays it in view-only pages that are accessed from the involved
document lines. When appropriate supply cannot be found, the dynamic order tracking system creates action
messages in the planning worksheet with supply plan suggestions reflecting the dynamic balancing.
Accordingly, the dynamic order tracking system offers a very basic planning system that can be of help both to
the planner and other roles in the internal supply chain.
Accordingly, Dynamic Order Tracking can be considered a tool that assists the user in assessing whether to
accept supply order suggestions. From the supply side, a user can see which demand has created the supply,
and from the demand side, which supply should cover the demand.
For more information, see Design Details: Reservation, Order Tracking, and Action Messaging.
In companies with a low item flow and less advanced product structures, it may be adequate to use the Dynamic
Order Tracking as the main means of supply planning. However, in busier environments, the planning system
should be used to ensure a properly balanced supply plan at all times.
Dynamic Order Tracking versus the Planning System
At a quick glance, it may be difficult to differentiate between the planning system and Dynamic Order Tracking.
Both features display output in the planning worksheet by suggesting actions that the planner should take.
However, the way this output is produced differs.
The planning system deals with the entire supply-demand pattern of an item through all levels of the BOM
hierarchy along the time line, whereas Dynamic Order Tracking only addresses the situation of the order that
activated it. When balancing demand and supply, the planning system creates links in a user-activated batch
mode, whereas Dynamic Order Tracking creates the links automatically and on the fly, whenever the user enters
a demand or a supply in application, such as a sales order or purchase order.
Dynamic Order Tracking establishes links between demand and supply when data is entered, on a first-
come/first-served basis. This may lead to some disorder in priorities. For example, a sales order entered first,
with a due date next month, may be linked to the supply in inventory, while the next sales order due tomorrow
may cause an action message to create a new purchase order to cover it, as illustrated below.
In contrast, the planning system deals with all demand and supply for a particular item, in prioritized order
according to due dates and order types, that is, on a first-needed/first-served basis. It deletes all order tracking
links that were created dynamically and reestablishes them according to due date priority. When the planning
system has run, it has solved all imbalances between demand and supply, as illustrated below for the same data.
After the planning run, no action messages remain in the Action Message Entry table, because they have been
replaced by the suggested actions in the planning worksheet
For more information, see Order Tracking Links during Planning.
Sequence and Priority in Planning

When establishing a plan, the sequence of the calculations is important to get the job done within a reasonable
timeframe. In addition, the prioritization of requirements and resources play an important role in obtaining the
best results.
The planning system in Business Central is demand-driven. High-level items should be planned before low-level
items, because the plan for high-level items might generate additional demand for the lower-level items. This
means, for example, that retail locations should be planned before distribution centers are planned, because the
plan for a retail location may include additional demand from the distribution center. On a detailed balancing
level, this also means that a sales order should not trigger a new supply order if an already released supply
order can cover the sales order. Likewise, a supply carrying a specific lot number should not be allocated to
cover a generic demand if another demand requires this specific lot.
Item Priority / Low-Level Code
In a manufacturing environment, the demand for a finished, sellable item will result in derived demand for
components that comprise the finished item. The bill-of-material structure controls the component structure and
can cover several levels of semi-finished items. Planning an item at one level will cause derived demand for
components at the next level, and so on. Eventually, this will result in derived demand for purchased items.
Consequently, the planning system plans for items in order of their ranking in the total BOM hierarchy, starting
with finished saleable items at the top level and continuing down through the product structure to the lower
level items (according to the low-level code).
The figures illustrate in which sequence the system makes suggestions for supply orders at the top level and,
assuming that the user will accept these suggestions, for any lower-level items as well.
For more information about manufacturing considerations, see Loading the Inventory Profiles.
Optimizing Performance for Low-Level Calculations
Low-level code calculations can impact system performance. To mitigate the impact, you can disable Dynamic
low-level code calculation on the Manufacturing Setup page. When you do, Business Central will suggest
that you create a recurrent job queue entry that will update low-level codes daily. You can ensure that the job
will run outside working hours by specifying a start time in the Earliest Star t Date/Time field.
You can also enable logic that speeds up low-level code calculations by selecting Optimize low-level code
calculation on the Manufacturing Setup page.
IMPORTANT
If you choose to optimize performance, Business Central will use new calculation methods to determine low-level codes. If
you have an extension that relies on the events used by the old calculations, the extension may stop working.
Locations / Transfer-Level Priority

Companies that operate at more than one location may need to plan for each location individually. For example,
an item’s safety stock level and its reordering policy may differ from one location to another. In this case, the
planning parameters must be specified per item and also per location.
This is supported with the use of SKUs, where individual planning parameters can be specified at the SKU level.
An SKU can be regarded as an item at a specific location. If the user has not defined a SKU for that location,
application will default to the parameters that have been set on the item card. The application calculates a plan
for active locations only, which is where there is existing demand or supply for the given item.
In principle, any item can be handled at any location, but the application’s approach to the location concept is
quite strict. For example, a sales order at one location cannot be fulfilled by some quantity on stock at another
location. The quantity on stock must first be transferred to the location specified on the sales order.
For more information, see Design Details: Transfers in Planning.

Order Priority
Within a given SKU, the requested or available date represents the highest priority; the demand of today should
be dealt with before the demand of the coming days. But apart from this kind of priority, the different demand
and supply types are sorted according to business importance to decide which demand should be satisfied
before satisfying another demand. On the supply side, the order priority will tell what source of supply should
be applied before applying other sources of supply.
For more information, see Prioritizing Orders.
Demand Forecasts and Blanket Orders

Forecasts and blanket orders both represent anticipated demand. The blanket order, which covers a customer’s
intended purchases over a specific period of time, acts to lessen the uncertainty of the overall forecast. The
blanket order is a customer-specific forecast on top of the unspecified forecast as illustrated below.
For more information, see Forecast Demand is Reduced by Sales Orders.
Planning Assignment
All items should be planned for, however, there is no reason to calculate a plan for an item unless there has been
a change in the demand or supply pattern since the last time a plan was calculated.
If the user has entered a new sales order or changed an existing one, there is reason to recalculate the plan.
Other reasons include a change in forecast or the desired safety stock quantity. Changing a bill-of-material by
adding or removing a component would most likely indicate a change, but for the component item only.
The planning system monitors such events and assigns the appropriate items for planning.
For multiple locations, the assignment takes place at the level of item per location combination. If, for example, a
sales order has been created at only one location, application will assign the item at that specific location for
planning.
The reason for selecting items for planning is a matter of system performance. If no change in an item’s
demand-supply pattern has occurred, the planning system will not suggest any actions to be taken. Without the
planning assignment, the system would have to perform the calculations for all items in order to find out what
to plan for, and that would drain system resources.
The full list of reasons for assigning an item for planning is provided in Design Details: Planning Assignment
Table.
The planning options in Business Central are:
Calculate Regenerative Plan – Calculates all selected items, whether it is necessary or not.
Calculate Net Change Plan – Calculates only those selected items that have had some change in their
demand-supply pattern and, therefore, have been assigned for planning.
Some users believe that net change planning should be performed on the fly, for example, when sales orders are
entered. However, this could be confusing because dynamic order tracking and action messaging are also
calculated on the fly. Besides, Business Central offers real-time available-to-promise control, which provides
pop–up warnings when entering sales orders if the demand cannot be fulfilled under the present supply plan.
In addition to these considerations, the planning system only plans for those items that the user has prepared
with appropriate planning parameters. Otherwise, it is assumed that the user will plan the items manually or
semi-automatically by using the Order Planning feature.
For more information about the automatic planning procedures, see Design Details: Balancing Demand and
Supply.
Item Dimensions
Demand and supply can carry variant codes and location codes that must be respected when the planning
system balances demand and supply.
The system treats variant and location codes as item dimensions on a sales order line, inventory ledger entry,
and so on. Accordingly, it calculates a plan for each combination of variant and location as if the combination
were a separate item number.
Instead of calculating any theoretical combination of variant and location, application calculates only those
combinations that actually exist in the database.
For more information on how the planning system deals with location codes on demand, see Design Details:
Demand at Blank Location.
Item Attributes
Apart from general item dimensions, such as item number, variant code, location code, and type of order, each
demand and supply event can carry additional specifications in the form of serial/lot numbers. The planning
system plans these attributes in certain ways depending on their level of specification.
An order-to-order link between demand and supply is another type of attribute that affects the planning system.
Specific Attributes
Certain attributes on demand are specific and must be matched exactly by a corresponding supply. The
following two specific attributes exist:
Demanded serial/lot numbers that require specific application (The SN Specific Tracking or Lot Specific
Tracking check box is selected on the Item Tracking Code Card page for the item tracking code that is
used by the item.)
Links to supply orders created manually or automatically for a specific demand (order-to-order links).
For these attributes, the planning system applies the following rules:
Demand with specific attributes can only be fulfilled by supply with matching attributes.
Supply with specific attributes can also satisfy demand that does not ask specifically for those attributes.
Accordingly, if a demand for specific attributes cannot be met by inventory or projected supplies, the planning
system will suggest a new supply order to cover this specific demand with no regard of planning parameters.
Non-Specific Attributes
Serial/lot-numbered items without specific item tracking setup may carry serial/lot numbers that do not need to
be applied to the exact same serial/lot number, but can be applied to any serial/lot number. This gives the
planning system more freedom to match, for example, a serialized demand with a serialized supply, typically in
inventory.
Demand-supply with serial/lot numbers, specific or non-specific, are considered high priority and are therefore
exempt from the frozen zone, meaning that they will be part of planning even if they are due before the
planning starting date.
For more information, see Serial/Lot Numbers are Loaded by Specification Level.
For more information about how the planning system balances attributes, see Serial/Lot Numbers and Order-
to-Order Links are Exempt from the Frozen Zone.
Order-to-Order Links
Order-to-order procurement means that an item is purchased, assembled, or produced to exclusively cover a
specific demand. Typically it relates to A-items and the motivation for choosing this policy can be that the
demand is infrequent, the lead-time is insignificant, or the required attributes vary.
Another special case that uses order-to-order links is when an assembly order is linked to a sales order in an
assemble-to-order scenario.
Order-to-order links are applied between demand and supply in four ways:
When the planned item uses the reordering policy Order.
When using the manufacturing policy Make-to-Order to create multi-level or project-type production orders
(producing needed components on the same production order).
When creating production orders for sales orders with the Sales Order Planning feature.
When assembling an item to a sales order. (Assembly Policy is set to Assemble-to-Order.
In these instances, the planning system will only suggest to order the required quantity. Once created, the
purchase, production, or assembly order will continue to match the corresponding demand. For example, if a
sales order is changed in time or quantity, the planning system will suggest that the corresponding supply order
is changed accordingly.
When order-to-order links exist, the planning system does not involve linked supply or inventory in the
balancing procedure. It is up to the user to evaluate if the linked supply should be used to cover other or new
demand and, in that case, delete the supply order or reserve the linked supply manually.
Reservations and order tracking links will break if a situation becomes impossible, such as moving the demand
to a date earlier than the supply. However, the order-to-order link adapts to any changes in the respective
demand or supply and thereby the link is never broken.
Reservations
The planning system does not include reserved quantities in the calculation. For example, if a sales order has
been totally or partially reserved against the quantity in inventory, the reserved quantity in inventory cannot be
used to cover other demand. The planning system does not include this demand-supply set in its calculation.
However, the planning system will still include reserved quantities in the projected inventory profile because all
quantities must be considered when determining both when the reorder point has been passed and how many
to reorder to reach and not exceed the maximum inventory level. Consequently, unnecessary reservations will
lead to increased risks that inventory levels run low because the planning logic does not detect reserved
quantities.
The following illustration shows how reservations can hinder the most feasible plan.
For more information, see Design Details: Reservation, Order Tracking, and Action Messaging.
Warnings
The first column in the planning worksheet is for the warning fields. Any planning line created for an unusual
situation will display a warning icon in this field, which the user can click for additional information.
Supply on planning lines with warnings will normally not be modified according to planning parameters.
Instead, the planning system only suggests a supply to cover the exact demand quantity. However, the system
can be set up to respect certain planning parameters for planning lines with certain warnings. For more
information, see the description of these options for the Calculate Plan - Plan. Wksh. batch job and the
Calculate Plan - Req. Wksh. batch job respectively.
The warning information is shown on the Untracked Planning Elements page, which is also used to show
order tracking links to non-order network entities. The following warning types exist:
Emergency
Exception
Attention
Emergency
The emergency warning is displayed in two situations:
When the inventory is negative on the planning starting date.
When back-dated supply or demand events exist.
If an item’s inventory is negative on the planning starting date, the planning system suggests an emergency
supply for the negative quantity to arrive on the planning starting date. The warning text states the starting date
and the quantity of the emergency order. For more information, see Handling Projected Negative Inventory.
Any document lines with due dates before the planning starting date are consolidated into one emergency
supply order for the item to arrive on the planning starting date.
Exception
The exception warning is displayed if the projected available inventory drops below the safety stock quantity.
The planning system will suggest a supply order to meet the demand on its due date. The warning text states the
item’s safety stock quantity and the date on which it is violated.
Violating the safety stock level is considered an exception because it should not occur if the reorder point has
been set correctly. For more information, see The Role of the Reorder Point.
In general, exceptional order proposals ensure that the projected available inventory is never lower than the
safety stock level. This means that the proposed quantity is just enough to cover the safety stock, without
considering planning parameters. However, in some scenarios, order modifiers will be considered.
NOTE
The planning system may have consumed the safety stock intentionally and will then replenish it straight away. For more
information, see Safety Stock May Be Consumed.
Attention
The attention warning is displayed in three situations:
The planning starting date is earlier than the work date.
The planning line suggests changing a released purchase or production order.
The projected inventory exceeds the overflow level on the due date. For more information, see Staying under
the Overflow Level.
NOTE
In planning lines with warnings, the Accept Action Message field is not selected, because the planner is expected to
further investigate these lines before carrying out the plan.
Error Logs
In the Calculate Plan request page, the user can select the Stop and Show First Error field to have the
planning run stop when it encounters the first error. At the same time, a message is displayed with information
about the error. If an error exists, only the successful planning lines that were made before the error was
encountered will be presented in the planning worksheet.
If the field is not selected, the Calculate Plan batch job will continue until it has completed. Errors will not
interrupt the batch job. If one or more errors exist, application will display a message after completion saying
how many items are affected by errors. The Planning Error Log page then opens to provide more details
about the error and to provide links to the affected documents or setup cards.
Planning Flexibility
It is not always practical to plan an existing supply order, such as when production has started or extra people
are hired on a specific day to do the job. To indicate whether an existing order can be changed by the planning
system, all supply order lines have a Planning Flexibility field with two options: Unlimited or None. If the field is
set to None, the planning system will not try to change the supply order line.
The field can be manually set by the user, however, in some cases it will be set automatically by the system. The
fact that planning flexibility can be manually set by the user is important, because it makes it easy to adapt the
usage of the feature to different workflows and business cases.
For more information about how this field is used, see Design Details: Transfers in Planning.
Order Planning
The basic supply planning tool represented by the Order Planning page is designed for manual decision
making. It does not consider any planning parameters and is therefore not discussed further in this document.
For more information, see Plan for New Demand Order by Order.
NOTE
It is not advisable to use Order Planning if the company already uses the planning or requisition worksheets. Supply
orders created through the Order Planning page may be changed or deleted during the automated planning runs. This
is because the automated planning run uses planning parameters and these may not be considered by the user who
made the manual plan in the Order Planning page.
Finite Loading
Business Central is a standard ERP system, not a dispatching or shop floor control system. It plans for a feasible
utilization of resources by providing a rough-cut schedule, but it does not automatically create and maintain
detailed schedules based on priorities or optimization rules.
The intended use of the Capacity-Constrained Resource feature is 1): to avoid overload of specific resources and
2): to ensure that no capacity is left unallocated if it could increase the turn-around time of a production order.
The feature includes no facilities or options to prioritize or optimize operations as one would expect to find in a
dispatching system. However, it can provide rough-cut capacity information useful to identify bottlenecks and to
avoid overloading resources.
When planning with capacity-constrained resources, the system ensures that no resource is loaded above its
defined capacity (critical load). This is done by assigning each operation to the nearest available time slot. If the
time slot is not big enough to complete the entire operation, then the operation will be split into two or more
parts placed in the nearest available time slots.
NOTE
In case of operation splitting, the setup time is only assigned once because it is assumed that some manual adjustment is
done to optimize the schedule.
Dampener time can be added to resources to minimize operation splitting. This enables the system to schedule
load on the last possible day by exceeding the critical load percent slightly if this can reduce the number of
operations that are split.
This completes the outline of central concepts relating to supply planning in Business Central. The following
sections investigate these concepts deeper and place them in the context of the core planning procedures,
balancing demand and supply as well as the use of reordering policies.
See Also
Design Details: Reservation, Order Tracking, and
Action Messaging
The reservations system is comprehensive and includes the interrelated and parallel features of Order Tracking
and Action Messaging.
At the core of the reservation system is the linking of a demand entry and a corresponding supply entry, either
through reservation or order tracking. A reservation is a user-generated link, and an order tracking record is a
system-generated link. An item quantity that is entered in the reservation system is either reserved or order
tracked, but not both at the same time. How the systems handle an item depends on how the item is set up.
The reservation system interacts with the planning system by creating action messages on planning lines during
planning runs. An action message can be considered an appendage to an order tracking record. Action
messages, whether created dynamically in order tracking or during the planning run, provide a convenient tool
for efficient supply planning.
NOTE
Reserved quantities are ignored by the planning system, that is, the hard link that is made between supply and demand
cannot be changed through planning.
The reservations system also forms the structural foundation for the item tracking system. For more
information, see Design Details: Item Tracking.
NOTE
This article uses names of locations from an earlier version of the demonstration company in Business Central. These
names do not map directly to the locations in the current demonstration company. We encourage you to use the article
to learn about locations and not as step-by-step instructions for how to use the demonstration company.
Reservation
A reservation is a firm link that connects a specific demand and a specific supply to each other. This link directly
affects the subsequent inventory transaction and ensures the proper application of item entries for costing
purposes. A reservation overrides the default costing method of an item. For more information, see Design
Details: Item Tracking.
The Reser vation page is accessible from all order lines of both demand and supply type. In this page, the user
can specify which demand or supply entry to create a reservation link to. The reservation consists of a pair of
records that share the same entry number. One record has a negative sign and points to the demand. The other
record has a positive sign and points to the supply. These records are stored in the Reser vation Entr y table
with status value Reser vation . The user can view all reservations on the Reser vation Entries page.
Offsetting in Reservations
Reservations are made against available item quantities. Item availability is calculated in basic terms as follows:
available quantity = inventory + scheduled receipts - gross requirements
The following table shows the details of the order network entities that are part of the availability calculation.
F IEL D IN T 27 SO URC E TA B L E TA B L E F ILT ER SO URC E F IEL D
Inventor y Inventory Item Ledger Entry N/A Quantity
Scheduled receipts FP Order Receipt Prod. Order Line =Firm Planned Remaining Qty. (Base)
(Qty.)
Scheduled receipts Rel. Order Receipt Prod. Order Line =Released Remaining Qty. (Base)
(Qty.)
Scheduled receipts Qty. on Assembly Assembly Header =Order Remaining Qty. (Base)
Order
Scheduled receipts Qty. on Purch. Order Purchase Line =Order Outstanding Qty.
(Base)
Scheduled receipts Trans. Ord. Receipt Transfer Line N/A Outstanding

(Qty.) Quantity
Gross Qty. On Sales Order Sales Line =Order Outstanding Qty.

requirements (Base)
Gross Scheduled Need Prod. Order <>Simulated Remaining Qty. (Base)

requirements (Qty.) Component
Gross Qty. on Asm. Assembly Line =Order Remaining Qty. (Base)

requirements Component
Gross Trans. Ord. Shipment Transfer Line N/A Outstanding

requirements (Qty.) Quantity
For more information, see Design Details: Availability in the Warehouse.

Manual Reservation
When a user intentionally creates a reservation, the user gains full ownership of and responsibility for these
items. This means that the user must also manually change or cancel a reservation. Such manual changes may
cause automatic modification of the involved reservations.
The following table shows when and which modifications may occur:
USER A C T IO N SY ST EM REA C T IO N
Decreasing the reserved quantity The related quantity fields are updated.
Changing date fields The related date fields are updated.
Note: If the due date on a demand is changed to precede

the shipment date or due date of the supply, then the
reservation is canceled.
Deleting the order The reservation is canceled.
Changing location, bin, variant, serial number, or lot number The reservation is canceled.
NOTE
The Late Binding functionality may also change reservations without informing the user, by reshuffling nonspecific
reservations of serial or lot numbers. For more information, see "Design Details: Item Tracking and Reservations".
Automatic Reservations
The item card can be set up to always be reserved automatically from demand, such as sales orders. In that case,
reservation is made against inventory, purchase orders, assembly orders, and production orders. A warning is
issued if supply is insufficient.
In addition, items are automatically reserved by various planning functions to keep a demand linked to a specific
supply. The order tracking entries for such planning links contain Reser vation in the Reser vation Status field
in the Reser vation Entr y table. Automatic reservations are created in the following situations:
A multilevel production order where the Manufacturing Policy field of the involved parent and child
items is set to Make-to-Order . The planning system creates reservations between the parent production
order and the underlying production orders to ensure that they are processed together. Such a
reservation binding overrides the item's default costing and application method.
A production, assembly, or purchase order where the Reordering Policy field of the involved item is set
to Order . The planning system creates reservations between the demand and the planned supply to
ensure that the specific supply is created. For more information, see Order.
A production order created from a sales order with the Sales Order Planning function is linked to the
sales order with an automatic reservation.
An assembly order created automatically for a sales order line to fulfill the quantity in the ($ T_37_900
Qty. to Assemble to Order $) field. This automatic reservation links the sales demand and the
assembly supply so that sales order processors can customize and promise the assembly item to the
customer directly. In addition, the reservation links the assembly output to the sales order line through to
the shipping activity that fulfills the customer order.
In the case of supply or demand that is not allocated, the planning system automatically assigns a reservation
status of type Surplus . This could result from demand that is due to forecasted quantities or user-entered
planning parameters. This is legitimate surplus, which the system recognizes, and it does not give rise to action
messages. Surplus could also be genuine, excess supply or demand that remains untracked. This is an indication
of an imbalance in the order network, which causes the system to issue action messages. Note that an action
message that suggests a change in quantity always refers to type Surplus . For more information, see the
"Example: Order Tracking in Sales, Production, and Transfers" section in this topic.
Automatic reservations that are created during the planning run are handled in the following ways:
They are applied against item quantities that are part of the availability calculation, as are manual
reservations. For more information, see the "Offsetting in Reservations" section in this topic.
They are included and potentially changed in subsequent planning runs, as opposed to manually
reserved items.
Order Tracking
Order Tracking helps the planner maintain a valid supply plan by providing an overview of the offsetting
between demand and supply in the order network. The order tracking records serve as the foundation for
creating dynamic action messages and planning line suggestions during planning runs.
NOTE
The order tracking system offsets available stock as orders are entered into the order network. This implies that the
system does not prioritize orders that may be more urgent in terms of their due date. It is therefore up to the logic of the
planning system or the wisdom of the planner to rearrange these priorities in a meaningful way.
NOTE
Order tracking policy and the Get Action Messages function are not integrated with Jobs. That means that demand
related to a job is not automatically tracked. Because it is not tracked, it could cause the use of an existing replenishment
with job information to be tracked to another demand, for example, a sales order. Consequently, you may encounter the
situation in which your information about available inventory is out of sync.
The Order Network

The order tracking system is based on the principle that the order network must always be in a state of balance,
in which every demand that enters the system is offset by a corresponding supply and vice versa. The system
provides this by identifying logical links between all demand and supply entries in the order network.
This principle implies that a change in demand results in a corresponding imbalance on the supply side of the
order network. Conversely, a change in supply results in a corresponding imbalance on the demand side of the
order network. In reality, the order network is in a state of constant flux as users enter, amend, and delete orders.
Order Tracking processes orders dynamically, reacting to each change at the time that it enters the system and
becomes a part of the order network. As soon as new order tracking records are created, the order network is in
balance, but only until the next change occurs.
To increase the transparency of calculations in the planning system, the Untracked Planning Elements page
displays untracked quantities, which represent the difference in quantity between known demand and
suggested supply. Each line on the page refers to the cause of the excess quantity, such as Blanket Order ,
Safety Stock Level , Fixed Reorder Quantity , Minimum Order Qty., Rounding , or Dampener .
Offsetting in Order Tracking
In contrast to reservations, which can only be made against available item quantities, order tracking is possible
against all order network entities that are part of the net requirements calculation of the planning system. The
net requirements are calculated as follows:
net requirements = gross requirements + reorder point - scheduled receipts - planned receipts - projected
available balance
NOTE
Demand that is related to forecasts or planning parameters is not order tracked.
Example: Order Tracking in Sales, Production, and Transfers

The following scenario shows which order tracking entries are created in the Reser vation Entr y table as
results of various order network changes.
Assume the following data for two items that are set up for order tracking.
IT EM 1 NAME " C O M P O N EN T "

IT EM 1 NAME " C O M P O N EN T "
Availability 100 units in WEST location
- 30 units of LOTA
- 70 units of LOTB
Item 2 Name "Produced Item"
Production BOM 1 qty. per of "Component"
Demand Sale for 100 units at EAST location
Supply Released production order (generated

with the Sales Order Planning
function for the sale of 100 units)
On the Manufacturing Setup page, the Components at Location field is set to RED .
The following order tracking entries exist in the Reser vation Entr y table based on the data in the table.
Entry Numbers 8 and 9

For the component need for LOTA and LOTB respectively, order tracking links are created from the demand in
table 5407, Prod. Order Component , to the supply in table 32, Item Ledger Entr y . The Reser vation Status
field contains Tracking to indicate that these entries are dynamic order tracking links between supply and
demand.
NOTE
The Lot No. field is empty on the demand lines, because the lot numbers are not specified on the component lines of the
released production order.
Entry Numbers 10
From the sales demand in table 37, Sales Line , an order tracking link is created to the supply in table 5406,
Prod. Order Line . The Reser vation Status field contains Reser vation , and the Binding field contains
Order-to-Order . This is because the released production order was generated specifically for the sales order
and must remain linked unlike order tracking links with a reservation status of Tracking , which are created and
changed dynamically. For more information, see the "Automatic Reservations" section in this topic.
At this point in the scenario, the 100 units of LOTA and LOTB are transferred to EAST location by a transfer order.
NOTE
Only the transfer order shipment is posted at this point, not the receipt.
Now the following order tracking entries exist in the Reser vation Entr y table.

Order tracking entries for the two lots of the component reflecting demand in table 5407 are changed from a
reservation status of Tracking to Surplus . The reason is that the supplies that they were linked to before, in
table 32, have been used by the shipment of the transfer order.
Genuine surplus, as in this case, reflects excess supply or demand that remains untracked. It is an indication of
imbalance in the order network, which will generate an action message by the planning system unless it is
resolved dynamically.
Entry Numbers 12 to 16
Because the two lots of the component are posted on the transfer order as shipped but not received, all related
positive order tracking entries are of reservation type Surplus , indicating that they are not allocated to any
demands. For each lot number, one entry relates to table 5741, Transfer Line , and one entry relates to the item
ledger entry at the in-transit location where the items now exist.
At this point in the scenario, the transfer order of the components from EAST to WEST location is posted as
received.
The order tracking entries are now similar to the first point in the scenario, before the transfer order was posted
as shipped only, except entries for the component are now of reservation status Surplus . This is because the
component need is still at WEST location, reflecting that the Location Code field on the production order
component line contains WEST as set up in the Components at Location setup field. The supply that was
allocated to this demand before has been transferred to EAST location and cannot now be fully tracked unless
the component need on the production order line is changed to EAST location.
At this point in the scenario, the Location Code on the production order line is set to EAST . In addition, on the
Item Tracking Lines page, the 30 units of LOTA and the 70 units of LOTB are assigned to the production order
line.

Since the component need has been changed to EAST location, and the supply is available as item ledger entries
at EAST location, all order tracking entries for the two lot numbers are now fully tracked, indicated by the
reservation status of Tracking .
The Lot No. field is now filled in the order tracking entry for table 5407, because the lot numbers were assigned
to the production order component lines.
For more examples of order tracking entries in the Reser vation Entr y table, see the "Reservation Entry Table"
white paper on PartnerSource (requires login).
Action Messaging
When the order tracking system detects an imbalance in the order network, it automatically creates an action
message to notify the user. Action messages are system-generated calls for user action that specify the details of
the imbalance and the suggestions about how to restore balance to the order network. They are displayed as
planning lines on the Planning Worksheet page when you choose Get Action Messages . In addition, action
messages are displayed on planning lines that are generated by the planning run to reflect the planning
system's suggestions about how to restore balance to the order network. In both cases, the suggestions are run
on the order network, when you choose Carr y Out Action Messages .
An action message addresses one BOM level at a time. If the user accepts the action message, this may give rise
to additional action messages at the next BOM level.
The following table shows the action messages that exist.
A C T IO N M ESSA GE DESC RIP T IO N
Change Qty. Changes the quantity on an existing supply order to cover a

changed or new demand.
Reschedule Reschedules the due date on an existing order.
Resched. & Chg. Qty. Reschedules the due date and changes the quantity on an
existing order.
New Creates a new order if demand cannot be fulfilled by either

of the previous action messages.
Cancel Cancels an existing order.
The order tracking system always attempts to resolve an imbalance in the existing order network. If this is not
possible, it issues an action message to create a new order. Following is the prioritized list that the order tracking
system uses when it determines how to restore balance. If an additional demand has entered the order network,
the system seeks to order track through the following checks:
1. Check for any excess supply in the existing order tracking record for this demand.
2. Check for planned and scheduled receipts in order of receipt date. The latest possible date is selected.
3. Check for available stock.
4. Check if a supply order exists in the current order tracking record. If so, the system issues an action message
of type Change to increase the order.
5. Check that no supply order exists in the current order tracking record. If so, the system issues an action
message of type New to create a new order.
An open demand passes through the list and offsets the available supply at each point. Any remaining demand
is always covered by check 4 or check 5.
If a decrease in demand quantity occurs, the order tracking system attempts to resolve the imbalance by
performing the previous checks in reverse order. This means that existing action messages could be modified or
even deleted, if necessary. The order tracking system always presents the net result of its calculations to the user.
Order Tracking and Planning

When the planning system runs, it deletes all existing order tracking records and action message entries and
recreates them as planning line suggestions according to supply/demand pairs and priorities. When the
planning run has finished, the order network is in balance.
Planning System versus Order Tracking and Action Messaging
The following comparison shows the differences between the methods that are used by the planning system to
create planning line suggestions and the methods that are used by the order tracking system to create order
tracking records and action messages.
The planning system deals with the entire supply and demand pattern of a particular item, whereas order
tracking deals with the order that activated it.
The planning system deals with all levels of the BOM hierarchy, whereas order tracking deals with one
BOM level at a time.
The planning system establishes links between demand and supply according to the prioritized due date.
Order tracking establishes links between demand and supply according to the order entry sequence.
The planning system takes planning parameters into account, whereas order tracking does not.
The planning system creates links in a user-activated batch mode when it balances demand and supply,
whereas order tracking creates the links automatically and dynamically as the user enters orders.
See Also
To understand how the planning system works, it is necessary to understand the prioritized goals of the
planning system, the most important of which are to ensure that:
Any demand will be met by sufficient supply.
Any supply serves a purpose.
Generally, these goals are achieved by balancing supply with demand.
Demand and Supply

Demand is the common term used for any kind of gross demand, such as a sales order and component need
from a production order. In addition, application allows more technical types of demand, such as negative
inventory and purchase returns.
Supply is the common term used for any kind of positive or inbound quantity, such as inventory, purchases,
assembly, production, or inbound transfers. In addition, a sales return may also represent supply.
To sort out the many sources of demand and supply, the planning system organizes them on two time lines
called inventory profiles. One profile holds demand events, and the other holds the corresponding supply
events. Each event represents one order network entity, such as a sales order line, an item ledger entry, or a
production order line.
When inventory profiles are loaded, the different demand-supply sets are balanced to output a supply plan that
fulfills the listed goals.
Planning parameters and inventory levels are other types of demand and supply respectively, which undergo
integrated balancing to replenish stock items. For more information, see Design Details: Handling Reordering
Policies.
The Concept of Balancing in Brief

Demand is given by a company's customers. Supply is what the company can create and remove to establish
balance. The planning system starts with the independent demand and then tracks backwards to the supply.
The inventory profiles are used to contain information about the demands and supplies, quantities, and timing.
These profiles essentially make up the two sides of the balancing scale.
The objective of the planning mechanism is to counterbalance the demand and supply of an item to ensure that
supply will match demand in a feasible way as defined by the planning parameters and rules.
Dealing with Orders Before the Planning Starting Date
To avoid that a supply plan shows impossible and therefore useless suggestions, the planning system regards
the period up until the planning starting date a frozen zone where nothing is planned for. The following rule
applies to the frozen zone:
All supply and demand before the starting date of the planning period will be considered a part of inventory or
shipped.
Accordingly, the planning system will not, with a few exceptions, suggest any changes to supply orders in the
frozen zone, and no order tracking links are created or maintained for that period.
The exceptions to this rule are as follows:
If the projected available inventory, including the sum of supply and demand in the frozen zone, is below
zero.
If serial/lot numbers are required on the backdated order(s).
If the supply-demand set is linked by an order-to-order policy.
If the initial available inventory is below zero, the planning system suggests an emergency supply order on the
day before the planning period to cover the missing quantity. Consequently, the projected and available
inventory will always be at least zero when planning for the future period begins. The planning line for this
supply order will display an Emergency warning icon and additional information is provided upon lookup.
Serial/Lot Numbers and Order-to -Order Links are Exempt from the Frozen Zone
If serial/lot numbers are required or an order-to-order link exists, the planning system will disregard the frozen
zone and incorporate such quantities that are back-dated from the starting date and potentially suggest
corrective actions if demand and supply is not synchronized. The business reason for this principle is that such
specific demand-supply sets must match to ensure that this specific demand is fulfilled.
Loading the Inventory Profiles

To sort out the many sources of demand and supply, the planning system organizes them on two timelines
called inventory profiles.
The normal types of demand and supply with due dates on or after the planning starting date are loaded into
each inventory profile. When loaded, the different demand and supply types are sorted according to overall
priorities, such as due date, low-level codes, location, and variant. In addition, order priorities are applied to the
different types to ensure that the most important demand is fulfilled first. For more information, see Prioritizing
Orders.
As previously mentioned, demand could also be negative. This means that it should be treated as supply;
however, unlike the normal types of supply, negative demand is considered fixed supply. The planning system
can take it into account, but will not suggest any changes to it.
In general, the planning system considers all supply orders after the planning starting date as subject to change
in order to fulfill demand. However, as soon as a quantity is posted from a supply order, it can no longer be
changed by the planning system. Accordingly, the following different orders cannot be replanned:
Released production orders where consumption or output has been posted.
Assembly orders where consumption or output has been posted.
Transfer orders where shipment has been posted.
Purchase orders where receipt has been posted.
Apart from loading demand and supply types, certain types are loaded with attention to special rules and
dependencies that are described in the following.
Item Dimensions are Separated
The supply plan must be calculated per combination of the item dimensions, such as variant and location.
However, there is no reason to calculate any theoretical combination. Only those combinations that carry a
demand and/or supply need to be calculated.
The planning system controls this by running through the inventory profile. When a new combination is found,
application creates an internal control record that holds the actual combination information. The application
inserts the SKU as the control record, or outer loop. As a result, the proper planning parameters according to a
combination of variant and location are set, and application can proceed to the inner loop.
NOTE
The application does not require the user to enter a SKU record when entering demand and/or supply for a particular
combination of variant and location. Therefore, if a SKU does not exist for a given combination, application creates its own
temporary SKU record based on the item card data. If Location Mandatory is set to Yes in the Inventory Setup page, then
either a SKU must be created or Components at Location must be set to Yes. For more information, see Design Details:
Demand at Blank Location.
Serial/Lot Numbers are Loaded by Specification Level

Attributes in the form of serial/lot numbers are loaded into the inventory profiles along with the demand and
supply that they are assigned to.
Demand and supply attributes are arranged by order priority as well as by their level of specification. Because
serial/lot number matches reflect the level of specification, the more specific demand, such as a lot number
selected specifically for a sale line, will seek a match before less specific demand, such as a sale from any lot
number selected.
NOTE
There are no dedicated prioritization rules for serial/lot-numbered demand and supply, other than the level of specification
defined by their combinations of serial and lot numbers and the item tracking setup of the involved items.
During balancing, the planning system regards supply that carries serial/lot numbers as inflexible and will not
try to increase or reschedule such supply orders (unless they are used in an order-to-order relation). See Order-
to-Order Links are Never Broken). This protects the supply from receiving several, possibly conflicting, action
messages when a supply carries varying attributes—such as a collection of different serial numbers.
Another reason that serial/lot numbered supply is inflexible is that serial/lot numbers are generally assigned so
late in the process that it would be confusing if changes are suggested.
The balancing of serial/lot numbers does not respect the frozen zone. If demand and supply is not synchronized,
the planning system will suggest changes or suggest new orders, regardless of the planning starting date.
Order-to -Order Links are Never Broken
When planning an order-to-order item, the linked supply must not be used for any demand other than what it
was originally intended for. The linked demand should not be covered by any other random supply, even if, in its
present situation, it is available in time and quantity. For example, an assembly order that is linked to a sales
order in an assemble-to-order scenario cannot be used to cover other demand.
Order-to-order demand and supply must balance precisely. The planning system will ensure the supply under all
circumstances without regarding order sizing parameters, modifiers, and quantities in inventory (other than
quantities relating to the linked orders). For the same reason, the system will suggest decreasing excess supplies
if the linked demand is decreased.
This balancing also affects the timing. The limited horizon that is given by the time bucket is not regarded; the
supply will be rescheduled if the timing of the demand has changed. However, dampener time will be respected
and will prevent order-to-order supplies from being scheduled out, except for the internal supplies of a multi-
level production order (project order).
NOTE
Serial/lot numbers can also be specified on order-to-order demand. In that case, the supply is not regarded inflexible by
default, as is normally the case for serial/lot numbers. In this case, the system will increase/decrease according to changes
in demand. Furthermore, if one demand carries varying serial/lot numbers, such as more than one lot number, one supply
order will be suggested per lot.
NOTE
Forecasts should not lead to creating supply orders that are bound by an order-to-order link. If the forecast is used, it
should only be used as a generator of dependent demand in a manufacturing environment.
Component Need is Loaded according to Production Order Changes

When handling production orders, the planning system must monitor the needed components before loading
them into the demand profile. Component lines that result from an amended production order will replace
those of the original order. This ensures that the planning system establishes that planning lines for component
need are never duplicated.
Safety Stock May Be Consumed
The safety stock quantity is primarily a demand type and is therefore loaded into the inventory profile on the
planning starting date.
Safety stock is an inventory quantity set aside to compensate for uncertainties in demand during the
replenishment lead time. However, it may be consumed if it is necessary to take from it to fulfill a demand. In
that case, the planning system will ensure that the safety stock is quickly replaced by suggesting a supply order
to replenish the safety stock quantity on the date it is consumed. This planning line will display an Exception
warning icon explaining to the planner that the safety stock has been partly or fully consumed by means of an
exception order for the missing quantity.
Forecast Demand is Reduced by Sales Orders
The demand forecast expresses anticipated future demand. While actual demand is entered, typically as sales
orders for produced items, it consumes the forecast.
The forecast itself is not actually reduced by sales orders; it remains the same. However, the forecast quantities
used in the planning calculation are reduced (by the sales order quantities) before the remaining quantity, if any,
enters the demand inventory profile. When the planning system examines actual sales during a period, both
open sales orders and item ledger entries from shipped sales are included, unless they are derived from a
blanket order.
A user is required to define a valid forecast period. The date on the forecasted quantity defines the start of the
period, and the date on the next forecast defines the end of the period.
The forecast for periods prior to the planning period is not used, regardless of whether it was consumed or not.
The first forecast figure of interest is either the date on or the closest date prior to the planning starting date.
The forecast can be for independent demand, such as sales orders, or dependent demand, like production order
components (module-forecast). An item can have both types of forecast. During planning, the consumption
takes place separately, first for independent demand and then for dependent demand.
Blanket Order Demand is Reduced by Sales Orders
Forecasting is supplemented by the blanket sales order as a means of specifying future demand from a specific
customer. As with the (unspecified) forecast, actual sales should consume the anticipated demand, and the
remaining quantity should enter the demand inventory profile. Again, the consumption does not actually reduce
the blanket order.
The planning calculation considers open sales orders linked to the specific blanket order line, but it does not
consider any valid time period. Nor does it consider posted orders, since the posting procedure has already
reduced the outstanding blanket order quantity.
Prioritizing Orders
Within a given SKU, the requested or available date represents the highest priority; the demand of today should
be dealt with before the demand of next week. But in addition to this overall priority, the planning system will
also suggest which type of demand should be fulfilled before fulfilling another demand. Likewise, it will suggest
what source of supply should be applied before applying other sources of supply. This is done according to
order priorities.
Loaded demand and supply contribute to a profile for the projected inventory according to the following
priorities:
Priorities on the Demand Side
1. Already shipped: Item Ledger Entry
2. Purchase Return Order
3. Sales Order
4. Service Order
5. Production Component Need
6. Assembly Order Line
7. Outbound Transfer Order
8. Blanket Order (that has not already been consumed by related sales orders)
9. Forecast (that has not already been consumed by other sales orders)
NOTE
Purchase returns are usually not involved in supply planning; they should always be reserved from the lot that is going to
be returned. If not reserved, purchase returns play a role in the availability and are highly prioritized to avoid that the
planning system suggests a supply order just to serve a purchase return.
Priorities on the Supply Side

1. Already in inventory: Item Ledger Entry (Planning Flexibility = None)
2. Sales Return Order (Planning Flexibility = None)
3. Inbound Transfer Order
4. Production Order
5. Assembly Order
6. Purchase Order
Priority Related to the State of Demand and Supply
Apart from priorities given by the type of demand and supply, the present state of the orders in the execution
process also defines a priority. For example, warehouse activities have an impact, and the status of sales,
purchase, transfer, assembly, and production orders is taken into account:
1. Partly handled (Planning Flexibility = None)
2. Already in process in the warehouse (Planning Flexibility = None)
3. Released – all order types (Planning Flexibility = Unlimited)
4. Firm Planned Production Order (Planning Flexibility = Unlimited)
5. Planned/Open – all order types (Planning Flexibility = Unlimited)
Balancing Supply with Demand

The core of the planning system involves balancing demand and supply by means of suggesting user actions to
revise the supply orders in case of imbalance. This takes place per combination of variant and location.
Imagine that each inventory profile contains a string of demand events (sorted by date and priority) and a
corresponding string of supply events. Each event refers back to its source type and identification. The rules for
counterbalancing the item are straightforward. Four instances of matching demand and supply can occur at any
point of time in the process:
1. No demand or supply exists for the item => the planning has finished (or should not start).
2. Demand exists but there is no supply => supply should be suggested.
3. Supply exists but there is no demand for it => supply should be canceled.
4. Both demand and supply exist => questions should be asked and answered before the system can
ensure that demand will be met and supply is sufficient.
If the timing of the supply is not suitable, perhaps the supply can be rescheduled as follows:
a. If the supply is placed earlier than the demand, perhaps the supply can be rescheduled out so that
inventory is as low as possible.
b. If the supply is placed later than the demand, perhaps the supply can be rescheduled in. Otherwise,
the system will suggest new supply.
c. If the supply meets the demand on the date, the planning system can proceed to investigate whether
the quantity of the supply can cover the demand.
Once the timing is in place, the adequate quantity to be supplied can be calculated as follows:
a. If the supply quantity is less than the demand, it is possible that the supply quantity could be increased
(or not, if limited by a maximum quantity policy).
b. If the supply quantity is greater than the demand, it is possible that the supply quantity can be
decreased (or not, if limited by a minimum quantity policy).
At this point, either of these two situations exists:
a. The current demand can be covered, in which case it can be closed and planning for the next demand
can start.
b. The supply has reached its maximum, leaving some of the demand quantity uncovered. In this case,
the planning system can close the current supply and proceed to the next one.
The procedure starts all over with the next demand and the current supply or vice versa. The current supply
might be able to cover this next demand as well, or the current demand has not yet been fully covered.
Rules Concerning Actions for Supply Events
When the planning system performs a top-down calculation in which supply must fulfill demand, the demand is
taken as a given, that is, it lies outside the control of the planning system. However, the supply side can be
managed. Therefore, the planning system will suggest creating new supply orders, rescheduling existing ones,
and/or changing the order quantity. If an existing supply order becoming superfluous, the planning system will
suggest that the user cancels it.
If the user wants to exclude an existing supply order from the planning suggestions, he can state that it has no
planning flexibility (Planning Flexibility = None). Then, excess supply from that order will be used to cover
demand, but no action will be suggested.
In general, all supply has a planning flexibility that is limited by the conditions of each of the suggested actions.
Reschedule Out : The date of an existing supply order can be scheduled out to meet the demand due
date unless:
It represents inventory (always on day zero).
It has an order-to-order linked to another demand.
It lies outside the reschedule page defined by the time bucket.
There is a closer supply that could be used.
On the other hand, the user may decide not to reschedule because:
The supply order has already been tied to another demand on a previous date.
The needed rescheduling is so minimal that the user finds it negligible.
Reschedule In : The date of an existing supply order can be scheduled in, except in the following
conditions:
It is linked directly to some other demand.
It lies outside the reschedule page defined by the time bucket.
NOTE
When planning an item using a reorder point, the supply order can always be scheduled in if necessary. This is common in
forward-scheduled supply orders triggered by a reorder point.
Increase Quantity : The quantity of an existing supply order can be increased to meet the demand unless
the supply order is linked directly to a demand by an order-to-order link.
NOTE
Even though it is possible to increase the supply order, it may be limited due to a defined maximum order quantity.
Decrease Quantity : An existing supply order with a surplus compared to an existing demand can be
decreased to meet the demand.
NOTE
Even though the quantity could be decreased, there may still be some surplus compared to the demand due to a defined
minimum order quantity or order multiple.
Cancel : As a special incident of the decrease quantity action, the supply order could be canceled if it has
been decreased to zero.
New : If no supply order already exists, or an existing one cannot be changed to meet the necessary quantity
on the demanded due date, a new supply order is suggested.
Determining the Supply Quantity
Planning parameters defined by the user control the suggested quantity of each supply order.
When the planning system calculates the quantity of a new supply order or the quantity change on an existing
one, the suggested quantity may be different from what is actually demanded.
If a maximum inventory or fixed order quantity are selected, the suggested quantity may be increased to meet
that fixed quantity or the maximum inventory. If a reordering policy uses a reorder point, the quantity may be
increased at least to meet the reorder point.
The suggested quantity may be modified in this sequence:
1. Down to the maximum order quantity (if any).
2. Up to the minimum order quantity.
3. Up to meet the nearest order multiple. (In case of erroneous settings, this may violate the maximum order
quantity.)
Order Tracking Links during Planning
Concerning order tracking during planning, it is important to mention that the planning system rearranges the
dynamically created order tracking links for the item/variant/location combinations.
There are two reasons for this:
The planning system must be able to justify its suggestions; that all demand has been covered, and that no
supply orders are superfluous.
Dynamically created order tracking links need to be rebalanced regularly.
Over time, dynamic order tracking links become out of balance since the entire order tracking network is not
rearranged until a demand or supply event is actually closed.
Before balancing supply by demand, application deletes all existing order tracking links. Then during the
balancing procedure, when a demand or supply event is closed, it establishes new order tracking links between
the demand and supply.
NOTE
Even if the item is not set up for dynamic order tracking, the planned system will create balanced order tracking links as
explained above.
Closing Demand and Supply

When the supply balancing procedures have been performed, there are three possible end situations:
The required quantity and date of the demand events have been met and the planning for them can be
closed. The supply event is still open and may be able to cover the next demand, so the balancing procedure
can start over with the current supply event and the next demand.
The supply order cannot be modified to cover all of the demand. The demand event is still open, with some
uncovered quantity that may be covered by the next supply event. Thus the current supply event is closed, so
the balancing act can start over with the current demand and the next supply event.
All of the demand has been covered; there is no subsequent demand (or there has been no demand at all). If
there is any surplus supply, it may be decreased (or canceled) and then closed. It is possible that additional
supply events exist further along in the chain, and they should also be canceled.
Last, the planning system will create an order tracking link between the supply and the demand.
Creating the Planning Line (Suggested Action)
If any action – New, Change Quantity, Reschedule, Reschedule and Change Quantity, or Cancel – is suggested to
revise the supply order, the planning system creates a planning line in the planning worksheet. Due to order
tracking, the planning line is created not only when the supply event is closed, but also if the demand event is
closed, even though the supply event is still open and may be subject to additional changes when the next
demand event is processed. This means that when first created, the planning line may be changed again.
To minimize database access when handling production orders, the planning line can be maintained in three
levels, while aiming to perform the least demanding maintenance level:
Create only the planning line with the current due date and quantity but without the routing and
components.
Include routing: the planned routing is laid out including calculation of starting and ending dates and times.
This is demanding in terms of database accesses. To determine the ending and due dates, it may be
necessary to calculate this even if the supply event has not been closed (in the case of forward scheduling).
Include BOM explosion: this can wait until just before the supply event is closed.
This concludes the descriptions of how demand and supply is loaded, prioritized, and balanced by the planning
system. In integration with this supply planning activity, the system must ensure that the required inventory
level of each planned item is maintained according to its reordering policies.
See Also
For an item to participate in supply planning, a reorder policy must be defined. The following four reordering
policies exist:
Fixed Reorder Qty.
Maximum Qty.
Order
Lot-for-Lot
Fixed Reorder Qty. and Maximum Qty. policies relate to inventory planning. Although inventory planning is
technically simpler than the balancing procedure, these policies must coexist with the step-by-step balancing of
supply and order tracking. To control the integration between the two, and to provide visibility into the involved
planning logic, strict principles govern how reordering policies are handled.
The Role of the Reorder Point

In addition to the general balancing of supply and demand, the planning system must also monitor inventory
levels for the affected items to respect the defined reordering policies.
A reorder point represents demand during lead time. When the projected inventory passes below the inventory
level defined by the reorder point, it is time to order more quantity. Meanwhile, the inventory is expected to
decrease gradually and possibly reach zero (or the safety stock level), until the replenishment arrives.
Accordingly, the planning system will suggest a forward-scheduled supply order at the point when the projected
inventory passes below the reorder point.
The reorder point reflects a certain inventory level. However, inventory levels can move significantly during the
time bucket and, therefore, the planning system must constantly monitor the projected available inventory.
Monitoring the Projected Inventory Level and the Reorder Point

Inventory is a type of supply, but for inventory planning, the planning system distinguishes between two
inventory levels:
Projected inventory
Projected available inventory
Projected Inventory
Initially, projected inventory is the quantity of gross inventory, including supply and demand in the past even if
not posted, when starting the planning process. In the future, this becomes a moving projected inventory level
that is maintained by gross quantities from future supply and demand because those are introduced along the
time line (whether reserved or in other ways allocated).
The projected inventory is used by the planning system to monitor the reorder point and to determine the
reorder quantity when using the Maximum Qty. reordering policy.
Projected Available Inventory
The projected available inventory is the part of the projected inventory that at a given point in time is available
to fulfill demand. The projected available inventory is used by the planning engine when monitoring the safety
stock level.
The projected available inventory is used by the planning system to monitor the safety stock level, since the
safety stock must always be available to serve unexpected demand.
Time Buckets
Having a tight control of the projected inventory is crucial to detect when the reorder point is reached or
crossed and to calculate the right order quantity when using the Maximum Qty. reordering policy.
As stated earlier, the projected inventory level is calculated at the start of the planning period. It is a gross level
that does not consider reservations and similar allocations. To monitor this inventory level during the planning
sequence, the system monitors the aggregated changes over a period of time, a time bucket. The system
ensures that the time bucket is at least one day since it is the most precise unit of time for a demand or supply
event.
Determining the Projected Inventory Level
The following sequence describes how the projected inventory level is determined:
When a supply event, such as a purchase order has been totally planned, it will increase the projected
inventory on its due date.
When a demand event has been fully satisfied, it will not decrease the projected inventory right away.
Instead, it posts a decrease reminder, which is an internal record that holds the date and quantity of the
contribution to the projected inventory.
When a subsequent supply event is planned and placed on the time line, the posted decrease reminders are
investigated one by one up until the planned date of the supply while updating the projected inventory.
During this process, the reorder point level of the internal increase reminder may be reached or crossed.
If a new supply order is introduced, the system checks if it is entered before the current supply. If it is, the
new supply becomes current supply and the balancing procedure starts over.
The following shows a graphical illustration of this principle:
1. Supply Sa of 4 (fixed) closes Demand Da of -3.

2. CloseDemand: Create a decrease reminder of -3 (not shown).
3. Supply Sa is closed with a surplus of 1 (no more demand exists).
This increases the projected inventory level to +4, while the projected available inventory becomes -1.
4. The next supply Sb of 2 (another order) has already been placed on the timeline.
5. System checks if there is any decrease reminder preceding Sb (there is not, so no action is taken).
6. System closes supply Sb (no more demand exists)—either A: by reducing it to 0 (cancel) or B: by leaving
as is.
This increases the projected inventory level (A: +0 => +4 or B: +2 = +6).
7. System makes a final check: Is there any decrease reminder? Yes, there is one on the date of Da .
8. System adds the decrease reminder of -3 reminder to the projected inventory level, either A: +4 -3 = 1 or
B: +6 -3 = +3.
9. In case of A, the system creates a forward-scheduled order starting on date Da .
In case of B, the reorder point is reached and a new order is created.
The Role of the Time Bucket

The purpose of the time bucket is to collect demand events within the time page in order to make a joint supply
order.
For reordering policies that use a reorder point, you can define a time bucket. This ensures that demand within
the same time period is accumulated before checking the impact on the projected inventory and whether the
reorder point has been passed. If the reorder point is passed, a new supply order is scheduled forward from the
end of the period defined by the time bucket. The time buckets begin on the planning starting date.
The time-bucketed concept reflects the manual process of checking the inventory level on a frequent basis
rather than for each transaction. The user needs to define the frequency (the time bucket). For example, the user
gathers all item needs from one vendor to place a weekly order.
The time bucket is generally used to avoid a cascade effect. For example, a balanced row of demand and supply
where an early demand is canceled, or a new one is created. The result would be that every supply order (except
the last one) is rescheduled.
Staying under the Overflow Level

When using the Maximum Qty. and Fixed Reorder Qty. policies, the planning system focuses on the projected
inventory in the given time-bucket only. This means that the planning system may suggest superfluous supply
when negative demand or positive supply changes occur outside of the given time bucket. If, for this reason, a
superfluous supply is suggested, the planning system calculates which quantity the supply should be decreased
to (or deleted) to avoid the superfluous supply. This quantity is called the “overflow level.” The overflow is
communicated as a planning line with a Change Qty. (Decrease) or Cancel action and the following warning
message:
Attention: The projected inventory [xx] is higher than the overflow level [xx] on the Due Date [xx].
Calculating the Overflow Level
The overflow level is calculated in different ways depending on planning setup.
Maximum Qty. reordering policy
Overflow level = Maximum Inventory
NOTE
If a minimum order quantity exists, then it will be added as follows: Overflow level = Maximum Inventory + Minimum
Order Quantity.
Fixed Reorder Qty. reordering policy

Overflow level = Reorder Quantity + Reorder Point
NOTE
If the minimum order quantity is higher than the reorder point, then it will replace as follows: Overflow Level = Reorder
Quantity + Minimum Order Quantity
Order Multiple
If an order multiple exists, then it will adjust the overflow level for both Maximum Qty. and Fixed Reorder Qty.
reordering policies.
Creating the Planning Line with Overflow Warning
When an existing supply causes the projected inventory to be higher than the overflow level at the end of a time
bucket, a planning line is created. To warn about the potential superfluous supply, the planning line has a
warning message, the Accept Action Message field is not selected, and the action message is either Cancel or
Change Qty.
Calculating the Planning Line Quantity
Planning Line Quantity = Current Supply Quantity – (Projected Inventory – Overflow Level)
NOTE
As with all warning lines, any maximum/minimum order quantity or order multiple will be ignored.
Defining the Action Message Type
If the planning line quantity is higher than 0, then the action message is Change Qty.
If the planning line quantity is equal to or lower than 0, then the action message is Cancel
Composing the Warning Message
In case of overflow, the Untracked Planning Elements page displays a warning message with the following
information:
The projected inventory level that triggered the warning
The calculated overflow level
The due date of the supply event.
Example: “The projected inventory 120 is higher than the overflow level 60 on 28-01-11”
Scenario
In this scenario, a customer changes a sales order from 70 to 40 pieces between two planning runs. The
overflow feature sets in to reduce the purchase that was suggested for the initial sales quantity.
Item Setup
REO RDERIN G P O L IC Y M A XIM UM QT Y.
Maximum Order Quantity 100
Reorder Point 50
Inventory 80
Situation Before Sales Decrease
EVEN T C H A N GE QT Y. P RO JEC T ED IN VEN TO RY
Day one None 80
Sale -70 10
End of time bucket None 10
Suggest new purchase order +90 100
Situation After Sales Ddecrease
C H A N GE C H A N GE QT Y. P RO JEC T ED IN VEN TO RY
Day one None 80
Sale -40 40
Purchase +90 130
End of time bucket None 130
Suggest to decrease purchase -30 100
order from 90 to 60
Resulting Planning Lines

One planning line (warning) is created to reduce the purchase with 30 from 90 to 60 to keep the projected
inventory on 100 according to the overflow level.
NOTE
Without the Overflow feature, no warning is created if the projected inventory level is above maximum inventory. This
could cause a superfluous supply of 30.
Handling Projected Negative Inventory

The reorder point expresses the anticipated demand during the lead time of the item. When the reorder point is
passed, it is time to order more. But the projected inventory must be large enough to cover the demand until the
new order is received. Meanwhile, the safety stock should take care of fluctuations in demand up to a targeted
service level.
Consequently, the planning system considers it an emergency if a future demand cannot be served from the
projected inventory, or expressed in another way, that the projected inventory goes negative. The system deals
with such an exception by suggesting a new supply order to meet the part of the demand that cannot be met by
inventory or other supply. The order size of the new supply order will not take the maximum inventory or the
reorder quantity into consideration, nor will it take into consideration the order modifiers Maximum Order
Quantity, Minimum Order Quantity, and Order Multiple. Instead, it will reflect the exact deficiency.
The planning line for this type of supply order will display an Emergency warning icon, and additional
information will be provided upon lookup to inform the user of the situation.
In the following illustration, supply D represents an emergency order to adjust for negative inventory.
1. Supply A , initial projected inventory, is below reorder point.
2. A new forward-scheduled supply is created (C ).
(Quantity = Maximum Inventory – Projected Inventory Level)
3. Supply A is closed by demand B , which is not fully covered.
(Demand B could try to schedule Supply C in but that will not happen according to the time-bucket
concept.)
4. New supply (D ) is created to cover the remaining quantity on Demand B .
5. Demand B is closed (creating a reminder to the projected inventory).
6. The new supply D is closed.
7. Projected Inventory is checked; reorder point has not been crossed.
8. Supply C is closed (no more demand exists).
9. Final check: No outstanding inventory level reminders exist.
NOTE
Step 4 reflects how the system reacts in versions earlier than Microsoft Dynamics NAV 2009 SP1.
This concludes the description of central principles relating to inventory planning based on reordering policies.
The following section describes the characteristics of the four supported reordering policies.
Reordering Policies
Reordering policies define how much to order when the item needs to be replenished. Four different reordering
policies exist.
Fixed Reorder Qty.
The Fixed Reorder Qty. policy is related to inventory planning of typical C-items (low inventory cost, low risk of
obsolescence, and/or many items). This policy is usually used in connection with a reorder point reflecting the
anticipated demand during the lead time of the item.
Calculated per Time Bucket
If the planning system detects that the reorder point has been reached or crossed in a given time bucket
(reorder cycle) – above or on the reorder point at the start of the period and below or on the reorder point at the
end of the period – it will suggest to create a new supply order of the specified reorder quantity and forward
schedule it from the first date after the end of the time bucket.
The bucketed reorder point concept reduces the number of supply suggestions. This reflects a manual process
of frequently walking through the warehouse to check the actual contents in the various bins.
Creates only Necessary Supply
Before suggesting a new supply order to meet a reorder point, the planning system checks if supply has already
been ordered to be received within the item’s lead time. If an existing supply order will solve the problem by
bringing the projected inventory to or above the reorder point within the lead time, the system will not suggest
a new supply order.
Supply orders that are created specifically to meet a reorder point is excluded from ordinary supply balancing,
and will not in any way be changed afterwards. Consequently, if an item using reorder point is to be phased out
(not replenished), it is advisable to review outstanding supply orders manually or change the reordering policy
to Lot-for-Lot, whereby the system will reduce or cancel superfluous supply.
Combines with Order Modifiers
The order modifiers, Minimum Order Quantity, Maximum Order Quantity, and Order Multiple, should not play a
big role when the fixed reorder quantity policy is used. However, the planning system still takes these modifiers
into account and will decrease the quantity to the specified maximum order quantity (and create two or more
supplies in order to reach the total order quantity), increase the order to the specified minimum order quantity,
or round the order quantity up to meet a specified order multiple.
Combines with Calendars
Before suggesting a new supply order to meet a reorder point, the planning system checks if the order is
scheduled for a non-working day, according to any calendars that are defined in the Base Calendar Code field
in the Company Information and Location Card pages.
If the scheduled date is a non-working day, the planning system moves the order forward to the nearest
working date. This may result in an order that meets a reorder point but does not meet some specific demand.
For such unbalanced demand, the planning system creates an extra supply.
Should Not be Used with Forecast
Because the anticipated demand is already expressed in the reorder point level it is not necessary to include a
forecast in the planning of an item using a reorder point. If it is relevant to base the plan on a forecast, use the
lot-for-lot policy.
Must Not be Used with Reservations
If the user has reserved a quantity, for instance a quantity in inventory, for some distant demand, the planning
foundation will be disturbed. Even if the projected inventory level is acceptable in relation to the reorder point,
the quantities might not be available. The system may try to compensate for that by creating exception orders;
however, it is recommended that the Reserve field is set to Never on items that are planned using a reorder
point.
Maximum Qty.
The Maximum Quantity policy is a way to maintain inventory using a reorder point.
Everything regarding the Fixed Reorder Qty. policy also applies to this policy. The only difference is the quantity
of the suggested supply. When using the maximum quantity policy, the reorder quantity will be defined
dynamically based on the projected inventory level and will therefore usually differ from order to order.
Calculated per Time Bucket
The reorder quantity is determined at the point of time (the end of a time bucket) when the planning system
detects that the reorder point has been crossed. At this time, the system measures the gap from the current
projected inventory level up to the specified maximum inventory. This constitutes the quantity that should be
reordered. The system then checks if supply has already been ordered elsewhere to be received within the lead
time and, if so, reduces the quantity of the new supply order by already ordered quantities.
The system will ensure that the projected inventory at least reaches the reorder point level – in case the user has
forgotten to specify a maximum inventory quantity.
Combines with Order Modifiers
Depending on the setup, it may be best to combine the Maximum Quantity policy with order modifiers to
ensure a minimum order quantity or round it to an integer number of purchase units of measure, or split it into
more lots as defined by the maximum order quantity.
Combines with Calendars
Before suggesting a new supply order to meet a reorder point, the planning system checks if the order is
scheduled for a non-working day, according to any calendars that are defined in the Base Calendar Code field
in the Company Information and Location Card pages.
If the scheduled date is a non-working day, the planning system moves the order forward to the nearest
working date. This may result in an order that meets a reorder point but does not meet some specific demand.
For such unbalanced demand, the planning system creates an extra supply.
Order
In a make-to-order environment, an item is purchased or produced to exclusively cover a specific demand.
Typically it relates to A-items, and the motivation for choosing the order reordering policy can be that the
demand is infrequent, the lead-time is insignificant, or the required attributes vary.
The application creates an order-to-order link, which acts as a preliminary connection between the supply, a
supply order or inventory, and the demand that it is going to fulfill.
Apart from using the Order policy, the order-to-order link can be applied during planning in the following ways:
When using the Make-to-Order manufacturing policy to create multi-level or project type production orders
(producing needed components on the same production order).
When using the Sales Order Planning feature to create a production order from a sales order.
Even if a manufacturing company considers itself as a make-to-order environment, it might be best to use a Lot-
for-Lot reordering policy if the items are pure standard without variation in attributes. As a result, the system
will use unplanned inventory and only accumulates sales orders with the same shipment date or within a
defined time bucket.
Order-to-Order Links and Past Due Dates
Unlike most supply-demand sets, linked orders with due dates before the planning starting date are fully
planned for by the system. The business reason for this exception is that specific demand-supply sets must be
synchronized through to execution. For more information about the frozen zone that applies to most demand-
supply types, see Dealing with Orders Before the Planning Starting Date.
Lot-for-Lot
The lot-for-lot policy is the most flexible because the system only reacts on actual demand, plus it acts on
anticipated demand from forecast and blanket orders and then settles the order quantity based on the demand.
The lot-for-lot policy is aimed at A- and B-items where inventory can be accepted but should be avoided.
In some ways, the lot-for-lot policy looks like the Order policy, but it has a generic approach to items; it can
accept quantities in inventory, and it bundles demand and corresponding supply in time buckets defined by the
user.
The time bucket is defined in the Time Bucket field. The system works with a minimum time bucket of one day,
since this is the smallest time unit of measure on demand and supply events in the system (although, in practice,
the time unit of measure on production orders and component needs can be seconds).
The time bucket also sets limits on when an existing supply order should be rescheduled to meet a given
demand. If the supply lies within the time bucket, it will be rescheduled in or out to meet the demand.
Otherwise, if it lies earlier, it will cause unnecessary build-up of inventory and should be canceled. If it lies later, a
new supply order will be created instead.
With this policy, it is also possible to define a safety stock in order to compensate for possible fluctuations in
supply, or to meet sudden demand.
Because the supply order quantity is based on the actual demand it can make sense to use the order modifiers:
round the order quantity up to meet a specified order multiple (or purchase unit of measure), increase the order
to a specified minimum order quantity, or decrease the quantity to the specified maximum quantity (and thus
create two or more supplies to reach the total needed quantity).
See Also
This topic describes the different planning parameters that you can use in Business Central.
The way in which the planning system controls item supply is determined by various settings on the item card
or SKU, and settings in manufacturing setup. The following table shows how these parameters are used for
planning.
P URP O SE PA RA M ET ER
Define if the item is to be planned Reordering Policy = Blank
Define when to reorder Time Bucket
Reorder Point
Safety Lead Time
Define how much to reorder Safety Stock Quantity
Reordering Policy:
- Fixed Reorder Qty. plus Reorder Quantity

- Maximum Qty. plus Maximum Inventory
- Order
- Lot-for-Lot
Optimize when and how much to reorder Rescheduling Period
Lot Accumulation Period
Dampener Period
Modify the supply orders Minimum Order Quantity
Maximum Order Quantity
Order Multiple
Delimit the planned item Manufacturing Policy:
- Make-to-Stock
- Make-to-Order
Define If the Item Will Be Planned

To include an item/SKU in the planning process, it must have a reordering policy otherwise it must be planned
manually, for example, with the Order Planning feature.
Define When to Reorder

Reorder proposals are generally released only when the projected available quantity has fallen to or below a
given quantity. This quantity is defined by the reorder point. Otherwise, it will be zero. Zero can be adjusted by
entering a safety stock quantity. If the user has defined a safety lead time, it will cause the proposal to be
delivered in the period prior to the required due date.
The Time Bucket field is used by reorder point policies (Fixed Reorder Qty. and Maximum Qty.), where the
inventory level is checked after each time bucket. The first time bucket begins on the planning starting date.
NOTE
When calculating time buckets, the planning system ignores any working calendars that are defined in the Base
Calendar Code field in the Company Information and Location Card pages.
The default safety lead time, on the Manufacturing Setup page, should be set to at least one day. The due date
of the demand may be known, but not the due time. The planning schedules backward to meet gross demand,
and, if no safety lead time is defined, the goods may arrive too late to meet the demand.
Three additional reorder period fields, Rescheduling Period , Lot Accumulation Period , and Dampener
Period , also play a role in defining when to reorder. For more information, see Optimize When and How Much
to Reorder.
Define How Much to Reorder

If the planning system detects the need to reorder, the selected reordering policy is used to determine when and
how much to order.
Independent of the reordering policy, the planning system usually follows this logic:
1. The quantity of the order proposal is calculated to meet the specified minimum inventory level of the
item, usually the safety stock quantity. If nothing is specified, the minimum inventory level is zero.
2. If the projected available inventory is below the safety stock quantity, a backward-scheduled supply order
is suggested. The order quantity will at least fill the safety stock quantity, and can be increased by gross
demand within the time bucket, by the reordering policy, and by the order modifiers.
3. If the projected inventory is on or below the reorder point (calculated from aggregated changes within
the time bucket) and above the safety stock quantity, a forward-scheduled exception order is suggested.
Both the gross demand to be met and the reordering policy will determine the order quantity. At
minimum, the order quantity will meet the reorder point.
4. If there is more gross demand due before the ending date of the forward-scheduled order proposal, and
this demand brings the currently calculated projected available inventory below the safety stock quantity,
the order quantity is increased to make up the deficit. The suggested supply order is then scheduled
backward from the due date of the gross demand that would have violated the safety stock quantity.
5. If the Time Bucket field is not filled in, only the gross demand on the same due date will be added.
The following reorder period fields also play a role in defining how much to reorder: Rescheduling
Period , Lot Accumulation Period , and Dampener Period . For more information, see Optimize When
and How Much to Reorder.
Reordering Policies
The following reordering policies affect the quantity that is being reordered.
REO RDERIN G P O L IC Y DESC RIP T IO N

REO RDERIN G P O L IC Y DESC RIP T IO N
Fixed Reorder Qty. At a minimum, the order quantity will be equal to the
reorder quantity. It can be increased to meet the demand or
the desired inventory level. This reordering policy is usually
used with a reorder point.
Maximum Qty. The order quantity will be calculated to meet the maximum
inventory. If quantity modifiers are used, then maximum
inventory can be violated. We do not recommend that you
use the time bucket together with maximum quantity. The
time bucket will usually be overruled. This reordering policy
is usually used with a reorder point.
Order The order quantity will be calculated to meet each single

demand event and the demand-supply set will remain linked
until execution. No planning parameters are considered.
Lot-for-Lot The quantity is calculated to meet the sum of the demand

that comes due in the time bucket.
Optimize When and How Much to Reorder

To obtain a rational supply plan, a planner will fine-tune planning parameters to limit rescheduling suggestions,
accumulate demand (dynamic reorder quantity), or to avoid insignificant planning actions. The following reorder
period fields help optimize when and how much to reorder.
Rescheduling Period This field is used to determine whether the action message
should reschedule an existing order or cancel it and create a
new order. The existing order will be rescheduled within one
rescheduling period before the current supply and until one
rescheduling period after the current supply.
Lot Accumulation Period With the reordering policy Lot-for-Lot, this field is used to
accumulate multiple supply needs into one supply order.
From the first planned supply, the system accumulates all
supply needs in the following lot accumulation period into
one supply, which is placed on the date of the first supply.
Demand outside the lot accumulation period is not covered
by this supply.
Dampener Period This field is used to avoid minor rescheduling of existing

supply out in time. Changes from the supply date until one
dampener period from the supply date will not generate any
action messages.
The dampener period specifies a period of time during which

you do not want the planning system to propose to
reschedule existing supply orders forward. This limits the
number of insignificant rescheduling of existing supply to a
later date if the rescheduled date is within the dampener
period.
As a result, a positive delta between the suggested new

supply date and the original supply date will always be larger
than the dampener period.
NOTE
With the reordering policy Lot-for-Lot, the value of the Lot Accumulation Period field must be equal to or larger than
the value of the Dampener Period field. Otherwise, the dampener period will be automatically reduced during the
planning routine to match the lot accumulation period.
The timing of rescheduling period, dampener period, and lot accumulation period is based on a supply date. The
time bucket is based on the planning start date, as shown in the following illustration.
In the following examples, the black arrows represent existing supply (up) and demand (down). Red, green, and
orange arrows are planning suggestions.
Example 1 : The changed date is outside the rescheduling period, which causes the existing supply to be
canceled. A new supply is suggested to cover the demand in the lot accumulation period.
Example 2 : The changed date is in the rescheduling period, which causes the existing supply to be rescheduled.
A new supply is suggested to cover the demand outside the lot accumulation period.
Example 3 : There is a demand in the dampener period and the supply quantity in the lot accumulation period
matches the supply quantity. The next demand is uncovered and a new supply is suggested.
Example 4 : There is a demand in the dampener period and the supply remains on the same date. However, the
current supply quantity is not enough to cover the demand in the lot accumulation period, so a change quantity
action for the existing supply order is suggested.
Default values: The default value of the Time Bucket field and the three reorder period fields is blank. For all
fields, except the Dampener Period field, this means 0D (zero days). If the Dampener Period field is blank,
the global value in the Default Dampener Period field on the Manufacturing Setup page will be used.
Modify the Supply Orders

When the quantity of the order proposal has been calculated, one or more of the order modifiers can adjust it.
For example, the maximum order quantity is larger than or equal to the minimum order quantity, which is larger
than or equal to the order multiple.
The quantity is decreased if it exceeds the maximum order quantity. Then, it is increased if it is below the
minimum order quantity. Finally, it is rounded up so that it matches a specified order multiple. Any remaining
quantity uses the same adjustments until the total demand has been converted into order proposals.
Delimit the Item

The Manufacturing Policy option defines which additional orders the MRP calculation will propose.
If the Make-to-Stock option is used, the orders concern only the item in question.
If the Make-to-Order option is used, the planning system will analyze the production BOM of the item and
create additional linked order proposals for those lower-level items that are also defined as make-to-order. This
continues as long as there are make-to-order items in the descending BOM structures.
Use Low-Level Codes to manage derived demand

Use Low-Level Codes to make derived demand for components progress through to the lower levels of the
BOM. For a more thorough explanation of this, please see Item Priority / Low-Level Code.
You can assign a low-level code to each part in the product structure or the indented BOM. The top final
assembly level is denoted as level 0 - the end item. The higher the low-level code number, the lower the item is
in the hierarchy. For example, end items have low-level code 0, and the item parts that go into the assembly of
the end item have low-level codes 1, 2, 3, and so on. The result is the planning of component parts coordinated
with the requirements of all higher-level part numbers. When you calculate a plan, the BOM is exploded in the
planning worksheet, and the gross requirements for level 0 are passed down the planning levels as gross
requirements for the next planning level.
Select the Dynamic Low-Level Code field to specify whether to immediately assign and calculate low-level
codes for each component in the product structure. If you have large amounts of data, this function can have
negative effects on the program's performance, for example during automatic cost adjustment. Note that this is
not a retroactive function, so it is a good idea to consider the use of this facility beforehand.
As an alternative to the automatic calculation that occurs dynamically if the field is selected, you can run the
Calculate Low-Level Code batch job from the Manufacturing menu by clicking Product Design ,
Calculate Low-Level Code .
IMPORTANT
If you do not select the Dynamic Low-Level Code field, then you must run the Calculate Low-Level Code batch job
before you calculate a supply plan (the Calculate Plan batch job).
NOTE
Even with the Dynamic Low-Level Code field selected, the low-level codes of component items are not changed
dynamically if a parent BOM is deleted or set to non-certified. This may result in difficulty to add new items to the end of
the product structure as it might exceed the maximum number of low-level codes. Therefore, for large product structures
that reach the low-level code limit, it is encouraged to run the Calculate Low Level Code batch job frequently to
maintain the structure.
Optimize Low-Level Code Calculation

Select the Optimize Low-Level Code Calculation field to specify that you want to use the new, faster
method of low-level code calculation. Note that the new calculation is done differently, and using it might break
extensions that rely on the existing method. The new calculation method will replace the current method in a
future release.
See Also
All items should be planned for, however, there is no reason to calculate a plan for an item unless there has been
a change in the demand or supply pattern since the last time a plan was calculated.
If the user has entered a new sales order or changed an existing one, there is reason to recalculate the plan.
Other reasons include a change in forecast or the desired safety stock quantity. Changing a bill of material by
adding or removing a component would most likely indicate a change, but for the component item only.
For multiple locations, the assignment takes place at the level of item per location combination. If, for example, a
sales order has been created at only one location, application will assign the item at that specific location for
planning.
The reason for selecting items for planning is a matter of system performance. If no change in an item’s
demand-supply pattern has occurred, the planning system will not suggest any actions to be taken. Without the
planning assignment, the system would have to perform the calculations for all items in order to find out what
to plan for, and that would drain system resources.
The Planning Assignment table monitors demand and supply events and assigns the appropriate items for
planning. The following events are monitored:
A new sales order, forecast, component, purchase order, production order, assembly order, or transfer order.
Change of item, quantity, location, variant, or date on a sales order, forecast, component, purchase order,
production order, assembly order, or transfer order.
Cancellation of a sales order, forecast, component, purchase order, production order, assembly order, or
transfer order.
Consumption of items other than planned.
Output of items other than planned.
Unplanned changes in inventory.
For these direct supply-demand displacements, the order tracking and action messaging system maintains the
Planning Assignment table and states a planning reason as an action message.
The following changes in master data can also cause a planning imbalance:
Change of status to Certified in the production BOM header (for all items using that header).
Deleted line (child item).
Change of status to Certified in the routing header (for all items using that routing).
Changes in the following item card fields.
Safety Stock Quantity or Safety Lead Time.
Lead Time Calculation.
Reorder Point.
Production BOM No. (and all children of old BOM reference).
Routing No.
Reordering Policy.
In these cases, a new function, Planning Assignment Management, maintains the table and states the planning
reason as Net Change.
The following changes do not cause a planning assignment:
Calendars
Other planning parameters on the item card
When calculating an MPS or an MRP, the following restrictions apply:
MPS: The planning system checks that the item carries a demand forecast or a sales order. If not, the item is
not included in the plan.
MRP: If the planning system detects that the item is being replenished by an MPS planning line or MPS
supply order, the item will be left out of the planning. However, any demand from relevant components is
included.
See Also
When a user creates a demand event, such as a sales order line, the program allows the user to sometimes
specify a location code and other times not, that is, use blank location.
For demand with or without location codes, the planning system operates in a straight forward way when:
Demand lines always carry location codes and the system fully uses SKUs, including the relevant location
setup.
Demand lines never carry location codes, and the system does not use SKUs or any location setup (see the
last scenario in the following section).
However, if demand events sometimes have location codes and other times do not, the planning system will
follow certain rules depending on setup.
Demand at Location
When the planning system detects demand at a location, it will behave in different ways depending on three
critical setup values. During a planning run, the system checks for three setup values in sequence and plans
accordingly.
1. Is there a check mark in the Location Mandator y field?
If yes, then:
2. Does SKU exist for the item?
If yes, then:
The item is planned according to planning parameters on the SKU card.
If no, then:
3. Does the Components at Location field contain the demanded location code?
If yes, then:
The item is planned according to planning parameters on the item card.
If no, then:
The item is planned according to: Reordering Policy = Lot-for-Lot, Include Inventory = Yes, all other planning
parameters = Empty, items using Reordering Policy = Order will remain using Order along with the other
settings.
NOTE
The exceptional planning setup that is output as the last reaction in step 3 above is referred to in the following as the
“minimal alternative”. This planning setup only covers the exact demand, and all other planning parameters are ignored.
For information about variations of this planning logic, see the Scenarios section below.
Demand at Blank Location

Even if the Location Mandator y field is selected, the program will allow demand lines to be created without a
location code, also referred to as blank location. This is a deviation for the system because it has various setup
values tuned to dealing with locations (see above) and as a result, the planning engine will not create a planning
line for such a demand line.
If the Location Mandator y field is not selected but any of the location setup values exist, it is also considered a
deviation, and the planning system will react by using the “minimal alternative”: The item is planned according
to: Reordering Policy = Lot-for-Lot (Order remains Order), Include Inventory = Yes, all other planning
parameters = Empty.
Scenarios
The following scenarios describe variations of demand at blank location and how the planning system resolves
to the “minimal alternative.”
Setup 1:
Location Mandatory = Yes
SKU is set up for RED
Components at Location = BLUE
Case 1.1: Demand is at RED location
Case 1.2: Demand is at BLUE location
The item is planned according to: Reordering Policy = Lot-for-Lot (Order remains Order), Include Inventory =
Yes, all other planning parameters = Empty.
Case 1.3: Demand is at GREEN location
Case 1.4: Demand is at BLANK location
The item is not planned because no location is defined on the demand line.
Setup 2:
No SKU exists
Setup 3:
Location Mandatory = No
No SKU exists
Setup 4:
No SKU exists
Components at Location = BLANK
As illustrated in the last scenario, the only way to get a correct result for a demand line without a location code is
to disable all setup values relating to locations. Similarly, the only way to get stable planning results for demand
at locations is to use SKUs. Therefore, if companies often plan for demand at locations, they are strongly advised
to use the Stockkeeping Units granule.
See Also
Transfer orders are also a source of supply when working at the SKU level. When using multiple locations
(warehouses), the SKU replenishment system can be set to Transfer, implying that the location is replenished by
transferring goods from another location. In a situation with more warehouses, companies might have a chain
of transfers where supply to GREEN location is transferred from YELLOW, and supply to YELLOW is transferred
from RED and so on. In the beginning of the chain, there is a replenishment system of Prod. Order or Purchase.
NOTE
This article uses names of locations from an earlier version of the demonstration company in Business Central. These
names do not map directly to the locations in the current demonstration company. We encourage you to use the article
to learn about locations and not as step-by-step instructions for how to use the demonstration company.
When comparing the situation where a supply order is directly facing a demand order to a situation where the
sales order is supplied through a chain of SKU transfers, it is obvious that the planning task in the latter situation
can become very complex. If demand changes, it might cause a ripple effect through the chain, because all
transfer orders plus the purchase/production order in the opposite end of the chain will have to be manipulated
to reestablish balance between demand and supply.
Why is Transfer a Special Case?

A transfer order looks much like any other order in application. However, behind the scene it is very different.
One fundamental aspect that makes transfers in planning different from purchase and production orders is that
a transfer line represents demand and supply at the same time. The outbound part, which is shipped from the
old location, is demand. The inbound part, which is to be received at the new location, is supply at that location.
This means that when the system manipulates the supply side of the transfer, it must make a similar change on
the demand side.
Transfers are Dependent Demand

The related demand and supply has some resemblance with components of a production order line, but the
difference is that components will be on the next planning level and with a different item, whereas the two parts
of the transfer is situated on the same level, for the same item.
An important similarity is that just as components are dependent demand, so is the transfer demand. The
demand from a transfer line is dictated by the supply side of the transfer in the sense that if the supply is
changed, the demand is directly affected.
Unless the planning flexibility is None, a transfer line should never be treated as independent demand in
planning.
In the planning procedure, the transfer demand should only be taken into account after the supply side has been
processed by the planning system. Before this, the actual demand is not known. The sequence of the changes
made is therefore very important when it comes to transfer orders.
Planning Sequence
The following illustration shows what a string of transfers could look like.
In this example, a customer orders the item at location GREEN. Location GREEN is supplied through transfer
from the central warehouse RED. The central warehouse RED is supplied by transfer from production on location
BLUE.
In this example, the planning system will start at the customer demand and work its way backwards through the
chain. The demands and supplies will be processed one location at a time.
Transfer Level Code
The sequence in which the locations are processed in the planning system is determined by the transfer level
code of the SKU.
The transfer level code is an internal field which is automatically calculated and stored on the SKU when SKU is
created or modified. The calculation runs across all SKUs for a given combination of Item/Variant and uses the
location code and the transfer-from code to determine the route the planning will have to use when traversing
through the SKUs to ensure that all demands are processed.
The transfer level code will be 0 for SKUs with replenishment system Purchase or Prod. Order and will be -1 for
the first transfer level, -2 for the second and so on. In the transfer chain described above, the levels would
therefore be -1 for RED and -2 for GREEN, as shown in the following illustration.
When updating a SKU, the planning system will detect if SKUs with replenishment system Transfer are set up
with circular references.
Planning Transfers without SKU

Even if the SKU feature is not used, it is possible to use locations and make manual transfers between locations.
For companies with less advanced warehouse setup, the planning system supports scenarios where existing
inventory is transferred manually to another location, for example to cover a sales order at that location. At the
same time, the planning system should react to changes in the demand.
To support manual transfers, the planning will analyze existing transfer orders and then plan the order in which
the locations should be processed. Internally, the planning system will operate with temporary SKUs carrying
transfer level codes.
If more transfers to a given location exist, the first transfer order will define the planning direction. Transfers
running in the opposite direction will be canceled.
Changing Quantity with Reservations
When changing quantities on existing supply, the planning system takes reservations into account in the sense
that the reserved quantity represents the lower limit for how much the supply can be reduced.
When changing the quantity on an existing transfer order line, keep in mind that the lower limit will be defined
as the highest reserved quantity of the outbound and inbound transfer line.
For example, if a transfer order line of 117 pieces is reserved against a sales line of 46 and a purchase line of 24,
it is not possible to reduce the transfer line below 46 pieces even though this might represent excess supply on
the inbound side.
Changing Quantity in a Transfer Chain

In the following example, the starting point is a balanced situation with a transfer chain supplying a sales order
of 27 on location RED with a corresponding purchase order on location BLUE, transferred via location PINK.
Therefore, apart from sales and purchase, there are two transfer orders: BLUE-PINK and PINK-RED.
Now the planner at PINK location chooses to reserve against the purchase.
This usually means that the planning system will ignore the purchase order and the transfer demand. As long as
there is balance, there is no problem. But what happens when the customer at RED location partly regrets the
order and changes it to 22?
When the planning system runs again, it should get rid of excess supply. However, the reservation will lock the
purchase and the transfer to a quantity of 27.
The PINK-RED transfer has been reduced to 22. The inbound part of the BLUE-PINK transfer is not reserved, but
because the outbound part is reserved it is not possible to reduce the quantity below 27.
Lead Time Calculation

When calculating the due date of a transfer order different kinds of lead time will be taken into account.
The lead times that are active when planning a transfer order are:
Outbound Warehouse Handling Time
Shipping Time
Inbound Warehouse Handling Time
On the planning line, the following fields are used to provide information about the calculation.
Transfer Shipment Date
Starting Date
Ending Date
Due Date
The shipment date of the transfer line will be shown in the Transfer Shipment Date field, and the receipt date of
the transfer line will be shown in the Due Date field.
The starting and ending dates will be used to describe the actual transportation period.
The following illustration shows the interpretation of the starting date-time and ending date-time on planning
lines related to transfer orders.
In this example, it means that:

Shipment date + Outbound handling = Starting Date
Starting Date + Shipping time = Ending Date
Ending Date + Inbound Handling = Receipt Date
Safety Lead Time

The Default Safety Lead Time field in the Manufacturing Setup page and the related Safety Lead Time field on
the item card will not be taken into account in the calculation of a transfer order. However, the safety lead time
will still influence the total plan like it will affect the replenishment order (purchase or production) in the
beginning of the transfer chain when the items are put on the location from which they will be transferred.
On the production order line, the Ending Date + Safety Lead Time + Inbound Warehouse Handling Time = Due
Date.
On the purchase order line, the Planned Receipt Date + Safety Lead Time + Inbound Warehouse Handling Time
= Expected Receipt Date.
Reschedule
When rescheduling an existing transfer line, the planning system must look up the outbound part and change
the date-time on this. It is important to note that if lead time has been defined, there will be a gap between the
shipment and the receipt. As mentioned, the lead time can consist of more elements, such as transportation time
and warehouse handling time. On a time line, the planning system will move back in time while it balances the
elements.
Therefore, when changing the due date on a transfer line, the lead time must be calculated in order to update
the outbound side of the transfer.
Serial/Lot Numbers in Transfer Chains

If the demand carries serial/lot numbers, and the planning engine is run, it will give rise to some directly created
transfer orders. For more information about this concept, see Item Attributes. If, however, serial/lot numbers are
removed from the demand, the created transfer orders in the chain will still carry the serial/lot numbers and will
therefore be ignored by planning (not deleted).
Order-to-Order Links
In this example, BLUE SKU is set up with the Order reordering policy, while PINK and RED use Lot-for-Lot. When
a sales order of 27 is created on location RED, it will lead to a chain of transfers with the last joint at location
BLUE being reserved with binding. In this example, the reservations are not hard reservations created by the
planner at PINK location, but bindings created by the planning system. The important difference is that the
planning system can change the latter.
If demand is changed from 27 to 22, the system will lower the quantity down through the chain, with the
binding reservation also being reduced.
See Also
This documentation gives an overview of the concepts and principles that are used in the Warehouse
Management features in Business Central. It explains the design behind central warehouse features and how
warehousing integrates with other supply chain features.
To differentiate the different complexity levels of the warehousing, this documentation is divided into two
general groups, Basic and Advanced warehouse configurations, indicated by section titles. This simple
differentiation covers different complexity levels as defined by product granules and location setup. For more
information, see Design Details: Warehouse Setup.
In This Section
To support the physical handling of items on the zone and bin level, all information must be traced for each
transaction or movement in the warehouse. This is managed in the Warehouse Entr y table. Each transaction is
stored in a warehouse register.
Warehouse documents and a warehouse journal are used to register item movements in the warehouse. Every
time that an item in the warehouse is moved, received, put away, picked, shipped, or adjusted, warehouse entries
are registered to store the physical information about zone, bin, and quantity.
The Bin Content table is used to handle all the different dimensions of the contents of a bin per item, such as
unit of measure, maximum quantity, and minimum quantity. The Bin Content table also contains flow fields to
the warehouse entries, warehouse instructions, and warehouse journal lines, which ensures that the availability
of an item per bin and a bin for an item can be calculated quickly. For more information, see Design Details:
Availability in the Warehouse.
When item postings occur outside the warehouse module, a default adjustment bin per location is used to
synchronize warehouse entries with inventory entries. During physical inventory of the warehouse, any
differences between the calculated and counted quantities are recorded in the adjustment bin and then posted
as correcting item ledger entries. For more information, see Design Details: Integration with Inventory.
The following illustration outlines typical warehouse flows.
Basic or Advanced Warehousing
Warehouse functionality in Business Central can be implemented in different complexity levels, depending on a
company’s processes and order volume. The main difference is that activities are performed order-by-order in
basic warehousing when they are consolidated for multiple orders in advanced warehousing.
To differentiate between the different complexity levels, this documentation refers to two general
denominations, Basic and Advanced Warehousing. This simple differentiation covers several different complexity
levels as defined by product granules and location setup, each supported by different UI documents. For more
information, see Design Details: Warehouse Setup.
NOTE
The most advanced level of warehousing is referred to as “WMS installations” in this documentation, since this level
requires the most advanced granule, Warehouse Management Systems.
The following different UI documents are used in basic and advanced warehousing.
Basic UI Documents
Inventor y Put-away
Inventor y Pick
Inventor y Movement
Item Journal
Item Reclassification Journal
(Various reports)
Advanced UI Documents
Warehouse Receipt
Put-away Worksheet
Warehouse Put-away
Pick Worksheet
Warehouse Pick
Movement Worksheet
Warehouse Movement
Internal Whse. Pick
Internal Whse. Put-away
Bin Creation Worksheet
Bin Content Creation Worksheet
Whse. Item Journal
Whse. Item Reclass. Journal
(Various reports)
For more information about each document, see the respective page topics.
Terminology
To align with the financial concepts of purchases and sales, Business Central warehouse documentation refers to
the following terms for item flow in the warehouse.
T ERM DESC RIP T IO N
Inbound flow Items moving into the warehouse location, such as

purchases and inbound transfers.
Internal flow Items moving inside the warehouse location, such as

production components and output.
Outbound flow Items moving out of the warehouse location, such as sales
and outbound transfers.
See Also
Warehouse functionality in Business Central contains different levels of complexity, as defined by license
permissions in the offered granules. The level of complexity in a warehouse solution is largely defined by the bin
setup on location cards, which in turn is license-controlled so that access to bin setup fields is defined by the
license. In addition, the application objects in the license govern which UI document to use for the supported
warehouse activities.
The following table shows which granules are required to define different warehouse complexity levels, which UI
documents support each level, and which location codes reflect these levels in the Business Central
demonstration database.
This article uses names of locations from an earlier version of the demonstration company in Business Central.
These names do not map directly to the locations in the current demonstration company. We encourage you to
use the article to learn about locations and not as step-by-step instructions for how to use the demonstration
company.
M IN IM UM GRA N UL E
C O M P L EXIT Y L EVEL DESC RIP T IO N UI DO C UM EN T EXA M P L E LO C AT IO N REQ UIREM EN T
1 No dedicated Order BLUE Basic Inventory

warehouse activity.
Receive/ship posting
from orders.
2 No dedicated Order, with bin code SILVER Basic Inventory/Bin

warehouse activity.
Receive/ship posting
from orders.
Bin code is required.
3 Basic warehouse Inventory Put- (SILVER + Require Basic

activity, order-by- away/Inventory Put-away or Require Inventory/Bin/Put
NOTE : Even though order. Movement/Inventory Put-away) Away/Pick
the settings are Pick, with bin code
called Require Pick Receive/ship posting
and Require Put- from inventory put-
away , you can still away/pick
post receipts and documents.
shipments directly
from the source Bin code is required.
business documents
at locations where
you select these
check boxes.
M IN IM UM GRA N UL E
C O M P L EXIT Y L EVEL DESC RIP T IO N UI DO C UM EN T EXA M P L E LO C AT IO N REQ UIREM EN T
4 Advanced warehouse Warehouse GREEN Basic

activity, for multiple Receipt/Warehouse Inventory/Warehous
orders. Put-away/Warehouse e Receipt/Put
Pick/Warehouse Away/Pick/Warehous
Consolidated Shipment/Pick e Shipment
receive/ship posting Worksheet
based on warehouse
put-away/pick
registrations.
5 Advanced warehouse Warehouse (GREEN + Bin Basic

activity, for multiple Receipt/Warehouse Mandatory) Inventory/Bin/Wareh
orders. Put-away/Warehouse ouse Receipt/Put
Pick/Warehouse Away/Pick/Warehous
Consolidated Shipment/Pick e Shipment
receive/ship posting Worksheet/Put-away
based on warehouse Worksheet, with bin
put-away/pick code
registrations.
Bin code is required.
6 Advanced warehouse Warehouse WHITE Basic

activity, for multiple Receipt/Warehouse Inventory/Bin/Put
Note : This level is orders Put-away/Warehouse Away/Warehouse
referred to as "WMS", Pick/Warehouse Receipt/Pick/Warehou
since it requires the Consolidated Shipment/Warehouse se
most advanced receive/ship posting Movement/Pick Shipment/Warehouse
granule, Warehouse based on warehouse Worksheet/Put-away Management
Management put-away/pick Worksheet/Internal Systems/Internal
Systems. registrations Whse. Pick/Internal Picks and Put-
Warehouse Put-away, aways/Bin Setup/Bin
Bin code is required. with bin/class/zone Setup
code
Zone/Class code is
optional. Various worksheets
for bin management
Warehouse workers
directed by workflow ADCS screens
Bin replenishment
planning
Bin ranking
Bin setup by capacity
Slotting
For examples of how the UI documents are used per warehouse complexity level, see Design Details: Inbound
Warehouse Flow.
Bin and Bin Content

A bin is a storage device designed to contain discrete parts. It is the smallest container unit in Business Central.
Item quantities in bins are referred to as bin content. A lookup from the Item field or Bin Code field on any
warehouse-related document line displays the calculated availability of the item in the bin.
A bin content can be given a property of Fixed, Dedicated, or Default to define how the bin content can be used.
Bins with none of these properties are referred to as floating bins.
A fixed bin holds items that are assigned to the bin code in question. The Fixed bin property ensures that even if
the bin content is momentarily emptied, the bin content does not disappear, and the bin is therefore selected
again as soon as it has been replenished.
A dedicated bin holds bin content that can only be picked for the dedicated resource, such as a machine center,
that uses the bin in question. Other non-pick content, such as quantities outbound on a shipment posting, can
still be consumed from a dedicated bin. Only bin content considered by the Create Pick algorithm is protected
in a dedicated bin.
The Default bin property is used by the system to suggest bins for warehouse activities. At WMS locations, the
Default bin property is not used. At locations where bins are required, the property is used in inbound flows to
specify where to place items. In outbound flows, the property is used to specify where to take items from.
NOTE
If the outbound items are placed in several bins, then items are first taken from the non-default bins, to empty that bin
content, and then the remaining items are taken from the default bin.
There can only be one default bin per item per location.
Bin Type
In WMS installations, you can restrict the warehouse activities that are allowed for a bin by assigning a bin type
to it. The following bin types exist:
B IN T Y P E DESC RIP T IO N
RECEIVE Items posted as received but not yet put away.
SHIP Items picked for warehouse shipment lines but not yet
posted as shipped.
PUT AWAY Typically, items to be stored in large units of measure but

that you do not want to access for picking purposes.
Because these bins are not used for picking, either for
production orders or shipments, your use of a Put Away
type bin might be limited, but this bin type could be useful if
you have purchased a large quantity of items. Bins of this
type should always have a low bin-ranking, so that when
received items are put away, other higher-ranking PUTPICK
bins fixed to the item are put away first. If you are using this
type of bin, you must regularly perform bin replenishment
so that the items stored in these bins are also available in
PUTPICK or PICK type bins.
PICK Items to be used for picking only. The replenishment of

these bins can only be made by movement, not by put-
away.
PUTPICK Items in bins that are suggested for both the put-away and
pick functions. Bins of this type probably have different bin
rankings. You can set up your bulk storage bins as this type
of bin with low bin rankings compared to your ordinary pick
bins or forward picking area bins.
B IN T Y P E DESC RIP T IO N
QC This bin is used for inventory adjustments if you specify this

bin on the location card in the Adjustment Bin Code field.
You can also set up bins of this type for defective items and
items being inspected. You can move items to this type of
bin if you want to make them inaccessible to the usual item
flow. Note: Unlike all other bin types, the QC bin type has
none of the item handling check boxes selected by default.
This indicates that any content you place in a QC bin is
excluded from item flows.
For all bin types, except PICK, PUTPICK, and PUTAWAY, no other activity is allowed for the bin than what is
defined by its bin type. For example, a bin of type Receive can only be used to receive items into or pick items
from.
NOTE
Only movement can be made to bins of type RECEIVE and QC. Similarly, only movements can be made from bins of type
SHIP and QC.
Bin Ranking
In advanced warehousing, you can automate and optimize how items are collected in put-away and pick
worksheets by ranking bins so that items are suggested taken or placed according to rank criteria to use
warehouse space optimally.
Put-away processes are optimized according to bin ranking by suggesting higher-ranking bins before lower-
ranking bins. Similarly, pick processes are optimized by first suggesting items from bin content with high bin
ranking. Furthermore, bin replenishments are suggested from lower-ranking bins to higher-ranking bins.
Bin ranking together with bin content information are the basic properties that allow users to slot items in the
warehouse.
Bin Setup
In advanced warehousing, bins can be set up with capacity values, such as quantity, total cubage, and weight to
control which and how items are stored in the bin.
On each item card, you can assign a unit of measure (UOM) for the item, such as pieces, pallets, liters, grams, or
boxes. You can also have a base UOM for an item and specify larger UOMs that are based on it. For example, you
can define a pallet to equal 16 pieces, the latter being the base UOM.
If you want to set a maximum quantity of a specific item to be stored in an individual bin and the item has more
than one UOM, then you must set the maximum quantity for every UOM that exists on the item card.
Accordingly, if an item has been set up to be handled in pieces and pallets, then the Max. Qty. field on the Bin
Content page for that item must also be in pieces and pallets. Otherwise, the allowed quantity for that bin is not
calculated correctly.
Before you set capacity restrictions for bin contents on a bin, you must first make sure that the UOM and
dimensions of the item have been set up on the item card.
NOTE
It is only possible to operate with multiple UOMs in WMS installations. I all other configurations, bin contents can only be
in the base UOM. In all transactions with a UOM higher than the item's base UOM, the quantity is converted to the base
UOM.
Zone
In advanced warehousing, bins can be grouped in zones to manage how the workflow of warehouse activities is
directed.
A zone could be a receiving zone or a stocking zone, and each zone can consist of one or several bins.
Most properties assigned to a zone will by default be assigned to the bin that is created from that zone.
Class
In advanced warehousing, you can assign warehouse class codes to items, bins, and zones to control where
different item classes are stored, such as frozen goods. You can divide a zone into several warehouse classes. For
example, items in the receiving zone can be stored as frozen, hazardous, or other class.
When you work with warehouse classes and a default receiving/shipping bin, you must manually fill in the
appropriate bins in the warehouse receipt and shipment lines.
In inbound flows, the class code is only highlighted on inbound lines where the item class code does not match
the default receiving bin. If the correct default bins are not assigned, then the quantity cannot be received.
Location
A location is a physical structure or place where inventory is received, stored, and shipped, potentially organized
in bins. A location can be a warehouse, service car, showroom, plant, or an area in a plant.
First Expired First Out

If you select the Pick According to FEFO check box on the Bin Policies FastTab on the location card, then
item-tracked items are picked according to their expiration date. The items with the earliest expiration dates are
picked first.
Warehouse activities in all pick and movement documents are sorted according to FEFO, unless the items in
question already have serial/lot numbers assigned. If only a part of the quantity on the line already has serial/lot
numbers assigned, then the remaining quantity to be picked is sorted according to FEFO.
When picking by FEFO, the available items that expire first are gathered in a temporary item tracking list based
on the expiration date. If two items have the same expiration date, then the item with the lowest lot or serial
number is picked first. If the lot or serial numbers are the same, then the item that was registered first is selected
first. Standard criteria for selecting items in pick bins, such as Bin Ranking and Break Bulk, are applied to this
temporary FEFO item tracking list.
Put-away Template
The put-away template can be assigned to an item and to a location. The put-away template specifies a set of
prioritized rules that must be respected when creating put-aways. For example, a put-away template may
require that the item is placed in a bin with bin content that matches the UOM, and if a similar bin with enough
capacity cannot be found, then the item must be placed in an empty bin.
See Also
The inbound flow in a warehouse begins when items arrive in the warehouse of the company location, either
received from external sources or from another company location. An employee registers the items, typically by
scanning a bar code. From the receiving dock, warehouse activities are performed at different complexity levels
to bring the items into the storage area.
Each item is identified and matched to a corresponding inbound source document. The following inbound
source documents exist:
Purchase order
Inbound transfer order
Sales return order
In addition, the following internal source documents exist that function like inbound sources:
Production order with output posting
Assembly order with output posting
The last two represent inbound flows to the warehouse from internal operation areas. For more information
about warehouse handling for internal inbound and outbound processes, see Design Details: Internal
Warehouse Flows.
Processes and UI documents in inbound warehouse flows are different for basic and advanced warehouse
configurations. The main difference is that activities are performed order-by-order in basic warehouse
configurations, and they are consolidated for multiple orders in advanced warehouse configurations. For more
information about different warehouse complexity levels, see Design Details: Warehouse Overview.
In Business Central, the inbound processes of receiving and putting away can be performed in four ways using
C O M P L EXIT Y
L EVEL ( SEE
DESIGN DETA IL S:
M ET H O D P RO C ESS B IN S REC EIP T S P UT - AWAY S SET UP )
A Post receipt and X 2

put-away from
the order line
B Post receipt and X 3

put-away from
an inventory
put-away
document
C Post receipt and X 4/5/6

put-away from a
warehouse
receipt
document
C O M P L EXIT Y
L EVEL ( SEE
DESIGN DETA IL S:
M ET H O D P RO C ESS B IN S REC EIP T S P UT - AWAY S SET UP )
D Post receipt from X X 4/5/6

a warehouse
receipt
document and
post put-away
from a
warehouse put-
away document
Selecting an approach depends on the company's accepted practices and the level of their organizational
complexity. In an order-by-order warehouse environment, where most of the warehouse staff works directly
with order documents, a company might decide to use method A. An order-by-order warehouse that has a more
complex put-away process, or where there are dedicated warehouse staff to perform warehousing functions,
might decide to separate their put-away functions from the order document, method B. Additionally, companies
that need to plan the handling of multiple orders may find it helpful to use warehouse receipt documents,
methods C and D.
In methods A, B, and C, the actions of receiving and putting away are combined in one step when posting the
corresponding documents as received. In method D, the receipt is posted first to recognize the increase of
inventory and that items are available for sale. The warehouse worker then registers the put-away to make
items available to pick.
Basic Warehouse Configurations

The following diagram illustrates the inbound warehouse flows by document type in basic warehouse
configurations. The numbers in the diagram correspond with the steps in the sections following the diagram.
1: Release Source Document / Create Inventory Put-Away

When items are received in the warehouse, the user who is responsible for receiving releases the source
document, such as a purchase order or an inbound transfer order, to signal to warehouse workers that the
received items can be put away in inventory. Alternatively, the user creates inventory put-away documents for
individual order lines, in a push fashion, based on specified bins and quantities to handle.
2: Create Inbound Request
When the inbound source document is released, an inbound warehouse request is created automatically. It
contains references to the source document type and number and is not visible to the user.
3: Create Inventory Put-Away
On the Inventor y Put-away page, the warehouse worker retrieves, in a pull fashion, the pending source
document lines based on inbound warehouse requests. Alternatively, the inventory put-away lines are already
created, in a push fashion, by the user who is responsible for the source document.
4: Post Inventory Put-Away
On each line for items that have been put away, partially or fully, the warehouse worker fills in the Quantity
field, and then posts the inventory put-away. Source documents that are related to the inventory put-away are
posted as received.
Positive item ledger entries are created, warehouse entries are created, and the put-away request is deleted, if
fully handled. For example, the Quantity Received field on the inbound source document line is updated. A
posted receipt document is created that reflects the purchase order, for example, and the received items.
Advanced warehouse configurations

The following diagram illustrates the inbound warehouse flow by document type in advanced warehouse
1: Release Source Document

When items are received in the warehouse, the user who is responsible for receiving releases the source
document, such as a purchase order or an inbound transfer order, to signal to warehouse workers that the
received items can be put away in inventory.
2: Create Inbound Request
When the inbound source document is released, an inbound warehouse request is created automatically. It
3: Create Warehouse Receipt
On the Warehouse Receipt page, the user who is responsible for receiving items retrieves the pending source
document lines based on the inbound warehouse request. Several source document lines can be combined in
one warehouse receipt document.
The user fills in the Qty. to Handle field and selects the receiving zone and bin, if required.
4: Post Warehouse Receipt
The user posts the warehouse receipt. Positive item ledger entries are created. For example, the Quantity
Received field on the inbound source document line is updated.
5: Create Warehouse Internal Put-Away
The user who is responsible for putting away from internal operations creates a warehouse internal put-away
for items that have to be put away in the warehouse, such as production or assembly output. The user specifies
quantity, zone, and bin from where the items should be put away, potentially with the Get Bin Content
function. The user releases the warehouse internal put-away, which creates an inbound warehouse request so
that the task can be retrieved in warehouse put-away documents or in the put-away worksheet.
6: Create Put-away Request
When the inbound source document is posted, a warehouse put-away request is created automatically. It
contains references to the source document type and number and is not visible to the user. Depending on the
setup, output from a production order also creates a put-away request to put the finished items away in
inventory.
7: Generate Put-away Worksheet Lines (Optional)
The user who is responsible for coordinating put-aways retrieves warehouse put-away lines in the Put-away
Worksheet based on posted warehouse receipts or internal operations with output. The user selects the lines to
be put-away and prepares the put-aways by specifying which bins to take from, which bins to place in, and how
many units to handle. The bins may be predefined by the setup of the warehouse location or operation resource.
When all put-aways are planned and assigned to warehouse workers, the user generates the warehouse put-
away documents. Fully assigned put-aways lines are deleted from the Put-away Worksheet .
NOTE
If the Use Put-away Worksheet field is not selected on the location card, then warehouse put-away documents are
created directly based on posted warehouse receipts. In that case, step 7 is omitted.
8: Create Warehouse Put-away Document

The warehouse worker who performs put-aways creates a warehouse put-away document in a pull fashion,
based on the posted warehouse receipt. Alternatively, the warehouse put-away document is created and
assigned to a warehouse worker in a push fashion.
9: Register Warehouse Put-Away
On each line for items that have been put away, partially or fully, the warehouse worker fills in the Quantity
field on the Warehouse Put-away page, and then registers the warehouse put-away.
Warehouse entries are created, and the warehouse put-away lines are deleted, if fully handled. The warehouse
put-away document remains open until the full quantity of the related posted warehouse receipt is registered.
The Qty. Put Away field on the warehouse receipt order lines is updated.
See Also
The flow of items between bins at a company location centers on picking components and putting away end
items for assembly or production orders and ad-hoc movements, such as bin replenishments, without a relation
to source documents. The scope and nature of the involved activities vary between basic and advanced
warehousing.
Some internal flows overlap with inbound or outbound flows. Some of this overlap is shown as steps 4 and 5 in
the graphical diagrams for advanced inbound and outbound flows respectively. For more information, see
Design Details: Inbound Warehouse Flow.
Internal Flows in Basic Warehousing

In basic warehouse configuration, the flow of items between bins inside the company centers on picking
component and putting away end items for production or assembly orders and ad-hoc movements, such as bin
replenishments, without relation to source documents.
Flows to and from Production
The main integration between production orders and basic warehouse activities is represented by the ability to
pick production components with the Inventor y Pick or the Inventor y Movement pages.
NOTE
On the Inventor y Pick page, the component consumption is posted together with the pick posting. By using the
Inventor y Movement page, only bin adjustments are registered, no item ledger posting occurs.
In addition to component handling, the integration is represented by the ability to put produced items away with
the Inventor y Put-away page.
The To-Production Bin Code , From-Production Bin Code , and Open Shop Floor Bin Code fields on the
location card or the machine/work center cards define default flows to and from production areas.
For more information about how component consumption is flushed from the To-Production or Open Shop
Floor bins, see the "Flushing Production Components in the Warehouse" section in this topic.
Flows to and from Assembly
The main integration between assembly orders and basic warehouse activities is represented by the ability to
move assembly components to the assembly area.
While no specific warehouse functionality exists for putting assembly items away, the bin code on the assembly
order header may be set to a default put-away bin. Posting the assembly order then functions like posting a put-
away. The warehouse activity to move assembly items into the warehouse can be managed on the Internal
Movement page, with no relation to the assembly order.
The following assembly flows exist.
F LO W DESC RIP T IO N
F LO W DESC RIP T IO N
Assemble-to-stock The components are needed on an assembly order where

the output is stored in the warehouse.
This warehouse flow is managed on the Inventor y

Movement page. One take line specifies where to take the
components. One place line specifies where to place the
components.
Assemble-to-order The components are needed on an assembly order that is

linked to a sales order that is shipped when the sold item is
assembled.
NOTE
If items are assembled to order, then the inventory pick of the linked sales order triggers an inventory movement for all
the involved assembly components, not just for the sold item as when shipping inventory items.
The To-Assembly Bin Code , From-Assembly Bin Code , and Asm.-to-Order Shpt. Bin Code fields on the
location card define default flows to and from assembly areas.
NOTE
The Asm.-to-Order Shpt. Bin Code field functions as the from-assembly bin in assemble-to-order scenarios.
Ad-Hoc Movements
In basic warehousing, the movement of items from bin to bin without relation to source documents is
performed on the Internal Movement page, which functions together with the Inventor y Movement page.
Another way to move items ad hoc between bins is to post positive entries in the New Bin Code field on the
Item Reclass. Journal page.
Internal Flows in Advanced Warehousing

In advanced warehouse configurations, the flow of items between bins inside the company centers on picking
component and putting away end items for production orders and picking components for assembly orders. In
addition, internal flows occur as ad-hoc movements, such as bin replenishments, without relation to source
documents.
Flows To and From Production
The main integration between production orders and advanced warehouse activities is represented by the ability
to pick production components, on the Warehouse Pick page and the Pick Worksheet page, and the ability to
put produced items away with the Whse. Internal-Put-away page.
Another integration point in production is provided with the Warehouse Movement page, together with the
Movement Worksheet page, which enables you to place components and take produced items for released
production orders.
The To-Production Bin Code , From-Production Bin Code , and Open Shop Floor Bin Code fields on the
location card or the machine/work center cards define default flows to and from production areas.
For more information about how component consumption is flushed from the To-Production or Open Shop
Floor Bins, see the "Flushing Production Components in the Warehouse" section in this topic.
Flows to and from Assembly
The main integration between assembly orders and advanced warehouse activities is represented by the ability
to pick assembly components, both with the Warehouse Pick page and the Pick Worksheet page. This
functionality works just like when picking components for production orders.
While no specific warehouse functionality exists for putting assembly items away, the bin code on the assembly
order header may be set to a default put-away bin. Posting the assembly order then functions like posting a put-
away. The warehouse activity to move assembly items into the warehouse can be managed on the Movement
Worksheet page or the Whse. Internal Put-away page, with no relation to the assembly order.
NOTE
If items are assembled to order, then the warehouse shipment of the linked sales order triggers a warehouse pick for all
the involved assembly components, not just for the sold item as when shipping inventory items.
The To-Assembly Bin Code and From-Assembly Bin Code fields on the location card define default flows to
and from assembly areas.
Ad-Hoc Movements
In advanced warehousing, the movement of items from bin to bin without relation to source documents is
managed on the Movement Worksheet page and registered in the Warehouse Movement page.
Flushing Production Components in the Warehouse

If set up on the item card, components picked with warehouse picks are posted as consumed by the production
order when the warehouse pick is registered. By using the Pick + For ward method and the Pick + Backward
flushing method, the pick registration triggers the related consumption posting when the first operation starts
or when the last operation finishes, respectively.
Consider the following scenario based on the Business Central demonstration database.
A production order for 15 PCS of item LS-100 exists. Some of the items on the component list must be flushed
manually in a consumption journal, and other items on the list can be picked and flushed automatically using
the Pick + Backward flushing method.
NOTE
Pick + For ward only works if the second production routing line operation uses a routing link code. Releasing a planned
production order initiates forward flushing of components set to Pick + For ward . However, the flushing cannot take
place until the pick of the components is registered, which again can only take place when the order is released.
The following steps describe the involved actions by different users and the related response:
1. The shop floor supervisor releases the production order. Items with For ward flushing method and no
routing link code are deducted from the open shop floor bin.
2. The shop floor supervisor chooses the Create Warehouse Pick button on the production order. A
warehouse pick document is created pick for items with Manual , Pick + Backward , and Pick +
For ward flushing methods. These items are placed in the To-Production bin.
3. The warehouse manager assigns the picks to a warehouse worker.
4. The warehouse worker picks the items from appropriate bins and places them in the To-Production bin or
in the bin specified on the warehouse pick, which may be a work center or machine center bin.
5. The warehouse worker registers the pick. The quantity is subtracted from the pick bins and added to the
consumption bin. The Qty. Picked field on the component list for all picked items is updated.
NOTE
Only the quantity that is picked can be consumed.
6. The machine operator informs the production manager that the end items are finished.
7. The shop floor supervisor uses the consumption journal or production journal to post the consumption
of component items that use either Manual flushing method or For ward or Pick + For ward flushing
methods together with routing link codes.
8. The production manager posts the output of the production order and changes status to Finished . The
quantity of component items that use Backward flushing method is deducted from the open shop floor
bin, and the quantity of component items that use Pick + Backward flushing method is deducted from
the To-Production bin.
The following illustration shows when the Bin Code field on the component list is filled according to your
location or machine/work center setup.
See Also
The system must keep a constant control of item availability in the warehouse, so that outbound orders can flow
efficiently and provide optimal deliveries.
Availability varies depending on allocations at the bin level when warehouse activities such as picks and
movements occur and when the inventory reservation system imposes restrictions to comply with. A rather
complex algorithm verifies that all conditions are met before allocating quantities to picks for outbound flows.
If one or more conditions are not met, different error messages can be shown, including the generic "Nothing to
handle." message. The "Nothing to handle." message can occur for many different reasons, both in outbound
and inbound flows, where a directly or indirectly involved document line contains the Qty. to Handle field.
NOTE
Information will soon be published here about possible reasons and solutions for the "Nothing to handle." message.
Bin Content and Reservations

In any installation of warehouse management, item quantities exist both as warehouse entries, in the Warehouse
application area, and as item ledger entries, in the Inventory application area. These two entry types contain
different information about where items exist and whether they are available. Warehouse entries define an
item’s availability by bin and bin type, which is called bin content. Item ledger entries define an item’s availability
by its reservation to outbound documents.
Special functionality in the picking algorithm exists to calculate the quantity that is available to pick when bin
content is coupled with reservations.
Quantity Available to Pick

If, for example, the picking algorithm does not consider item quantities that are reserved for a pending sales
order shipment, then those items might be picked for another sales order that is shipped earlier, which prevents
the first sales from being fulfilled. To avoid this situation, the picking algorithm subtracts quantities that are
reserved for other outbound documents, quantities on existing pick documents, and quantities that are picked
but not yet shipped or consumed.
The result is displayed in the Available Qty. to Pick field on the Pick Worksheet page, where the field is
calculated dynamically. The value is also calculated when users create warehouse picks directly for outbound
documents. Such outbound documents could be sales orders, production consumption, or outbound transfers,
where the result is reflected in the related quantity fields, such as Qty. to Handle .
NOTE
Concerning the priority of reservations, the quantity to reserve is subtracted from the quantity available to pick. For
example, if the quantity available in pick bins is 5 units, but 100 units are in put-away bins, then when you try to reserve
more than 5 units for another order, an error message is displayed because the additional quantity must be available in
pick bins.
Calculating the Quantity Available to Pick

The quantity available to pick is calculated as follows:
quantity available to pick = quantity in pick bins - quantity on picks and movements – (reserved quantity in pick
bins + reserved quantity on picks and movements)
The following diagram shows the different elements of the calculation.
Quantity Available to Reserve

Because the concepts of bin content and reservation co-exist, the quantity of items that are available to reserve
must be aligned with allocations to outbound warehouse documents.
It should be possible to reserve all items in inventory, except those that have started outbound processing.
Accordingly, the quantity that is available to reserve is defined as the quantity on all documents and all bin
types, except the following outbound quantities:
Quantity on unregistered pick documents
Quantity in shipment bins
Quantity in to-production bins
Quantity in open shop floor bins
Quantity in to-assembly bins
Quantity in adjustment bins
The result is displayed in the Total Available Quantity field on the Reser vation page.
On a reservation line, the quantity that cannot be reserved, because it is allocated in the warehouse, is displayed
in the Qty. Allocated in Warehouse field on the Reser vation page.
Calculating the Quantity Available to Reserve
The quantity available to reserve is calculated as follows:
quantity available to reserve = total quantity in inventory - quantity on picks and movements for source
documents - reserved quantity - quantity in outbound bins
The following diagram shows the different elements of the calculation.
See Also
The outbound flow in the warehouse begins with a request from released source documents to bring the items
out of the warehouse location, either to be shipped to an external party or to another company location. From
the storage area, warehouse activities are performed at different complexity levels to bring the items out to the
shipping docks.
Each item is identified and matched to a corresponding inbound source document. The following outbound
source documents exist:
Sales order
Outbound transfer order
Purchase return order
Service order
In addition, the following internal source documents exist that function like outbound sources:
Production order with component need
Assembly order with component need
The last two documents represent outbound flows from the warehouse to internal operation areas. For more
information about warehouse handling for internal inbound and outbound processes, see Design Details:
Internal Warehouse Flows.
Processes and UI documents in outbound warehouse flows are different for basic and advanced warehouse
configurations. The main difference is that activities are performed order-by-order in basic warehouse
configurations, and they are consolidated for multiple orders in advanced warehouse configurations. For more
information about different warehouse complexity levels, see Design Details: Warehouse Overview.
In Business Central, the outbound processes of picking and shipping can be performed in four ways using
C O M P L EXIT Y
L EVEL ( SEE
DESIGN DETA IL S:
O UT B O UN D WA REH O USE
A Post pick and X 2

shipment from
the order line
B Post pick and X 3

shipment from
an inventory
pick document

shipment from a
warehouse
shipment
document
C O M P L EXIT Y
L EVEL ( SEE
DESIGN DETA IL S:
O UT B O UN D WA REH O USE

warehouse pick
document and
post shipment
from a
warehouse
shipment
document
Selecting an approach depends on the company's accepted practices and the level of their organizational
complexity. In an order-by-order environment with straightforward processes and simple bin structure, method
A, picking and shipping from the order line is appropriate. In other order-by-order companies where items for
one order line might come from more than one bin or where warehouse workers cannot work with order
documents, the use of separate pick documents is appropriate, method B. Where a company's picking and
shipping processes involve multiple order handling and therefore require greater control and overview, the
company might choose to use a warehouse shipment document and warehouse pick document to separate the
picking and shipping tasks, methods C and D.
In methods A, B, and C, the actions of picking and shipping are combined in one step when posting the
corresponding document as shipped. In method D, the pick is first registered, and then the shipment is posted at
a later time from a different document.
Basic Warehouse Configurations

The following diagram illustrates the outbound warehouse flows by document type in basic warehouse
1: Release Source Document / Create Inventory Pick or Movement

When a user who is responsible for source documents, such as a sales order processor or production planner, is
ready for the outbound warehouse activity, he or she releases the source document to signal to warehouse
workers that sold items or components can be picked and placed in the specified bins. Alternatively, the user
creates inventory pick or movement documents for the individual order lines, in a push fashion, based on
specified bins and quantities to handle.
NOTE
Inventory movements are used to move items to internal operation areas in basic warehouse configurations, based on
source documents or on an ad hoc basis.
2: Create Outbound Request

When the outbound source document is released, an outbound warehouse request is created automatically. It
3: Create Inventory Pick or Movement
In the Inventor y Pick or Inventor y Movement page, the warehouse worker retrieves, in a pull fashion, the
pending source document lines based on outbound warehouse requests. Alternatively, the inventory pick lines
are already created, in a push fashion, by the user who is responsible for the source document.
4: Post Inventory Pick or Register Inventory Movement
On each line for items that have been picked or moved, partially or fully, the warehouse worker fills in the
Quantity field, and then posts the inventory pick or registers the inventory movement. Source documents
related to the inventory pick are posted as shipped or consumed. Source documents related to inventory
movements are not posted.
For inventory picks, negative item ledger entries are created, warehouse entries are created, and the pick
request is deleted, if fully handled. For example, the Quantity Shipped field on the outbound source document
line is updated. A posted shipment document is created that reflects the sales order, for example, and the
shipped items.
Advanced Warehouse Configurations

The following diagram illustrates the outbound warehouse flow by document type in advanced warehouse
1: Release Source Document
When a user who is responsible for source documents, such as a sales order processor or production planner, is
ready for the outbound warehouse activity, he or she releases the source document to signal to warehouse
workers that sold items or components can be picked and placed in the specified bins.
2: Create Outbound Request (2)
When the outbound source document is released, an outbound warehouse request is created automatically. It
3: Create Warehouse Shipment
On the Warehouse Shipment page, the shipping worker who is responsible retrieves pending source
document lines based on the outbound warehouse request. Several source document lines can be combined in
one warehouse shipment document.
4: Release Shipment / Create Warehouse Pick
The shipping worker who is responsible releases the warehouse shipment, so that warehouse workers can
create or coordinate warehouse picks for the shipment in question.
Alternatively, the user creates warehouse pick document for individual shipment lines, in a push fashion, based
on specified bins and quantities to handle.
5: Release Internal Operation / Create Warehouse Pick
The user who is responsible for internal operations releases an internal source document, such as a production
and assembly order, so that warehouse workers can create or coordinate warehouse picks for the internal
operation in question.
Alternatively, the user creates warehouse pick documents for the individual production or assembly order, in a
push fashion, based on specified bins and quantities to handle.
6: Create Pick Request
When the outbound source document is released, a warehouse pick request is created automatically. It contains
references to the source document type and number and is not visible to the user. Depending on the setup,
consumption from a production and assembly order also creates a pick request to pick the needed components
from inventory.
7: Generate Pick Worksheet Lines
The user who is responsible for coordinating picks, retrieves warehouse pick lines in the Pick Worksheet based
on pick requests from warehouse shipments or internal operations with component consumption. The user
selects the lines to be picked and prepares the picks by specifying which bins to take from, which bins to place
in, and how many units to handle. The bins may be predefined by setup of the warehouse location or operation
resource.
The user specifies picking methods for optimized warehouse handling and then uses a function to create the
corresponding warehouse pick documents, which are assigned to different warehouse workers who perform
warehouse picks. When the warehouse picks are fully assigned, the lines in the Pick Worksheet are deleted.
8: Create Warehouse Pick Documents
The warehouse worker who perform picks create a warehouse pick document, in a pull fashion, based on the
released source document. Alternatively, the warehouse pick document is created and assigned to the
warehouse worker in a push fashion.
9: Register Warehouse Pick
On each line for items that have been picked, partially or fully, the warehouse worker fills in the Quantity field
on the Warehouse Pick page and then registers the warehouse pick.
Warehouse entries are created, and the warehouse pick lines are deleted, if fully handled. The warehouse pick
document remains open until the full quantity of the related warehouse shipment is registered. The Qty. Picked
field on the warehouse shipment lines is updated accordingly.
10: Post Warehouse Shipment
When all items on the warehouse shipment document are registered as picked to the specified shipment bins,
the shipping worker who is responsible posts the warehouse shipment. Negative item ledger entries are created.
For example, the Quantity Shipped field on the outbound source document line is updated.
See Also
The Warehouse Management application area and the Inventory application area interact with one another in
physical inventory and in inventory or warehouse adjustment.
Physical Inventory
The Whse. Phys. Inventor y Journal page is used with the Phys. Inventor y Journal page for all advanced
warehouse locations. The inventory on bin level is calculated, and a printed list is provided for the warehouse
employee. The list shows which items in which bins must be counted.
The warehouse employee enters the counted quantity on the Whse. Phys. Inventor y Journal page and then
posts the journal.
If the counted quantity is greater than the quantity on the journal line, a movement is posted for this difference
from the default adjustment bin to the counted bin. This increases the quantity in the counted bin and decreases
the quantity in the default adjustment bin.
If the quantity counted is less than the quantity on the journal line, a movement for this difference is posted
from the counted bin to the default adjustment bin. This decreases the quantity in the counted bin and increases
the quantity in the default adjustment bin.
In advanced warehouse configurations, the value in the Quantity (Calculated) field is retrieved from item
ledger entries and the value in the Quantity (Phys. Inventor y) field is retrieved from warehouse entries,
excluding the adjustment bin content. The Quantity field specifies the difference between the first two fields,
which should be equal to the contents of the adjustment bin.
When you post the physical inventory journal, the inventory and the default adjustment bin are updated.
Warehouse Adjustments to the Item Ledger
You use the Item Journal page and the Calculate Whse. Adjustment function to adjust inventory on the
item ledger in accordance with an adjustment that has been made to the item quantity in a warehouse bin. To
create a link between the inventory and the warehouse, you must define a default adjustment bin per location.
The default adjustment bin registers items in the warehouse when you post an increase for the inventory.
However, if you post a decrease, the quantity on the default bin is also decreased. In both cases, item ledger
entries and warehouse entries are created.
NOTE
The adjustment bin is not included in the availability calculation.
If you want to adjust the bin content, you can use the warehouse item journal, from which you can enter the
item number, zone code, bin code, and quantity that you want to adjust.
If you enter a positive quantity and post the line, then the inventory stored in the bin increases, and the quantity
of the default adjustment bin decreases correspondingly.
See Also
As the flow of goods in today's supply chain becomes more and more complex, the ability to keep track of items
is increasingly important to the companies involved. Monitoring an item's transaction flow is a legal
requirement in the business of medical and chemical supply, but other businesses may want to monitor
products with warranties or expiration dates for customer service reasons.
An item tracking system should provide a company with easy handling of serial and lot numbers, considering
each unique piece of merchandise: when and where received, where stored, when and where sold. Business
Central has gradually expanded its coverage of this business requirement and today provides application-wide
functionality and a solid core on which to develop extensions.
In This Section
See Also
Work with Serial, Lot, and Package Numbers
Item tracking in Business Central started with Dynamics NAV. The item tracking functionality is in a separate
object structure with intricate links to posted documents and item ledger entries, and it is integrated with the
reservation system, which handles reservation, order tracking, and action messaging. For more information, see
Design Details: Reservation, Order Tracking, and Action Messaging in the Supply Planning design details.
This design incorporates item tracking entries in total availability calculations throughout the system, including
planning, manufacturing, and warehousing. Serial and lot numbers are applied on the item ledger entries to
ensure simple access to historical data for item tracking purposes. With 2021 release wave 1, item tracking in
Business Central includes package numbers.
With the addition of serial, lot, and package numbers, the reservation system handles permanent item attributes
while also handling intermittent links between supply and demand in the form of order tracking entries and
reservation entries. Another different characteristic of serial or lot numbers compared to the conventional
reservation data is the fact that they can be posted, either partially or fully. Therefore, the Reser vation Entr y
table (T337) now works with a related table, the Tracking Specification table (T336), which manages and
displays summing across active and posted item tracking quantities. For more information, see Design Details:
Active versus Historic Item Tracking Entries.
The following diagram outlines the design of item tracking functionality in Business Central.
The central posting object is redesigned to handle the unique subclassification of a document line in the form of
serial or lot numbers, and special relation tables are added to create the one-to-many relations between posted
documents and their split item ledger entries and value ledger entries.
Codeunit 22, Item Jnl. – Post Line , now splits the posting according to the item tracking numbers that are
specified on the document line. Each unique item tracking number on the line creates its own item ledger entry
for the item. This means that the link from the posted document line to the associated item ledger entries is now
a one-to-many relation. This relation is handled by the following item tracking relation tables.
Item Entr y Relation (T6507) Relates shipped or received lines to item ledger entries
Value Entr y Relation (T6508) Relates invoiced lines to value entries
For more information, see Design Details: Item Tracking Posting Structure.
See Also
To align with inventory costing functionality and to obtain a simpler and more robust solution, item ledger
entries are used as the primary carrier of item tracking numbers.
Item tracking numbers on order network entities and non-order network entities are specified in the
Reser vation Entr y table (T337). Item tracking numbers that are related to historical information are retrieved
directly from the item ledger entries that are related to the transaction in question. This means that item ledger
entries reflect the item tracking specification of the posted order line.
The Item Tracking Lines page retrieves the information from T337 and the item ledger entries and shows it
through the temporary table, Tracking Specification (T336). T336 also hold the temporary data in the Item
Tracking Lines page for item tracking quantities that remain to be invoiced.
One-to-Many Relation
The Item Entr y Relation table, which is used to link a posted document line with its related item ledger entries,
consists of two main parts:
A pointer to the posted document line, the Order Line No. field.
An entry number pointing to an item ledger entry, the Item Entr y No. field.
The functionality of the existing Entr y No. field, which relates an item ledger entry to a posted document line,
handles the typical one-to-one relation when no item tracking numbers exist on the posted document line. If
item tracking numbers exist, then the Entr y No. field is left blank, and the one-to-many relation is handled by
the Item Entr y Relation table. If the posted document line carries item tracking numbers but only relates to a
single item ledger entry, then the Entr y No. field handles the relation, and the no record is created in the Item
Entr y Relation table.
Codeunits 80 and 90
To split the item ledger entries during posting, the code in codeunit 80 and codeunit 90, is encircled by loops
that run through global temporary record variables. This code calls codeunit 22 with an item journal line. These
variables are initialized when item tracking numbers exist for the document line. To keep the code simple, this
looping structure is always used. If no item tracking numbers exist for the document line, then a single record is
inserted, and the loop runs only once.
Posting the Item Journal

Item tracking numbers are transferred via the reservation entries that relate to the item ledger entry, and the
looping through item tracking numbers occurs in codeunit 22. This concept works in the same way when an
item journal line is used indirectly to post a sale or purchase order as when an item journal line is used directly.
When the item journal is used directly, the Source Row ID field points to the item journal line itself.
Code Unit 22
Codeunits 80 and 90 loop the call of codeunit 22 during the invoice posting of item tracking numbers and
during the invoicing of existing shipments or receipts.
During quantity posting of item tracking numbers, codeunit 22 retrieves item tracking numbers from the entries
in T337 that relate to the posting. These entries are placed directly on the item journal line.
Codeunit 22 loops through the item tracking numbers and splits the posting into the respective item ledger
entries that carry the item tracking numbers. Information about which item ledger entries are created is
returned to T337 by using a temporary T336 record, which is called by a procedure in codeunit 22. This
procedure is triggered when codeunit 22 has finished its run because at that point, the codeunit 22 object
contains the information. When the temporary T336 record is retrieved, codeunits 80 and 90 create records in
the Item Entr y Relation table to link the created item ledger entries to the created shipment or receipt line.
Codeunits 80 or codeunit 90 then converts the temporary T336 records to real T336 records that are related to
the line in question. However, this conversion occurs only if the posted document line is not deleted, because it is
only partially posted.
See Also
Design Details: Active versus Historic Item Tracking
Entries
When parts of a document line quantity are posted, only that particular quantity is transferred to the item ledger
entries and its item tracking numbers. However, you will want to access all relevant item tracking information
directly from the active document line. That is, not only will you want to see the entries that are related to the
remaining quantity, you will also want information about the units that have been posted. When you view or
modify the Item Tracking Lines page, the collective contents of the Tracking Specification table (T336) and
Reser vation Entr y table (T337) are presented in a temporary version of T336. This ensures that historic and
active item tracking data is accessed as one.
The following table shows how T336 and T337 are used in a purchase scenario. The bold figures represent
values that the user manually enters on the Item Tracking Lines page.
Step 1: Create a purchase order line of seven pieces with item tracking numbers.
Q UA N T IT Y QT Y. TO IN VO IC E Q UA N T IT Y Q UA N T IT Y
( B A SE) QT Y. TO H A N DL E ( B A SE) H A N DL ED ( B A SE) IN VO IC ED ( B A SE)
T337 7 0 0 0 0
T336 0 0 0 0 0
Step 2: Receive four pieces.
Item Tracking 7 4 0 0 0
Lines page
T337 3 0 0 0 0
T336 4 0 0 4 0
Step 3: Receive two pieces and invoice two pieces.
Lines page
T337 1 0 0 0 0
T336 6 0 0 6 2
Step 4: Receive one piece.

Lines page
T336 7 0 0 7 2
Invoice 5 pieces.
Lines page
T336 7 0 0 7 7
See Also
Item tracking records and reservation records are created in the reservation system, and their availability is
calculated dynamically. Data that is entered on the Item Tracking Lines page is managed in a temporary
version of the Tracking Specification table. When the page is closed, the active data is committed to the
Reser vation Entr y table and the historic data is committed to the Tracking Specification table. For more
information, see Design Details: Active versus Historic Item Tracking Entries.
Lookups from the Serial No. and Lot No. fields show availability based on both the Item Ledger Entr y table
and the Reser vation Entr y table, with no date filter. The matrix of quantity fields on the header of the Item
Tracking Lines page dynamically displays the quantities and sums of item tracking numbers that are being
entered on the lines of the page. The quantities must correspond to those of the document line, which is
indicated by 0 in the Undefined fields in the header of the page.
To coordinate the flow of serial and lot numbers through inventory, the following rules exist for entering data on
the Item Tracking Lines page:
For both inbound and outbound item tracking lines, you cannot enter a serial number, with or without a lot
number, more than once in the same instance of the Item Tracking Lines page. If you try to enter any
combination of serial or lot numbers that is already present on the page, then an error message blocks the
data entry.
For inbound item tracking lines, you cannot post the related document if an item of the same variant and
with the same serial number is already in inventory. If you try to post a positive line for an inventory item
with the same variant and serial number, then an error message blocks the posting. However, for both
inbound and outbound item tracking lines on open documents, you can have the same combination of serial
or lot numbers that relate to different source document lines, that is, existing in different instances of the
Item Tracking Lines page until the related document is posted.
If the item is set up for serial number-specific tracking or lot number- specific tracking, then you cannot post
an outbound document line unless an item with the defined serial or lot number exists in inventory. If you try
to post an outbound document line for an item with a serial lot number that is not in inventory, then an error
message blocks the posting.
The rules for entering data on the Item Tracking Lines page also support the coupling principles that govern
order tracking, planning, and reservation. For more information, see Design Details: Item Tracking and Planning.
See Also
The Item Tracking Lines and Item Tracking Summar y pages provide dynamic availability information for
serial or lot numbers. The purpose of this is to increase transparency for users on outbound documents, such as
sales orders, by showing them which serial numbers or how many units of a lot number are currently assigned
on other open documents. This reduces uncertainty that is caused by double allocation and instills confidence in
order processors that the item tracking numbers and dates that they are promising on unposted sales orders
can be fulfilled. For more information, see Design Details: Item Tracking Lines Page.
When you open the Item Tracking Lines page, availability data is retrieved from the Item Ledger Entr y table
and the Reser vation Entr y table, with no date filter. When you choose the Serial No. field or the Lot No.
field, the Item Tracking Summar y page opens and shows a summary of the item tracking information in the
Reser vation Entr y table. The summary contains the following information about each serial or lot number on
the item tracking line:
Total Quantity The total quantity of the serial or lot number that is
currently in inventory.
Total Requested Quantity The total quantity of the serial or lot number that is
currently requested in all documents.
Current Pending Quantity The quantity that is entered in the current instance of the
Item Tracking Lines page but is not yet committed to the
database.
Total Available Quantity The quantity of the serial or lot number that is available for
the user to request.
This quantity is calculated from other fields on the page as

follows:
total quantity – (total requested quantity + current pending

quantity).
NOTE
You can also see the information in the preceding table by using the Select Entries function on the Item Tracking
Lines page.
To preserve database performance, availability data is only retrieved once from the database when you open the
Item Tracking Lines page and when you use the Refresh Availability function on the page.
Calculation Formula
As described in the preceding table, the availability of a given serial or lot number is calculated as follows.
total available quantity = quantity in inventory – (all demands + quantity not yet committed to the database)
IMPORTANT
This formula implies that the serial or lot number availability calculation considers only inventory and ignores projected
receipts. Accordingly, supply that is not yet posted to inventory does not affect item tracking availability, as opposed to
regular item availability where projected receipts are included.
See Also
Because they are stored in the reservation system, item tracking numbers are fully coordinated with order
tracking records. This means that items with order tracking records can be assigned item tracking numbers.
Conversely, items that have item tracking numbers can become order tracking records. For more information,
see Design Details: Item Tracking Design.
For more information about the integrated systems, see Design Details: Reservations, Order Tracking, and Action
Messaging.
Because order tracking is only concerned with specific item application, the coordination with item tracking
numbers only applies to items that are set up to use specific item tracking. This is set by the SN Specific
Tracking and Lot Specific Tracking fields on the item card, which specify the following:
The item must carry a serial number or lot number when it is posted.
The item must apply to the same serial number or lot number when it is posted outbound.
In alignment with standard supply/demand balancing principles, the planning system and the related order
tracking feature only match supply and demand carrying item tracking numbers if the item in question uses
specific item tracking. In all other cases, the planning and order tracking systems ignore item tracking numbers
when they apply supply to meet demand or apply demand to supply. For more information, see Design Details:
Reservation, Order Tracking, and Action Messaging.
For example, when order tracking exists for a given item, it implies that records for the item are already in the
Reser vation Entr y table, which is the core of the reservation system, before the item tracking numbers are
defined. Therefore, the following coupling restrictions apply to the item tracking numbers to be order tracked:
Demand with a serial number or lot number can only cover supply with the same serial number or lot
number.
Demand without a serial or lot number can cover any supply, with or without a serial or lot number.
Apart from their consequences on dynamic order tracking, the item tracking coupling restrictions do not affect
the planning system significantly.
On the supply side, a serial or lot number is typically not entered until immediately before the order is posted,
such as a purchase receipt into the warehouse. When entering a serial or lot number on the demand side, such
as on a sales order, that serial or lot number is already in inventory. Accordingly, item tracking numbers are
typically not an issue in supply planning.
For items that use specific item tracking, all demand carrying serial or lot numbers must be matched by
corresponding supply. In most cases, it does not make sense to reorder a specific serial or lot number, so the
planning of purchase or production supplies is probably not affected. However, when transferring items from
one location to another, it is likely that the transfer is for a specific lot, so planning transfer supplies might be
affected by the specific coupling restriction.
For more information, see Design Details: Transfers in Planning.
Balancing Demand and Supply

If an item requires specific item tracking, then an order tracking link is made from all the item’s item tracking
demand to any corresponding item tracking supply, with the sole limitation that supply should come before
demand. If, under those circumstances, no item tracking supply can be found that corresponds to the item
tracking-specific demand, then a new item tracking supply is created immediately and without considering
order sizing, planning parameters, or rescheduling of existing supply of the same serial or lot number.
If item tracking numbers are assigned on the demand side or on the supply side without requiring specific item
tracking, then an order track link is made from the demand to that supply, based on the most suitable timing
and quantity, as in the usual balancing procedure. The specified item tracking number goes into the order
tracking record in the same way that any specified item tracking quantity defines one end of the order tracking
link. This means that the item tracking number that is entered is preserved while it is also part of the order
tracking record.
If item tracking numbers are assigned on the supply side without requiring specific item tracking, then this
supply is regarded as fixed by the planning system. No resizing or rescheduling is suggested for this supply, but
the supply is taken into consideration when the planning system tries to meet the gross requirements.
For more information, see Design Details: Balancing Demand and Supply.
See Also
Simultaneous use of reservation and specific item tracking is uncommon, because they both create a coupling
between supply and demand. Except for situations where a customer or production planner requests a specific
lot, it rarely makes sense to reserve inventory items that already carry item tracking numbers for specific
application. Although it is possible to reserve items that require specific item tracking, special functionality is
needed to avoid availability conflicts between order processors that request the same item-tracked items.
The concept of Late Binding ensures that a nonspecific reservation of a serial number or a lot number remains
loosely coupled until posting. At posting time, the reservation system can reshuffle nonspecific reservations to
ensure that fixed application is possible against the serial or lot number that is actually picked. Meanwhile, the
serial or lot number is made available for specific reservation in other documents that request that particular
serial or lot number.
A nonspecific reservation is one in which the user does not care which specific item is picked, and a specific
reservation is one in which the user does care.
NOTE
The Late Binding functionality relates only to items that are set up with specific item tracking, and it applies only to
reservations against inventory, not against inbound supply orders.
Reservation of item tracking numbers falls into two categories, as shown in the following table.
RESERVAT IO N DESC RIP T IO N
Specific You select a specific serial or lot number when you reserve
the inventory item from a demand, such as a sales order.
This is a regular reservation. It is a rigid link between supply

and demand that both carry serial or lot numbers. Note:
The demand carries serial or lot numbers.
For example, you want to reserve a can of blue paint from

Lot A, because the customer requests it. A can of blue paint
from Lot A is shipped to the customer.
Nonspecific You do not select a specific serial or lot number when you
reserve the inventory item from a demand, such as a sales
order.
This is a state that is imposed on a reservation entry for

serial or lot numbers that are not selected specifically. Note:
The demand does not carry serial or lot numbers.
For example, you want to reserve a can of blue paint from

any lot for your sales order. A can of blue paint from a
random serial or lot number is shipped to the customer.
The main difference between specific and nonspecific reservation is defined by the existence of serial or lot
numbers on the demand side, as shown in the following table.
TYPE SUP P LY DEM A N D
Specific Serial or lot number. Serial or lot number.
Nonspecific Serial or lot number. No serial or lot number.
When you reserve inventory quantities from an outbound document line for an item that has item tracking
numbers assigned and is set up for specific item tracking, the Reser vation page leads you through different
workflows depending on your need for the serial or lot numbers.
Specific Reservation
When you choose Reser ve from the outbound document line, a dialog box appears that asks you if you want to
reserve specific serial or lot numbers. If you choose Yes , then a list is displayed with all the serial or lot numbers
that are assigned to the document line. The Reser vation page opens after you select one of the serial or lot
numbers, and you can then reserve among the selected serial or lot numbers in a typical fashion.
If some of the specific item tracking numbers that you are trying to reserve are held in nonspecific reservations,
then a message at the bottom of the Reser vation page informs you how many of the total reserved quantity
are held in nonspecific reservations and whether they are still available.
Nonspecific Reservation
If you choose No in the dialog box that appears, the Reser vation page opens and allows you to reserve among
all serial or lot numbers in inventory.
Because of the structure of the reservation system, when you place a nonspecific reservation on an item-tracked
item, the system must select specific item ledger entries to reserve against. Because the item ledger entries carry
the item tracking numbers, the reservation indirectly reserves specific serial or lot numbers, even though you
did not intend to. To handle this situation, the reservation system tries to reshuffle nonspecific reservation
entries before posting.
The system actually still reserves against specific entries, but then it uses a reshuffling mechanism whenever
there is specific demand for the lot or serial number in the nonspecific reservation. This can be the case when
you post a demand transaction, such as a sales order, consumption journal, or transfer order, for the serial or lot
number, or when you try to specifically reserve the serial or lot number. The system reshuffles the reservations
to make the lot or serial number available to the demand or to the specific reservation, thereby placing a
different lot or serial number in the nonspecific reservation. If there is insufficient quantity in inventory, the
system reshuffles as much as possible, and you receive an availability error if there is still insufficient quantity at
the time of posting.
NOTE
On a nonspecific reservation the lot number or serial number field is blank in the reservation entry that points at the
demand, such as the sale.
Reshuffle
When a user posts an outbound document after picking the wrong serial or lot number, other nonspecific
reservations are reshuffled to reflect the actual serial or lot number that is picked. This satisfies the posting
engine with a fixed application between supply and demand.
For all supported business scenarios, reshuffling is possible only against positive item ledger entries that carry
reservation and serial or lot numbers but without defined serial or lot numbers on the demand side.
Supported Business Scenarios
The Late Binding functionality supports the following business scenarios:
Entering a specific serial or lot number on an outbound document with nonspecific reservation of a wrong
Reserving a specific serial or lot number.
Posting an outbound document with nonspecific reservation of a serial or lot number.
Entering Serial or Lot Numbers on an Outbound Document with Wrong Nonspecific Reservation
This is the most common of the three supported scenarios. In this case, the Late Binding functionality ensures
that a user can enter a serial or lot number, which is actually picked, on an outbound document that already has
a nonspecific reservation of another serial or lot number.
For example, the need arises when an order processor has first made a nonspecific reservation of any serial or
lot number. Later when the item is actually picked from inventory, the picked serial or lot number must be
entered on the order before it is posted. The nonspecific reservation is reshuffled at posting time to ensure that
the picked serial or lot number can be entered without losing the reservation and to ensure that the picked
serial or lot number can be fully applied and posted.
Reserve Specific Serial or Lot Numbers
In this business scenario, Late Binding functionality ensures that a user who is trying to reserve a particular
serial or lot number that is currently nonspecifically reserved can do so. A nonspecific reservation is reshuffled
at the time of reservation to free the serial or lot number for the specific request.
The reshuffle happens automatically, but embedded Help is displayed at the bottom of the Reser vation page
and shows the following text:
XX of the Total Reser ved Quantity are nonspecific and may be available.
In addition, the Nonspecific Reser ved Qty. field shows how many reservation entries are nonspecific. By
default, this field is not visible to users.
Posting an Outbound Document with Nonspecific Reservation of Serial or Lot Numbers
This business scenario is supported with Late Binding functionality that enables fixed application and outbound
posting of what is actually picked by reshuffling another nonspecific reservation of a serial or lot number. If
reshuffling is not possible, then the following standard error message appears when the user tries to post the
shipment:
Item XX cannot be fully applied.
See Also
Serial number and lot number handling is primarily a warehouse task and therefore all inbound and outbound
warehouse documents have standard functionality for assigning and selecting item tracking numbers.
However, because the reservation system is based on item ledger entries, warehouse activity documents that
register only warehouse entries are not fully supported. Because reservations and item tracking numbers can be
handled only at the location level, not at the bin and zone level, the Item Tracking Lines page cannot be
opened from warehouse activity documents. The same applies to the Reser vation page.
After a serial or lot number has been added to an item at a warehouse location, it can be moved and reclassified
freely within the warehouse by using an independent item tracking structure that is unrelated to the reservation
system. Serial No. and Lot No. fields are accessed directly on warehouse document lines. When the serial or
lot number later partakes in outbound posting, it is synchronized with the reservation system as a part of
ordinary bin adjustment. For more information, see Design Details: Integration with Inventory.
However, the reservation system does take warehouse activities into consideration when it calculates availability.
For example, items that are allocated to picks, or registered as picked, cannot be reserved. For more information,
see Design Details: Warehouse Availability.
See Also
Design Details: Warehouse Availability
This documentation provides detailed technical insight into the concepts and principles that were used to
redesign the general journal posting line feature in Business Central. The redesign made codeunit 12 simpler
and more maintainable. The documentation starts by describing conceptual overviews of the redesign. Then it
explains the technical architecture to show the changes that result from the redesign.
IMPORTANT
The information in this section applies to the redesign in an earlier version of the product, Microsoft Dynamics NAV 2013
R2.
In This Section
See Also
Work with General Journals Design Details: General Journal Post Line (Dynamics NAV)
Codeunit 12, Gen. Jnl.-Post Line , is the major application object for general ledger posting and is the only
place to insert general ledger, VAT, and customer and vendor ledger entries. This codeunit is also used for all
Apply, Unapply and Reverse operations.
In Microsoft Dynamics NAV 2013 R2, the codeunit was redesigned because it had become very large, with
approximately 7,600 code lines. The architecture was changed and the codeunit has been made simpler and
more maintainable. This documentation describes the changes and provides information that you will need for
upgrade.
Old Architecture
The old architecture had the following features:
There was extensive use of global variables, which increased the possibility of hidden errors due to use of
variables with the wrong scope.
There were many long procedures (with more than 100 code lines) that also had high cyclomatic complexity
(that is, a lot of CASE, REPEAT, IF nested statements), which made the code very difficult to read and maintain.
Several procedures that were only used locally and were only meant to be used locally were not marked as
local.
Most procedures had no parameters and used global variables. Some used parameters and overrode global
variables with locals.
Code patterns for searching the general ledger accounts and creating general ledger and VAT entries was not
standardized and varied from place to place. In addition, there was a lot of code duplication and broken
symmetry between customer and vendor code.
A large part of the code in codeunit 12, approximately 30 percent, related to payment discount and tolerance
calculations, although these features are not needed in many countries or regions.
Posting, Apply, Unapply, Reverse, Payment Discount and Tolerance, and Exchange Rate Adjustment were
married together in codeunit 12 using a long list of global variables.
New Architecture
In Business Central, codeunit 12 has had the following improvements:
Codeunit 12 has been refactored into smaller procedures (all less than 100 code lines).
Standardized patterns for the search of general ledger accounts have been implemented by using helper
functions from Posting Group tables.
A Posting Engine Framework has been implemented to manage the start and finish of transactions and to
isolate the creation to general ledger and VAT entries, the collection of VAT adjustment, and the calculation of
additional currency amounts.
Code duplication has been eliminated.
Many helper functions have been transferred to corresponding customer and vendor ledger entry tables.
The use of global variables has been minimized, so that each procedure uses parameters and encapsulates its
own application logic.
See Also
Design Details: General Journal Post Line (Dynamics NAV)
In the Business Central posting interface structure, there are several global procedures that use the same
structure:
RunWithCheck and RunWithoutCheck call procedure Code – generic posting interface for Gen. Jnl Line.
CustPostApplyCustLedgEntry – post customer application, called from codeunit 226 CustEntry-Apply Posted
Entries.
VendPostApplyVendLedgEntry – post vendor application, called from codeunit 227 VendEntry-Apply Posted
Entries.
UnapplyCustLedgEntry – post unapply of customer application, called from codeunit 226 CustEntry-Apply
Posted Entries
UnapplyVendLedgEntry – post unapply of vendor application, called from codeunit 227 VendEntry-Apply
Posted Entries
See Also
Posting interface and some other functions in codeunit 12 use posting engine functions to prepare and insert
general ledger entry and VAT entry records. The posting engine is also responsible for general ledger register
creation.
The functions in the following table provide a standard framework for designing posting procedures (such as
Code, CustPostApplyCustledgEntry, VendPostApplyVendLedgEntry, UnapplyCustLedgEntry,
UnapplyVendLedgEntry, and Reverse) and exclusive access to table 17, G/L Entry.
RO UT IN E DESC RIP T IO N
StartPosting Initializes posting buffer TempGLEntryBuf, locks G/L Entry

and VAT Entry tables, and initializes Accounting Period, G/L
Register, and Exchange Rate. Should be called only once,
then NextEntryNo is 0.
ContinuePosting Checks and posts unrealized VAT for previous transaction

increment NextTransactionNo and prepares post of next line.
FinishPosting Completes posting by inserting G/L entries from temporary

buffer into database table. Always used together with
StartPosting. Checks for inconsistencies.
InitGLEntry Used to initialize new G/L entry for Gen. Jnl Line. Returns
GLEntry as parameter.
InitGLEntryVAT Same as InitGLEntry, but also assigns Bal. Account No. and
SummarizeVAT.
InitGLEntryVATCopy Similar to InitGLEntryVAT, but also copies posting groups

data from VAT Entry before SummarizeVAT.
InsertGLEntry The only function that inserts G/L entry into global
TempGLEntryBuf table. Always use this function for insert.
CreateGLEntry Performs an InitGLEntry, assigns Additional Currency

Amount, and then performs InsertGLEntry. Replaces several
lines of code with a single function call.
CreateGLEntryBalAcc Same as CreateGLEntry, but also assigns Bal. Account Type

and Bal. Account No.
CreateGLEntryVAT Same as CreateGLEntry, but with additional processing for

posting groups and saving to temporary VAT buffer:
GLEntry.CopyPostingGroupsFromDtldCVBuf(DtldCVLedgEntryBuf,GenJnlLine."Gen.
Posting Type");
InsertVATEntriesFromTemp(DtldCVLedgEntryBuf,GLEntry);
CreateGLEntryVATCollectAdj Same as CreateGLEntry, but with additional collection of

adjustments and saving to temporary VAT buffer:
CollectAdjustment(AdjAmount,GLEntry.Amount,GLEntry."Additional-
Currency Amount",OriginalDateSet);
InsertVATEntriesFromTemp(DtldCVLedgEntryBuf,GLEntry);
RO UT IN E DESC RIP T IO N
CreateGLEntryFromVATEntry Same as CreateGLEntry, but also copies posting groups from

VAT entry.
See Also
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Switch to the 30-day trial, and then add your own data. For more information, see Migrate On-Premises Data to
Business Central Online in the admin content (in English only).
How do I restore sample data?
You can't. If you accidentally delete sample data, ask your admin to create a new sandbox environment. For more
information, see Production and Sandbox Environments in the admin content (in English only).

See also
Frequently Asked Questions about Using Business Central
Dynamics 365 Business Central Trials and Subscriptions
Congratulations, you have just initiated your first company in Business Central.
To help you get ready for doing business, you can visit the Assisted Setup page where you can launch assisted
setup guides, videos, or help topics for selected setup tasks. To access the page, simply choose this link.
Alternatively, choose the icon, and then the Assisted Setup action.
You can also find the list of assisted setup guides if you choose the icon, enter Assisted Setup , and then
choose the related link.
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Get started
When you sign in for the first time or launch a new company, the Get Star ted checklist takes you through the
steps to make you ready for business. The steps vary depending on your country and any industry-specific
functionality that you have added to your Business Central. Starting with 2021 release wave 2, when you first
sign in to the CRONUS demonstration company, your home page is optimized for your first experiences. If you
prefer to see more links to more pages, just switch to the Business Manager role. For more information, see
Change Basic Settings.
Once you have migrated data, such as vendors, customers, and items from your existing financial system, you
are ready to begin. But depending on your needs, consider if other assisted setup guides on the list can help you.
If an area is not covered by an assisted setup, choose the icon, and then the Advanced Settings action. In
Advanced Settings , the Manual Setup section provides access to setup pages where you can fill in setup
fields for all areas manually. For more information, see also Setting Up Business Central.
NOTE
The list of assisted setup guides, extensions, and services that are available differ depending on the user experience you
choose for your company. The Essential experience gives access to fewer than the Premium experience does.
The first time you sign in, you use the Essential experience. For more information, see Change Which Features are
Displayed.
When you have run an assisted setup guide, it is marked as Completed .
Teaching tips and tours

APPLIES TO: Business Central 2021 release wave 1 and later
Business Central includes in-product tours and teaching tips that can help you get started. In the current version,
there are tours for the steps in the Get star ted list and some of the most commonly used pages in the
demonstration company, such as the Sales Invoice card page.
Teaching tips are short messages that inform, remind, or teach you about important and new capabilities that
launch automatically when you open a page. For example, to see the teaching tip for the Sales Invoice card,
choose the link in the top left corner of the page where it says Sales Invoice. This launches a callout with a short
description of the page and what you can do there. If a tour exists for the page, a link invites you to take the tour.
The Learn more link takes you to the product Help for the page.
Role-specific home pages

Depending on your role, the home page provides an overview of the business. At the top, you see a navigation
bar that gives you easy access to customers, vendors, items, and so on. In the center you find the Activities tiles.
Activities show current data and can be clicked or tapped for easy access to the selected document.
The Key Performance Indicators can be set up to display a selected chart for a visual representation of, for
example, cash flow or income and expenses. You can also build up a list of Favorite Customers on the home
page for accounts that you do business with often or need to pay special attention to.
Use the arrows to collapse a part of the page and make more room to show specific data. At the top of the home
page you will find all of the actions that can be applied to the current content. This too can be collapsed and you
only need to click or tap within the collapsed area to view it again.
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You can get back to the home page by selecting the company name in the upper left corner.
Company information
Under Company Settings you can view and edit setup information about the current company, much of this
was prefilled if you completed the Set Up Company assisted setup when signing up for Business Central. If
you want to change the company logo, contact information, bank settings, or tax information, you can do it from
this page.
Adding users and permissions

If you need to add more users, this is done from Microsoft 365 Admin Center. For more information, see Create
Users According to Licenses.
When users are created in Microsoft 365, they can be imported into the Users page by using the Get Updates
from Office 365 action. You can then proceed to assign permissions to users and to organize them in user
groups. For more information, see Assign Permissions to Users and Groups.
Product Help
in the upper right corner to get to the Help. For more information, see Resources for Help and Support.
Set up your company in Business Central
The quick start articles can help you take the first steps into setting up Business Central for your organization.
Inside Business Central, the Assisted Setup page lists the assisted setup guides that can help you. Depending
on your role and country or region, the page shows different assistant setup guides as illustrated in the
following table:
A SSIST ED SET UP DESC RIP T IO N
Set Up My Company Creates a new trial company for you to enter data and try
out Business Central.
Set Up Approval Workflows Sets up the ability to automatically notify an approver when
a user tries to create or change certain values on
documents, journal lines, or cards. For example, you can set
up approval of amounts above a specified limit.
Set Up Email Gets you ready for sending email messages directly from, for
example, sales orders or contacts in Business Central.
Set Up Your Business Inbox in Outlook Gets you ready to manage business interactions with your
customers and vendors, directly in Microsoft Outlook.
Migrate Business Data Lets you import your existing company data such as
vendors, customers, and items from Excel or Quickbooks.
Set Up Email Logging Sets up the capability to log email correspondence in

Business Central to follow up on interactions.
Set Up an Item Approval Workflow Sets up the ability to send a notification to an approver
when a user changes or creates an item.
Set Up a Customer Approval Workflow Sets up the ability to automatically notify an approver when
a user tries to create or change a customer card.
Set Up a Payment Approval Workflow Sets up the ability to send a notification to an approver
when a user sends payment journal lines for approval.
Set Up Dynamics 365 Sales Connection Sets up a connection to Dynamics 365 Sales, which allows
you to synchronize data such as contacts and sales order
information.
Set Up Cash Flow Forecast Sets up the Cash Flow Forecast chart, so you can view the
predicted movement of cash in and out of your business.
The chart is available on the Accountant Role Center .
Set Up Reporting Data Sets up data sets that you can use to build powerful reports
using Excel or Power BI, for example.
Invite External Accountant If you use an external accountant to manage your books
and financial reporting, you can invite them to your Business
Central so they can work with you on your fiscal data.
The Assisted Setup page may contain other entries. When you go through a setup, the setup will be marked as
Completed . You can set up other areas of the company by using manual setup. For more information, see
Setting Up Business Central.
Next steps
Based on your migrated data, you can now proceed to create new sales or purchase documents. Use the
Actions section of your home page to quickly create a new sales quote, sales invoice, sales order, purchase
invoice, or payment registration. Check out the quick start articles to help you take the first steps.
See also
Company Information Overview
Search in the help pane
Microsoft Learn site
Migrate Data
Start a free trial!

Signing up for Business Central is easy and can be done very quickly. You can create a free account even if you
are an existing organization. This article addresses issues that you may have during signup.
What email address can I use with Business Central?

Business Central requires that you use a work, or school, email address to sign up. Business Central does not
support email addresses provided by consumer email services or telecommunication providers. This includes
outlook.com, hotmail.com, gmail.com, and others.
If you try to sign up with a personal email address, you will get a message indicating to use a work or school
email address.
Troubleshooting
In many cases, registering for Business Central can be achieved by following the sign-up process. However, there
are several reasons why you may not be able to complete self-service signup. The table below summarizes
some of the most common reasons you may not be able to complete signup and ways you can workaround
these issues.
SY M P TO M / ERRO R M ESSA GE C A USE A N D W O RK A RO UN D
For Microsoft 365 email addresses that are not registered in Business Central currently only supports Microsoft 365
a supported country, you receive a message like the email accounts that are registered in a limited number of
following during signup: markets. For more information, see Regional Availability.
That didn't work , we don't suppor t your countr y or

region yet.
Personal email addresses such as nancy@gmail.com are not Business Central does not support email addresses provided
supported. You receive a message like the following during by consumer email services or telecommunications
signup: providers. To complete signup, try again using an email
address assigned by your work or school. If you still cannot
You entered a personal email address: Please enter sign up and are willing to complete a more advanced setup
your work email address so we can securely store process, you can register for a new Microsoft 365 trial
your company's data. subscription and use that email address to sign up.
or
That looks like a personal email address. Enter your
work address so we can connect you with others in
your company. And don’t worr y. We won’t share
your address with anyone.
SY M P TO M / ERRO R M ESSA GE C A USE A N D W O RK A RO UN D
.gov or .mil email addresses You receive a message like the Business Central does not support .gov or .mil addresses at
following during signup: this time.
Business Central unavailable: Business Central is not

available for users with .gov or .mil email addresses
at this time. Use another work email address or
check back later.
or
We can't finish signing you up. It looks like Business
Central isn't currently available for your work or
school.
Self-service signup is not enabled. You receive a message like Your organization’s IT administrator has disabled self-service
the following during signup: signup for Business Central. To complete signup, contact
your IT administrator and ask them to follow the instructions
We can't finish signing you up. Your IT depar tment on this page to allow existing users to sign up for Business
has turned off signup for Business Central. Contact Central and to allow new users to join your existing tenant.
them to complete signup. You may also experience this problem if you signed up for
or Microsoft 365 through a partner.
That looks like a personal email address. Enter your
work address so we can connect you with others in
your company. And don’t worr y. We won’t share
your address with anyone.
Email address is not a Microsoft 365 ID. You receive a Your organization uses IDs to sign in to Microsoft 365 and
message like the following during signup: other Microsoft services that are different than your email
address. For example, your email address might be
We can't find you at contoso.com. Do you use a Nancy.Smith@contoso.com but your ID is
different ID at work or school? Tr y signing in with nancys@contoso.com. To complete signup, use the ID that
that, and if it doesn't work , contact your IT your organization has assigned to for signing in to Microsoft
depar tment. 365 or other Microsoft services. If you do not know what
this is, contact your IT administrator. If you still cannot sign
up and are able to complete a more advanced setup process,
you can register for a new Microsoft 365 trial subscription
and use that email address to sign up.
If your Microsoft 365 account is registered to a supported Your organization's Microsoft 365 subscription is registered
country, and you are signing up for Business Central while in to a specific country in the Microsoft 365 administration
a different country, you receive a message like the following portal. The signup experience for Business Central uses the
during signup: language and locale that your current browser uses, and as a
result, you can get the error message even though you are
That didn't work , we don't suppor t your countr y or in a supported country. Ask your IT administrator to verify
region yet. the country that is specified in the organization profile in the
Microsoft 365 administration portal. You may have to use a
different account for Business Central.
Regional Availability
Business Central is available in a number of countries or regions with localization provided either by Microsoft
or an approved localization partner. For a complete list of supported countries and regions, see
Country/Regional Availability and Supported Translations.
For an overview of currently supported markets across Dynamics 365, see the International availability of
Microsoft Dynamics 365 deck. For an overview of local functionality in Business Central, see the Local
Functionality landing page.
See Also
Local Functionality
Country/Regional Availability and Supported Translations
International availability of Microsoft Dynamics 365
Need More Time to Decide Whether to Subscribe?
It's important to make the right decision when choosing a business application, and we know that it can take
time to explore all of the corners in Business Central. If you need more time to finish your evaluation, you can
extend the trial period yourself for another 30 days. When the expiration date for your trial period is
approaching, we will display a notification to alert you when you sign in. The notification contains a link to the
Extend Trial Period guide that you can use to extend your trial period. The extra 30 days start the moment you
choose Extend Trial in the guide.
Extending the trial period yourself is a one time-thing though. You cannot extend it twice, at least not yourself. If
you have already extended the period, your Microsoft partner can extend it for you again. That's also a one-time
thing. If you are not already working with a partner, see How do I find a reselling partner?.
To extend your trial period

1. Sign in to Business Central at https://businesscentral.dynamics.com/.
Sign in with the email account that you used when you signed up for the trial.
If you signed up with an email account from a 30-day trial of Microsoft 365, then you must first extend
your Microsoft 365 trial, or buy a Microsoft 365 subscription. For more information, see Extend your trial
for Microsoft 365 for business.
2. In the notification at the top of the workspace, choose Extend Trial .
If you dismissed the notification, you must sign out and then sign in again.
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If you cannot see the notification, you can force Business Central to run the Extend Trial assisted setup guide by adding
the ?page=1828 parameter to the URL, such as in the following example: https://businesscentral.dynamics.com/?
page=1828
What happens if my trial period is expired?

If your first 30-day trial period is expired, you can extend it yourself as described above, and things will be
business as usual. Just sign in to the demonstration company and start the Extend Trial Period guide from the
notification.
If you have created your own company, sign out and then sign in again with the credentials for that company.
If your organization has established a reseller relationship with a partner, they can sign in to your Business
Central as a delegated administrator and run the same Extend Trial Period guide. For more information, see
Extending trials (as an administrator).
However, after this second extension that has given your organization up to 90 days of trial, you must either
subscribe to Business Central or abandon Business Central. If you decide to not continue, we recommend that
you export any data that you rely on in your business.
When your extended trial period is expired, you can subscribe to Business Central within 90 days and continue
working in the company you created. 90 days after the extended trial expires, we will delete your company and
data unless you subscribe.
NOTE
tenant is deleted.
apply.

See also
Trials and Subscriptions (English only)
Creating New Companies
How do I find a reselling partner?
Extending trials (as an administrator)
Get Started as a Reseller of Business Central Online
Unsubscribe or Remove Business Central
If you want to stop using Business Central, you can close your account or get the license removed from your
account. The steps to take are different if you're currently using the free trial, or if you have a subscription.
If you want to end a trial, your administrator can learn more about the different types of trials and how to end
them here
If you want to end a subscription, your administrator must remove the subscription in the Microsoft 365 admin
center. For more information, see here.
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We recommend that you export any data before you close your account.
You can read about how to export data to Excel in the Exporting Data to Other Finance Systems. If you would
rather export all data to an Azure storage container, your Microsoft 365 administrator can do that in the admin
center. For more information, see Exporting Databases in the Admin Center.
Removing Business Central from your app launcher

If you want to hide Business Central from your app launcher, you can unpin it. No data is lost, and the step
doesn't cancel your subscription.
See Also
Business Central Trial FAQ
Trials and Subscriptions (for admins)
Create New Companies
Export Your Business Data to Excel
Microsoft 365 admin center
How long is the trial period and how do I cancel?
Export Databases in the Admin Center
Microsoft 365 Business subscriptions and billing documentation
Sign up for a free Dynamics 365 Business Central
trial
Business Central offers a free trial. After a quick sign-up, you'll have access to many of the app's key features.
The trial allows you to test the app with sample data. If you want to try out things with your own data, you'll
switch to a free 30-day trial. Learn more about Business Central features.
To sign up for the trial

2. Enter your work or school email address and other details. You'll be redirected to your trial at
https://businesscentral.dynamics.com/.
The trial takes a few moments to load, then you can start using the app. The Get Star ted checklist takes you
through the steps to make you ready for business. The steps vary depending on your country and any industry-
specific functionality that you've added to your Business Central.
In Business Central, some things will be familiar to you, and other things might be unfamiliar. When you first
sign in to the demonstration company, you get access to a Get Started card with a link to show demo tours. For
more information, see Get Ready for Doing Business and the quick starts articles.
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If you decide not to use Business Central, you can let the trial expire.
NOTE
tenant is deleted.
apply.
Should you run into problems, check the Trial FAQ or Frequently Asked Questions articles to find answers to
some of your questions. If you're unable to sign up for the trial, check the Troubleshooting Self-Service Sign-Up
article for tips. You can also contact a partner and ask them to create a free trial or a different type of preview of
Business Central for you.
What to try
Your trial environment includes the same features as the paid version. The links below guide you through some
of the key features.
Overview of business functionality
Get started
Get productive
Quick starts
Get started with a subscription

Each time you sign in during the trial period, a notification in a blue bar at the top displays the time remaining. If
you decide to subscribe, find a Business Central partner. For more information, see How do I find a reselling
partner?. The reselling partner can help you set up Business Central to fit your business, including importing
your data from your previous system. You can also customize Business Central by adding apps from the
Microsoft commercial marketplace.
Business Central online uses Microsoft 365. If your company uses a different type of email setup, the reselling
partner can help you decided how to migrate, or if you should use Business Central on-premises.
You can also contact the Business Central Sales team.
TIP
If you want to start using Business Central to run your business, you must buy a license. Your administrator can then
assign the license to users. However, if you want to convert a 30-day trial company into your actual production company,
we encourage all uses to sign out of Business Central. Then, once an administrator has assigned the license to your
account, the first user who signs into Business Central must be a user with this license assigned. This way, the 30-day trial
ends, and any trial-related notifications disappear so that users can use Business Central to do work.
For more information about what you can do with Business Central, see Getting Ready for Doing Business and
Business Functionality.

Additional resources
Visit our video library
Trial FAQ
Trials and Subscriptions (for administrators)
Congratulations, you have just initiated your first company in Business Central.
To help you get ready for doing business, you can visit the Assisted Setup page where you can launch assisted
setup guides, videos, or help topics for selected setup tasks. To access the page, simply choose this link.
Alternatively, choose the icon, and then the Assisted Setup action.
You can also find the list of assisted setup guides if you choose the icon, enter Assisted Setup , and then
TIP
Get started
When you sign in for the first time or launch a new company, the Get Star ted checklist takes you through the
steps to make you ready for business. The steps vary depending on your country and any industry-specific
functionality that you have added to your Business Central. Starting with 2021 release wave 2, when you first
sign in to the CRONUS demonstration company, your home page is optimized for your first experiences. If you
prefer to see more links to more pages, just switch to the Business Manager role. For more information, see
Once you have migrated data, such as vendors, customers, and items from your existing financial system, you
are ready to begin. But depending on your needs, consider if other assisted setup guides on the list can help you.
If an area is not covered by an assisted setup, choose the icon, and then the Advanced Settings action. In
Advanced Settings , the Manual Setup section provides access to setup pages where you can fill in setup
fields for all areas manually. For more information, see also Setting Up Business Central.
NOTE
The list of assisted setup guides, extensions, and services that are available differ depending on the user experience you
choose for your company. The Essential experience gives access to fewer than the Premium experience does.
The first time you sign in, you use the Essential experience. For more information, see Change Which Features are
Displayed.
When you have run an assisted setup guide, it is marked as Completed .
Teaching tips and tours

Business Central includes in-product tours and teaching tips that can help you get started. In the current version,
there are tours for the steps in the Get star ted list and some of the most commonly used pages in the
demonstration company, such as the Sales Invoice card page.
Teaching tips are short messages that inform, remind, or teach you about important and new capabilities that
launch automatically when you open a page. For example, to see the teaching tip for the Sales Invoice card,
choose the link in the top left corner of the page where it says Sales Invoice. This launches a callout with a short
description of the page and what you can do there. If a tour exists for the page, a link invites you to take the tour.
The Learn more link takes you to the product Help for the page.
Role-specific home pages

Depending on your role, the home page provides an overview of the business. At the top, you see a navigation
bar that gives you easy access to customers, vendors, items, and so on. In the center you find the Activities tiles.
Activities show current data and can be clicked or tapped for easy access to the selected document.
The Key Performance Indicators can be set up to display a selected chart for a visual representation of, for
example, cash flow or income and expenses. You can also build up a list of Favorite Customers on the home
page for accounts that you do business with often or need to pay special attention to.
Use the arrows to collapse a part of the page and make more room to show specific data. At the top of the home
page you will find all of the actions that can be applied to the current content. This too can be collapsed and you
only need to click or tap within the collapsed area to view it again.
TIP
You can get back to the home page by selecting the company name in the upper left corner.
Company information
Under Company Settings you can view and edit setup information about the current company, much of this
was prefilled if you completed the Set Up Company assisted setup when signing up for Business Central. If
you want to change the company logo, contact information, bank settings, or tax information, you can do it from
this page.
Adding users and permissions

If you need to add more users, this is done from Microsoft 365 Admin Center. For more information, see Create
Users According to Licenses.
When users are created in Microsoft 365, they can be imported into the Users page by using the Get Updates
from Office 365 action. You can then proceed to assign permissions to users and to organize them in user
groups. For more information, see Assign Permissions to Users and Groups.
Product Help
in the upper right corner to get to the Help. For more information, see Resources for Help and Support.
Set up your company in Business Central
The quick start articles can help you take the first steps into setting up Business Central for your organization.
Inside Business Central, the Assisted Setup page lists the assisted setup guides that can help you. Depending
on your role and country or region, the page shows different assistant setup guides as illustrated in the
following table:
A SSIST ED SET UP DESC RIP T IO N
Set Up My Company Creates a new trial company for you to enter data and try
out Business Central.
Set Up Approval Workflows Sets up the ability to automatically notify an approver when
a user tries to create or change certain values on
documents, journal lines, or cards. For example, you can set
up approval of amounts above a specified limit.
Set Up Email Gets you ready for sending email messages directly from, for
example, sales orders or contacts in Business Central.
Set Up Your Business Inbox in Outlook Gets you ready to manage business interactions with your
customers and vendors, directly in Microsoft Outlook.
Migrate Business Data Lets you import your existing company data such as
vendors, customers, and items from Excel or Quickbooks.
Set Up Email Logging Sets up the capability to log email correspondence in

Business Central to follow up on interactions.
Set Up an Item Approval Workflow Sets up the ability to send a notification to an approver
when a user changes or creates an item.
Set Up a Customer Approval Workflow Sets up the ability to automatically notify an approver when
a user tries to create or change a customer card.
Set Up a Payment Approval Workflow Sets up the ability to send a notification to an approver
when a user sends payment journal lines for approval.
Set Up Dynamics 365 Sales Connection Sets up a connection to Dynamics 365 Sales, which allows
you to synchronize data such as contacts and sales order
information.
Set Up Cash Flow Forecast Sets up the Cash Flow Forecast chart, so you can view the
predicted movement of cash in and out of your business.
The chart is available on the Accountant Role Center .
Set Up Reporting Data Sets up data sets that you can use to build powerful reports
using Excel or Power BI, for example.
Invite External Accountant If you use an external accountant to manage your books
and financial reporting, you can invite them to your Business
Central so they can work with you on your fiscal data.
The Assisted Setup page may contain other entries. When you go through a setup, the setup will be marked as
Completed . You can set up other areas of the company by using manual setup. For more information, see
Setting Up Business Central.
Next steps
Based on your migrated data, you can now proceed to create new sales or purchase documents. Use the
Actions section of your home page to quickly create a new sales quote, sales invoice, sales order, purchase
invoice, or payment registration. Check out the quick start articles to help you take the first steps.
See also
Search in the help pane
Migrate Data
Start a free trial!

These quick start articles help you get started as soon as possible so that you can perform the basic functions
that you need in Business Central.
The following sections take you to guides for beginners that help you get familiar with the features you need in
Business Central. In each quick start, find links to more advanced content about the functionality, should you
need it.
Provide basic information about your company

The first step is to provide the basic information about your company. This includes information such as address,
bank accounts, VAT number, and so on. This is explained in the Company Information Quick Start article.
Sell products and services

To quickly get up and running with selling products and services, see the Quick Start for Sales article.
Buy products and services

To learn how to buy products and services, see the Quick Start for Procurement article.
See Also
Overview of Tasks to Set Up Business Central
Company Information Quick Start
To help you get your company up and running in Business Central, you must first fill in some of the basic
company details and relevant information based on your business needs.
You can enter all relevant data on the Company Information page when you set up a new company.
To set up company information

1. Choose the menu, and then choose the Company Information action.
2. Enter the information into the FastTabs as described in the following table. Hover over a field to read a
short description.
General Enter the general information about your company

including a logo since that will be appearing on
externally-facing documents, such as invoices that you
send out.
Communication Enter the basic company contact information, such as

phone number and email address.
Payments Fill in the relevant banking information to insure that

your customers will be able to pay you.
Shipping Fill in the relevant shipping information so that you will

be able to send and receive goods from and to your
company.
Tax Depending on the country your business is registered in,

you might see a Tax FastTab. If it is available, fill in the
fields.
Once you have completed filling in the information, you can close the page.

See also
Set Up Company Information in Italy
Sales Quick Start
To be able to sell products and services, you must first set up items and customers. Once that is done, you can
start registering sales orders and sending out invoices.
Set up items to sell

This video shows how to set up an item to sell in Business Central.
Set up a new item

1. Choose the icon, enter Items , and then choose the related link.
2. On the Items page, choose the New action.
If only one item template exists, then a new item card opens with some fields filled with information from
the template.
3. On the Select a template for a new item page, choose the template that you want to use for the new
item card.
4. Choose the OK button. A new item card opens with some fields filled with information from the template.
5. Proceed to fill or change fields on the item card as necessary. Hover over a field to read a short
description.
For more information and additional things you can do when setting up items, see Register New Items.
Set up customers
This video shows how to set up a new customer in Business Central.
Set up a new customer

2. On the Customers page, choose the New action.
If only one customer template exists, then a new customer card opens with some fields filled with
information from the template.
If more than one customer template exists, then a page opens from which you can select a customer
template. In that case, follow the next two steps.
3. On the Select a template for a new customer page, choose the template that you want to use for the
new customer card.
4. Choose the OK button. A new customer card opens with some fields filled with information from the
template.
5. Proceed to fill or change fields on the customer card as necessary. Hover over a field to read a short
description.
For more information and additional things you can do when setting up customers, see Register New
Customers
Create a sales order

When you sell something to a customer, you have two options. The first, and simplest, is to just create a sales
invoice. However, if your sales process is more complex, for example if you have situations where you only ship
parts of an order quantity, you use a sales order.
To create a sales order
2. Select New to create a new entry.
3. In the Customer field, enter the name of an existing customer.
Other fields on the Sales Order page are now filled with the standard information of the selected
customer.
4. Fill in the remaining fields on the Sales Order page as necessary. Hover over a field to read a short
description.
5. On the Lines FastTab, in the Type field, select what type of product, charge, or transaction that you will
post for the customer with the sales line.
6. In the No. field, enter the number of an inventory item or service.
7. In the Quantity field, enter the number of items to be sold.
8. In the Line Discount % field, enter a percentage if you want to grant the customer a discount on the
product.
9. To add a comment about the order line that the customer can see on the printed sales order, write a
comment in the Description field on an empty line.
10. Repeat steps 5 through 9 for every item that you want to sell to the customer.
11. To only ship a part of the order quantity, enter that quantity in the Qty. to Ship field. The value is copied
to the Qty. to Invoice field.
12. To only invoice a part of the shipped quantity, enter that quantity in the Qty. to Invoice field. The
quantity must be lower than the value in the Qty. to Ship field.
13. When the sales order lines are completed, choose the Post and Send action.
For more information and additional things you can do when creating customer sales orders, see Sell Products
with a Customer Sales Order.
Create a sales invoice

When you create and post a sales invoice, you not only create the invoice document you send to the customer,
you also create the related quantity and value entries in Business Central.
To create and post a sales invoice
4. Fill in the remaining fields on the Sales Invoice page as necessary. Hover over a field to read a short
description.
6. In the No. field, select a record to post according to the value in the Type field.
7. In the Quantity field, enter how many units of the product, charge, or transaction that the line will record
for the customer.
8. If you want to give a discount, enter a percentage in the Line Discount % field. The value in the Line
Amount field updates accordingly.
9. Repeat steps 5 through 8 for every product or charge that you want to invoice the customer for.
10. In the Invoice Discount Amount field, enter an amount that should be deducted from the value shown
in the Total Incl. Tax field.
11. When the sales invoice lines are completed, choose the Post and Send action.
For more information and additional things you can do when creating customer sales invoices, see Invoice Sales
See Also
Sales Overview
Sell Products with a Customer Sales Order
Invoice Sales
Procurement Quick Start
To be able to buy products and services, you must first set up vendors. Once that is done, you can start
registering purchase orders and receiving invoices.
Set up vendors
The following video shows you how to set up a vendor in Business Central.
Set up a new vendor

1. Choose the icon, enter Vendors , and then choose the related link.
2. On the Vendors page, Choose New .
If more than one vendor template exists, then a page opens from which you can select a vendor template.
In that case, follow the next two steps.
a. On the Select a template for a new vendor page, choose the template that you want to use for the
new vendor card.
b. Choose the OK button. A new vendor card opens with some fields filled with information from the
template.
3. Proceed to fill or change fields on the vendor card as necessary. Hover over a field to read a short
description.
For more information and additional things you can do when you register vendors, see Register New Vendors.
Create new purchase orders

When you buy something from a vendor you have two options. The first, and simplest, is to just create a
purchase invoice. However, you must use purchase orders if your purchasing process requires that you record
partial receipts of an order quantity, for example, because the full quantity was not available at the vendor.
The following video shows you how to create a purchase order in Business Central.
To create a purchase order

2. On the Purchase Orders page, select the New action to create a new Purchase Order.
3. In the Vendor Name field, enter the name of an existing vendor.
Other fields on the Purchase Header are now filled with the standard information about the selected
vendor.
4. Fill in the remaining fields on the Purchase Order page as necessary. Hover over a field to read a short
description.
You are now ready to fill in the purchase order lines with items or resources that you have purchased
from the vendor.
5. On the Lines FastTab, in the Item No. field, enter the number of an inventory item or service.
6. In the Quantity field, enter the number of items to be purchased.
The Line Amount field is updated to show the value in the Direct Unit Cost field multiplied by the
value in the Quantity field.
7. In the Order Discount Amount field, enter an amount that should be deducted from the value shown
in the Total Incl. Tax field at the bottom of the order.
8. When you receive the purchased items or services, choose Post .
For more information and additional things you can do when creating a purchase order, see Purchasing.
Create a purchase invoice

You create a purchase invoice to record the cost of purchases and to track accounts payable. Creating a purchase
invoice is similar to creating a purchase order.
How to create and post a purchase invoice
1. Choose the icon, enter Purchase Invoices , and then choose the related link.
2. On the Purchase Invoice page, select the New action to create a new Purchase Invoice.
3. In the Vendor field, enter the name of an existing vendor.
Other fields on the Purchase Invoice page are now filled with the standard information of the selected
vendor.
4. Fill in the remaining fields on the Purchase Invoice page as necessary. Hover over a field to read a short
description.
You are now ready to fill in the purchase invoice lines with items or resources that you have purchased
from the vendor.
in the Total Incl. Tax field at the bottom of the invoice.
The purchase is now reflected in inventory, resource ledgers, and financial records, and the vendor payment is
activated. The purchase invoice is removed from the list of purchase invoices and replaced with a new document
in the list of posted purchase invoices.
For more information and additional things you can do when creating a purchase invoice, see Record Purchases
with Purchase Invoices.
See Also
Purchasing Overview
Record Purchases with Purchase Invoices
When performing business tasks, you interact with data in different ways, such as creating records and entering
data, sorting and filtering data, writing notes, and outputting data to other applications.
For example, you can adjust the size and position of any page, expand the width of columns and increase the
height of column headers, and change the sorting of data in columns. And if you want to use the horizontal
scroll bar to view all columns on a list page or on document lines, you will see that there is a vertical freeze pane
to restrict some columns from scrolling.
TIP
Tips and Tricks

TIP
For a print-friendly overview of the most used functions, choose the following image and download the PDF file.
Links to Learn More

The following table lists some of the general functionality with links to topics that describe them.
NOTE
In addition to the general UI functions described in this section, you can use other general functions that are more
business-related. For more information, see General Business Functionality.
TO SEE
Find a specific page, report, action, help topic, or partner Finding Pages and Information with Tell Me
extension.
Get an overview of pages for your role and for other roles Finding Pages with the Role Explorer
and navigate to pages.
Filter data in views, reports, or functions by using special Sorting, Searching, and Filtering Lists
symbols and characters.
Learn the many general functions that help you enter data Entering Data
in a quick and easy way.
TO SEE
Learn how to quickly copy and paste data including by using Copying and Pasting FAQ
keyboard shortcuts.
View or process data in specific date ranges. Work with Calendar Dates and Times
See which fields must be filled in. Detecting Mandatory Fields
Understand how the computer locale affects the user Changing Language and Locale
interface and the Help site and how to change the language.
Learn how to interact with Excel from practically anywhere in Viewing and Editing in Excel
Business Central
Attach files, add links, or write notes on cards and Manage Attachments, Links, and Notes on Cards and
documents. Documents
Change basic settings such as company, work date, and Role Change Basic Settings
Center.
Get notified about certain events or changes in status, such Manage Notifications
as when you are about to invoice a customer who has an
overdue balance.
Change which and where UI elements are shown to fit your Personalize Your Workspace
preferences.
Define, preview, print, or save reports and define and run Work with Reports, Batch Jobs, and XMLports
batch jobs.
Manage the content and format of reports and documents, Managing Report and Document Layouts
including which data fields of a report dataset appear on the
report and how they are arranged, text style, images, and
more.
Learn about features and capabilities that make Business Accessibility and Keyboard Shortcuts
Central readily available to people with disabilities.
Getting Around in Business Central

Here's a short video about how to get around in Business Central.
Choosing a desktop browser

Business Central supports multiple browsers that each offer a variety of features and capabilities. The browser
plays a significant role in the responsiveness and fluidity of the user interface. See the list of supported,
recommended browsers for Business Central online and browsers for Business Central on-premises.
Where possible, avoid older browsers such as Internet Explorer, and switch to one of our recommended
modern browsers, such as the new Microsoft Edge.
Internet Explorer is no longer supported. For more information, see Microsoft Edge documentation.
Keep your browser always updated to the latest version.
Action bars
Inside Business Central, you do most of your work in a list, a document, or a card. All three types of pages have a
bar with actions that are relevant to the particular page, and the actions are almost the same for the individual
card or document and for the list of entities. This way, you can manage an individual sales order in the Sales
Order page and in the Sales Orders list, including posting it and invoicing it.
But the actions can also look differently, or even not be present, depending on how you open the page.
Specifically for list pages, the list page that you open from the home page and the page that renders when you
search for it using the icon are not identical.
When you search for an open a list page, such as the Sales Orders list, it is in view mode. The actions for
editing, viewing, or deleting an individual entity, such as a sales order, are shown when you choose the Manage
action.
TIP
If you know that you will use actions on this second level of the action bar often, choose the icon to pin the action
bar and make the actions under the various menus immediately discoverable.
To make the second level of the action bar disappear again, choose the icon.
But when you open the same list page from your home page, the Manage action is not present. Instead, to open
an individual sales order, you just choose the Number field. In this view, you cannot pin the action bar.

See Also
Start a free trial!

When performing business tasks, you interact with data in different ways, such as creating records and entering
data, sorting and filtering data, writing notes, and outputting data to other applications.
For example, you can adjust the size and position of any page, expand the width of columns and increase the
height of column headers, and change the sorting of data in columns. And if you want to use the horizontal
scroll bar to view all columns on a list page or on document lines, you will see that there is a vertical freeze pane
to restrict some columns from scrolling.
TIP
Tips and Tricks

TIP
For a print-friendly overview of the most used functions, choose the following image and download the PDF file.
Links to Learn More

The following table lists some of the general functionality with links to topics that describe them.
NOTE
In addition to the general UI functions described in this section, you can use other general functions that are more
business-related. For more information, see General Business Functionality.
TO SEE
Find a specific page, report, action, help topic, or partner Finding Pages and Information with Tell Me
extension.
Get an overview of pages for your role and for other roles Finding Pages with the Role Explorer
and navigate to pages.
Filter data in views, reports, or functions by using special Sorting, Searching, and Filtering Lists
symbols and characters.
Learn the many general functions that help you enter data Entering Data
in a quick and easy way.
TO SEE
Learn how to quickly copy and paste data including by using Copying and Pasting FAQ
keyboard shortcuts.
View or process data in specific date ranges. Work with Calendar Dates and Times
See which fields must be filled in. Detecting Mandatory Fields
Understand how the computer locale affects the user Changing Language and Locale
interface and the Help site and how to change the language.
Learn how to interact with Excel from practically anywhere in Viewing and Editing in Excel
Business Central
Attach files, add links, or write notes on cards and Manage Attachments, Links, and Notes on Cards and
documents. Documents
Change basic settings such as company, work date, and Role Change Basic Settings
Center.
Get notified about certain events or changes in status, such Manage Notifications
as when you are about to invoice a customer who has an
overdue balance.
Change which and where UI elements are shown to fit your Personalize Your Workspace
preferences.
Define, preview, print, or save reports and define and run Work with Reports, Batch Jobs, and XMLports
batch jobs.
Manage the content and format of reports and documents, Managing Report and Document Layouts
including which data fields of a report dataset appear on the
report and how they are arranged, text style, images, and
more.
Learn about features and capabilities that make Business Accessibility and Keyboard Shortcuts
Central readily available to people with disabilities.
Getting Around in Business Central

Here's a short video about how to get around in Business Central.
Choosing a desktop browser

Business Central supports multiple browsers that each offer a variety of features and capabilities. The browser
plays a significant role in the responsiveness and fluidity of the user interface. See the list of supported,
recommended browsers for Business Central online and browsers for Business Central on-premises.
Where possible, avoid older browsers such as Internet Explorer, and switch to one of our recommended
modern browsers, such as the new Microsoft Edge.
Internet Explorer is no longer supported. For more information, see Microsoft Edge documentation.
Keep your browser always updated to the latest version.
Action bars
Inside Business Central, you do most of your work in a list, a document, or a card. All three types of pages have a
bar with actions that are relevant to the particular page, and the actions are almost the same for the individual
card or document and for the list of entities. This way, you can manage an individual sales order in the Sales
Order page and in the Sales Orders list, including posting it and invoicing it.
But the actions can also look differently, or even not be present, depending on how you open the page.
Specifically for list pages, the list page that you open from the home page and the page that renders when you
search for it using the icon are not identical.
When you search for an open a list page, such as the Sales Orders list, it is in view mode. The actions for
editing, viewing, or deleting an individual entity, such as a sales order, are shown when you choose the Manage
action.
TIP
If you know that you will use actions on this second level of the action bar often, choose the icon to pin the action
bar and make the actions under the various menus immediately discoverable.
To make the second level of the action bar disappear again, choose the icon.
But when you open the same list page from your home page, the Manage action is not present. Instead, to open
an individual sales order, you just choose the Number field. In this view, you cannot pin the action bar.

See Also
Start a free trial!

Finding Pages and Information with Tell Me
This topic describes how Tell Me can help you quickly go to things like actions, pages, or reports, find
information about how to complete a particular task, and discover additional apps and consulting services for
Business Central.
When you need help finding something, use the Tell me what you want to do icon to search for it. You
can also use ALT+Q to start using Tell Me.
When you start typing characters, Business Central immediately displays matches. Results in the list change as
you type more characters. If you notice that when you enter the word "product" and the results include Items
that's because Tell Me uses synonyms and alternate search terms to make it easier to find actions, pages, and
reports.
The column to the right indicates the general category of the result. For example, whether it will open a list page
or is an administrative task .
At the bottom of the Tell Me window is an action called exploring , which opens a feature overview that shows
you all available features for your role or for all roles. For more information, see Finding Pages with the Role
Explorer.
NOTE
If you prefer to use your keyboard, use the Tab key and Arrow keys to choose an item in the results. If you press the Enter
key on your keyboard without choosing a result, Business Central opens the result that is listed first.
TIP
Finding an Action on the Current Page

The On Current Page section lets you find and perform actions on the page you have open. For example, if the
Sales Quote page is open and you type "customer," the section includes an action that opens the customer card
for the customer chosen on the sales quote.
NOTE
The list includes only actions that are available on the navigation bar at the top of the page. Actions on FastTabs are not
included.
Finding a Page or a Task

The results in the Go to Pages and Tasks section provide access to other pages and let you perform tasks or
look up information. If you use these pages often, you can choose the bookmark icon to add a link to any page
onto your Role Center. For more information, see Add a Page Action to Your Role Center.
The pages and tasks that are listed depend on the user experience you chose for your company. The Essential
experience gives access to fewer than the Premium experience does. The first time you sign in, you use the
Essential experience. For more information, see Customizing Your Business Central Experience.
Finding a Report or Archived Information
The Go to Repor ts and Analysis section offers access to reporting tools. For example, you can open the
Balance Sheet report from the list, or access archived documents and other information.
Getting More Functionality by Finding an App on Microsoft AppSource
Our partner community is busily developing apps that add capabilities to Business Central. The Get from
Microsoft AppSource section lists apps for Business Central that are available on Microsoft AppSource and
are related to the keyword you searched for.
Searching for Data

The Tell me what you want to do function does not search for data, such as customer names, addresses, or
transactions. Instead, you can search for data in list pages by choosing the Search icon in the left corner of
the list header. The search applies only to the list you are viewing. For more information, see Sorting, Searching,
and Filtering Lists.
Questions?
We have shown Tell Me to a range of stakeholders, noted the questions that they had in common, and turned
our notes into a list frequently asked questions. If you are interested, see Tell Me FAQ.

See Also
Add a Page Action to Your Role Center
Finding Pages with the Role Explorer
You can get an overview of all the business features that are available for your role, and for other roles if you go
a step further. In the following documentation, this feature overview is referred to as the role explorer.
Each element on the role explorer is an action that opens a page. Accordingly, you can also use the role explorer
as a means to navigate in Business Central.
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Open the role explorer

You can open the role explorer from the Role Center and all list pages and from the Tell Me window.
On your Role Center or any list page, choose the button to the right of the navigation bar, or press
Shift+F12.
In the Tell Me window, choose the exploring action at the bottom.
When you first open the role center, it shows links to most features available for your role.
Navigate features
The actions that open pages are organized under nodes named after the features or application areas. Each node
can be collapsed or expanded individually and you can collapse/expand all nodes together.
To expand/collapse an individual node, choose the node. This applies to top-level nodes and sub nodes.
To expand/collapse all top-level nodes on the page, but leave the sub-nodes as they are, choose ... at the top,
then choose Expand or Collapse .
To expand/collapse all top-levels node and all sub nodes under it, choose ... at the top, then choose the
Expand All or Collapse All action.
Search for features

To quickly locate features, select Find , then enter a word or phrase for the feature your trying to find. The role
center will highlight any matching text. If a feature is hidden from view in collapsed node, the collapsed node is
marked with a dot.
Explore other roles

To explore roles other than your own, select Explore more roles . The role center displays each role under its
own heading, with links to its features. You can then navigate and find features just like you do when exploring
your role.
NOTE
You'll only see roles that are set up to show in the role explorer. So if you don't see a role that you expected to see, it's
probably not set up for it. For more information, see Manage Profiles.
When exploring other roles, you can also narrow the exploration down by using the Repor t & Analysis and
Administration actions at the top of the role center.
Repor t & Analysis shows only those features that are categorized as reports and analysis features.
Administration shows only those features that are categorized as administration features.
TIP
For developers, you categorize pages and reports by setting the UsageCategory property in the object's AL code.
Expand and collapse nodes on the role explorer

The actions that open pages are organized under nodes named after the features or application areas. Each node
can be collapsed or expanded individually and you can collapse/expand all nodes together.
To expand/collapse a node, choose the node. This applies to top-level nodes and sub nodes.
To expand/collapse all top-level nodes on the page, choose the Expand or Collapse action in the top-right
corner.
To expand/collapse all top-levels node and all sub nodes under it, do one of the following steps:
Press the Ctrl+Shift keys while you choose the Expand or Collapse action in the top-right corner.
Choose ... in the top-right corner, then choose the Expand All or Collapse All action.
See Also
Manage Profiles
Tell Me FAQ
This article answers questions that our advanced users often ask about the Tell Me feature.
Are all actions from my current page discoverable in Tell Me?
No. Actions in parts, such as the Sales Lines part or FactBoxes, are not displayed in Tell Me.
Are the results in Tell Me filtered by permissions?
If the user does not have AccessByPermissions then actions are not displayed. However, pages and reports
appear in the results but require that the user has permission to access them. A message will display if the user
does not have permission to view the object.
Does Tell Me display content from my customizations or installed third-party extensions?
Actions, pages, and reports that originate from extensions are picked up by Tell Me. For technical information
about how to make custom pages and reports discoverable, see Adding Pages and Reports to Search.
What makes this different from what was previously known as Page Search?
Page Search has evolved into Tell Me to help you get work done quickly. Page Search could only help you
navigate to pages or reports. At a technical level, Tell Me is no longer based on the legacy MenuSuite concept.
I use on-premises Business Central. Does that include Tell Me?
You can use Tell Me in the on-premises Web Client to find actions, pages, and reports, but not apps and
consulting services on AppSource.
Is Tell Me available for all form factors?
Tell Me is only available in the Web Client or Windows desktop app.
Does Tell Me give me help on how to use pages, reports, and other things?
No, but you can easily get this information from the Help pane. Just select the Help menu item (the question
mark in the top-right corner) or press Ctrl+F1 on your keyboard. For more information, see Help pane.
Why don't I see a bookmark icon for my search results?
The bookmark icon is not displayed in the Tell Me window when personalization is disabled for a user role.
See Also
There are a few things that you can do that will help you scan, find, and limit records on a list or in a report or
XMLport. These include sorting, searching, and filtering. You can apply some or all of these simultaneously to
quickly find or analyze your data.
TIP
For reports and XMLports, as on lists, you can set filters to delimit which data to include in the report or
XMLport, but you can't sort and search.
TIP
When viewing your data as tiles, you can search and use filtering. To use the full set of powerful features for sorting,
searching, and filtering, choose the icon to view the records as a list.
Sorting
Sorting makes it easy for you to get a quick overview of your data. For example, if you have many customers,
you could sort them by Customer No., Currency Code , or Countr y Region Code to get the overview you
need.
To sort a list, you can either:
Choose a column heading text to toggle between ascending and descending order, or
Choose the drop-down arrow in the column heading, then choose the Ascending or Descending action.
NOTE
Sorting isn't supported on images, BLOB fields, FlowFilters, and fields that do not belong to a table.
Searching
At the top of each list page, there's a Search action that provides a quick and easy way to reduce the records
in a list and display only those records that contain the data that you're interested in seeing.
To search, just choose the Search action, and then in the box, type the text that you're looking for. You can enter
letters, numbers, and other symbols.
In general, search will attempt to match text across all fields. It doesn't distinguish between uppercase and
lowercase characters (case insensitive) and will match text placed anywhere in the field, at the beginning, end, or
in the middle.
TIP
You can press F3 to activate and deactivate the search box. For more information, see Keyboard Shortcuts.
NOTE
Search won't match values in images, BLOB fields, FlowFilters, FlowFields, and other fields that aren't part of a table.
Fine -tuning the Search with Filter criteria

You can make a more exact search by using filter operators, expressions, and filter tokens. Unlike filtering, these
are applied across all fields when used in the search box, making them less efficient than filtering.
To find only field values that match the entire text and case exactly, place the search text between single
quotes '' (for example, 'man' ).
To find field values that start with a certain text and match the case, place * after the search text (for
example man* ).
To find field values that end with a certain text and match the case, place * before the search text (for
example *man ).
When using '' or * , the search is case-sensitive. If you want to make the search case insensitive, place
@ before the search text (for example @man* ).
The following table provides some examples to explain how you can use the search.
SEA RC H C RIT ERIA F IN DS. . .
man All records with fields that contain the text man , regardless
or of the case. For example, Manchester , manual, or
Man Spor tsman .
'Man' All records with fields that contain only Man , matching the
case.
Man* All records with fields that start with the text Man , matching
the case. For example, Manchester but not manual or
Spor tsman .
@Man* All records with fields that start with man , regardless of the
case. For example, Manchester and manual, but not
Spor tsman .
@*man All records that end with man , regardless of the case. For
example Spor tsman , but not Manchester or manual.
Filtering
Filtering provides a more advanced and versatile way to control which records are included in a list, report, or
XMLport. There are two major differences between searching and filtering, as described in the table below.
SEA RC H IN G F ILT ERIN G
Applicable Fields Searches across all fields that are Filters one or more fields individually,
visible on the page. selecting from any field on the table,
including fields that aren't visible on
the page.
SEA RC H IN G F ILT ERIN G
Matching Displays records with fields that match Displays records where the field exactly
the search text, no matter the text's matches the filter, including the text's
case or placement in the field. case, unless special filter symbols are
entered.
Filtering enables you to display records for specific accounts or customers, dates, amounts, and other
information by specifying filter criteria. Only records that match the criteria are displayed on the list or included
in the report, batch job, or XMLport. If you specify criteria for multiple fields, then only records that match all
criteria will be displayed.
For lists, the filters are displayed on a filter pane that appears to the left of the list when you activate it. For
reports, batch jobs, and XMLports, the filters are visible directly on the request page.
Filtering with Option Fields
For "ordinary" fields that hold data, setup date, or business data, you can set filters both by selecting data and by
typing filter values, and you can use symbols to define advanced filter criteria. For more information, see
Entering Filter Criteria.
For fields of type Option , however, you can only set a filter by selecting one or more options from a drop-down
list of the available options. An example of an option field is the Status field on the Sales Orders page.
NOTE
When you select multiple options as a filter value, the relationship between the options is defined as OR. For example, if
you select both the Open and the Released check box in the Status filter field on the Sales Orders page, it means that
sales orders that are either open or released are displayed.
Setting Filters on Lists

On lists, you set filters by using the filter pane. To display the filter pane for a list, choose the drop-down arrow
next to the name of the page, and then choose the Show filter pane action. Alternatively, press Shift+F3 .
To display the filter pane for a column on a list, choose the drop-down arrow, and then choose the Filter action.
Alternatively, press Shift+F3 . The filter pane opens with the selected column shown as a filter field in the Filter
list by section.
The filter pane displays the current filters for a list, and enables you to set your own custom filters on one or
more fields by choosing the + Filter action.
A filter pane is divided in three sections: Views , Filter list by , and Filter totals by :
Views
Some lists include the Views section. Views are variations of the list that have been preconfigured with
filters. You can define and save as many views as you want per list. The views will be available to you on
any device you sign into. For more information, see Save and Personalize List Views.
Filter list by
This section is where you add filters on specific fields to reduce the number of displayed records. To add a
filter, choose the + Filter action. Then, type the name of the field that you want to filter the list by or pick
a field from the drop-down list.
Filter totals by
Some lists that display calculated fields, such as amounts and quantities, will include the Filter totals by
section where you can adjust various dimensions that influence calculations. To add a filter, choose the +
Filter action. Then, type the name of the field that you want to filter the list by or pick a field from the
drop-down list.
NOTE
Filters in the Filter totals by section are controlled by FlowFilters on the page design. For technical information,
see FlowFilters.
You can set a simple filter directly on a list within using the filter pane, namely a filter that displays only records
with the same value as in the selected cell. Select a cell on the list, choose the drop-down arrow, and then choose
the Filter to This Value action. Alternatively, press Alt+F3 .
Setting Filters in Reports, Batch Jobs, and XMLports
For reports and XMLports, the filters are visible directly on the request page. The request page displays the last
used filters according to your selection in the Use default values from field. For more information, see Use
Saved Settings.
The main Filter section shows the default filter fields that you use to delimit which records to include in the
report or XMLport. To add a filter, choose the + Filter action. Then, type the name of the field that you want to
filter by, or pick a field from the drop-down list.
In the Filter totals by section, you can adjust various dimensions that influence calculations in the report or
XMLport. To add a filter, choose the + Filter action. Then, type the name of the field that you want to filter by, or
pick a field from the drop-down list.
Entering Filter Criteria

Both in the filter pane and on a request page, you enter your filter criteria in the box under the filter field.
The type of the filter field determines which criteria you can enter. For example, filtering a field that has fixed
values will only let you choose from those values. For more information about special filter symbols, see Filter
criteria and Filter tokens.
Columns that already have filters are indicated by the icon in the column heading. To remove a filter, choose
the drop-down arrow, and then choose the Clear Filter action.
TIP
Accelerate finding and analyzing your data by using combinations of keyboard shortcuts. For example, select a field, use
Shift+Alt+F3 to add that field to the filter pane, type the filter criteria, use Ctrl+Enter to return to the rows, select
another field, and use Alt+F3 to filter to that value. For more information, see Keyboard Shortcuts.
Filter Criteria and Operators

When you enter criteria, you can use all the numbers and letters that you normally use in the field. But there's
also a set of special symbols that you can use as operators to further filter the results. The following sections
describe these symbols and how to use them as operators in filters.
TIP
For more information about filtering dates and times, see Work with Calendar Dates and Times.
IMPORTANT
There may be situations where the value that you want to filter on contains a symbol that's an operator. For more
information about handling these situtions, see Filtering on Values That Contain Symbols for more instructions
about handling this situation.
If there are more than 200 operators in a single filter, the system will automatically group some expressions in
parentheses () for the purpose of processing. This has no effect on the filter or the results.
(..) Interval
SA M P L E EXP RESSIO N REC O RDS DISP L AY ED
1100..2100 Numbers 1100 through 2100
..2500 Up to and including 2500
..12 31 00 Dates up to and including 12 31 00
P8.. Information for accounting period 8 and after
..23 From the beginning date until 23-current month-current

year 23:59:59
23.. From 23-current month-current year 0:00:00 until the end

of time
22..23 From 22-current month-current year 0:00:00 until 23-

current month-current year 23:59:59
TIP
If you're using a numeric keypad, the decimal separator key may output a character other than a period (.). To switch to a
period, press the 'Alt+Decimal Separator' keys on the numeric keypad. When you want to switch back, press 'Alt+Decimal
Separator' again. For more information, see Setting the decimal separator used by numeric keyboards.
(|) Either/or
1200|1300 Numbers with 1200 or 1300
(<>) Not equal to
<>0 All numbers except 0
The SQL Server Option allows you to combine this symbol

with a wild-card expression. For example, <>A* meaning not
equal to any text that starts with A.
(>) Greater than

>1200 Numbers greater than 1200
(>=) Greater than or equal to
>=1200 Numbers greater than or equal to 1200
(<) Less than
<1200 Numbers less than 1200
(<=) Less than or equal to
<=1200 Numbers less than or equal to 1200
(&) And
>200&<1200 Numbers greater than 200 and less than 1200
('') An exact character match
'man' Text that matches man exactly and is case-sensitive.
'' Text that is empty.
(@) Case insensitive
@man* Text that starts with man and is case insensitive.
(*) An indefinite number of unknown characters
*Co* Text that contains Co and is case-sensitive.
*Co Text that ends with Co" and is case-sensitive.
Co* Text that begins with Co and is case-sensitive.
(?) One unknown character

Hans?n Text such as Hansen or Hanson
Combined Format Expressions
5999|8100..8490 Include any records with the number 5999 or a number

from the interval 8100 through 8490.
..1299|1400.. Include records with a number less than or equal to 1299 or

a number equal to 1400 or greater (all numbers except 1300
through 1399).
>50&<100 Include records with numbers that are greater than 50 and
less than 100 (numbers 51 through 99).
Filtering on Values That Contain Symbols

There may be cases where field values contain the one of the following symbols:
&
(
)
=
|
If you want to filter on any of these symbols, place the filter expression in single quotes (
'<expression with symbol>' ). For example, if you wanted to filter on records that start with the text J & V, the
filter expression would be 'J & V*' .
This requirement isn't necessary for other symbols.
Filter Tokens
When entering filter criteria, you can also type words that have special meaning, called filter tokens. After
entering the token word, the word is replaced by the value or values that it represents. Filter tokens make
filtering easier by reducing the need to navigate to other pages to look up values you want to add to your filter.
The tables below describe some of the tokens you can type as filter criteria.
TIP
Your organization may use custom tokens. To learn about the complete set of tokens available to you or to add more
custom tokens, talk to your administrator. For technical information see Adding Filter Tokens.
(%me or %userid) Records Assigned to You

Use %me or %userid when filtering fields that contain the user ID, such as Assigned to User ID field, to
display all records that are assigned to you.
%me Records that are assigned to your user account.

or
%userid
(%mycustomers ) Customers in My Customers

Use %mycustomers in the customer No field to display all records for customers that are included in the My
Customers list on your Role Center.
%mycustomers Customers in the My Customers on your Role Center.
(%myitems ) Items in My Items

Use %myitems in the item No field to display all records for items that are included in the My Items list on your
Role Center.
%myitems Items in the My Items on your Role Center.
(%myvendors ) Vendors in My Vendors

Use %myvendors in the vendor No field to display all records for vendors that are included in the My Vendors
list on your Role Center.
%myvendors Vendors in the My Vendors on your Role Center.

See also
Entering Data
There are many general features that help you enter data easier, faster, and more precise. The basic principles
and advanced features for entering data are described in this article.
TIP
The examples in this article use the demonstration data.
Work with editable fields

Fields in Business Central may contain different editable data, such as text or currency amounts. Editable fields
typically display an input box where you can type or choose a value. Non-editable fields are typically displayed
with a gray background.
Some editable fields provide a picker to help you specify a value.
P IC K ER H O W IT H EL P S Y O U SP EC IF Y A VA L UE
Date picker This picker displays a calendar that is based on your current
regional settings. It helps you choose a single date.
Dropdown Dropdowns provide a choice of fixed values or reference

records from another table
Switch or Checkbox Some fields provide a simple choice of Yes or No values. The
switch is used to specify this value, and is always displayed
as a checkbox in lists
Assist edit Some fields provide custom pickers that are suited to
looking up and choosing the best value for that field, such as
popup window
Modifying a field value

To modify the value of a field, you must first set focus to that field. You set focus by doing the following actions:
Use the Tab key. The action selects the entire value.
Left-click your mouse or similar input device. This action will only select the entire field value if the field is in
a list.
When you interact with fields in the user interface, Business Central typically favors selecting the entire field
value to make it easier for you to replace that value.
When the entire field value is selected:
Replace the value by just typing to specify a new value. If the field offers a picker, you can activate it using the
Alt+Arrow-down keyboard shortcut.
Use the Delete or Backspace key to clear the value.
Press the F2 key to toggle between selecting the entire field value or placing the cursor after the field's value.
Placing the cursor at the end of the value makes it easier for you to append to the existing value.
When the cursor is shown at the end of the field value:
Add to the value by just typing.
Use the Home , End , Left-arrow , and Right-arrow keys to move the cursor within the value. If you're
editing a field in a list, pressing the Left-arrow key again when the cursor is at the beginning of the value
will set focus to the previous field. Similarly, pressing the Right-arrow key again when the cursor is at the
end of the value will set focus to the next field.
NOTE
After you specify a value, Business Central will only check that it's valid after you click outside the field or set focus to
another element, such as the next field.
Check data in documents and journals while you work

In 2022 release wave 1 we introduced a feature that will validate the data you enter in documents and journals
while you're entering it. For example, turning on this feature can help avoid mistakes in data entry or not being
able to post something due to an error.
Your administrator can enable the Feature: Check documents and journals while you work feature on the
Feature Management page. Afterward, you will receive a notification when you open a page to start working
on a document or journal. To start using the feature, choose the Enable this for me link in the notification.
If you enable the feature, the FactBox Pane will show either a Check Document or Check Journal FactBox,
depending on the type of document you're working on. The FactBox lists the errors on the page so you can
quickly resolve them.
If you decide you don't need the feature, there are two ways to turn it off:
For journals, turn off the Enable Data Check toggle on the General Journal Setup page.
For documents, clear the Show the Document Check FactBox check box on the My Notifications page.
Keyboard Shortcuts
There are several keyboard shortcuts that let you work "mouse-free" and speed up your data entry. These
keyboard shortcuts are especially useful with large-scale entries and repetitive typing tasks.
For more information about shortcuts, see Keyboard Shortcuts. A few of the keyboard shortcuts are discussed
in this article.
Accelerating Data Entry Using Quick Entry

Quick Entry is a feature designed for data entry when using the keyboard. Quick Entry works on fields (like on
card pages) and in lists (rows and columns). It's beneficial when doing repetitive typing tasks that require
creating multiple records in sequence. Examples include a batch of sales orders or registering new items.
You can use the Tab key to navigate from one field on a page to the next editable field. A disadvantage of using
Tab is that it always goes sequentially to the next field. Quick Entry lets you change this path. With Quick Entry,
you use the Enter key to navigate through only those fields that you're interested in. Quick Entry skips non-
editable fields and fields that you typically don't fill in. You might have already noticed this behavior on some
pages. This behavior is because the fields to include when pressing Enter and which ones to skip have been
predefined. You can customize Quick Entry by personalizing your workspace and optimizing how you enter data
on each page.
How Quick Entry Works
Every field can be marked as either included in Quick Entry or excluded from Quick Entry. Fields that are
included in Quick Entry will be included in the path when you press Enter. Fields that are excluded from Quick
Entry won't.
When you're finished entering data in a field, you simply press Enter to confirm the changes and go to the next
field. If you want to reverse direction, and go the previous field, press Shift+Enter. For more information about
shortcuts, see Quick Entry Shortcuts for Fields.
Tips and Tricks
The following list provides some useful information about using Quick Entry.
It's available for any editable fields.
It also works across columns and rows.
It doesn't prevent accessing other elements of a page, such as actions. These elements are still accessible by
using Tab and Shift+Tab.
It's not required that FastTabs are expanded for Quick Entry to work. If the next Quick Entry field is located in
a collapsed FastTab, that FastTab will automatically expand and focus on the chosen field. Business Central will
remember that the FastTab should be expanded next time you visit the page.
Quick Entry works no matter whether fields are mandatory. So it's a good idea to ensure that mandatory
fields are included in Quick Entry.
By default, most fields are automatically included in Quick Entry. So initially your task will most likely be
excluding fields from Quick Entry.
To change Quick Entry fields
To set up Quick Entry on fields, you use personalization.
1. Start personalization by selecting the icon, and then the Personalize action.
2. Select a field that you want change. In lists, select the corresponding column heading. Then, choose either
Include in Quick Entr y or Exclude from Quick Entr y .
For more information about personalization, see Personalize Your Workspace.
Mandatory Fields
When you enter data on pages, certain fields are marked with a red asterisk. The red asterisk means that the
field must be filled to complete a certain process. An example is when you post a transaction that uses the value
in the field.
Although a field is mandatory, you aren't forced to fill the field before you continue to other fields or close the
page. The red asterisk only serves as a reminder that you'll be blocked from completing a certain process.
Finding Data As You Type

When you start to type characters in a field, a drop-down list is displayed and shows possible field values. The
list changes as you type more characters, and you can select the correct value when it's displayed.
Many fields have a down arrow button that you can choose. You choose the arrow to get a list of data that is
available to enter in the field. The button has two functions depending on the type of field:
Lookup - Displays information from another table that you can enter in the field. You can select one piece
of data at a time.
Drop-down - Displays the set of options that exist for the field. You can select only one of the options.
Copying and Pasting FAQ Fields and Lines
You can copy one or more rows from a list or a single field on a page. Then paste what you copied into the same
page, another page, or an external document. You could, for example, paste to Microsoft Excel or Outlook email.
In short, to copy, press CTRL+C (cmd+C in macOS) on your keyboard. To paste, press CTRL+V or cmd+V in
macOS.
In a list, to copy the field in the same column of the row above, and paste it into the current row, just press F8.
For more information, see Copying and Pasting FAQ.
Filtering Line Items

To start filtering, select at the top of the list or press Shift+F3 to open the filter pane. You work with the filter
pane as you do on any other list. For more information, see Filtering.
Filtering is especially helpful when viewing and analyzing longer documents. Imagine you open a posted sales
invoice. Then, you filter the line items to display all line items that have an individual discount above 5%. Or, you
filter to display only bike accessories with 'pro' in the name.
Focusing on Line Items

When working on documents that include a line items part, you can switch your view to focus only on the line
items. Example documents are sales order or invoice page. The line items part expands so that it occupies
almost the entire workspace. It hides other parts of the page except the actions area at the top. This layout gives
you a better overview of the lines items, and provides more room to work on them.
You'll benefit particularly when you work with large line item lists and you want to enter data fast. This feature
also provides advanced filtering capability. Like on other lists, browsing and searching through line items
becomes even easier.
Switching the Focus On and Off
To focus on lines items, select anywhere in the line item part, and then choose in the upper right corner, or
press Ctrl+Shift+F12.
To switch back to the normal view, choose or press Ctrl+Shift+F12 again.
Multitasking Across Multiple Pages

You can open a card or document page in a new window. Opening a new window lets you:
Work on multiple tasks at the same time
Manage interruptions to the current task, such as taking an incoming call.
Keep a window open for an ongoing task while you start or complete another task in windows.
To open the current card or document in a new window, choose in the upper right corner, or press
Alt+Shift+W.
To open the current card or document in a new window, choose in the upper right corner, or press
Alt+Shift+W.
NOTE
When you open other pages from a card or document that is opened in a new window, those pages will open in a new
window even though you don't choose .
NOTE
If you work in the Safari browser, a pop-up blocker may cause the new window to not open. If this is the case, specify the
product URL as an allowed website. For information see, Change preferences in Safari.
The same may happen in other browsers, such as Firefox. For more information, see Pop-up blocker settings in Firefox.
Another way to multitask is to open Business Central on two or more browser tabs. When you do it this way,
you should create a new tab and then copy/paste the URL of the original tab into the new tab. This way creates a
new session.
NOTE
Don't use the Duplicate function of the browser to create the new tab as this may cause actions on one tab to block
actions on other tabs because they are part of the same session.
Entering Quantities by Calculation

When entering numbers into quantity fields, such as the Quantity field on an item journal line, you can enter
the formula instead of the sum quantity.
Examples
If you enter 19+19, the field is calculated to 38.
If you enter 41-9, the field is calculated to 32.
If you enter 12*4, the field is calculated to 48.
If you enter 12/4, the field is calculated to 3.
Entering Negative Numbers

You can enter negative numbers in two ways. The number -20.5 can be entered as:
-20.5
or
20.5-
In both cases, the amount will be recorded in as -20.5.
If the last character of the expression is a + or a - , the entire expression will be recorded with that sign. An
example, 10-20+ will result in 10 and not -10.
Entering Dates and Times

You can enter dates and times in all the fields that are assigned to dates (date fields). You can enter dates with or
without separators.
NOTE
How you enter dates and times depends on your Region settings. For more information, see Change Basic Settings.
Entering Dates
You can either use the data picker to select a date from a calendar, or you can enter dates manually. This section
provides a brief overview of how to enter dates. For more information, see Work with Calendar Dates and
Times.
For manually date entry, you can enter two, four, six, or eight digits:
Two digits are interpreted as the day. It will add the month and the year of the work date.
Four digits are interpreted as the day and the month. It will add the year of the work date.
If the date you want is in the range 01/01/1950 through 12/31/2049, enter the year with two digits.
Otherwise, enter the year with four digits.
NOTE
If you're using Business Central on-premises, the two-digit year range may be different. Administrators can
change the range by modifying the CalendarTwoDigitYearMax setting of the Business Central server. For more
information, see Configuring Business Central Server.
You can also enter a date as a weekday followed by a week number. Or, you can enter a year. For example,
Mon25 or mon25 means Monday in week 25.
Instead of entering a specific date, you can enter one of these codes.
C O DE RESULT
t Specifies today's date (the system date for the computer).
p Specifies an accounting period, where p means the first

accounting period, p2 means the second accounting period,
and so on.
w Specifies the work date that is set up in the application. To

change the work date, see Changing Basic Settings. You may
want to use a work date if you have many transactions with
a date other than today's date.
c Specifies that the date after c is a closing date, for example

C123101.
Entering Times
When you enter times, you can insert any separator sign that you want between the units, but it isn't required.
You don't have to write minutes, seconds, or AM/PM.
The following table lists the various ways in which times can be entered and how they're interpreted.
EN T RY IN T ERP RETAT IO N
5 05:00:00
5:30 05:30:00
0530 05:30:00
5:30:5 05:30:05
053005 05:30:05
5:30:5,50 05:30:05.5
053005050 05:30:05.05
You enter two digits for each unit of time if you don't enter a separator.
Entering Combined Datetimes

When you enter datetimes, which are a date and time combined into one field, you must enter a space between
the date and the time. The date part can only contain spaces in the form of the official date separator of your
region settings. The time can contain spaces around the AM/PM indicator in relevant regional settings.
The following table lists the various ways in which you can enter datetimes and how they're interpreted.
08-01-2022 05:48:12 PM 08-01-2022 05:48:12 PM
131222 132455 13-12-22 13:24:55
1-12-22 10 01-12-22 10:00:00
1.12.22 5 01-12-22 05:00:00
1.12.22 01-12-22 00:00:00
11 12 11-current month-current year 12:00:00
1112 12 11-12-current year 12:00:00
t or today today's date 00:00:00
t time today's date actual time
t 10:30 today's date 10:30:00
t 3:3:3 today's date 03:03:03
w or workdate the working date 00:00:00
m or Monday Monday of the current week 00:00:00
tu or Tuesday Tuesday of the current week 00:00:00
we or Wednesday Wednesday of the current week 00:00:00
th or Thursday Thursday of the current week 00:00:00
f or Friday Friday of the current week 00:00:00

s or Saturday Saturday of the current week 00:00:00
su or Sunday Sunday of the current week 00:00:00
tu 10:30 Tuesday of the current week 10:30:00
tu 3:3:3 Tuesday of the current week 03:03:03
t23 t Tuesday of week 23 of the work date year, current time of

day
t23 Tuesday of week 23 of the work date year
t 23 Today 23:00:00
t-1 Tuesday of week 1 of the work date year
Entering Duration
You enter a duration as a number followed by its unit of measure.
Here are some examples.
DURAT IO N UN IT O F M EA SURE**
2h 2 hrs
6h 30 m 6 hrs 30 mins
6.5h 6 hrs 30 mins
90m 1 hr 30 mins
2d 6h 30m 2 days 6 hrs 30 mins
2d 6h 30m 56s 600ms 2 days 6 hrs 30 mins 56 secs 600 msecs
You can also enter a number and it's automatically converted to a duration. The number you enter is converted
according to the default unit of measure that has been specified for the duration field.
To see the unit of measure used in a duration field, enter a number and see which unit of measure it's converted
to.
The number 5 is converted to 5 hrs, if the unit of measure is hours.
Setting the decimal separator used by numeric keyboards

When using the decimal separator key on a numeric keypad to enter data, the actual decimal separator that's
entered in the field is determined by your region setting in Business Central. Most regions use the period (.) or
comma (,) symbol as a separator for decimal values, as you would typically see in currency amounts. The
decimal key on your keypad adapts to your region. It's often different to the period or comma keys on the rest of
your keyboard. You set the region in Business Central on the My Settings page.
For example, suppose you're using a numeric keyboard that uses a period (.) as the decimal separator key. But
you're entering data for a regional language that uses a comma (,) for the decimal separator, like French
(France). So, you want decimals like "1.23" to be entered as "1,23". In this case, you can go to the My Settings
page and set the Region to the target regional language to French (France) . For more information, see
TIP
There may be occasions when you want to use the decimal separator to enter a period (.). For example, suppose you were
entering a date range in a filter, like 01/01/2022..04/01/2022 , or anything that requires a period. To accommodate this
case, press the 'Alt+Decimal Separator' keys on the numeric keyboard. This key combination switches the decimal
separator between outputting a period and the decimal separator as determined by the Region setting.

See also
Sorting, Searching, and Filtering Lists
You can enter dates and times in multiple ways. Dynamics 365 Business Central includes powerful features that
accelerate data entry, or help you write complex calendar expressions. There are various places throughout the
application where you can enter dates and times in fields. For example, on a sales order, you can set the
shipment date. When filtering lists or report data, you can enter dates and times to pinpoint only the data that
you're interested in.
TIP
Check your region and language settings

The My Settings page specifies the Region and Language that you're using in the application. These settings
influence how you enter dates and times.
The Region setting determines how dates, times, numbers, and currencies are shown or formatted.
For date patterns that involve words, the language of the words that you use must correspond to the
Language setting.
NOTE
Dynamics 365 Business Central uses the Gregorian calendar system.
Entering Dates
In a date field, you can enter a date using the standard format for your region setting. Different regions can use
different separators between the days, months and years. For example, some regions use dashes (mm-dd-yyyy)
and others use forward slashes (mm/dd/yyyy).
TIP
You can use any separators, even a space, and the date will automatically be changed to use separators that match your
region.
NOTE
The format in which dates are displayed on printed reports or emailed documents isn't influenced by your personal choice
of region setting.
To work more productively with dates and times, you can use any of the methods or formats that are described
in the following sections.
Picking dates from the calendar
Any field displaying a calendar icon can be set using the calendar date picker. To display the calendar date picker,
activate the calendar icon or press the Ctrl + Home keyboard shortcut in the field.
See also Keyboard Shortcuts in the calendar date picker.

Day-week-year pattern
You can enter a date as a weekday followed by a week number and, optionally, a year. For example, Mon25 or
mon25 means Monday in week 25. If you don't enter a year, the year of the work date is used.
Instead of entering the entire word for the day of the week, you can enter part of the word, starting from the
beginning. If there were conflicts (such as with s which could be Saturday or Sunday), the days are evaluated
according to the region setting. The input is first evaluated against work date and today as well, which you want
to keep in mind when abbreviating. For example, t already means today, so it can't mean Tuesday or Thursday.
The week number scheme is always ISO 8601, where week 1 is the week with 4 January in it, or the week with
the first Thursday of the year.
Digit patterns
In a date field you can enter two, four, six, or eight digits:
If you enter only two digits, it's interpreted as the day, and it will add the month and the year of the work
date.
If you enter four digits, it's interpreted as the day and the month, and it will add the year of the work date.
The order of the day and month is determined by your region settings. Even if your region settings have
the year before the day and month, four digits are interpreted as the day and month.
If the date you want to enter is in the range 01/01/1950 through 12/31/2049, you can enter the year with
two digits; otherwise, enter the year with four digits.
NOTE
If you're using Business Central on-premises, the two-digit year range may be different. Administrators can
change the range by modifying the CalendarTwoDigitYearMax setting of the Business Central server. For more
information, see Configuring Business Central Server.
Today
Enter the word for today, in the language specified on the My Settings page, to set the date on a record to
today's date. Instead of entering the entire word, you can enter part of the word, starting from the beginning.
For example, in English, you can enter t or tod, as long as it isn't also the start of another word.
Period
To filter on a specific accounting period, in a date field enter the letter p, or the word period, followed by a
number that identifies the accounting period, like p2 or period4. The accounting period is relative to the fiscal
year of the current work date that set in your Role Center. For example, if the work date is 03/21/22 , then p1, or
just p, filters on the first accounting period of the fiscal year 2022 (such as 01/01/22..01/31/22). p15 filters on
the 15th accounting period from the start of fiscal year 2022 (such as 03/01/23..03/31/23).
The accounting periods are defined on the Accounting Periods page. To view or change the accounting
periods, open the page here.
Work Date
Use a work date to specify a date that isn't today's date on records. For example, a work date is useful when you
need to set a particular date for multiple records. You specify the work date on the My Settings page.
A fast way to enter the work date on records is to enter some or all of the word work, starting from the
beginning of the word, in the language in which you're using Dynamics 365 Business Central. For example, in
English, you can enter w or work. The language is also specified on the My Settings page.
If you haven't specified a work date, today's date will be used. For more information, see Change Basic Settings,
such as the Work Date.
Closing Date
When you close a fiscal year, you can use closing dates to indicate that an entry is a closing entry. A closing date
technically is between two dates, for example between December 31 and January 1.
To specify that a date is a closing date, put C just before the date, such as C123101. Use this format in
combination with all the date patterns.
Examples
The following table contains examples of dates using all the formats. It assumes region settings that format
dates according to: year.month.day., a week starting on Monday, and the English language.
2022.12.31. 2022.12.31.
221231 2022.12.31.
22.12.31. 2022.12.31.
22.12.31. 2022.12.31.
20221231 2022.12.31.
22/12,31 2022.12.31.
11 work date year.work date month.11.
1112 work date year.11.12.
t or today today's date
p4 date range that includes the fourth accounting period, such

as 04/01/20..04/30/20
w or work date the working date
m or Monday Monday of the work date week
tu or Tuesday Tuesday of the work date week
sa or Saturday Saturday of the work date week
s or Sunday Sunday of the work date week

t 23 Tuesday of week 23 of the work date year
Setting Ranges
On lists, totals and reports, you can set filters on dates, times and datetimes containing a start value and
optionally an end value to display only the data contained in that range. The standard rules apply to the way you
set date ranges.
M EA N IN G SA M P L E EXP RESSIO N ( DAT E) DATA IN C L UDED IN T H E F ILT ER
Interval 12 15 00..01 15 01 Records with dates between and

including 12 15 00 and 01 15 01.
..12 15 00
Records with dates of 12 15 00 or
p1..p4 earlier.
Date range that includes the second,

third, and fourth accounting periods,
such as 01/01/20..04/30/20.
Either/or 12 15 00|12 16 00 Records with dates of either 12 15 00

or 12 16 00. If there are records with
dates on both days, they'll all be
displayed.
Combination 12 15 00|12 01 00..12 10 00 Records with dates of 12 15 00 or on

dates between and including 12 01 00
..12 14 00|12 30 00.. and 12 10 00.
Records with dates of 12 14 00 or

earlier, or dates of 12 30 00 or later,
that is, all records except those with
dates between and including 12 15 00
and 12 29 00.
You can use any of the valid formats in date range filters. For example, mon14 3..t 4p applied on a datetime field
results in a filter from 3 AM on Monday in week 14 of the current work date year, inclusive, until today at 4PM,
inclusive.
Use Date Formulas

A date formula is a short, abbreviated combination of letters and numbers that specifies how to calculate dates.
You can enter date formulas in various date calculation fields or filters.
NOTE
In all data formula fields, one day is automatically included to cover today as the day when the period starts. Accordingly,
for example, if you enter 1W, then the period is actually eight days because today is included. To specify a period of seven
days (one true week) including the period starting date, then you must enter 6D or 1W-1D.
Here are some examples of how date formulas can be used:

The date formula in the recurring frequency field in recurring journals determines how often the entry on
the journal line will be posted.
The date formula in the Grace Period field for a specified reminder level determines the period of time
that must pass from the due date (or from the date of the previous reminder) before a reminder will be
created.
The date formula in the Due Date Calculation field determines how to calculate the due date on the
reminder.
The date formula can contain a maximum of 20 characters, both numbers and letters. You can use the following
letters, which are abbreviations for calendar units.
L ET T ER M EA N IN G
C Current
D Day(s)
W Week(s)
M Month(s)
Q Quarter(s)
Y Year(s)
You can construct a date formula in three ways.

The following example shows how to use C, for current, and a time unit.
EXP RESSIO N M EA N IN G
CW Current week
CM Current month
The following example shows how to use a number and a time unit. A number can't be larger than 9999.
10D 10 days from today
2W 2 weeks from today
The following example shows how to use a time unit and a number.
D10 The next 10th day of a month
WD4 The next 4th day of a week (Thursday)
The following example shows how you can combine these three forms as needed.
CM+10D Current month + 10 days
The following example shows how you can use a minus sign to indicate a date in the past.
-1Y 1 year ago from today
IMPORTANT
If the location uses a base calendar, then the date formula that you enter in, for example, the Shipping Time field is
interpreted according to the calendar working days. For example, 1W means seven working days.
Entering Times
When you enter times, you can insert any non-space separators that you want between the units. If you use
double digits for each unit up to milliseconds, then it isn't required.
You only have to write the largest units that you require; the rest will be set to zero. You can also leave out any
AM/PM indicator.
The following table lists the various ways in which times can be entered and how they're interpreted. It assumes
region settings that format times according to: Hours:Minutes:Seconds.Milliseconds. and use the AM and
PM indicators of 'AM' and 'PM', respectively.
05:23:17 05:23:17
5 05:00:00
5AM 05:00:00
5P 17:00:00
12 12:00:00
12A 00:00:00
12P 12:00:00
17 17:00:00
5:30 05:30:00
0530 05:30:00
5:30:5 05:30:05
053005 05:30:05
5:30:5,50 05:30:05.5
053005050 05:30:05.05
NOTE
Milliseconds are interpreted as decimal notation. So, for example, 3, 30, and 300 all mean 300 milliseconds, while 03
means 30 and 003 means 3 milliseconds.
IMPORTANT
You can't use 24:00 to mean midnight, or use any value greater than 24:00.
The word for 'time' in the language used by Dynamics 365 Business Central will be evaluated to the current time
on your computer or mobile device. You can enter any part of the word, starting from the beginning, such as t or
TIM.
Entering Combined Dates and Times

When you enter datetimes, which are a date and time combined into one field, you must enter a space between
the date and the time. The date part can only contain spaces in the form of the official date separator of your
region settings. The time can contain spaces around the AM/PM indicator in relevant regional settings.
The following table lists the various ways in which you can enter datetimes and how they're interpreted.
08-01-2022 05:48:12 PM 08-01-2022 05:48:12 PM
131222 132455 13-12-22 13:24:55
1-12-22 10 01-12-22 10:00:00
1.12.22 5 01-12-22 05:00:00
1.12.22 01-12-22 00:00:00
11 12 11-current month-current year 12:00:00
1112 12 11-12-current year 12:00:00
t or today today's date 00:00:00
t time today's date actual time
t 10:30 today's date 10:30:00
t 3:3:3 today's date 03:03:03

w or workdate the working date 00:00:00
m or Monday Monday of the current week 00:00:00
tu or Tuesday Tuesday of the current week 00:00:00
we or Wednesday Wednesday of the current week 00:00:00
th or Thursday Thursday of the current week 00:00:00
f or Friday Friday of the current week 00:00:00
s or Saturday Saturday of the current week 00:00:00
su or Sunday Sunday of the current week 00:00:00
tu 10:30 Tuesday of the current week 10:30:00
tu 3:3:3 Tuesday of the current week 03:03:03
t23 t Tuesday of week 23 of the work date year, current time of

day
t 23 Today 23:00:00
Entering Duration
Some fields in the application represent a duration, or amount of elapsed time, instead of a specific date or time.
You enter a duration as a number followed by its unit of measure.
Here are some examples.
DURAT IO N UN IT O F M EA SURE
2h 2 hrs
6h 30 m 6 hrs 30 mins
6.5h 6 hrs 30 mins
90m 1 hr 30 mins
2d 6h 30m 2 days 6 hrs 30 mins
2d 6h 30m 56s 600ms 2 days 6 hrs 30 mins 56 secs 600 msecs
You can also enter a number, which will be automatically converted to a duration. The number you enter is
converted according to the default unit of measure that has been specified for the duration field.
To see what unit of measure is being used in a duration field, enter a number. Then, you can see which unit of
measure it's converted to.
For example, if the unit of measure is hours, the number 5 is converted to 5 hrs.

See also
Work with Dynamics 365 Business Central
Entering Criteria in Filters
Detecting Mandatory Fields
When you enter data, you might see a red asterisk next to a field. The asterisk means that the field is required for
a certain process. For example, you're about to post a transaction, but you've not filled in an important field.
The visual clue doesn't force you to fill in the field. The red asterisk is a reminder that you're blocked from
completing a process.
Examples
On the Customer Card page, the red asterisk appears in the Name field, in the Tax Area Code field, and in
the posting group fields to indicate that you can't post a sales transaction for the customer unless the fields are
filled.
On the Item Card page, the red asterisk appears in the Description field to indicate that you can't enter the
item on a document line, such as a sales order, unless this field is filled.
See Also
Changing Language and Region
Business Central is available in many markets and languages around the World. In the markets where Business
Central is available, regulatory features are available to assist companies with regulatory burdens. Business
Central can display in different languages. You can even change the language that is used to display texts. The
change is immediate, once you've been automatically signed out and in again. The setting applies to you and not
to everyone else in your company.
TIP
For example, you're using the Canadian version of Business Central. That means that you can see the user
interface in English, German, French, or another language, but it's still the Canadian version of Business Central.
It isn't the same as Business Central in Germany where functionality has been adapted towards that market's
requirements.
To change the language of the user interface, go to the My Settings page. For more information, see Change
Basic Settings.
NOTE
The choice of languages will be reset to your setting on your Microsoft 365 profile if your administrator synchronizes
users from Microsoft 365 to Business Central.
You can't change the texts that are stored as application data. Examples of such texts are the names of items in
the inventory, or the comments for a customer. In other words, these types of text aren't translated.
NOTE
Business Central only supports a single character set for data. Therefore some characters may not be supported in your
environment, and you may experience problems when retrieving data that was entered using a different character set. For
instance, your environment may support only English and Russian characters. In this case, if you enter data in a different
language, it may not be stored correctly. You should contact your system administrator to make sure you understand
which languages are supported for your Business Central.
Changing your region setting

Region is different from both language and legal requirements in local markets. Region determines how your
data presents itself, such as the decimal separator, and how text aligns to the left or to the right. The region also
determines some of the system elements in the browser, such as the action to create a new item in a list.
You can change the region in the browser tab that you're using to work in Business Central. The change applies
only to you and not to the other users in your company. The choice of region will be reset to your setting on
your Microsoft 365 profile if your administrator synchronizes users from Microsoft 365 into Business Central.
IMPORTANT
When you change the region, you will see a long list of languages and regions. However, the language is not influenced
by the choice of region.
To change the region, go to the My Settings page. For more information, see Change Basic Settings.
Changing the Region Setting for Customers, Contacts, and Vendors

Some businesses use an external service that validates address information in their country or region. However,
when you need to update address information, the structured approach that these services use may not always
be what's right for some scenarios. Business Central offers a more flexible means of entering address details.
On the General Ledger Setup page, if you turn on the Require Countr y/Region Code in Address toggle,
changes to the Countr y/Region Code field on addresses for customers, contacts, or vendors will reset the
values in other address fields.
Application Version
In the Help and Suppor t page, you can see the version of Business Central that your company is based on. If
you want to base a company on a different version, your administrator can create a new production
environment. For more information, see Create a new production environment in the developer- and IT Pro
content.
Languages of the Business Central Help

The Help content for the default version of Business Central publishes to the Microsoft Docs site. The content is
available in different languages. If you access the docs from inside Business Central, the content will display in
your language. By default, if a particular page isn't available in your language yet, it will be shown in English.
How do I change the language of the Microsoft Docs site?
It's simple - scroll to the bottom of the browser page and choose the globe symbol in the bottom left corner.
NOTE
The list shows all languages that are supported by the Microsoft Docs site. Business Central is available in a limited
number of countries/regions, and the Business Central Help content is not available in all languages that the Microsoft
Docs site supports.
See Also
Viewing and Editing in Excel From Business Central
With pages that display a list of records in rows and columns, like a list of customers, sale orders, or invoices,
you can export the list to Microsoft Excel, and view it there. Depending on the page, you have two options for
viewing in Excel. Both options are available from the Share icon at the top of a page. You can either select the
Open in Excel action or the Edit in Excel action on the page. This article explains the differences between the
two actions.
Open in Excel
With the Open in Excel action, you can make changes to the records in Excel, but you can't publish the changes
back to Business Central. You can only save the changes to Excel file, without affecting data in Business Central.
With this action, Excel respects any filters on the page that limit the records shown. The Excel workbook
will contain the same rows and columns that appear on the page in Business Central.
This action works on both on Windows and macOS.
Starting with update 18.3, you can also view lists that are shown in page parts, like the lines in a sales
order.
NOTE
For Business Central on-premises, the Open in Excel action is available by default. However, if you set up Business
Central on-premises for editing data in Excel, then the Open in Excel action is replaced by the Edit in Excel action.
TIP
What about repor ts? Well, you can export the report results to an Excel file for viewing the full dataset, including all
columns. The Excel file can help you validate that the report returns the expected data. To export a report, run the report
and select the Send to > Microsoft Excel Document (data only) on the request page. For more information, see
Work with Reports - Save a report to a file.
Edit in Excel
The Edit in Excel action is available on most lists, but not all. With the Edit in Excel action, you make changes
to records in Excel and then publish the changes back to Business Central. When Excel opens, you'll see the
Excel Add-in pane on the right.
With this action, Excel respects most filters on the page that limit the records shown, so the Excel
workbook will contain almost the same records and columns.
To get the latest data from Business Central, choose Refresh in the the Excel Add-in pane.
You can switch the company that you're working with. To switch company, select the Options icon in
the Excel Add-in pane, then select the company from the Company field.
IMPORTANT
When changing the company, make sure that the Environment field is not empty. If it is, then set it to one of the
available options; otherwise, the add-in will not work correctly.
If you make changes to the add-in, you must reload it to update the connection. To reload, use the menu in
the top-right corner of the add-in. If you can't load the add-in, talk to your administrator. If you're the
administrator, see Get the Business Central Add-in for Excel.
NOTE
The add-in works with Excel for the web (online) from any device as long as as use a supported browser. It also works with
the Excel app for Windows (PC); but not for macOS.
For Business Central on-premises, the Edit in Excel action is only available if the Excel add-in has been configured by
your administrator, and only available for the Web client. For administrators, if you want to learn how to install the Excel
add-in, see Setting up the Excel Add-In for Editing Business Central Data.
First-time sign-in
The Edit in Excel action requires that the Business Central add-in is installed in Excel. In some cases, your
administrator may have set up the add-in to install automatically for you. In this case, you just have to sign in to
Business Central in Excel Add-in pane with your user name and password. Otherwise, the New Office Add-in
pane opens. To install the add-in, choose Trust this add-in , which will install the add-in directly from the Office
Store.
If for some reason the add-in doesn't install, contact your admin or try to install it manually. For more
information, see Install the add-in manually for your own use.
See the differences between the options

See Also
Analyzing Financial Statements in Microsoft Excel
Enhancements to Excel integration in 2019 release wave 2
Opening and Sharing Business Central Files in
OneDrive
Business Central makes it easy to store, manage, and share files with other people through OneDrive for
Business. On most pages where files are available, such as the Report Inbox or files that are attached to records,
you'll find an Open in OneDrive and Share action.
Open in OneDrive
The Open in OneDrive action copies the file to your OneDrive and opens the file in their online applications,
like Excel online, Word online, and PowerPoint online.
When you choose Open in OneDrive , Business Central identifies Excel, Word, and PowerPoint files and opens
them in their online applications, that is, Excel online, Word online and PowerPoint online. You can annotate, edit,
and collaborate with others without leaving the browser.
For other popular file types, like PDFs, text files, and images, OneDrive provides file viewers that offer features
for printing, sharing, and more. If a file can't be viewed in OneDrive, you might be prompted to download it.
Share
The Share action copies the file to your OneDrive and let's you share the file with other people and see who
you've already shared the file with. When you select the Share action, the following page opens.
If you're familiar with OneDrive, you may recognize the page. You have two options for sharing the file: Send
link and Copy link .
Send link let's you share the files with specific people. The people you share the file will get an email
with a link to the file. The file will also appear in the Shared section of their OneDrive. Start by typing the
email addresses or contact names in the Name, group or email field .
Copy link copies a link to the file on your OneDrive so you can use the link in other places like Facebook,
Twitter, or emails.
Before you send or copy the link, set the permission to the file that you want people to have. You can see the
current setting under Send link and Copy link . In most cases, it will be Anyone with the link can edit to
open the link , depending on settings set by your administrator. To change the permissions, select the link and
make changes on the Link Settings page.
The sharing feature in Business Central is based on OneDrive. So to learn more about sharing and permissions,
see Share OneDrive files and folders.
NOTE
The Share action isn't available in the Business Central app for mobile devices.
First-time sign in from Business Central

When you use the Open in OneDrive or Share action for the first time, Business Central does the following
things:
1. Opens the Please review terms and conditions page. Read the page, and if you agree with the terms and
conditions, select Agree to continue.
2. Opens the Pick an account page Select your account or use another account if you don't see your own,
then enter the user name and password when prompted.
3. Creates a folder named Business Central in OneDrive.
4. In the Business Central folder, it creates another folder with the same name as the company you're working
in. If you work in more than one company, it will create a folder for the company you're working in when you
use the Open in OneDrive and Share actions.
5. Puts a copy of the file you selected in the folder, and then opens the file. The next time you use the action, it
only copies and opens the file.
Managing multiple copies of a file

When you choose Open in OneDrive or Share , the file is copied from Business Central to your folder in
OneDrive. If you edit the file in OneDrive, the copies of the file will be different. To update Business Central with
the latest file, remove the existing file from Business Central and then upload the latest copy.
Also, when a file with the same name already exists in OneDrive, Business Central will provide a choice to either
replace the file or keep both files. If you choose to keep both files, the new file is copied to OneDrive and given a
filename with suffix number, like “Items (2).xlsx,”. The original file isn't changed.
If you choose to replace the file, the new file is added to the version history for that file. The original file isn't lost,
and you can view or restore previous versions of the file.
About your Business Central folder on OneDrive

The folder and its content are private until you decide to share them with others. For example, you might decide
to share content with one or more of your coworkers, or even people outside of your organization. You can
access your OneDrive from the My Settings page by choosing the link in the Cloud Storage field. For more
information, see Share OneDrive files and folders.
See Also
Business Central and OneDrive Integration
Managing OneDrive Integration with Business Central
OneDrive FAQ
Manage Attachments, Links, and Notes on Cards
and Documents
In the FactBox on most cards and documents, you can attach files, add links, and write notes. For links and notes,
you can also do this on the list page by first selecting the related line.
To view or change any of these attached information types, you must first open the Attachments tab in the
FactBox. The number behind the tab title indicates how many attached files, links, or notes exist for the card or
document.
Attachments, links, and notes stay attached as the card or document is processed into other states, such as from
an ongoing sales order to a posted sales invoice. However, none of the attachment types are output from the
system, for example, when printing or when saving to a file.
NOTE
When you partially ship and invoice a sales or purchase order, the attachment will only be attached to the final invoice of
the order. Similarly, when you invoice using the Deferrals feature, the attachment is attached to the G/L entries for the
document but not for the deferral entries.
If you delete an order before it is invoiced, the attachment is also removed. When you invoice purchase orders using the
Get Receipt Lines action from a purchase invoice, the attachment on the purchase orders is not added to the purchase
invoice.
To attach a file to a purchase invoice

You can attach any type of file, containing text, image, or video, to a card or document. This is useful, for
example, when you want to store a vendor's invoice as a PDF file on the related purchase invoice in Business
Central.
NOTE
Files attached with the Incoming Documents feature are not included on the Attachments tab. For more information,
see Incoming Documents.
The following procedure is based on a purchase invoice. The steps are similar for all other supported documents
and cards.
2. Open the sales order that you want to attach a file to.
3. In the FactBox, open the Attachments tab.
4. Choose the value behind the Documents field, such as "0".
5. On the Attached Documents page, in the Attachment field, choose the Select File action.
6. Select a file from any location, and then choose the Open button.
The file is now attached to the purchase invoice.
To view an attached file

1. In the FactBox, open the Attachments tab.
2. Choose the value behind the Documents field, such as "1".
3. On the Attached Documents page, choose the Preview action.
4. Open the downloaded file.
To save a document as a PDF attachment

Whenever you need to save a document as a file, you can use the Attach as PDF action to capture the current
document content as a PDF file attached to the FactBox of the document. This is useful, for example, when
documents follow multiple steps in a process, such as a sales process or an approval workflow, and you want to
refer to a printout of the previous step.
The following procedure is based on a sales order. The steps are similar for all supported documents.
2. Select a sales order, and then choose the Attach as PDF action.
A PDF file with the current content of the sales order is added to the Attachments tab in the FactBox.
To add a link from an item card

You can add a link from a card or document to any URL. This is useful, for example, when you want to link an
item card with the supplier's item catalog.
The following procedure is based on an item card. The steps are similar for all other supported cards and
documents.
2. Select the item that you want to add a link from, and then choose the Attachments tab in the FactBox.
3. In the Links , choose the + icon.
4. In the Link Address field, enter the link.
The link must be a valid internet or intranet URL.
5. In the Description field, enter any information about the link.
The link is now attached to the item card.
To write a note on a sales order

You can write a note on a document or card, for example, to communicate special instructions to other users of
the document or card. You can include file links and URLs in notes.
NOTE
Notes on the Attachments tab are not related to internal notes functionality, which is mainly used to communicate
between workflow users. For more information, see Setting Up Workflow Notifications.
The following procedure is based on a sales order. The steps are similar for all other supported documents and
cards.
2. Select the sales order that you want to write a note on, and then choose the Attachments tab in the FactBox.
3. In the Notes section, choose the + icon.
4. In the Note field, write any text, such as "This is an urgent order.".
The note is now attached to the sales order.
See Also
Incoming Documents
Use Word Templates for Bulk Communication
Microsoft Word templates can make it easier to mass communicate in print or email with entities such as
contacts, customers, and vendors. For example, you can create brochures to alert customers about a sales
campaign, letters to inform vendors about a new purchasing policy, or invitations to attract contacts to an
upcoming event.
NOTE
You can use Word templates only on devices with Microsoft Word 2019 and the Windows operating system installed.
You can use entities in Business Central as the data source for the template, and add merge fields to personalize
documents for each entity. The merge fields come from the entity in Business Central. When you apply a Word
template to an entity, data from the merge fields is inserted in the document.
On the Word Templates page, when you create a new template you use an assisted setup guide to download a
ZIP file that contains a DataSource.xlsx and a Word template file for the entity. The data source file provides the
fields that you can use in the template. Do not edit the data source file. You can only use the Word template and
data source files that you download from Business Central, and you must store the files in the same location.
After you set up the template and add merge fields, you use the same guide to upload the template.
Setting Up the Template in Word

When you are setting up a template in Word, on the Mailings tab you can add merge fields by choosing Inser t
Merge Field . The merge fields that are available come from the data source file that you downloaded for the
entity. They act as placeholders that tell Word where in the document to put the information about the entity.
Adding Related Entities
In addition to adding data for the source entity, that is, the entity for which you're creating the template, you can
also merge data from entities that are related to it. For example, if the source is the Customer entity, you can also
merge data from fields on the Customer/Purchaser entity because both the entities have a field in common.
Related entities share a field, which is often an identifier such as a name, code, or ID, with the source entity.
When you set up a template there are simple and advanced options for choosing related entities:
Simple - Add known relations that Business Central makes available by default.
Advanced - Add non-standard relations, such as those that have been added by extensions or customizations.
This requires that you know the fields that the entities share.
When you add a related entity, you must specify a prefix for the field name. When you're adding fields to the
template, the prefix can make it easier to distinguish between fields from the source entity and fields from
related entities.
To create a Word template in Business Central

1. Choose the icon, enter Word Templates , and then choose the related link.
2. Choose New , then Create a Template , and then follow the steps in the assisted setup guide. Hover over a
field to read a short description.
TIP
You can also create a template directly from the page for an entity by choosing the Apply Word Template action to
open the assisted setup guide, and then New Template . When you do, the data source is chosen for you based on the
type of entity.
Applying a template
When your Word template is ready, on the Word Templates page you can choose Apply to generate the
documents. When you apply a Word template to an entity, data from the merge fields is inserted in the
document. You can either create one document that contains sections for each entity, or choose Split to create a
new document for each entity.
You can apply templates to one or more of the same type of entity, such as a contact, directly in the context of
that page, or from the Word Templates page to apply the template to all of the entities of that type.
Use Word Templates with Email

You can use Word templates to add content to email messages. When you compose an email, you can choose
the Use Word Template action to apply the content of a template to the message. This requires that you have
created one or more template for the entity. You can use one template at a time, and when you switch between
templates the message changes to reflect the content from the chosen template.
Additionally, you can use the Add File from Word Template action to attach the content of the template to
the email as a file. The file will use the format you specified for the template output.
See Also
Managing Report and Document Layouts
On the My Settings page, you can see and change basic settings for your Business Central. The changes that
you make will only affect your workspace, not the workspaces of other users.
TIP
Role
The role determines the home page, a starting screen that is designed for the needs of a specific role in an
organization. Depending on your role, the home page, or role center, gives you an overview of the business,
your department, or your personal tasks. It also helps you navigate to your daily tasks and find work that is
assigned to you.
At the top, the navigation allows you to switch between customers, vendors, items, and other important
lists of information. Similarly, actions allow you to initiate tasks, such as create a new sales invoice,
directly from the home page.
In the center, you find the Activities area, which shows current data and can be clicked or tapped to view
more detailed information. Key performance indicators (KPIs) can be set up to display a selected chart for
a visual representation of, for example, cash flow or income and expenses. You can also build up a list of
favorite customers on the home page for business accounts that you do business with often or need to
pay special attention to.
To change the role
The default role is Business Manager , but you can select another role to use a role center that fits your needs
better.
1. In the top right corner, choose the Settings icon , and then choose the My Settings action.
2. On the My Settings page, in the Role field, select the role that you want to use by default. For example,
select Accountant .
Company
A company functions as a container for data in Business Central. There can be multiple companies in a database,
but only one can be selected at a time.
The default company is called CRONUS and contains demonstration data only. You can create a new company
with custom data. For more information, see Creating New Companies.
To change the company name
The company name is always displayed at the top left corner and works as an action that you can choose to go
back to the Role Center. You can change this name on the Company Information page.
1. Choose the icon, and then choose the Company Information action.
2. In the Name field, enter the new company name.
3. Leave the page. The system restarts and displays the new company in the top-left corner.
To display a company badge for quick access to company information
You can add a customized badge in the top-right corner, which you can choose to quickly view company name
and tenant information in a pop-up box. The company badge is also useful when Business Central is embedded
in another application, like Microsoft Teams or in some other web application. In these cases, because the
Business Central web client displays less surrounding contextual information, the company badge serves as the
only way to determine which company or environment a record belongs to.
1. Choose the icon, enter Company Information , and then choose the related link.
2. On the Company Badge FastTab, fill in the fields as necessary. Hover over a field to read a short
description..
NOTE
If a company badge is defined, then you cannot change the company name as described in To change the company name
Work date
The most commonly used work date is today's date. You may have to temporarily change the work date to be
able to perform tasks, such as completing transactions for a date that is not today's date.
TIP
In all date fields, type t to quickly enter today's date, and type w to quickly enter the work date, which is the value in the
Work Date field on the My Settings page.
IMPORTANT
After you change the work date, if you sign out or switch to another company, the work data reverts to the default work
date. So the next time you sign in or switch back to the original company, you may have to set the work date again.
Work date indication

The work date is critical on pages that can be edited. Whenever the work date isn't set to today's date on an
editable page, then two types of indicators appear on the page:
A reminder appears at the top of the page that tells you what the work date is set to. The reminder
provides a direct link to the work date setting on the My Settings page so you change the date if you
want. From the reminder, you can also choose to dismiss the reminder for the rest of your session. Unless
you change the work date to "today", the reminder will appear the next time you sign in.
If you dismiss the reminder, the work date will appear in the title of the page.
If the work date isn't set to the current day (today), then on all pages where you can edit data, the current work
date appears in the upper-left corner.
Region
The Region setting determines how dates, times, numbers, and currencies are shown or formatted. It also
determines what character is used as the decimal separator when using a numeric keyboard to enter data. For
more information, see Entering Data.
Language
Changes the display language. This field appears only when there's more than one language to choose from.
The initial language is either determined by the administrator or by your browser settings when you sign up for
Business Central. The language that you set will be used on all devices that you sign in from, such as a phone or
tablet.
Additional languages for Business Central can be installed from AppSource. While all supported display
languages are shown in the list, the administrator must install the relevant language app to the tenant before
users can switch to the new language in Business Central.
Time zone
Defines the time zone where you are located. When you first sign into Business Central, the time zone is set
based on your company's address. Change it if it doesn't fit your physical location.
Notifications
Choose the Change when I receive notifications link to view or change the notifications that you get about
certain events or changes in status, such as when you are about to invoice a customer who has an overdue
balance, or the available inventory is lower than the quantity you are about to sell. For more information, see
Managing Notifications.
Teaching tips
Some pages display a teaching tip with a short introduction to the page. Switch off teaching tips if you are not
interested in seeing these short introductions when you open the relevant pages. If you switch off teaching tips,
you can still open the teaching tip for a specific page by choosing the page title in the top left corner.

See Also
Creating New Companies
Switching to Another Company or Environment
Business Central is available in many different countries and supports many different types of organizations.
Your organization might set up Business Central so that you have to understand the terms company and
environment.
Business Central users sometimes support more than one department or suborganization within a business
unit. For example, a business might have sales offices in different cities and multiple countries, so it has created
a separate business unit for each office. The offices that are in the same country are set up as separate
companies in a shared environment. Other offices are created as companies in separate environments because
they are geographically based in other countries.* What's a company?Think of a company as a container that
holds information about a legal entity. Using the example above, the business has a sales office in Seattle and
another in New York, so it creates a company in Business Central for each office so that it can manage
operations for each office separately.
* What's an environment?Companies in Business Central online exist in what are referred to as environments.
There are two types of environments, Production and Sandbox . In short, production environments contain live
business data, and sandbox environments are used as a safe place to test things like new business processes or
features. For more information, see Types of environments (in English only). If you have access to a company,
you have access to the environment it's in. If you have access to more than one company, and those companies
are in different environments, when you sign in to Business Central you must specify the environment that you
want to work in. Environments are particular to a given country, so if your organization works in multiple
countries, you need separate environments for each country. For more information, see Environments and
companies (in English only). For more information, see Creating New Companies in Business Central.
TIP
If you often switch between companies, or work with Business Central from within another app like Microsoft Teams, it
can be easy to lose track of where you are. To help you keeping track, you can add a badge that will display the company
name, so you can quickly verify that you're in the right place. For more information, see To display a company badge for
quick access to company information.
Depending on your browser, you can also pin the different companies to your favourites bar.
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Switch to Another Environment

When you're signed in to Business Central, the environments that you can access are available on the
Office.com.
1. Select the App Launcher icon .
2. If you don't see an app for Business Central in the pane that opens, then choose Office 365 . Then, enter
Business Central in the Search box or select All Apps > Business Apps .
3. There will be one Business Central app listed for each type of environment, like production and sandbox. To
switch to another environment, choose the Business Central app for the type of environment it is. If there's
more than one environment of a certain type, you'll then be asked to choose the environment to access.
Switch to Another Company
When you're signed in to Business Central, you can quickly switch to another company. After you make the
switch, the company you choose becomes your default company and will display the next time you sign in.
1. In the top-right corner, choose the Settings icon , and then choose the My Settings action.
TIP
You can also use the Alt+T keyboard shortcut to quickly open the My Settings page.
2. On the My Settings page, in the Company field, select the company.

TIP
A good way to go directly to your default company when you sign in, and avoid having to specify an environment, is to
add the the URL to your list of favorites after you sign in.
See Also
Environments and companies (English only)
The Business Central Administration Center
Manage Notifications
Business Central can help you work smarter by notifying you about certain events or changes in status, such as
when you are about to invoice a customer who has an overdue balance, or the available inventory is lower than
the quantity you are about to sell, for example. These notifications are shown as discreet tips in the context of
the task you are doing, and you can choose to ignore the notification or to see details about the issue.
If you choose to see details for a notification, you can take action to resolve the issue, such as contacting the
customer, buying more inventory, and so on. It's your choice what to do, and Business Central gives you advice
and recommendations.
Notifications can help untrained users complete unfamiliar tasks, and do not reduce productivity for the more
trained user.
To turn notifications on or off, and control when they are sent

When you first start with Business Central all notifications are turned on, but you can turn them on or off, for
example, if you aren't interested in a certain event or status.
Additionally, some notifications let you specify the conditions under which they are sent. For example, if you
want to be notified when inventory is running low, but only for items you buy from a certain vendor.
Turning notifications on or off, and specifying conditions, applies only to you.
1. In the top right corner, choose the Settings icon , and then choose the My Settings action.
2. On the My Settings page, in the Notifications field, choose the Change when I receive notifications. link.
3. In the page that appears, turn on or turn off a notification by selecting or clearing the Enabled check box.
4. To specify conditions that trigger a notification, choose the View filter details link, and then fill in the fields.
See Also
Warnings and Error Messages in Dynamics 365
Business Central
During your work day, you might see notifications in Business Central that something went wrong, or that it was
not possible to post something, for example. In many cases, the notification makes it easy to resolve the matter,
or to roll back any changes that you made. In other cases, you might not have have the information that you
need to get unblocked. This article provides tips on how to make progress.
In-product user assistance

The default version of Business Central includes descriptions for most fields, columns, and actions that can be
accessed when you choose the name. In combination with teaching tips for important pages, descriptive
captions, and instructional text, these tooltips, or callouts, are our current implementation of embedded user
assistance, which is an important principle in today's world of software design.
If you have a question about a field or another element of the user interface, choose the name, and a short
description will appear. Choose the Learn more link if that is not enough. You can also use the in-product Help
pane to find answers to your questions.
For more information, see Dynamics 365 Business Central User Assistance Model in the administration content
for Business Central.
Help and Support page

In Business Central, the Help menu item (the question mark in the top right corner) gives you access to the Help
and Suppor t page, where you can find links to resources that can help you find answers to your questions. For
more information, see Resources for Help and Support.
Help others
If you are an administrator or superuser, you can help others by looking up error messages in the Error
Message Register page or in the administration center. In many cases, the warning or error message is about
setup or lack of permission and similar issues that the superuser or administrator can easily help with. In other
cases, you might have to inspect pages to identify the cause. For more information, see Finding technical
information in the administration content for Business Central.
See Also
Tell Me FAQ
Copy and Paste FAQ
You can personalize your workspace to suit your work and preferences. Change pages so that they display only
the information you need, where you need it. The personalization changes will only affect what you see, not
what other users see.
You can personalize all types of pages, including the Role Center page. For more information about Role Centers,
see Role Center.
TIP
You can make various changes, such as move or hide fields, columns, actions, and entire parts, and add new
fields. Most personalization must be done by first activating the Personalizing banner. You can make simple
adjustments, such as the column width, immediately on any list.
NOTE
Administrators can perform the same layout changes as users can by customizing the workspace for a profile that
multiple users are assigned. For more information, see Customize Pages for Roles
Administrators can also override or disable users' personalization, and they can define which features are even available
for users to see in all or specific companies. For more information, see Customizing Business Central.
Video Overview
The following video shows some of the ways in which you can personalize your Role Center.
To change the width of a column

You can easily resize columns on any list. Just drag the boundary between two columns to the left or the right.
1. In the header of a list, select and drag the boundary between two columns.
2. Alternatively, double-click the boundary between two columns to auto-fit the width of the column. The width
adjusts to the optimal size for readability.
As for other personalization, the changes you make to column width are stored on your account and follow you
no matter which device you sign into.
To start personalizing a page through the Personalizing banner

1. Open any page that you want to personalize.
2. In the upper-right corner, select the icon, and then choose the Personalize action.
The Personalizing banner appears at the top to indicate that you can start making changes.
NOTE
To navigate during personalization, use Ctrl + Click on an action if it is highlighted by the arrowhead.
If you see a or on the banner, you can't personalize the page. For more information, see Why a Page
is Locked from Personalization.
3. To add a field, choose the + Field action.
4. From the Add Field to Page pane, drag and drop a field into the desired position on the page.
5. To change a UI element, point to the element, such as an action, a field, or a part. The element is
immediately highlighted with an arrowhead or border.
6. Choose the element, and then choose either Move , Remove , Hide , Show , Show under "Show more" ,
Show when collapsed , Show always , Set/Clear Freeze Pane , or Include/Exclude from Quick
Entr y , depending on the type and state of the UI element. For more information, see What You Can
Personalize.
7. When you have finished changing the layout of one or more pages, choose the Done button on the
What You Can Personalize

W H AT DO Y O U WA N T TO DO H O W TO DO IT REM A RK S
Move something, like a field, column in Point anywhere on what you want to Parts are subdivisions or areas on a
list, tile, action, or part move, and drag it to its new position. page that contain things like multiple
The position is indicated by either a fields, another page, a chart, or tiles.
thick horizontal or vertical line.
For more information about action
indicates that you can't move the personalization, see Personalizing
element to the selected position. Actions.
Hide something, like a field, column in Choose the arrowhead, choose Hide . The element is grayed when you are in
list, tile, action, or part. personalizing mode. If the field you
hide is also shown on the FastTab
heading when the FastTab is collapsed,
the field will no longer appear there.
Show hidden actions and parts. For a grayed (hidden) element, choose The hidden element is visible again.
the arrowhead, and then choose
Show .
Add a field or column. In the Personalizing banner, choose Each page includes a predefined set of
the + Field action. fields that you can display. Use this
procedure to add fields or columns
The Add Field to Page pane opens that haven't been previously displayed,
on the right. It lists the fields that you or to show fields that you've hidden.
can add to the page.
To add a field, drag it from the pane to

the position that you want it. The
position is indicated by either a thick
horizontal or vertical line.
W H AT DO Y O U WA N T TO DO H O W TO DO IT REM A RK S
Display a field in the heading of a Choose the arrowhead, and then FastTab is the term used for a group of
FastTab when it's collapsed. choose Show when collapsed . fields that appear under a common
heading. Use the Show when
If you don't see this option, then it's collapsed option to display the most
already set. In this case, to stop important fields. If you select a field in
displaying the field on the FastTab the heading, the FastTab will open and
heading, choose Show always . focus on the selected field.
This option is only applicable if a page

has a more than one FastTab. If there is
only one FastTab, it can't be collapsed,
so the Show when collapsed option
isn't available.
Make a field display only when you Choose the arrowhead, and then
select Show more . choose Show under "Show More".
If you don't see the Show under

"Show More" option, then it's already
set. In this case, to make a field display
always, not just when you select Show
more , choose Show always .
Change the freeze pane in a list to Choose the arrowhead of the column The freeze pane specifies the columns
another column. that you want as the last column of that always appear on the left, even as
the freeze pane, and then choose Set you scroll horizontally.
Freeze Pane .
If you want to set the freeze pane back

to its original designed position,
choose the arrowhead for the current
freeze pane column, and choose Clear
Freeze Pane . Note: You can't remove
this freeze pane.
Skip over a field when pressing Enter. Choose the arrowhead next to the See Accelerating Data Entry Using
field, or column heading in a list, and Quick Entry
choose Exclude from Quick Entr y .
If you don't see this option, then the

field is already set to be skipped. In
this case, to stop skipping the field,
choose Include in Quick Entr y .
Reorder and remove views Choose the arrowhead next to a view, See Save and Personalize List Views
representing filtered lists. and then choose Move , Remove , or
Hide .
Add a new action to a page or report From the target page, report request See Bookmark a Page or Report on
on your Role Center. page, or Tell Me window, choose the Your Role Center Role Center
bookmark icon.
Always start a list as expanded or Choose the Expand All or Collapse Applies to collapsible hierarchy lists
collapsed All button in the top-left corner of the
list. Alternatively, choose the Expand
All or Collapse All action in the
menu of the first column.
Personalizing Actions
Personalization lets you decide which actions to show on the navigation and action bars and on Role Centers
and where to show them. You can show, hide, or move individual actions or action groups. Personalizing the
navigation and action bars is done basically the same way as with other UI elements. However, what you can do
with an action or group depends on where the action or group is located. The best way to find out is to enter
personalizing mode and then let the arrowheads guide you.
There are a couple terms that you should be familiar with to better understand action personalization: action
group and promoted category.
An action group is an element that expands to display other actions or groups. For example, on the Sales
Orders page, one action group is the Functions action that appears when you choose the Actions action.
A promoted category is an action group that appears before the vertical line | on the action bar. The categories
typically include the most commonly used actions, so that you can quickly find them. For example, on the Sales
Orders page, the Order , Release , and Posting actions are promoted categories.
NOTE
You cannot personalize the action bar that appears in parts on the page (for example, the sales lines part on the Sales
Order page).
To remove, hide, and show actions and action groups

When you want to show or hide an action, the options under the arrowhead define what can do depending on
the action's state.
1. Choose the arrowhead for an action or action group.
2. Choose from one of the following options:
O P T IO N W H AT IT DO ES
Remove This option appears if the selected action is also shown

somewhere else on the navigation bar or action bar.
Choosing this option deletes the action from the selected
location so that it no longer appears. The action or action
group will remain in the other locations.
Hide This option appears if the action or action group isn't located
anywhere else on the navigation bar or action bar. Like
Remove , choosing this option will make the action or action
group disappear from the navigation bar or action bar.
However, in personalizing mode, the action or action group
will still be shown in the current position, except that it
appears dimmed.
Show This option appears if the action or action group has been
previously hidden (dimmed). Choosing this option will make
the action or action group appear on the navigation bar or
action bar.
To move actions and action groups

Where you can drop actions or actions groups is indicated by a horizontal line between two actions or a border
around an action group. The following limitations exist:
You can move individual actions into the promoted categories, but you can't rearrange the order of the
actions in the category.
You can't move an action group into a promoted category.
1. To move an action or action group, drag and drop it to the desired position, like you do with fields and
columns.
2. To move an action or action group into another action group that is empty, drag the action or action group to
the new group and drop it in the Drop an action here box.
Personalizing Parts
Parts are areas on a page that are typically composed of multiple fields, charts or other content. A part shows a
colored border when you focus on the part. For example, a Role Center home screen has multiple parts. Because
of their well-defined boundary, you can personalize the entire part and its' contents.
To move a part, drag and drop it to the desired position. A colored line indicates valid positions on the screen.
For example, FactBoxes can only be moved next to other FactBoxes in the FactBox pane.
You can hide a part by choosing the Hide option under the arrowhead.
When you start personalizing or navigate to a new page, any parts that are currently hidden will appear on
the page with distinctive visuals to indicate they are hidden. You can unhide that part by choosing the Show
option under the arrowhead.
You can clear all personalization changes that you have made within a single part by choosing the Clear
personalization option under the part's arrowhead. Clearing personalization of a part only affects changes to
the contents of the part, not the placement or visibility of the part on the page.
To clear personalization
At some point, you might want to undo some or all of the personalization changes that you have made to a
page over time.
1. On the Personalizing banner, choose the Clear personalization action.
2. Choose one of the following options.
Cau t i on
Clearing personalization can't be undone.
O P T IO N W H AT IT DO ES
Only Navigation Menu Clears any personalization changes that you have ever made
to the navigation menu that is shared across the Role Center
and other pages. Such changes include any new actions that
were added as bookmarks, and any changes to links and
groups in the menu.
Only Actions Clears any personalization changes that you have ever made
on the navigation or action bars on the page.
Only Fields, Columns, and Par ts Clears any personalization changes that you have ever made
to the page except changes on the navigation or action bar.
Such changes include changes to fields, columns, parts, and
tiles.
All Clears all personalization changes that you have made to the
page so it looks like it did originally. Such changes include
changes to navigation and action bars, fields, columns, parts,
and tiles.
Other Points of Interest
To help you better understand personalization, here are some pointers.
When you make changes to a card page that you open from a list, the changes will take effect on all records
that you open from that list. For example, let's say you open a specific customer from the Customers list
page, and then personalize the page by adding a field. When you open other customers from the list, the field
that you added will also be shown.
Changes that you make will take effect on all your Role Centers. For example, if you make a change to the
Customer list when the Role Center is set to Business Manager, you will also see the change on the
Customers page when the Role Center is set to Sales Order Processor.
Changes to a page in a pane will take effect on the page where ever it's shown.
You can only add fields and columns from a predefined list, which is based on the page. You can't create new
ones.

See Also
Why a Page is Locked from Personalization
There are two conditions that prevent you from personalizing a page. Either the page is locked (as indicated by
the ) icon or it's blocked (as indicated by the icon).
Locked from Personalizing

If there's a icon in the Personalizing banner when you open a page, you're currently prevented from making
any more personalization changes to the page.
There can be two reasons:
1. You've personalized the page before, but it was done using an earlier version of the product. We changed
the way personalization works behind the scenes since the last time that you personalized the page.
Unfortunately, the old way and new way of doing things don't work together.
2. Until now, you've only used the bow deprecated Dynamics NAV Client connected to Business Central to
personalize the page.
Unlocking the Page
If you want to unlock a page and continue personalizing it, choose the icon, and then choose the Unlock
action.
Cau t i on
The current personalization of the page will be cleared. The page will go back to its original layout, and you'll
have to start from scratch.
Blocked from Personalizing

If there's a icon in the Personalizing banner, you're blocked from doing any personalization to the page.
The reason is that the Role Center or role that is currently associated with your user account modifies this page
specifically for your role. Contact your administrator for assistance. Alternatively, try switching to a Role Center
that does include role-tailoring for this page. For more information, see Change Basic Settings.
See Also
When you have set a filter on a list and you want to keep the filter for later, you can save it as a view. For more
information about filtering lists, see Setting Filters on Lists.
If views exist, the Views group appears at the top of the filter pane. Views are variations of the list that have
been preconfigured with filters. You can define and save as many views as you want per list. The views will be
available the next time you open the list, from any device or browser.
TIP
To save a view
1. Open any list page.
2. Select at the top of the list or press Shift+F3 to open the filter pane.
3. Set one or more new filters. For more information, see Setting Filters on Lists.
4. When you have set the filters, choose the icon.
If you set a filter for a list view that that is already saved as a view, the existing view will be updated when
you save.
5. If you're saving a new view, enter a name for the view in the All (Copy) box, such as "Items I own".
6. Press the Enter key or move the cursor from the text box to accept the name.
If you don't give it a name, it will be named All (Copy) .
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Not seeing the icon? For more information, see Why don't I have a Save icon.
To rename or remove a view

1. For the view that currently displays the list, choose the icon to see which options are available.
2. Choose either the Rename or the Remove action.
Managing Many Views

As the number of views on a page grows, you may need more control over how views are presented in the filter
pane. With the Personalizing banner, you can hide unwanted views or reorder your views to get the perfect
sequence. For more information, see Personalize Your Workspace.
See Also
List Views FAQ
Using the bookmark icon, you can add an action that opens a page or report from the navigation menu of your
Role Center. Bookmarks allow you to quickly reach your favorite content or business tasks. You add the
bookmark from the target page or report, meaning the screen that you want the link on the Role Center to open.
The bookmark icon is shown in the top-right corner of a page and also in the Tell Me window where you can
efficiently bookmark multiple pages or reports. If a bookmark already exists for the page, then the icon is dark,
and the tooltip says "Bookmarked".
To bookmark the target page

1. Open any page that you want a link for on your Role Center.
2. Choose the icon.
An action named after the page is now added to the navigation menu on your Role Center.
To bookmark the target report

1. Open any report request page that you want a link for on your Role Center.
2. Choose the icon.
An action named after the report is now added to the navigation menu on your Role Center.
To bookmark a page or report from the Tell Me window

1. Open the Tell Me window and enter, for example, Sales Orders .
2. Hover over the search result for the Sales Orders page or report, and then choose the icon.
An action named after the page or report is now added to the navigation menu on your Role Center.

Can I reorganize my bookmarks?
Yes. You can personalize your Role Center and move actions into a more optimal sequence or move them
into existing groups or subgroups.
Learn how to Personalize Your Workspace.
How do I remove a bookmark?
On the target page or report, choose the bookmark icon again to remove the involved action from your
Role Center. You can also personalize your Role Center and temporarily hide actions without fully
removing them.
Where do I find my bookmarks?
When adding a bookmark to a page or report, the new action is added to the top navigation menu on
your current home screen (Role Center). If you happen to have many actions, you may need to activate
the More button to display all of them because the new action is always appended at the end of those
actions.
I don't have a bookmark icon. Is something wrong?
The ability to bookmark a page or report is one of many user personalization features in Business
Central. If the bookmark icon isn't displayed, it's likely that your administrator has disabled
personalization.
Why can't I bookmark cer tain pages or repor ts?
Not all pages and reports can be bookmarked. When a page or report is run within some special context
governed by the business application, the bookmark icon isn't displayed. For example, pages that cannot
be found in the Tell Me window but are launched from elsewhere will not display a bookmark icon.
Similarly, report request pages that are only used to collect filters without running the report will not
display a bookmark icon.
See technical details about RunRequestPage and FilterPageBuilder.
When clearing my personalization, will my bookmarks also be cleared?
Yes. Bookmarks reside in the navigation menu. If you clear changes to the navigation menu from any
page, or clear all personalization on the Role Center, all your new actions will be permanently removed.
Why does the bookmark icon continue to indicate it's still not bookmarked?
When you add a bookmark, the new action is added to the navigation menu on the Role Center and
subsequent visits to the page or report show a dark bookmark icon. If you personalize your Role Center
and reorganize your actions by moving them into groups, the bookmark icon will no longer be dark and
you can add another bookmark to that same page or report. This allows you to add multiple actions to
the same page or report and categorize them into different groups.
Why does my link to a repor t display a different repor t?
Some reports may be substituted by other reports after applying an extension to Business Central. When
substitution occurs, the text of the new action isn't updated and will continue to display the name of the
original report, but navigate to the newer report. To correct the text of the new action, you can remove
the new action and add it again.
Is bookmarking available for XMLpor ts?
No. At this time, adding actions to open XMLports isn't possible from the user interface.
Will my bookmarks be translated when I change my language in Business Central?
When you add a new action, any translated text that was available at the time is used when bookmarking.
If new translated text is added later, then the new action will not include the newer translations.
Why can't I add text in a page right after opening it with the bookmark?
When a page is bookmarked, the page will always open in the view mode from the bookmark—even if it
was in the edit mode when it was bookmarked. Selecting the Make changes on the page icon will
let you add text in the fields that are editable.
See Also
Displaying Lists in Different Ways
In the right corner of any list in Business Central you will find icons that let you choose how the list of records is
displayed. A list can be displayed as detailed rows, which is ideal when you need to work with many fields or
edit fields in the list. But you can also switch to display records as tiles, which is more compact and shows less
fields on the specific record. This is very useful to gain an overview of several entries and is in particular useful
on smaller devices, because it is compact and easier to tap.
Item List
On the Items page, having pictures helps you get a quick overview of what you sell and switching to the tiles
gives you an item catalogue to browse through. For lists that include pictures, such as the Items page, you have
a third option to display as large tiles. This displays large pictures for each record but also shows few fields.
You can import item pictures, either one by one or for multiple items in one go. For more information, see
Import Multiple Item Pictures.
See Also
Register New Items
A report gathers information based on a specified set of criteria. It organizes and presents the information in an
easy-to-read format that you can print or save as a file. There are many reports that you can access throughout
the application. The reports typically provide information related to the context of the page you're on. For
example, the Customer page includes reports for the top 10 customers, sales statistics, and more.
Batch jobs and XMLports do more or less the same as reports, but are used more for processing or exporting
data. For example, the Create Reminders batch job creates reminder documents for customers with overdue
payments.
NOTE
This topic refers mainly to "report", but similar information applies to batch jobs and XMLports.
Get started
You find reports in the Repor ts tab on selected pages, or you can use search to find reports by name.
When you open a report, batch job, or XMLport, you're typically presented with a request page where you set
various options and filters that determine what to include in the report. The following sections explain how to
use the request page to build, preview, and print a report.
Using default values - predefined settings

Most request pages include the Use default values from field. This field lets you select predefined settings for
the report, which automatically set options and filters for the report. Select an entry from the drop-down list,
and you'll see the options and filters on the request page change accordingly.
The entry called Last used options and filters is always available. This entry sets the report to use options
and filters that were used the last time you ran the report.
The Use default values from field provides a fast and reliable way to consistently generate reports that
contain the correct data. After you select an entry, you can change any of the options and filters before
previewing or printing the report. The changes that you make won't be saved to the predefined settings entry
you selected, but they'll be saved to the Last used options and filters entry.
NOTE
The predefined settings are typically set up and managed by an administrator. If you want to learn more, see Manage
Saved Settings for Reports and Batch Jobs.
Specifying the data to include in a report

Use the fields under Options and Filters to change limit the information you want in the report. You set filters
in a report in more or less the same way as you set filters on lists. For more information, see Filtering.
Cau t i on
The Filter list by section on a request page provides a generic filtering capability for reports. These filters are
optional.
Some reports will ignore any such filters, meaning that no matter what filter is set in the Filter list by section,
the output of the report is the same. It's not possible to provide a list of which fields are ignored in which
reports, so you will have to experiment with the filters when using them.
Example : When you use the Create Reminders batch job, a filter for the Customer Ledger Entries field of
Last Issued Reminder Level will be ignored because filters are fixed for that batch job.
Previewing a report
Previewing a report lets you see what the report will look like before you print it. The preview isn't based on the
printer selected in the Printer field on the request page. It's controlled by the browser. After previewing, you can
then go back to the request page and make changes to options and filters as needed.
To preview a report, choose the Preview or Preview & Close button on the report request page. The button
that displays depends on the report, so some reports have Preview button, while others have a Preview &
Close button. Both buttons will open a preview of the report. The difference is that Preview keeps the request
page open, so you can go back to it, make changes, preview again, or print. With Preview & Close , the request
page closes, so you'll have to open the report again to make changes or print.
NOTE
If you're using Business Central 2020 release wave 1 or earlier, there's only a Preview button, which closes the request
page on preview, like described for Preview & Close .
Work with the Preview

In the preview, use the menu bar on the report preview to:
Move through pages
Zoom in and out
Resize to fit the page
Select text
You can copy text from a report, and then paste it somewhere else, like a page in Business Central or
Microsoft Word. Using a mouse, for example, you press and hold where you want to start. Then move the
mouse to select one or more words, sentences, or paragraphs. Press the right mouse button and select
Copy . Then, paste the selected text where you want it.
Pan the document
You can move the visible area of the report in any direction so you can view other areas or the report.
Panning is helpful when you've zoomed in to see details. Using your mouse, for example, press and hold
the mouse button anywhere in the report preview, and then move your mouse.
Download to a PDF file on your computer or network.
Print
Saving a report to a file

You can save a report to a PDF document, Microsoft Word document, Microsoft Excel worksheet, or XML
document by choosing the Send to button, and then making your selection.
TIP
The Microsoft Excel Document (data only) and XML Document options are mostly for advanced purposes. You'd
typically use these options for doing detailed data analysis. For more information, see Analyzing Report Data with Excel
and XML.
You can also use the Microsoft Excel Document (data only) to create new Excel layouts for a given report. For more
information, see Work with Excel Layouts.
Scheduling a report to run later

You can schedule or batch job a report to run at a specific date and time. Scheduled reports and batch jobs are
entered in the job queue and processed at the scheduled time, similar to other jobs. You choose the Schedule
option after you choose the Send to button, and then you enter information such as printer, and time and date.
The report is then added to the job queue and will be run at the specified time. When the report is processed,
the item will be removed from the job queue. For more information, see Use Job Queues to Schedule Tasks.
When you schedule a report to run, you can specify that it must run every Thursday by setting the Next Run
Date Formula field to D4, for example. For more information, see Use Date Formulas.
You can choose to save the report to a file (like Excel, Word, or PDF), print it, or only generate the report. If you
choose to save the report to a file, then the processed report is sent to the Repor t Inbox area on your Role
Center, where you can view it.
Printing a report
To print a report, choose the Print button on the request page or on the menu bar of the Preview page.
When a report is using an Excel layout, you won't see Printer field, Print button or Preview button. Instead,
there's a Download button. To print, select Download , then open the downloaded file in Excel and print from
there.
Printer
The Printer field on the request page shows the name of printer that the report will be sent to. To change a
printer, just select the printer from the list.
NOTE
(Handled by the browser) indicates there's no designated printer for the report. In this case, the browser will handle
the printout and display a standard experience, where you can choose a local printer connected to your device. (Handled
by the browser) isn't available in the Business Central mobile app or app for Microsoft Teams.
TIP
The printer that's selected for you by default is set up on the Printer Selections page. For information about changing
the default printer, see To select which printers print which reports.
Printing reports in Thai

Specifically for the Thai version of Business Central, the Print button can't print reports correctly because of
limitations in the service that generates the printable PDF file. Instead, you can open the report in Word and
then save the report as a printable PDF.
Or, you can ask your administrator to create a Word report layout for your most used reports. For more
information, see Managing Report and Document Layouts.
Switching the report layout
A report layout controls what is shown on a report, how it's arranged, and how it's styled. If you want to switch
to a different layout, see Set the Layout Used by a Report. Or, if you want to customize your own report layout,
see Get Started Creating Layouts.
Advanced options
The fields under Advanced set limitations on the generated report to control printer resources. You typically
won't have to change these settings, unless you have a large report. If a report exceeds these limitations when
you try to preview or print, a message appears telling you which limitation was exceeded. You can then change
the settings to suit your report. Each field, however, has a maximum value that you should be aware of:
F IEL D M A XIM UM VA L UE
Maximum rendering time 12:00:00
Maximum rows 1000000
Maximum documents 500
NOTE
The maximum values may be different for Business Central on-premises, and an administrator can change them. For more
information, see Configuring Business Central Server - Reports. For an overview of reports limitations Business Central
online, see Operational Limits.

See also
Set Up Printers
Set Up Printers
Printing documents and reports from Business Central is an important task for business users. Users will
typically want to send print jobs directly to one of your organization's printers—no matter which Business
Central client or app they're using. Because Business Central online is a cloud service, it can't directly reach local
printers connected to users' devices, but it can connect to cloud-enabled printers.
To support your print needs, Business Central offers the following features:
F EAT URE DESC RIP T IO N W EB C L IEN T M O B IL E A P P A P P F O R T EA M S
Universal Print Universal Print is a

printer management
solution available as
a cloud service from
Microsoft. With this
feature, you can set
up your printers in
Universal Print, then
register them for use
in Business Central.
This feature requires
a Universal print
subscription and the
Universal Print
Integration
extension
Email Print This feature lets you

set up email-enabled
printers. Business
Central then sends
print jobs to a printer
using the printer's
email address. This
feature requires
email-enabled
printers, and the
Send to Email
Printer extension.
F EAT URE DESC RIP T IO N W EB C L IEN T M O B IL E A P P A P P F O R T EA M S
Browser printing Print jobs are

handled by the print
functionality of the
user's browser. If a
cloud printer isn't
installed and set up,
or if an installed
printer fails, then
printing will default
to the printing
options for the
browser. The Printer
field on the report
request page will
display (Handled by
the browser).
NOTE
Business Central also supports custom printer extensions that add even more print features. So if any custom printer
extensions are installed, you're application may include print features that aren't described in this article.
Set up Universal Print

Universal Print is a Microsoft 365 subscription-based service that runs entirely on Microsoft Azure. It gives you
centralized printer management through the Universal Print portal. Business Central makes printers set up in
Universal Print available to client users through the Universal Print Integration extension.
The complete setup requires you work in both Microsoft Azure, using the Azure portal, and in Business Central.
Supported printers
Business Central supports the same printers as Universal Print, which can be either Universal Print–compatible
or non-compatible printers. Non-compatible printers can't communicate with Universal Print directly, so they
require extra connector software, which is provided by Universal Print. Some older printers may not be
supported.
Prerequisites
For Business Central
Business Central 2021 release wave 1 or later
Universal Print Integration extension is installed
This extension is published and installed by default as part of Business Central online and on-premises.
You can verify whether it's installed on the Extension Management page. For more information, see
Installing and Uninstalling Extensions in Business Central.
Business Central on-premises:
Azure Active Directory (AD) or NavUserPassword authentication is configured
An application for Business Central is registered in your Azure AD tenant and Business Central
Like other Azure services that work with Business Central, Universal Print requires an app
registration for Business Central in Azure Active Directory (Azure AD). The app registration
provides authentication and authorization services between Business Central and Universal Print.
Your deployment may already be using an app registration for other Azure services, like Power BI.
If so, then use the existing app registration for Universal Print as well, instead of adding a new one.
The only thing you'll need to do, in this case, is modify the app registration to include the relevant
print permissions for Microsoft Graph API.
To registered an app an set the proper permissions, follow the steps described in Register an
application in Azure Active Directory.
For Universal Print
A Universal Print subscription/license for your organization.
For more information, see License Universal Print.
You have the Printer Management and Global Administrator roles in Azure.
To manage Universal Print, your account must have Printer Management and Global Administrator
roles in Azure AD. These roles are only needed for managing Universal Print. They aren't required by
users to use the printers from Business Central.
Set up Universal Print and add printers in Microsoft Azure
Before you can start managing Universal Print printers in Business Central, there are several tasks you'll need to
go through to get Universal Print up and running in Azure with the printers you want use.
For detailed instructions on how to get set up, see Get started: Set up Universal Print in the Universal Print
documentation. Here's an overview of the steps you'll need to complete. Most of these steps are done in the
Azure portal.
1. Assign Universal Print licenses to yourself and other users.
How you assign the license depends on whether you're integrating with Business Central online or on-
premises.
With Business Central online, you assign licenses by using the Microsoft 365 admin center.
For more information, see Microsoft Admin Center Help - Assign licenses to users.
With Business Central on-premises, you assign licenses in your Azure tenant using the Azure
portal.
For more information, see Azure Directory - Assign or remove licenses in the Azure Active
Directory portal.
2. Install the Universal Print connector for registering printers that can't communicate with Universal Print
directly.
Most in-market printers can't communicate with Universal Print directly. You'll have to install the
Universal Print connector for these printers. For more information, see Installing the Universal Print
Connector.
3. Register your printers in Universal Print.
Registering a printer makes Universal Printer aware of the Printer.
For printers that can communicate directly with Universal Print, follow the steps provided by the
printer manufacturer.
For other printers, register the printers by using the Universal Print connector.
For more information, see Printer registration.
4. Change printer properties (optional)
After a printer is registered, you can view and modify printer properties, like default preferences.
For more information, see Managing Printer Settings using the Universal Print portal.
5. Share the printers.
Any printer that you want to use in Business Central will have to be shared in Universal Print.
For more information, see Share a Printer.
6. Give users permission to the shared printers.
For more information, see Printer Permissions.
7. Enable document conversion.
Universal Print renders content for print in XPS format. Some legacy in-market printers don't support
XPS content rendering—in many cases, only PDF format. Printing to these printers will fail unless
Universal Print is set up to convert documents to the printer-supported format.
For more information, see Document Conversion Overview.
Now, you're ready to add the printers to Business Central, set up default printers for reports, and print.
Add Universal Printer printers to Business Central
After printers are set up and shared in Universal print, you're ready to them to Business Central for use. There
are two ways to add Universal Print printers. You can add the printers all at once or individually, one at a time.
Adding printers individually let's you set up the same Universal Print printer in Business Central more than once.
Then, for each added printer, you can change the print settings, like paper tray, size, and orientation. This way,
you can set up printers for different reports and documents that have special output requirements.
1. Choose the icon, enter Printer Management , and then select the related link.
2. Select Universal Print , and then choose one of the following options:
Add all Universal Print printers to add all printers that aren't already added. You can use this
option even if there are already printers added.
Add a Universal Print printer to add a specific printer.
3. Follow the on-screen instructions.
If you chose Add all Universal Print printers , then the Add Universal Print Printers setup
starts.
If you chose to Add a Universal Print printer , then the Universal Printer Settings page
appears. Fill in the Name field, the select ... next to the Print Share in Universal Print field to
select the Universal Print printer. Fill in the remaining fields as needed. Hover over a field to read a
short description..
These actions verify your Azure AD setup (for on-premises), check that your have Universal Print license,
and then finally adding the printers.
NOTE
For on-premises, if this is the first time connecting to Universal Print, the AZURE ACTIVE DIRECTORY SERVICE
PERMISSIONS page appears and you'll be prompted to give consent to Azure Services. You only have to do give
consent once.
After a printer has been added, you can view and change its settings from the Printer Management . Just select
the printer, then choose Edit printer settings .
Set up Email Print

Prerequisites
Business Central 2020 release wave 1 or later
Send to Email Printer extension is installed
This extension is installed by default. For information about installing extensions, see
Email functionality is set up.
For more information, see Set Up Email.
Add an email printer
The Printer Management page shows you the printers that are currently set up. The page also gives you
access the Settings page for each printer to edit an existing setup or set up a new printer.
2. Select Email Print , and then choose Add an email printer .
3. On the Email Printer Settings page, fill in the fields as necessary. Hover over a field to read a short
description.
NOTE
You must manually select the appropriate paper size for a printer as no local printer or user settings can be stored.
Beware that the Email Printer extension is set to A4 paper size by default, which isn't suited in North America, for
example.
Privacy Notice
If you use the Email Printer extension, then all or some print jobs will be sent to the email address configured for
the printer. We strongly recommend that a unique email ID is tied to a printer device using only the official
services provided by the hardware manufacturer, such as HP ePrint, KonicaMinolta EveryonePrint, or Epson
Email Print.
Take all necessary privacy precautions, including ensuring that the email printing solution has properly
configured permissions, privacy settings, and retention policies. It is your responsibility to provide a correct,
verified, and operational email address. For more information, see Microsoft Privacy Statement.
Set up default printers

There are a couple ways to set up printers that will be used by default for print jobs. A default printer is useful if
you work with different reports that require different printers because of their placement in the company or
their output capabilities.
Set a printer as a default printer for all print jobs
The Printer Management page lets you set up a printer as a default printer for all print jobs. You can specify
the printer as default for you only or for all users.
TIP
You can also open the Printer Management page from the Printer Selections page by choosing Printer
Management .
2. On the Printer Management page, select a printer from the list, choose Manage , then choose Set as
my default printer or Set as default printer for all users .
NOTE
Setting a default printer from the Printer Management will add an entry in the Printer Selections .
Set a default printer for specific reports

The Printer Selections page let's you specify the printer that a report will use by default. Default printers are
set on a user-account basis. You can set a default printer for just yourself, another user, or all users.
IMPORTANT
For Business Central on-premises, the Printer Selections page can only be used for cloud printers defined by printer
extensions, like Email Print and Universal Print printers. It can't be used for local printers.
1. Choose the icon, enter Printer Selections , and then select the related link. Instead, from the Printer
Management page, select a printer, and then choose the Printer Selections action.
2. Choose the New action to add a printer selection for a specific report.
3. Fill in the fields as necessary.
The specified report is now set up to print to the selected printer by default.
NOTE
When you print the report in question, you can select a different using the Print field on the request page.
NOTE
If you do not set a report up for a specific printer on the Printer Selections page, then it will be printed to the default
printer of the company, as defined from the Printer Management page.
You or the administrator can also use the Printer Selections page to define other variations of printing for
users and reports. The following table describes the combination of values to specify different printing setup for
a report.
TO SET T H E F O L LO W IN G VA L UES
Print a report to a specific printer for all users Specify values in the Repor t ID and Printer Name fields
and leave the User ID field blank.
Print all reports to a specific printer for a specific user Specify values in the User ID and Printer Name fields and
leave the Repor t ID field blank. This entry does the same as
the Set as my default printer action on the Print
Management page.
Set the default printer for all reports for all users Specify a value in the Printer Name field and leave the
User ID and Repor t ID fields blank. This entry does the
same as the Set as default printer for all users action
on the Print Management page.
Print a specific report to the user's default printer Specify a value in the Repor t ID field and leave the Printer
Name and User ID fields blank.
Print a specific report to a specific printer for a specific user Specify values in all three fields.
NOTE
More specific printer selections take precedence over a more general printer selections. For example, a printer selection
that has values in the User ID , Repor t ID , and Printer Name fields takes precedence over a printer selection that has
blank entries in the User ID or Repor t ID fields.
Choosing the printer when running a report

Instead of using the default printer when running a report, you can override this setting from the request page.
Simply choose the wich printer you want to use for this invocation of the report in the Printer dropdown menu.
Sizing Print Jobs
Cloud printing is designed for documents of a reasonable size. Most cloud services, including PrintNode and HP
ePrint, have a limit of 10 MB per job. If you need to print larger reports, you may have to split them in multiple
printouts.

See also
Printing a Report
Run Batch Jobs
A report gathers information based on a specified set of criteria. It organizes and presents the information in an
easy-to-read format that you can print or save as a file. There are many reports that you can access throughout
the application. The reports typically provide information related to the context of the page you're on. For
example, the Customer page includes reports for the top 10 customers, sales statistics, and more.
Batch jobs and XMLports do more or less the same as reports, but are used more for processing or exporting
data. For example, the Create Reminders batch job creates reminder documents for customers with overdue
payments.
NOTE
This topic refers mainly to "report", but similar information applies to batch jobs and XMLports.
Get started
You find reports in the Repor ts tab on selected pages, or you can use search to find reports by name.
When you open a report, batch job, or XMLport, you're typically presented with a request page where you set
various options and filters that determine what to include in the report. The following sections explain how to
use the request page to build, preview, and print a report.
Using default values - predefined settings

Most request pages include the Use default values from field. This field lets you select predefined settings for
the report, which automatically set options and filters for the report. Select an entry from the drop-down list,
and you'll see the options and filters on the request page change accordingly.
The entry called Last used options and filters is always available. This entry sets the report to use options
and filters that were used the last time you ran the report.
The Use default values from field provides a fast and reliable way to consistently generate reports that
contain the correct data. After you select an entry, you can change any of the options and filters before
previewing or printing the report. The changes that you make won't be saved to the predefined settings entry
you selected, but they'll be saved to the Last used options and filters entry.
NOTE
The predefined settings are typically set up and managed by an administrator. If you want to learn more, see Manage
Saved Settings for Reports and Batch Jobs.
Specifying the data to include in a report

Use the fields under Options and Filters to change limit the information you want in the report. You set filters
in a report in more or less the same way as you set filters on lists. For more information, see Filtering.
Cau t i on
The Filter list by section on a request page provides a generic filtering capability for reports. These filters are
optional.
Some reports will ignore any such filters, meaning that no matter what filter is set in the Filter list by section,
the output of the report is the same. It's not possible to provide a list of which fields are ignored in which
reports, so you will have to experiment with the filters when using them.
Example : When you use the Create Reminders batch job, a filter for the Customer Ledger Entries field of
Last Issued Reminder Level will be ignored because filters are fixed for that batch job.
Previewing a report
Previewing a report lets you see what the report will look like before you print it. The preview isn't based on the
printer selected in the Printer field on the request page. It's controlled by the browser. After previewing, you can
then go back to the request page and make changes to options and filters as needed.
To preview a report, choose the Preview or Preview & Close button on the report request page. The button
that displays depends on the report, so some reports have Preview button, while others have a Preview &
Close button. Both buttons will open a preview of the report. The difference is that Preview keeps the request
page open, so you can go back to it, make changes, preview again, or print. With Preview & Close , the request
page closes, so you'll have to open the report again to make changes or print.
NOTE
If you're using Business Central 2020 release wave 1 or earlier, there's only a Preview button, which closes the request
page on preview, like described for Preview & Close .
Work with the Preview

In the preview, use the menu bar on the report preview to:
Move through pages
Zoom in and out
Resize to fit the page
Select text
You can copy text from a report, and then paste it somewhere else, like a page in Business Central or
Microsoft Word. Using a mouse, for example, you press and hold where you want to start. Then move the
mouse to select one or more words, sentences, or paragraphs. Press the right mouse button and select
Copy . Then, paste the selected text where you want it.
Pan the document
You can move the visible area of the report in any direction so you can view other areas or the report.
Panning is helpful when you've zoomed in to see details. Using your mouse, for example, press and hold
the mouse button anywhere in the report preview, and then move your mouse.
Download to a PDF file on your computer or network.
Print
Saving a report to a file

You can save a report to a PDF document, Microsoft Word document, Microsoft Excel worksheet, or XML
document by choosing the Send to button, and then making your selection.
TIP
The Microsoft Excel Document (data only) and XML Document options are mostly for advanced purposes. You'd
typically use these options for doing detailed data analysis. For more information, see Analyzing Report Data with Excel
and XML.
You can also use the Microsoft Excel Document (data only) to create new Excel layouts for a given report. For more
information, see Work with Excel Layouts.
Scheduling a report to run later

You can schedule or batch job a report to run at a specific date and time. Scheduled reports and batch jobs are
option after you choose the Send to button, and then you enter information such as printer, and time and date.
The report is then added to the job queue and will be run at the specified time. When the report is processed,
the item will be removed from the job queue. For more information, see Use Job Queues to Schedule Tasks.
When you schedule a report to run, you can specify that it must run every Thursday by setting the Next Run
Date Formula field to D4, for example. For more information, see Use Date Formulas.
You can choose to save the report to a file (like Excel, Word, or PDF), print it, or only generate the report. If you
choose to save the report to a file, then the processed report is sent to the Repor t Inbox area on your Role
Center, where you can view it.
Printing a report
To print a report, choose the Print button on the request page or on the menu bar of the Preview page.
When a report is using an Excel layout, you won't see Printer field, Print button or Preview button. Instead,
there's a Download button. To print, select Download , then open the downloaded file in Excel and print from
there.
Printer
The Printer field on the request page shows the name of printer that the report will be sent to. To change a
printer, just select the printer from the list.
NOTE
(Handled by the browser) indicates there's no designated printer for the report. In this case, the browser will handle
the printout and display a standard experience, where you can choose a local printer connected to your device. (Handled
by the browser) isn't available in the Business Central mobile app or app for Microsoft Teams.
TIP
The printer that's selected for you by default is set up on the Printer Selections page. For information about changing
the default printer, see To select which printers print which reports.
Printing reports in Thai

Specifically for the Thai version of Business Central, the Print button can't print reports correctly because of
limitations in the service that generates the printable PDF file. Instead, you can open the report in Word and
then save the report as a printable PDF.
Or, you can ask your administrator to create a Word report layout for your most used reports. For more
information, see Managing Report and Document Layouts.
Switching the report layout
A report layout controls what is shown on a report, how it's arranged, and how it's styled. If you want to switch
to a different layout, see Set the Layout Used by a Report. Or, if you want to customize your own report layout,
see Get Started Creating Layouts.
Advanced options
The fields under Advanced set limitations on the generated report to control printer resources. You typically
won't have to change these settings, unless you have a large report. If a report exceeds these limitations when
you try to preview or print, a message appears telling you which limitation was exceeded. You can then change
the settings to suit your report. Each field, however, has a maximum value that you should be aware of:
F IEL D M A XIM UM VA L UE
Maximum rendering time 12:00:00
Maximum rows 1000000
Maximum documents 500
NOTE
The maximum values may be different for Business Central on-premises, and an administrator can change them. For more
information, see Configuring Business Central Server - Reports. For an overview of reports limitations Business Central
online, see Operational Limits.

See also
Set Up Printers
Manage Saved Settings for Reports and Batch jobs
When running reports, users are typically presented with a page that lets them select options and set filters to
change the data that is included in the generated report. This page is called the request page. A report can
include one or more saved settings that users can apply to the report from the request page. Saved settings are
basically predefined options and filters. Using saved settings is a fast and reliable way to consistently generate
reports that contain the correct data. For more information, see Use saved settings.
NOTE
This topic refers to reports, but similar information applies to batch jobs.
If you have the proper permissions, you can view, create, and modify the saved settings for all reports for all
users in a company. You can assign saved settings for a report to individual users or to all users in the company.
Manage saved settings

You manage saved settings on the Repor ts Settings page. There are two ways to open this page:
Choose the icon, enter Repor t Settings , and then choose the related link.
In a report's request page, choose the lookup in the Use default values from field, and then choose the
Select from full list action.
This field is only visible if you have run the report at least once earlier. The list will only show settings that
are available to you, either because they are your own settings, or because the settings are shared with
you.
The Repor t Settings page displays all the existing saved settings entries for all users. If there is a user name in
the Assigned to field, only that user can use the saved settings for the associated report. If there is a check
mark in the Share with all users field, all users can use the saved settings for the report.
TIP
When a user has run a report that supports shared settings, their settings are saved and added to this list. In most cases,
the admin can then edit those settings and choose to share the settings with all users.
However, in some cases, settings cannot be shared, and the admin cannot change them either. Most batch jobs do not
support shared settings.
Create or modify saved settings for all users

From the Repor t Settings page, you can:
Choose the New action to create a new saved settings entry from scratch.
Select a saved settings entry from the list, and choose the Copy action to create a copy.
Select a saved settings entry from the list, and choose the Edit action to modify a saved settings entry.
IMPORTANT
Consider the name that you give a saved settings entry. If you create a saved settings entry for all users, and you give it
the same name as an existing saved settings entry that is assigned to a specific user only, then that user will not be able
to use the saved settings entry that is assigned to everyone. In the Saved Settings section on the request page, the
user will see two saved settings entries with the same name. However, no matter which option they choose, the user-
specific saved settings entry will be used.
NOTE
The ability to save settings is available only on reports where the SaveValues property of the report's request page is set
to Yes . The SaveValues property is set by the developer.
See Also
Work with Reports, Batch Jobs, and XMLports
View Test Reports Before Posting
When you are ready to post a document, such as an order, invoice, or a credit memo, you can test the document
to ensure that no issues exist that will block the posting.
NOTE
The following procedure is about testing before posting a purchase document. The functionality works in the same way
for sales documents.
To print a test report before posting a purchase invoice

1. Choose the icon, enter Purchase Invoices , and then select the related link.
2. Open the purchase invoice that you want to test.
3. Choose the Test Repor t action.
All parts of the purchase invoice are tested, and the result is presented in a report. If the report indicates any
errors or missing information, then you must correct the problem before posting the purchase invoice.
See Also
Posting Documents and Journals
Run Batch Jobs and XMLports
A batch job is a routine that processes data in batches, for example the Adjust Exchange Rates batch job.
There are batch jobs that perform periodic accounting activities, such as closing the income statement at the end
of a fiscal year. Many batch jobs do calculation work, such as calculation of finance charges, exchange rate
adjustment, and calculation of unit prices.
A batch job is like a report, except the batch job uses the result of its work to update information directly, instead
of printing the results.
You can schedule when a batch job runs. For more information, see Use Job Queues to Schedule Tasks.
To run a batch job

1. To open the request page for the relevant batch job, choose the icon, enter the name of the batch job, and
then choose the related link.
2. If there is an Options FastTab for the batch job, fill in the fields to determine what the batch job will do.
3. The page may contain one or more FastTab with filters, which you can use to limit the data included in the
batch job. You can enter criteria in the suggested filters or add more filters.
4. Choose the OK button to start the batch job.
See Also
Sorting, Searching, and Filtering Lists
Report and Document Layouts Overview
A report layout controls content and format of the report, including which data fields of a report dataset appear
on the report and how they're arranged, text style, images, and more. From Business Central, you can change
which layout is used on a report, create new layout, or modify the existing layouts.
NOTE
In Business Central, the term "report" also covers externally-facing documents, such as sales invoices and order
confirmations that you send to customers as PDF files.
You can also use report layouts to add content to email messages. For example, report layouts can save time
and help ensure consistency by reusing the same content when you communicate with your customers. To use
custom report layouts with email, the file type for the layout must be Word. You cannot use the RDLC file type.
For more information, see Set Up Reusable Email Texts and Layouts.
Introduction
In particular, a report layout sets up the following things:
The label and data fields to include from the dataset of the Business Central report.
The text format, such as font type, size, and color.
The company logo and its position.
General page settings, such as margins and background images.
A report can be set up with multiple report layouts, which you can switch among as required.
There are two important aspects of report layouts that will influence how you work with them: the layout type
and the layout source. The layout type indicates the kind of file that the layout is based on. The layout source
indicates the origin of the layout.
Layout types
There are four types of layouts that you can use on reports: Word, RDLC, Excel, and external.
Word
Word layouts are based on Word documents (.docx file type). Word layouts enable you to design report layouts
by using Microsoft Word. A Word layout determines the report's content - controlling how that content
elements are arranged and how they look. A Word layout document will typically use tables to arrange content,
where the cells can contain data fields, text, or pictures.
For more information, see Work with Word Layouts.
Excel
Excel layouts are based on Microsoft Excel workbooks (.xlsx file type). They let you create reports by using
familiar Excel features for summarizing, analyzing, and presenting data with tools like formulas, PivotTables,
PivotCharts, and more.
For more information, see Work with Excel Layouts.
RDLC
RDLC layouts are based on client report definition layout files (.rdl or .rdlc file types). These layouts are created
and modified by using SQL Server Report Builder or Microsoft RDLC Report Designer. The design concept for
RDLC layouts is similar to Word layouts, where the layout determines what fields to show and how they're
arranged. However, designing RDLC layouts is more advanced than Word layouts.
For more information, see Work with RDLC Layouts.
External
An external layout type refers to an advanced type that's specially designed for specific reports. The reports and
the layouts themselves are typically provided by partners, not Microsoft. The actual file type of the layout will
vary depending on the provider.
For more information, see Developing a Custom Report Render.
Layout sources
In addition to the type, layouts are further divided into three categories, based on their source or origin.
Extension layouts
Extension layouts are layouts that are part of an extension that's been installed on the environment. These
layouts are typically standard layouts provided by Microsoft, for example, in the base application. Or, they
could be layouts that are included in extensions from other software providers. You can recognize
extension layouts on the Repor t Layouts page because the extension name and publisher is shown in
the Extension column.
User-defined layouts
The other source of layouts is the end-user. From inside Business Central, a user with proper permissions
can add new layouts in various ways. For example, you could start from an existing extension layout or
another user-defined layout. On the Repor t Layouts , user-defined layout will have an empty Extension
column.
For more information, see Get Started Creating Report Layouts.
Custom layouts
Custom layouts are also layouts that are created by users. The difference is that these layouts are created
from the legacy Custom Repor t Layouts page, and they can only be Word and RDLC type. Although
you can still create custom layouts, they're being phased out in favor of user-defined layouts.
For more information, see (Legacy) Create and Modify Custom Report Layouts.
For information that will help you decide what type is best for you, see Decide what type of layout you want.
IMPORTANT
One important thing to remember is that you can't modify extension layouts from the Business Central client. For
example, you aren't allowed to change the layout name or type, or upload and replace it with another version. If you try,
you'll get an error message. You'll have to create a user-defined or custom layout based on the extension layout instead.

See Also
Import and Export a Custom Report or Document Layout
Define Special Document Layouts for Customers and Vendors
Get Started Creating Report Layouts
Business Central comes with many built-in layouts that you can use on your reports. Other layouts may have
been added as part of other extensions. But it's also possible to create your own reports either from scratch or
based an existing layout.
IMPORTANT
You can also use report layouts to add content to email messages. For example, report layouts can save time and help
ensure consistency by reusing the same content when you communicate with your customers. To use custom report
layouts with email, the file type for the layout must be Word. You cannot use the RDLC file type. For more information,
see Set Up Reusable Email Texts and Layouts.
Overview
When working with report layouts, it helps to think of the layout as a file that's imported and assigned to a
report. Regardless of the layout type, how you manage layouts in Business Central is basically the same. Usually,
you'll work from the Repor t Layouts page. The main difference is how you design the layout, which is done by
using the application software that the layout's built on, like Word, Excel, or SQL Server Report Builder.
With this concept in mind. there are basically three or four tasks involved in setting up a layout on a report:
1. Decide on the layout type.
2. Export a copy of an existing layout to use as a starting point.
3. Make changes to the layout file in the appropriate application.
4. Add the new layout file to the report.
IMPORTANT
You can't modify or replace an extension layout, which is a layout that originates from an extension. You can only modify
or replace user-defined layouts. On the Repor t Layouts page, you can tell whether layout is an extension layout or user-
defined layout by looking at Extension column. An extension layout will show information about the source extension in
the column. The Extension column will be empty for a user-defined layout.
To learn about the difference between extension layouts and user-defined layouts, see Layout source.
Get started
Depending on what your situation is, the actual tasks will vary. Use the following table to help you get started.
W H AT DO Y O U WA N T TO DO ? SEE. . .
Figure out what's the best layout type to use for my Decide what type of layout you want
situation
Create a new layout for a report that's based on an existing Create a new layout
layout, keeping the existing layout as it is.
W H AT DO Y O U WA N T TO DO ? SEE. . .
Make changes to an existing layout that's used on a report Modify a layout
I have a new version of a layout file for a report. I want to Replace a layout
replace the existing layout file.
Switch the current layout used by a report to another layout Setting the Layout Used by a Report
Change the name and description of a layout Rename a layout
Decide what type of layout you want

The first thing when creating a layout is to decide which layout type you want. You can choose either Word,
Excel, or RDLC. The layout type will depend on how you want the generated report to look. Plus, it depends on
your knowledge of application software for creating the layouts, like Word, Excel, and SQL Server Report Builder.
Excel layouts are generally the easiest to create and modify because the features for summarizing data,
adding graphics, and styling, are common Excel features.
Not all reports and document have a dataset that is optimized for use with an Excel layout. For example,
aggregations and complex calculations work best with RDLC or Word layouts. The same is true for
documents.
If you're only making style changes like font type, size and colors, a Word layout are also a good choice.
Adding data fields or rearranging data fields in Word or RDLC is more advanced than with Excel.
Word and RDLC layouts are good to use for reports that will eventually be printed.
The general design concepts for Word and RDLC layouts are similar. However each type has certain
design features that affect how the generated report appears in Business Central. The same report might
look different when using the Word layout compared to the RDLC layout.
Create a new layout

There are two ways to create a new layout from an existing layout. One way is by saving the existing layout to a
copy. The other way is to export the existing layout.
Copying
Exporting/Importing
Copying is a quick way to create a new layout that's the same as an existing layout. Once you have the copy,
you'll make modifications by exporting the layout.
1. Choose the icon, enter Repor t Layouts , and then choose the related link.
The Repor t Layouts page appears and lists all the layouts currently available for all reports.
2. Select the layout that you want a copy of for your new layout, then choose the Edit Info action.
If you selected an extension layout, you're prompted whether you want to edit a copy. To continue, select
Yes .
TIP
To help you find the layout, use the Search box, Filter pane, and columns sorting.
3. Change the Layout Name .

4. Turn the Save Changes to Copy switch to On , then select OK
The new layout shows in the Repor t Layouts page.
5. If you want to make changes to the new layout, see Modify an existing layout.
Modify a layout
Follow these steps to modify an existing user-defined layout.
2. Select the layout that you want to modify, then choose the Expor t Layout action.
The layout file is downloaded to your device.
TIP
3. Open the layout file in the appropriate application, like Word (for a .docx file) or Excel (for an .xlsx file).
For more information, see:
Make changes to the file and save it.
4. Back on the Repor t Layouts page, select the existing layout, then select the Replace Layout action.
5. Select OK > Choose to open file explorer on your device.
6. Find and select the Excel file, then select Open .
The selected file is uploaded to the layout, and you return to the Repor t Layouts page.
7. If you want to see how the report looks with the new layout, select the layout in the list, then select Run
Repor t .
Replace a layout
Follow these steps to replace the existing user-defined layout file with a new file.
2. Select the existing layout, then select the Replace Layout action.
Repor t .
Rename a layout
Follow these steps if you want to change the name and description of a user-defined layout.
2. Select the layout that you want to rename, then choose the Edit Info action.
TIP
3. Change the Layout Name , then select OK .

See Also
Managing Report Layouts
Working with Word Layouts
Working with Excel Layouts
Working with Reports, Batch Jobs, and XMLports
A Word report layout determines the content and format of a report when it is previewed and printed from
Business Central. You create and modify these layouts using Microsoft Word.
When you modify a Word report layout, you specify the fields of the report dataset to include on report and
how the fields are arranged. You also define the general format of the report, such as text font and size, margins,
and background images. You will typically arrange the content of the report by adding tables to the layout.
To make general formatting and layout changes, such as changing text font, adding and modifying a table, or
removing a data field, just use the basic editing features of Word, like you do with any Word document.
If you're designing a Word report layout from scratch or adding new data fields, then start by adding a table that
includes rows and columns that will eventually hold the data fields.
TIP
Show the table gridlines so that you see the boundaries of table cells. Remember to hide the gridlines when you're done
editing. To show or hide table gridlines, select the table, and then under Layout on the Table tab, choose View
Gridlines .
Embedding Fonts in Word Layouts for Consistency

To ensure that reports always display and print with the intended fonts, wherever users open or print the
reports, you can embed the fonts in the Word document. However, embedding fonts can significantly increase
the size of the Word files. For more information about embedding fonts in Word, see Embed fonts in Word,
PowerPoint, or Excel.
Adding data fields

A report dataset can consist of fields that display labels, data, and images. This topic describes the procedure for
adding fields of a report dataset to an existing Word report layout for a report. You add fields by using the Word
custom XML part for the report and adding content controls that map to the fields of the report dataset. Adding
fields requires that you have some knowledge of the report's dataset so that you can identify the fields that you
want to add to the layout.
NOTE
You cannot modify built-in report layouts.
To open the Custom XML part for the Report in Word

1. If not already open, then open the Word report layout document in Word.
For more information, see Create and Modify a Custom Report Layout.
2. Show the Developer tab in the ribbon of Microsoft Word.
By default, the Developer tab is not shown in the ribbon. For more information, see Show the Developer
Tab on the Ribbon.
3. On the Developer tab, choose XML Mapping Pane .
4. In the XML Mapping pane, in the Custom XML Par t dropdown list, choose the custom XML part for
Business Central report, which is typically last in the list. The name of the custom XML part has the
following format:
urn:microsoft-dynamics-nav/reports/<report_name>/<ID>
<report_name> is the name that is assigned to the report

<ID> is the identification number of the report.
After you select the custom XML part, the XML Mapping pane displays the labels and field controls that
are available for the report.
To add a label or data field
1. Place your cursor in the document where you want to add the control.
2. In the XML Mapping pane, right-click the control that you want to add, choose Inser t Content
Control , and then choose Plain Text .
NOTE
You cannot add a field by manually typing the dataset field name in the content control. You must use the XML
Mapping pane to map the fields.
To add repeating rows of data fields to create a list

1. In a table, add a table row that includes a column for each field that you want repeated.
This row will act as a placeholder for the repeating fields.
2. Select the entire row.
3. In the XML Mapping pane, right-click the control that corresponds to the report data item that contains
the fields that you want repeated, choose Inser t Content Control , and then choose Repeating .
4. Add the repeating fields to the row as follows:
a. Place your pointer in a column.
b. In the XML Mapping pane, right-click the control that you want to add, choose Inser t Content
Control , and then choose Plain Text .
c. For each field, repeat steps a and b.
Adding image fields

A report dataset can include a field that contains an image, such as a company logo or a picture of an item. To
add an image from the report dataset, you insert a Picture content control.
Images align in the top-left corner of the content control and resize automatically in proportion to fit the
boundary of the content control.
IMPORTANT
You can only add images that have a format that is supported by Word, such as .bmp, .jpeg, and .png file types. If you
add an image that has a format that is not supported by Word, you will get an error when you run the report from the
Business Central client.
To add an image
1. Place your pointer in the document where you want to add the control.
2. In the XML Mapping pane, right-click the control that you want to add, choose Inser t Content
Control , and then choose Picture .
3. To increase or decrease the image size, drag a sizing handle away from or towards the center of the
content control.
Removing label and data fields

Label and data fields of a report are contained in content controls in Word. The following figure illustrates a
content control when it's selected in the Word document.
The name of the label or data field name displays in the content control. In the example, the field name is
CompanyAddr1.
To remove a label or data field
1. Right-click the field that you want to delete, and then choose Remove Content Control .
The content control is removed, but the field name remains as text.
2. Delete the remaining text as needed.
Custom XML Part Overview

Word report layouts are built on custom XML parts. A custom XML part for a report consists of elements that
correspond to the data items, columns, and labels that comprise the report's dataset. The custom XML part is
used to map the data into a report when the report is run.
XML structure of custom XML part
The following table provides a simplified overview of the XML of a custom XML part.
XM L EL EM EN T S DESC RIP T IO N
<?xml version="1.0" encoding="utf-16"?> Header
<WordReportXmlPart xmlns="urn:microsoft-dynamics- XML namespace specification. <reportname> is the name

365/report/<reportname>/<id>/" that is assigned to the report. <id> is the ID that is
assigned to the report.
..<Labels> Contains all the labels for the report.

- Label elements that are related to columns have the
.... format
<ColumnNameCaption>ColumnNameCaption</ColumnNameCaption> <ColumnNameCaption>ColumnNameCaption</ColumnNameCaption>
.
....<LabelName>LabelCaption</LabelName> - Label elements have the format
<LabelName>LabelName</LabelName .
..</Labels> - Labels are listed in alphabetical order.
..<DataItem1> Top-level data item and columns. Columns are listed in

alphabetical order.
....
<DataItem1Column1>DataItem1Column1</DataItem1Column1>
....<DataItem2> Data items and columns that are nested in the top-level
data item. Columns are listed in alphabetical order under the
...... respective data item.
....</DataItem2>
....<DataItem3>
......
....</DataItem3>
..</DataItem1> Closing element.
</WordReportXmlPart>
Custom XML part in Word

In Word, you open the custom XML part in the XML Mapping pane, and then use the pane to map elements to
content controls in the Word document. The XML Mapping pane is accessible from the Developer tab (for
more information, see Show the Developer Tab on the Ribbon).
The elements in the XML Mapping pane appear in a structure that is similar to the XML source. Label fields are
grouped under a common Labels element and data item and columns are arranged in a hierarchal structure
that corresponds to the XML source, with columns listed in alphabetical order. Elements are identified by their
column name as defined in the report's dataset in AL code. For more information, see Defining a Report Dataset.
The following figure illustrates the simple custom XML part from the previous section in the XML Mapping
pane of a Word document.
To add a label or field to the layout, you insert a content control that maps to the element in the XML
Mapping pane.
To create repeating rows of columns, insert a Repeating content control for the parent data item
element, and then add content control for the columns.
For labels, the actual text that appears in the generated report is the value of the Caption property for
the field in the data item table (if the label is related to the column in the report dataset) or a label in the
Report Label Designer (if the label is not related to a column in the dataset).
The language of the label that is displayed when you run the report depends on the language setting of
the report object.
See Also
Create and Modify a Custom Report Layout
Working with Excel Layouts
Excel report layouts are based on Microsoft Excel workbooks (.xlsx files). They let you create reports by using
familiar Excel features for summarizing, analyzing, and presenting data, like formulas, PivotTables and
PivotCharts.
This article explains some of the most important things you need to know to get started with Excel layouts.
Why use Excel layouts?

Here are some more benefits of using Excel layouts:
Create interactive reports using visualizations like slicers
View raw data from the report dataset to help understand how the report works and where the data on
visuals comes from
Use built-in Office features to do post-processing on rendered reports, like:
Protecting the worksheets
Applying sensitivity labels
Adding comments and notes
Forecasting and analysis
Use installed add-ins and app integrations, like Power Automate flows or OneDrive.
Get started
There are basically two tasks involved in setting up an Excel layout on a report:
1. Create the new Excel layout file.
2. Add the new layout to the report.
Task 1: Create the Excel layout file
There are three ways to create an Excel layout file for a report as explained in this section
From any report
From another Excel layout on a report
From AL code
You can use the following steps to create an Excel layout from any report, regardless of the current layout type.
The Excel layout will contain the required Data sheet and table, a Repor t Metadata sheet, and nothing else.
2. In the Repor t Layouts list, select any layout for the report, then choose the Run Repor t action.
3. On the report request page, select Send to > Microsoft Excel Document (data only) > OK .
This step downloads an Excel workbook that contains the report dataset.
4. Open the downloaded file in Excel, make changes, then save the file.
Task 2: Add the Excel layout to the report

Once you have the Excel layout file, the next task is to add it as a new layout for the report.
2. Select New Layout .
3. Set the Repor t ID to report.
4. Enter a name in Layout Name .
5. Set Format Options to Excel .
Repor t .
Understanding Excel layouts

There are few things you should know or consider when you start creating or making changes to Excel layouts.
Every Excel layout must include a two elements: a Data sheet and a Data table. These elements form the basis
of the layout by defining the business data from Business Central that you can work with. You can think of the
Data sheet as a kind contract between the layout in the business data. You'll use this data as the source of
calculations and visualizations that you want to present on other sheets.
There are some specific requirements to the structure of the Excel workbook. If the requirements aren't met,
you'll have problems using the layout. The following diagram and table outline the elements of an Excel layout
and the requirements.
N O. EL EM EN T DESC RIP T IO N M A N DATO RY
1 Data sheet Must have the name

Data
Can only include
one table, and the
table must be
named Data
2 Data table Must have the name

Data
Must have at least
one column.
Can only include
columns that are in
the report dataset.
Must start in the
first cell A1 of the
Data sheet
3 Presentation sheets Used to present

data.
Data comes from
the Data sheet.
4 Repor t Metadata sheet Automatically

included if the
layout was created
by exporting
another report as
Excel
Contains general
information about
the report
Can be deleted
To summarize what you can and can't do on the Data sheet:
Don't change the name of Data sheet, Data table, or columns.
You can delete or hide columns.
Don't add any columns unless they're included in the report dataset.
You can place the sheets in any order. For example, the Data sheet can be first or last.

See Also
Change the Current Report Layout
Business Intelligence
Analyzing Report Data with Excel
Working with RDLC Layouts
RDLC layouts are based on client report definition layout files (.rdl or .rdlc file types). The design concepts for
RDLC layouts are similar to other layout types. The layout determines what fields to show and how they're
arranged. However, designing RDLC layouts is more advanced than Word and Excel layouts.
Required tools
To modify RDL layouts, you can use either Microsoft SQL Server Report Builder or Microsoft RDLC Report
Designer.
Report Builder is a stand-alone app installed on your computer by you or an administrator. With Business
Central on-premises, Report Builder is automatically installed with the Business Central Server
installation. For more information about installing Report Builder, see Install Report Builder in the SQL
Server documentation.
RDLC Report Designer is an extension for Visual Studio 2017 and later. You can download and install
RDLC Report Designer from the Visual Studio Marketplace.
Create and modify RDLC layouts

Creating and modifying RDLC layouts is an advanced task, which is typically done by power users or developers.
The basic concepts aren't specific to Business Central report layouts. For this reason, we refer you to the
following documentation:
Create RDL Layout Report
This article explains how to create an RDLC report layout from AL code.
Reports, Report Parts, and Report Definitions
The links you to the SQL Server Reporting Services documentation for RDL/RDLC. This documentation explains
the concepts
behind RDL/RDLC, and how to use Report Builder.
NOTE
Report Builder only recognizes .rdl file type;, not .rdlc. Layout files exported from Business Central are .rdlc file types. So to
modify these layout in Report Builder, rename the file type to .rdl.

See Also
Get Started Creating Report Layouts
Analyzing Report Data with Excel.
Setting the Layout Used by a Report
APPLIES TO: Business Central online, Business Central on-premises 2022 release wave 1 and later. For
earlier versions, go here.
A report layout determines the look of a report. It controls which data fields of a report dataset appear, how
they're arranged, styled, and more. A report may have more than one layout, which you can then switch among
as needed.
When there are multiple companies in the application, the layouts are set on a per-company basis. So the same
report in one company can have a different layout in another company.
Get started
There are two ways to set which layout a report uses. One way is from the Repor t Layout Selection page. The
other way is from the Repor t Layouts page. Each page has advantages, for example:
The Repor t Layout Selection page displays a list of all reports.
This page indicates what the current layout for a report is. Plus, you can set layouts in different
companies, without having to switch the company you're working with.
The Repor t Layouts page displays all available layouts for each report in the current company.
It's easy to find a specific layout by sorting or filtering the list. Once you find the layout, you can set it for
a report with a single selection.
NOTE
You can't use the Repor t Layouts page for Word and RDLC layouts that were created by using the legacy
Custom Layouts feature. In fact, you won't even see these custom layouts listed on the Repor t Layouts page.
For these layouts, you can only set them by using Repor t Layout Selection page.
Set the layout from the Report Layouts page

2. Find the layout in the list, select it, then select the Set Default action at the top of the page.
Set the layout from Report Layout Selection page

1. Choose the icon, enter Repor t Layout Selection , and then choose the related link.
The page lists all the reports that are available for the company that's specified in the Company field at
the top of the page. The Layout Description field specifies the layout that the report currently uses.
2. Set the Company field at the top to the company that includes the report.
3. Find and select the report in the list, then do one of the following steps:
If the layout that you want to switch to is a different type than the current layout, select the Layout
Type field, then choose the type of the layout you want to set on the report.
If the layout that you want to switch to the same type as the current layout, select the Select Layout
action at the top.
4. In the Repor t Layouts page, select the layout, then select OK .
Revert to the original default layout

Reports are designed to use a layout by default. You can switch back to the original default layout from Repor t
Layout Selection page. Just select the report, then select the Restore Default Selection action at the top of
the page.

See Also
Define Document Layouts for Customers and
Vendors
Document layouts use report layouts to define the look and feel of documents that you send to customers and
vendors. Business Central provides standard layouts, but you can also tailor custom layouts for each of your
business partners. For more information, see Create and Modify Custom Report Layouts. You select standard
and custom document layouts from customer and vendor cards by choosing the Document Layouts action.
The value in the Usage field defines the process for which the document layout is used. For example, for
customers, you might use Reminder , Shipment , and Confirmation types of document layouts.
Document layouts can also save you time when you send documents to customer or vendor contacts by email.
For each layout that you assign to the customer or contact, you can by specify one or more contact email
addresses. For example, you can send an invoice to the customer's purchasing and warehouse contacts. Adding
contact email addresses is easy. On the Document Layouts page, the Select Email from Contacts action
let's you choose from a list of the contact email addresses that you've registered for the customer or vendor. You
can also add email addresses manually. If you enter multiple addresses, separate them with a semi-colon, and
don't add spaces between the addresses.
Before you can define which document layout to use for which processes, and which contact to send the
document to, you must load all the available reports (documents) from the Repor t Selections page. You can
quickly load the documents by using the Copy from Repor t Selection action on the Document Layouts
page.
The steps in the following sections describe how to define sales document layouts from the Customer Card
page. For vendors, the steps are the same from the Vendor Card page.
To load the standard document layouts for sales documents for a

customer
2. Open the Customer Card page for the customer, and then choose the Document Layouts action.
3. On the Document Layouts page, choose the Copy from Repor t Selection action.
The Document Layouts page displays all layouts that are available for sales documents.
To select a custom report layout to use for the sales document layout
If you haven't already created a custom report layout for the type of document, you'll need to do that first. For
more information, see Create and Modify Custom Report Layouts.
2. Open the Customer Card page for the customer, and then choose the Document Layouts action.
3. On the Document Layouts page, on the line for a report layout that you want to use a custom layout for,
choose the Custom Layout Description field.
4. On the Custom Repor t Layouts page, select the document layout that you want to use for the type of sales
document. For more information, see Create and Modify Custom Report Layouts.
To specify which contact will receive which document layout for a

customer
To save time when you send documents to customer and vendor contacts by email, specify their email addresses
on document layouts. For example, you can always send customer statements to their accountant contacts and
sales orders to their purchasers, or purchase orders to vendor salespeople.
1. On the Document Layouts page, on the line for a report layout that you want to send to a specific contact
for the customer, choose the Select Email from Contacts action.
2. On the Contacts page, select one or more contacts, and then choose OK .

See Also
Available Fonts
The online version of Business Central contains pre-installed fonts on the servers that can be used when
generating reports. The following sections outline which fonts are available.
NOTE
For security and legal reasons, you cannot upload custom fonts to the Business Central environment.
Document Fonts
The following fonts are installed and available to use in both Word and RDLC report layouts:
Angsana New, AngsanaUPC, Arial, Arial Black, Bahnschrift, Bahnschrift Condensed, Bahnschrift Light, Bahnschrift
Light Condensed, Bahnschrift Light SemiCondensed, Bahnschrift SemiBold, Bahnschrift SemiBold Condensed,
Bahnschrift SemiBold SemiConden, Bahnschrift SemiCondensed, Bahnschrift SemiLight, Bahnschrift SemiLight
Condensed, Bahnschrift SemiLight SemiConde, Batang, BatangChe, Browallia New, BrowalliaUPC, Calibri, Calibri
Light, Cambria, Cambria Math, Candara, Candara Light, Comic Sans MS, Consolas, Constantia, Corbel, Corbel
Light, Cordia New, CordiaUPC, Courier New, DilleniaUPC, Dotum, DotumChe, E-13B, Ebrima, EucrosiaUPC,
Franklin Gothic Medium, FreesiaUPC, Gabriola, Gadugi, Georgia, Gulim, GulimChe, Gungsuh, GungsuhChe,
Impact, Ink Free, IrisUPC, JasmineUPC, Javanese Text, Khmer UI, KodchiangUPC, Latha, Leelawadee, Leelawadee
UI, Leelawadee UI Semilight, LilyUPC, Lucida Console, Lucida Sans Unicode, Malgun Gothic, Malgun Gothic
Semilight, Marlett, MICR, Microsoft Himalaya, Microsoft JhengHei, Microsoft JhengHei Light, Microsoft JhengHei
UI, Microsoft JhengHei UI Light, Microsoft New Tai Lue, Microsoft PhagsPa, Microsoft Sans Serif, Microsoft Tai Le,
Microsoft YaHei, Microsoft YaHei Light, Microsoft YaHei UI, Microsoft YaHei UI Light, Microsoft Yi Baiti, MingLiU,
MingLiU-ExtB, MingLiU_HKSCS, MingLiU_HKSCS-ExtB, Mongolian Baiti, MS Gothic, MS PGothic, MS UI Gothic,
MV Boli, Myanmar Text, Nirmala UI, Nirmala UI Semilight, NSimSun, OCRB, Palatino Linotype, PMingLiU,
PMingLiU-ExtB, Segoe MDL2 Assets, Segoe Print, Segoe Script, Segoe UI, Segoe UI Black, Segoe UI Emoji, Segoe
UI Historic, Segoe UI Light, Segoe UI Semibold, Segoe UI Semilight, Segoe UI Symbol, Shonar Bangla, SimSun,
SimSun-ExtB, Sitka Banner, Sitka Display, Sitka Heading, Sitka Small, Sitka Subheading, Sitka Text, Sylfaen,
Symbol, Tahoma, Times New Roman, Trebuchet MS, Verdana, Vijaya, Webdings, Wingdings, Yu Gothic, Yu Gothic
Light, Yu Gothic Medium, Yu Gothic UI, Yu Gothic UI Light, Yu Gothic UI Semibold, Yu Gothic UI Semilight
Fonts for Checks

Magnetic Ink Character Recognition (MICR) fonts are installed and available to use. Both the E-13B and the
CMC-7 standards are supported.
In addition to MICR fonts, special security fonts are available to generate text, names, amounts, and the currency
symbols Dollar, Euro, Pound, and Yen, which are hard to tamper with once a check has been printed.
For more information, see Select a Check Layout.
Fonts for Barcodes

Fonts to generate barcodes are installed and available to use in both Word and RDLC report layouts.
The following one-dimensional barcode symbologies are supported:
Code 3 of 9 (Code 39)
Code 128
Code 93
Codabar
MSI
Interleaved 2 of 5
The following two-dimensional barcode symbologies are supported:
Aztec
Data Matrix
Maxicode
PDF417
QR
For more information, see Barcode Fonts with Business Central Online.
See Also
Select a Check Layout
Work with Business Central Barcode Fonts with Business Central Online
(Legacy) Create and Modify Custom Report Layouts
NOTE
Custom report layouts is a legacy feature that is being phased out. Instead, you should start creating user-defined
layouts as described here.
By default, reports have a built-in report layout. The layout can be either an RDLC report layout, a Word report
layout, or both. You can't modify built-in layouts, but you can create custom layouts. A report can have multiple
custom report layouts.
NOTE
In Business Central, the term "report" also covers externally-facing documents, such as sales invoices and order
confirmations that you send to customers as PDF files.
To create a custom layout, either copy an existing custom layout or add a new custom layout. Custom layouts
are often based on a built-in layout. When you add a new custom layout, you can choose to add an RDLC or
Word report layout type, or both. The new custom layout will be based on the built-in layout for the report, if
one is available. If there's no built-in layout for the type, a new blank layout is a created. You'll have to modify
and design this blank layout from scratch. For more information about RDLC and Word report layouts, built-in
and custom layouts, and more, see Manage Report Layouts.
TIP
Use account schedules to get insight into the financial data stored in your chart of accounts. For more information, see
Prepare Financial Reporting with Account Schedules and Account Categories.
After you define custom report layouts, you can select them on the Customer Card and Vendor Card pages. The
layouts will be used when you create documents for the customer or vendor. For more information, see Define
Document Layouts for Customers and Vendors.
You can also use custom report layouts to add content to email messages. Report layouts can save time and
help ensure consistency by reusing the same content when you communicate with your customers. To use
custom report layouts with email, the file type for the layout must be Word. You can't use the RDLC file type. For
more information, see Set Up Reusable Email Texts and Layouts.
To create a custom layout

The Repor t Layout Selection page lists all the reports that are available in the company that is
specified in the Company Name field at the top of the page.
2. In the Company Name field, choose the company for which you want to create the report layout.
3. Select the row for the report that you want to create the layout for, and then choose the Custom
Layouts action.
The Custom Repor t Layouts page appears and lists all the custom layouts that are available for the
selected report.
4. If you want to create a copy of an existing custom layout, select the existing custom layout in the list, and
then choose the Copy action.
The copy of the custom layout appears on the Custom Repor t Layouts page and has the words Copy
of in the Description field.
5. If you want to add a new custom layout that is based on a built-in layout, do the following steps:
a. Choose the New action. The Inser t Built-in Layout for a Repor t page appears. The ID and Name
fields are automatically filled in.
b. To add a custom Word report layout type, turn on the Inser t Word Layout toggle.
c. To add a custom RDLC report layout type, turn on the Inser t RDLC Layout toggle.
d. Choose the OK button.
The new custom layout now appears on the Custom Repor t Layouts page. If a new layout is based on
a built-in layout, then it has the words Copy of a Built-in Layout in the Description field. If there was
no built-in layout for the report, then the new layout has the words New Layout in the Description
field, which indicates that custom layout is blank.
6. By default, the Company Name field is blank, which means that the custom layout will be available for
the report in all companies. To make the custom layout available in a specific company only, choose Edit ,
and then set the Company Name field to the company that you want.
The custom layout has been created. You can now modify the custom layout as needed.
TIP
You can export the report results to an Excel file for viewing the full dataset, including all columns, but without the layout.
The Excel file can help you validate that the report returns the expected data or diagnose problems. For more information,
see Analyzing Report Data with Excel.
Modifying a custom layout

To modify a report layout, you must first export the report layout as a file to a location on your computer or
network. Then, open the exported document and make the changes. When you're finished making the changes,
you import the report layout.
To modify a custom layout
1. You export a custom layout from the Custom Repor t Layouts page. If this page isn't already open,
search for and open the Repor t Layout Selection page, select the report that has the layout that you
want to modify, and then choose the Custom Layouts action.
2. On the Custom Repor t Layouts page, select the layout that you want to modify, choose the Expor t
Layout action, and then choose Save or Save As to save the report layout document to a location on
your computer or network.
3. Open the report layout document that you saved, and then make changes.
If you're changing a Word layout, open the layout document in Word. For editing details, see Work with
Word Layouts.
RDLC report layouts are more advanced than Word report layouts. For more information about
modifying an RDLC report layout, see Designing RDLC Report Layouts.
Remember to save your changes when you're done.
4. Return to the Custom Repor t Layouts page, select the report layout that you exported and modified,
and then choose the Impor t Layout action.
5. In the Impor t dialog box, select Choose to find and select the modified report layout document, and
then choose Open .
IMPORTANT
Remember to import the report layout document that you modified. Otherwise, the new report layout will not be
available.

See Also
Change the Current Report Layout
(Legacy) Import and Export Custom Report Layouts
NOTE
You can import and export an existing custom report layout as a file to and from a location on your computer
and network. For example, you can export a report layout, and then send the file to another person to modify.
That person can then make the modifications to layout and return the file to you so that you can import it back.
IMPORTANT
You cannot import or export built-in report layouts.
To export a report layout to a file

2. Select the row for the report that contains the custom report layout that you want to export, and then
choose the Custom Layouts action.
3. On the Repor t Layouts page, select the report layout that you want to export to a file, and then choose
the Expor t Layout action.
4. In the Expor t File dialog box, choose the Save button, and then save the file to a location on your
computer or network.
To import a report layout file
1. Make sure that the relevant file that defines the report layout is available on your computer or network.
A Word report layout file must have the .docx file type extension. An RDLC report layout file must have
the .rdlc or .rdl file type extension.
3. Select the row for the report to which you want to import the report layout, and then choose the
Custom Layouts action.
4. On the Repor t Layouts page, select the report layout to which you want to import the file, and then
choose the Impor t Layout action.
5. In the Impor t dialog box, select the document that defines the report layout, and then choose the Open
button.
The original custom report layout is replaced with the imported report layout.

See Also
Create and Modify a Custom Report Layout
(Legacy) Update Custom Report Layouts
NOTE
Occasionally, you may need to update a custom report layout that is used on a report. This is required when
there has been a design change to the report's data set, for example, a field that is used in the layout has been
removed from the report data set. If a report layout requires updating, you will get an error message when you
try to preview, print or save the report.
You can automatically update a report layout from the error message that appears when you run the report by
choosing the Yes button on the error message. Or, in advance of running reports, you can update specific report
layouts or all custom report layouts that might be affected by dataset changes.
You also have the option to test updates without applying the required changes to the custom report layouts.
This enables you to see what changes will be applied to the report layout and identify possible issues in the
process. From the test results, you can open the custom report layouts directly for editing to fix any issues. We
recommend that you test the report layout update before you apply the updates.
Not all report dataset changes can be automatically updated in the report layouts. Some changes will require
that you manually edit the report layout. For more information, see Limitations of the Custom Report Layout
Update.
To update one or more custom report layouts

2. On the Repor t Layout Selection page, if you want to update a specific report, select the layout from
the list, and then choose the Update Layout action. Or, if you want to update all custom report layouts
for the company, choose the Update All Layouts action.
If no errors occur, then the updates is applied to the report layouts. If errors occur, then a message that contains
the errors appears. You will then have to manually edit the custom report layout to fix the error. For more
information, see Fixing Errors.
To test custom report layout updates

2. On the Repor t Layout Selection page, choose the Test Layout Updates action.
Changes to the report layouts are tested but not applied to the actual report layouts. A Repor t Layout Update
Log page appears that provides the status a potential updates for each report layout. If there are errors for a
report layout, you can access the report layout directly for editing from the message to fix any issues. For more
information, see Fixing Errors.
Limitations of the Custom Report Layout Update

There are several types of changes that the automatic update can apply to custom report layouts, for example, a
field that is used in the layout has been removed from the report data set. However, the automatic update
cannot handle the following changes to a report dataset.
1. Deleted fields, labels, or data items.
2. Duplicate field names in the report layout after a field has been renamed in the dataset. This should be
treated as a design error.
3. Upgrade scenarios where there are multiple iterations of a report layout that causes multiple rename
actions on the same fields, labels or data items.
If the update process detects any one of these issues, the update cannot be applied. You will have to fix the
issues manually, for example by editing the report layout in Word, or programmatically by using upgrade
codeunits.
Fixing Errors
If you get an error message when you update or test report layout updates, you most likely will have to modify
the report layout to fix the problem. Read the error message to help determine the cause of the problem.
The most typical problem occurs when a field that is used on the layout has been removed from the report
dataset. In this case, you will see a line in the error message that states that an item has been removed. To fix this
issue, you will have to modify the layout and remove the field in question.
For more information, see Create and Modify a Custom Report Layout.
After you modify the layout, try to update the layout again.

See Also
(Legacy) Set the Layout Used by a Report
NOTE
A report can be set up with more than one report layout, which you can then switch among as needed.
Depending on the layouts that are available for a report, you can choose to use a built-in RDLC report layout, a
built-in Word report layout, or a custom layout. For more information about RDLC and Word report layouts,
built-in and custom layouts, and more, see Manage Report Layouts.
When custom report layouts are defined, you can select them from customer and vendor cards to specify that
the selected layouts will be used for documents that you crate for the customer or vendor in question. For more
information, see Define Document Layouts for Customers and Vendors.
TIP
Document reports (not lists) that use a Word report layout are typically faster than those that use an RDLC report layout.
So if you have the option to choose between a Word or RDLC report layout for a document report, use the Word report
layout for the best performance.
To change which report layout to use for a report or document

The Repor t Layout Selection page lists all the reports that are available for the company that's
specified in the Company field at the top of the page. The Layout Description field specifies the layout
that's currently used on the report.
2. Set the Company field at the top the company that includes the report.
This field let's you set a different layouts for same report report in different companies.
3. To change the layout that is used by a report, on the row for the report, set the Selected Layout field to
one of the following options:
RDLC (built-in) , uses the built-in RDLC report layout on the report.
Word (built-in) , uses the built-in Word report layout on the report.
Custom , uses a custom layout on the report.
NOTE
If you choose a report layout of type RDLC (built-in) or Word (built-in) and you get an error message that the report
does not have a layout of the specified type, then you must choose another layout option or create a custom report
layout of the type that you want to use. See the next procedure.
If you selected a built-in RDLC or Word report layout, then no further action is required, and the layout will be
used the next time the report is run.
To change the custom layout to use for a report layout
You may also want to change the currently used custom layout. For more information, see Create and Modify
Custom Report Layouts.
All custom report layouts that exist for report layouts in a company are listed on the Custom Repor t Layouts
page. On the Repor t Layout Selection page, you can see which custom layouts are available for each report
in the Custom Layouts FactBox.
1. On the Repor t Layout Selection page, on the line for the report layout that you want to change, choose
the lookup button in the Custom Layout Description field.
2. On the Custom Repor t Layouts page, select the row for the custom layout that you want to use, and then
The name of the selected custom layout is now shown in the Custom Layout Description field and will be
used the next time the report or document is previewed, printed, or sent.
You can now go to your customer and vendor cards to specify which of the layouts to use for different
documents that you crate for the customer or vendor in question, such as order confirmations or payment
reminders. For more information, see Define Document Layouts for Customers and Vendors.

See Also
Sharing Business Data from Business Central
Collaboration among people inside and outside an organization is integral part of most businesses. Business
Central offers several features for sharing business data, like a list of records, specific records, or documents.
With all these features, access to data is protected by the license and permissions of Business Central.
Copying a link
Business Central Online Business Central On-premises
From any page, you can copy the page's URL, then paste and distribute it in other forms of media like emails,
Teams chats, or text messages. The easiest way to copy a link is by selecting Share > Copy Link from the top of
the page. Another way is to copy the URL directly from the browser's address box.
Modify the page link
After you copy a link, before you send it, you can modify the URL to manipulate what shows when the page
opens. You can, for example, add filters or specify a different company.
For more information, see Web Client URL.
About filtered lists
Using the filter pane on list pages, you can apply filters to narrow-down the records shown in the list. If you use
the Copy Link action or copy the URL from the browser, the page link won't include your filter changes. Users
that open the link will see the full collection. The way to keep the filtering on a collection page link is to save the
filtered page as a View first. Then, open the view and copy the link from there.
For more information, see Sorting, Searching, and Filtering.
Sharing to Teams
Directly from most collection pages and details pages, you can send a link to the page to people, group chats or
channels. For example, share a link to a filtered view of your records. Recipients then select the link to open the
page in Business Central.
For more information, see Sharing Records and Page Links in Teams.
Sharing Through OneDrive

you'll find the Open in OneDrive and Share actions. Both actions save a copy of a file to OneDrive. Once in
OneDrive, you can use its sharing and contribution features on the file. The difference in the actions is that
Open in OneDrive opens the file in OneDrive. Share opens a page the let's you select who you want to share
the file with. Recipients will get a notification email to access the file from your OneDrive.
For more information, see Sharing Files in OneDrive.
Opening in Excel
For list pages and lists embedded on a page, you can use the Open in Excel action. This action exports the list
of records to an Excel workbook (.xlsx file), which you can share with others. In the workbook, you can also use
the Share feature that's part of Excel.
For more information, see Viewing and Editing in Excel.
Sharing rows or tables

You can share one or more records in a list. Just press the Ctrl+C keyboard shortcut to copy to your clipboard.
Then paste what you copied into another application by pressing Ctrl+V. For example, copying three sales orders
and pasting that into an email will display the orders in a nicely formatted table.
For more information, see Copy and Paste FAQ.
See Also
OneDrive FAQ
Sharing Business Central Records and Page Links in
Microsoft Teams
APPLIES TO: Business Central online

Business Central offers a couple ways to share data from Business Central directly in a Microsoft Teams
conversation:
With the Business Central app installed in Teams, you can include an interactive card of Business Central
record in a Teams conversation.
With or without the Business Central app installed, you can share a link from pages in Business Central to
a Teams conversation.
The following sections describe the different ways in detail.
Include and view a Business Central card in a Teams conversation

With the Business Central app for Teams, you can copy a link from any Business Central record, like a customer
or sales order, and paste the link into a Teams conversation. The app connects Microsoft Teams to your business
data in Business Central. It then expands the link into a compact, interactive card that displays information about
the record. Once in the conversation, you and coworkers can view more details about the record, edit data, and
take action—without leaving Teams.
Prerequisites
You have access to Microsoft Teams.
You've installed the Business Central app in Teams. For more information, see Install the Business Central App
for Microsoft Teams
NOTE
All participants in a Teams conversation will be able to view cards for Business Central records that you submit to the
conversation. But to view more details about records, by using the Details or Pop out buttons on a card, they'll need
access to Business Central. For more information, see Managing Microsoft Teams Integration.
Include a Business Central card in a Teams conversation

1. Sign in to Business Central using your browser.
2. Open the record that you want to share.
The app is designed to display a card for almost any type of Business Central page. But it provides the
best experience when used for pages that display a single record, such as an item, customer, or sales
order.
3. Copy the link to the page.
There are two ways to copy the link. The easiest and preferred way is to select Share > Copy Link .
The other way is to, copy the entire URL from the browser's address bar.
4. Go to Teams and start a conversation, which can be chat with a person, group of persons, or a team
channel.
5. Paste the link (URL) in the message box where you compose a message.
TIP
If you get a message like: Business Central wants to show a preview of this link., it means that you don't have the
Business Central app for Teams installed. To install the app, select Show Preview and follow the instructions.
6. The first time you paste a link into a conversation, you'll be asked to sign in to Business Central and give
consent for the app to retrieve data. Just follow the on-screen instructions.
NOTE
You'll only have to do this step once.
7. Wait a moment while a card is generated in the message box.

8. When the card appears, review the contents of the card carefully for any sensitive information before
sending the message. This step is important because once you send the message, everyone in the
conversation can see the card.
9. If the card looks good, select Send to submit it to the conversation.
TIP
After the card appears, and before you select Send , you can delete the pasted URL if you like.
10. To view more details or make changes to the record shown in the card, select Details . For more
information, see the next section.
View card details
Once a card's been sent to a conversation, all participants with the proper permissions can select Details to
open a window that displays more information about the record—and possibly make changes to the record. It
doesn't matter if you're the one sending the card or the one receiving the card. The Details feature is especially
useful to recipients, because it quickly provides them with concise, targeted information about the record.
The details window is similar to what you'd see in Business Central, but it's focused on the page or record that
the card is about. When you're finished viewing and making changes, close the window to return to the Teams
conversation.
Here are a couple things to keep in mind when working with the card details:
To open the card details, users must have permission on the page and its data in Business Central.
Cards in Teams chats aren't automatically updated to changes. Any changes you save to a record in the
details window are saved in Business Central. But the card in Teams won't show the changes in the
conversion, until you paste the link again.
To learn more about working with cards and card details, see Teams FAQ.
Share a link to page from Business Central to Teams

Directly from most collection pages, like the Items page, and details pages, like the Items card, you can send a
link to the page to specific recipients in a Teams conversation. For example, you can share a link to a filtered view
of your records. Recipients can then select the link to open the page in Business Central.
Prerequisites
You have access to Microsoft Teams.
Share a link
1. In Business Central, open the page that you want to share.
2. At the top of the page, choose the icon, then Share to Teams .
3. If you're asked, sign in to Teams with your user name and password.
4. In the Share to Teams page, type a name of a person, group, or channel that you want send the message to.
5. The message box will include a link to the page. Add any more information if you like, then choose Share .
6. The link has now been shared. If you want to go to the conversation, choose Go to Teams .
See Also
Business Central and Microsoft Teams Integration Overview
Install the Business Central App for Microsoft Teams
Teams FAQ
Searching for Customers, Vendors, and Other Contacts from Microsoft Teams
Changing Company and Other Settings in Teams
Troubleshooting Teams
Developing for Teams Integration
Start a free trial!

Opening and Sharing Business Central Files in
OneDrive
you'll find an Open in OneDrive and Share action.
Open in OneDrive
The Open in OneDrive action copies the file to your OneDrive and opens the file in their online applications,
like Excel online, Word online, and PowerPoint online.
When you choose Open in OneDrive , Business Central identifies Excel, Word, and PowerPoint files and opens
them in their online applications, that is, Excel online, Word online and PowerPoint online. You can annotate, edit,
and collaborate with others without leaving the browser.
For other popular file types, like PDFs, text files, and images, OneDrive provides file viewers that offer features
for printing, sharing, and more. If a file can't be viewed in OneDrive, you might be prompted to download it.
Share
The Share action copies the file to your OneDrive and let's you share the file with other people and see who
you've already shared the file with. When you select the Share action, the following page opens.
If you're familiar with OneDrive, you may recognize the page. You have two options for sharing the file: Send
link and Copy link .
Send link let's you share the files with specific people. The people you share the file will get an email
with a link to the file. The file will also appear in the Shared section of their OneDrive. Start by typing the
email addresses or contact names in the Name, group or email field .
Copy link copies a link to the file on your OneDrive so you can use the link in other places like Facebook,
Twitter, or emails.
Before you send or copy the link, set the permission to the file that you want people to have. You can see the
current setting under Send link and Copy link . In most cases, it will be Anyone with the link can edit to
open the link , depending on settings set by your administrator. To change the permissions, select the link and
make changes on the Link Settings page.
The sharing feature in Business Central is based on OneDrive. So to learn more about sharing and permissions,
see Share OneDrive files and folders.
NOTE
The Share action isn't available in the Business Central app for mobile devices.
First-time sign in from Business Central

When you use the Open in OneDrive or Share action for the first time, Business Central does the following
things:
1. Opens the Please review terms and conditions page. Read the page, and if you agree with the terms and
conditions, select Agree to continue.
2. Opens the Pick an account page Select your account or use another account if you don't see your own,
then enter the user name and password when prompted.
3. Creates a folder named Business Central in OneDrive.
4. In the Business Central folder, it creates another folder with the same name as the company you're working
in. If you work in more than one company, it will create a folder for the company you're working in when you
use the Open in OneDrive and Share actions.
5. Puts a copy of the file you selected in the folder, and then opens the file. The next time you use the action, it
only copies and opens the file.
Managing multiple copies of a file

When you choose Open in OneDrive or Share , the file is copied from Business Central to your folder in
OneDrive. If you edit the file in OneDrive, the copies of the file will be different. To update Business Central with
the latest file, remove the existing file from Business Central and then upload the latest copy.
Also, when a file with the same name already exists in OneDrive, Business Central will provide a choice to either
replace the file or keep both files. If you choose to keep both files, the new file is copied to OneDrive and given a
filename with suffix number, like “Items (2).xlsx,”. The original file isn't changed.
If you choose to replace the file, the new file is added to the version history for that file. The original file isn't lost,
and you can view or restore previous versions of the file.
About your Business Central folder on OneDrive

The folder and its content are private until you decide to share them with others. For example, you might decide
to share content with one or more of your coworkers, or even people outside of your organization. You can
access your OneDrive from the My Settings page by choosing the link in the Cloud Storage field. For more
information, see Share OneDrive files and folders.
See Also
OneDrive FAQ
With pages that display a list of records in rows and columns, like a list of customers, sale orders, or invoices,
you can export the list to Microsoft Excel, and view it there. Depending on the page, you have two options for
viewing in Excel. Both options are available from the Share icon at the top of a page. You can either select the
Open in Excel action or the Edit in Excel action on the page. This article explains the differences between the
two actions.
Open in Excel
With the Open in Excel action, you can make changes to the records in Excel, but you can't publish the changes
back to Business Central. You can only save the changes to Excel file, without affecting data in Business Central.
With this action, Excel respects any filters on the page that limit the records shown. The Excel workbook
will contain the same rows and columns that appear on the page in Business Central.
This action works on both on Windows and macOS.
Starting with update 18.3, you can also view lists that are shown in page parts, like the lines in a sales
order.
NOTE
For Business Central on-premises, the Open in Excel action is available by default. However, if you set up Business
Central on-premises for editing data in Excel, then the Open in Excel action is replaced by the Edit in Excel action.
TIP
What about repor ts? Well, you can export the report results to an Excel file for viewing the full dataset, including all
columns. The Excel file can help you validate that the report returns the expected data. To export a report, run the report
and select the Send to > Microsoft Excel Document (data only) on the request page. For more information, see
Work with Reports - Save a report to a file.
Edit in Excel
The Edit in Excel action is available on most lists, but not all. With the Edit in Excel action, you make changes
to records in Excel and then publish the changes back to Business Central. When Excel opens, you'll see the
Excel Add-in pane on the right.
With this action, Excel respects most filters on the page that limit the records shown, so the Excel
workbook will contain almost the same records and columns.
To get the latest data from Business Central, choose Refresh in the the Excel Add-in pane.
You can switch the company that you're working with. To switch company, select the Options icon in
the Excel Add-in pane, then select the company from the Company field.
IMPORTANT
When changing the company, make sure that the Environment field is not empty. If it is, then set it to one of the
available options; otherwise, the add-in will not work correctly.
If you make changes to the add-in, you must reload it to update the connection. To reload, use the menu in
the top-right corner of the add-in. If you can't load the add-in, talk to your administrator. If you're the
administrator, see Get the Business Central Add-in for Excel.
NOTE
The add-in works with Excel for the web (online) from any device as long as as use a supported browser. It also works with
the Excel app for Windows (PC); but not for macOS.
For Business Central on-premises, the Edit in Excel action is only available if the Excel add-in has been configured by
your administrator, and only available for the Web client. For administrators, if you want to learn how to install the Excel
add-in, see Setting up the Excel Add-In for Editing Business Central Data.
First-time sign-in
The Edit in Excel action requires that the Business Central add-in is installed in Excel. In some cases, your
administrator may have set up the add-in to install automatically for you. In this case, you just have to sign in to
Business Central in Excel Add-in pane with your user name and password. Otherwise, the New Office Add-in
pane opens. To install the add-in, choose Trust this add-in , which will install the add-in directly from the Office
Store.
If for some reason the add-in doesn't install, contact your admin or try to install it manually. For more
information, see Install the add-in manually for your own use.
See the differences between the options

See Also
Enhancements to Excel integration in 2019 release wave 2
This article provides information about the features that make Business Central readily available to people with
disabilities. Business Central supports the following accessibility features:
Keyboard shortcuts. See Keyboard Shortcuts.
Touch and pen gestures on tablets and phones. See Touch and Pen Gestures.
Navigation
Headings
Alternative text for images and links
Support for common assistive technologies
Zoom in or out on any page
Tooltips on elements in the user interface
TIP
Navigation
You can use different combinations of the Tab, Shift, and arrow keys of your keyboard to move between
elements on a page. Elements include actions, fields and columns, parts, and other controls. In general, press Tab
or Shift+Tab to move to the next or previous element.
When you focus on an area that contains actions, like the navigation bar on the top of role center or action bar
on other pages, use the arrows keys to move through the different actions and groups. Press Enter on a group
to open its underlying actions, and then continue using the arrows keys. Press Tab or Shift+Tab to move out of
the action area.
By using the tab order, you can also switch between the main browser page and dialog boxes that request
confirmation, for example, or the sign-in page.
Headings in Content
The HTML source for Business Central content uses tags to help users of assistive technology to understand the
structure and content of the page. For example, on list pages, the columns are defined in TH tags and the column
headings are set with TITLE attribute inside the tag. Captions for elements, such as FastTabs, FactBoxes, and fields
are included in heading tags (H1, H2, H3, and H4).
Image and Links

A descriptive text for images is set with the ALT attribute inside the IMG tag. A descriptive text for hyperlinks is
set with the title attribute inside the A tag.
Assistive Technologies
Business Central supports various assistive technologies, such as high contrast, screen readers, and voice
recognition software. Some assistive technologies may not work well with certain elements in Business Central
pages.
Zoom
Most browsers use standard keyboard shortcuts to zoom in and out on the current page. These keyboard
shortcuts aren't specific to Business Central, but they work when you use Business Central in a browser. For a list
of supported keyboard shortcuts, see Keyboard Shortcuts for Zooming In and Out.
Tooltips
Tooltips are available on most elements in the user interface, like page fields and columns, actions, cues tiles, and
charts. A tooltip provides extra text that explains an element to help you better understand its purpose.
Tooltips are accessed in different ways, depending on the client (web or mobile) and the device that you're
working with. Use the following table as a guide. Some tooltips can be read by screen-readers. In this case, you
access the tooltips as described in the table, then use the screen reader to navigate to the tooltip as you would
with any other element.
Accessing tooltips
K EY B O A RD TO UC H GEST URE O N
M O USE A C T IO N F O R SH O RTC UT F O R W EB TA B L ET / P H O N E F O R SC REEN REA DER
EL EM EN T W EB C L IEN T C L IEN T M O B IL E A P P SUP P O RT
Page fields and Hover over or click Move focus to the Tap the field caption yes
column headings the field caption or field or column
column heading heading, and press
Alt+Up Arrow keys
Charts elements, like Hover over the Move focus to Tap and hold the yes
a bar, line, pie slice element element, for example, element
by using arrow keys
Actions Hover over the none none no

action
Cue tiles Hover over the tile none none no
For more accessibility information

You can find additional information about accessibility with Microsoft products and assistive technologies on the
Microsoft Accessibility site.
See Also
Keyboard Shortcuts
This article provides an overview of some of the shortcut key combinations that you can use when you're
working with Business Central.
For an overview of the most popular keyboard shortcuts, see Keyboard Shortcuts (PC only).
TIP
For a graphical view of the most used shortcuts, choose the following image and download the PDF file.
Overview
Keyboard shortcuts aid accessibility and can make it easier and more efficient to navigate to different areas and
elements on a page. They're supported by most web browsers, however, the behavior may vary slightly.
NOTE
The keyboard shortcuts described here refer to the U.S. keyboard layout. The layout of the keys on other keyboards may
not correspond exactly to the keys on a U.S. keyboard.
Most of the shortcuts are the same whether the operating system is Windows or macOS. However, some
shortcuts differ for macOS. These shortcuts are indicated with brackets in the following sections.
NOTE
In addition to the global keyboard shortcuts described in this article, a number of business-specific shortcuts are
available. For example, in the generic version of Business Central, F9 posts a document and Ctrl+F7 shows the ledger
entries for a record when you open the record in a card. This article includes some of the more common business-specific
shortcuts, which are shown in italics. Be aware that the actual shortcuts may be different in your solution. In the user
interface, the keyboard shortcut is shown in the tooltip for the action in question.
General Keyboard Shortcuts

The following table describes keyboard shortcuts for navigating and accessing different elements of a page.
Elements include things like actions, drop-down lists, lookups, and more. For details about keyboard shortcuts
for navigating records once you get inside a list, see the next section.
P RESS T H ESE K EY S
( IN M A C O S) TO DO T H IS
Alt+Down Arrow Open a drop-down list or look up a value for a field.

Alt+Up Arrow Show tooltip for a field or a column header of a table. If the
field has validation errors, press Alt+Up Arrow to show the
validation error. Press Esc or Alt+Up Arrow to close the
tooltip.
F2 Toggle between selecting the entire field value or placing the

cursor at the end of the field value.
Alt+F2 Show and hide the FactBox pane.
Alt+Shift+F2 Shift between Details and Attachments in the FactBox

pane.
Alt+O Add a new note for the selected record, even if the FactBox
pane isn't open.
Alt+Q Open the Tell Me window. For more information, see

(Ctrl+Option+Q) Finding Pages and Information with Tell Me.
Ctrl+Alt+Q Open the Find Entries page to find documents and entries
(Ctrl+Option+Cmd+Q) related to each other based on common information, like
document number or posting date. For more information,
see Finding Related Entires for Posted Documents
Alt+N Open a page to create a new record. (Similar to choosing the

New and + actions.)
Alt+Shift+N Close a newly created page and open a new one to create a
new record. Similarly, Alt+F9 posts a document and creates a
new one.
Alt+T Open the My Settings page.
Alt+Right Arrow Look up additional information or underlying values for a

field that contains the button. Used when the usual
drop-down button (Alt+Down Arrow) in the same field is
used for another purpose.
Ctrl+Alt+Shift+C Display information in the company badge.
Ctrl+Alt+F1 Open and close the page inspection pane. The page
inspection pane shows information about the page, like its
source table, fields, filters, extensions, and more.
For more information, see Inspecting Pages.
Ctrl+C Copy the value of field. If the field is in focus, and you
haven't selected any text in the field, this will copy the entire
value. If you've selected any text in the field, then it will copy
the selected text only.
Ctrl+F1 Open the help pane or a Business Central help article on

Microsoft Docs, depending on your Business Central version.
Ctrl+F12 Switch between wide and narrow layout view.
Ctrl+Click Navigate during personalizing or customizing when the

action is highlighted with an arrowhead. For more
information, see Personalize Your Workspace.
Ctrl+F5 Reload the Business Central application. (Similar to selecting

refresh/reload in the browser.)
F5 Refresh the data on the current page.
Use this key to ensure that the data on the page is up to

date with any changes that others have made while you're
working.
Enter Enable or access the element or control that is in focus.
Esc Close the current page or drop-down list.
Tab Move focus to the next control or element on a page, such

as actions, buttons, fields, or list headings.
Shift+Tab Move focus to the previous control or element on a page,

such as actions, buttons, fields, or list headings.
Y and N Activate Yes and No buttons in dialog boxes. Actual keys will
vary based on your current language specified in My
Settings . For example, press J to activate the Ja button
when using German language.
Keyboard Shortcuts in Lists

The following table describes the keyboard shortcuts that you can use on a list page. The shortcut action is
slightly different depending on whether the page is shown in the list view or tile view.
General
( IN M A C O S) TO DO T H IS IN A L IST VIEW TO DO T H IS IN A T IL E VIEW
Alt+F7 Sort the selected column in ascending Not applicable.

or descending order.
Alt+N Insert a new line in an editable list, Same.

such as the G/L Budgets page.
Shift+F9 Post and print a document. Same.
Shift+F10 Open a menu of options that are Same.

available for the selected row.
Alt+D Open the dimension set entries. Same.

Ctrl+F7 Open ledger entries, logs entries, cost

entries, and so on.
Ctrl+F9 Release document. Same.
F7 Open statistics. Same.
F9 Post, issue, register, or reverse Same.

document.
Shift+Ctrl+F Send suggested lines on the cash flow Not applicable.

worksheets page.
Shift+Ctrl+I View serial and lot numbers assigned Not applicable.

to the line item on the document or
journal.
Navigating Between Rows and Columns

Grids containing rows and columns exist on many page types in Business Central, such as list pages and Lines
parts on documents. Moving from one cell to another across a grid is fully keyboard-enabled.
Ctrl+Home Select the first row in the list; focus Move to the first tile in the first row.
(Fn+Ctrl+Left Arrow) remains in the same column.
Ctrl+End Select the last row in the list; focus Move to the last tile in the last row.
(Fn+Ctrl+Right Arrow) remains in the same column.
Home Move to the first field in the row. Move to the first tile in the row.
(Fn+Left Arrow)
End Move to the last field in the row. Move to the last tile in the row.
(Fn+right Arrow)
Enter Open the record that is associated Opens the record.

with the field.
Only relevant if a card page is
Only relevant if a card page is associated with the record.
associated with the record.
Ctrl+Enter Move focus to the next element Move focus to the next element
outside the list. outside the list.
Page Up Scroll to display the set rows above the Scrolls to display the set of tiles above
(Fn+Up Arrow) current rows in view. the current tiles in view.
Page Down Scroll to display the set rows below the Scroll to display the set of tiles below
(Fn+Down Arrow) current rows in view. the current tiles in view.
Down Arrow Move in the same column to the field Move in the same column to the tile in
in the row below. the row below.
Up Arrow Move in the same column to the field Move in the same column to the tile in
in the row above. the row above.
Right Arrow In a view-only list, move in the same Move in the same row to the next tile
row to the next field to the right. to the right.
In an editable list, move to the right

within the current field.
Left Arrow In a view-only list, move in the same Move in the same row to the previous
row to the previous field to the left. tile to the left.
In an editable list, move to the left

within the current field.
Tab In editable list, move in the same row Not applicable.

to the next field to the right.
Shift+Tab In editable list, move in the same row Not applicable.

to the previous field to the left.
Selecting, Copying, and Pasting

Ctrl+Click Extend the selection of rows to include Not applicable.

(Cmd+Click) the row that you click.
Shift+Click Extend the selection of rows to include Not applicable.

the row that you click and all the rows
in between.
You can use this after using Ctrl+Up

Arrow or Ctrl+Up Down to expand
your selection.
Ctrl+Up Arrow Move focus to the row above and Not applicable.
(Ctrl+Cmd+Up Arrow) keep the current row selected.
Ctrl+Down Arrow Move focus to the row below and keep Not applicable.
(Ctrl+Cmd+Down Arrow) the current row selected.
Ctrl+Space Bar Extend the selection of rows to include Not applicable.

(Ctrl+Cmd+Space) the focused row.
You can use this after using Ctrl+Up

Arrow or Ctrl+Down Arrow to expand
your selection.
Ctrl+A Select all rows. Not applicable.
Ctrl+C Copy the selected rows to the Yes, but only for a single selected tile.
(Cmd+C) Clipboard.
Ctrl+V Paste the selected rows from the Not applicable.

(Cmd+V) Clipboard into the current page or
external document, like Microsoft Excel
or Outlook email. You can only do this
in editable lists.
Shift+Up Arrow Extend the selection of rows to include Not applicable.

the row above.
Shift+Down Arrow Extend the selection of rows to include Not applicable.

the row below.
Shift+Page Up Extend the selection of rows to include Not applicable.

(Shift+Fn+Up Arrow) all visible rows above the current
selection of rows.
Shift+Page Down Extend the selection of rows to include Not applicable.

(Shift+Fn+Down Arrow) all visible rows below the current
selection of rows.
F8 Copy the field in the same column of Not applicable.

the row above, and paste it into the
current row. You can only do this in
editable lists. Using this shortcut
followed by a Tab lets you quickly fill
out fields in line items that you want
to have the same value as the row
above.
Searching and Filtering Lists

F3 Toggles the search box.

Activate the search box, so you can start typing your
search text.
If the search box is already activated, F3 returns to
the list without clearing the search text.
Shift+F3 Open and close the filter pane.

If the filter pane isn't open, Shift+F3 opens it and
focuses on the + Filter action under Filter list by .
You can then just hit Enter to start adding a field
filter.
If the filter pane is already open, Shift+F3 closes it
but doesn't clear any filters that you've added.
Ctrl+Shift+F3 Open and close the filter pane.

If the filter pane isn't open, Ctrl+Shift+F3 opens it
and focuses on the + Filter action under Filter
total by . You can then just hit Enter to start adding
a totals filter.
If the filter pane is already open, Ctrl+Shift+F3 closes
it but doesn't clear any filters that you've added.
Alt+F3 Toggle filtering to the selected value.

Applies a column filter on the selected field value in
the list. This does the same as choosing Filter to
this value from a column heading. It opens the filter
pane, sets filter to the selected value, while focus
remains on cell in the list.
If the column is already filtered, Alt+F3 clears the
filter on that column.
Shift+Alt+F3 Open the filter pane and add a filter on the selected column
in the list. Focus is on the new filter field, which lets you start
typing the filter criteria right away.
This does the same as selecting Filter from the column

heading.
If there is already a filter on the field, a new filter is added.
Ctrl+Shift+Alt+F3 Reset filters. This does the same as choosing Reset filters in
the filter pane, and it applies to field and totals filters.
Filters return to the default filters for the current view. If the
current view is All, then this is the same as returning to an
unfiltered view with all records.
Ctrl+Enter Change focus from the filter pane back to the list.
Keyboard Shortcuts in Cards and Documents

The following shortcuts are available on card pages, such as Customer Card , and document pages, such as
Sales Order , to display and modify records.
Alt+D Open the dimension set entries.
Alt+F6 Toggle collapse/expand for the current FastTab or part

(subpage).
Alt+F9 Create new document and post it.
Alt+G Open the Find Entries page for finding entries related to
the posted document. Works on lists also.
Alt+N Open a page to create a new record; the same way as

choosing the New action.
Alt+Shift+N Close a page and open a new one to create a new record;
the same way as selecting the OK & New action.
Alt+Shift+W Open the current card or document in a new window. For

more information, see Multitasking Across Multiple Pages.
Ctrl+Enter Save and close the page.
Ctrl+Down Arrow Open the next record for an entity.
Ctrl+Up Arrow Open the previous record for an entity.
Ctrl+Insert Insert a new line in documents.
Ctrl+Delete Delete the line, in documents, journals, and worksheets.
Ctrl+F7 Open ledger entries, logs entries, cost entries, and so on.
Ctrl+F9 Release document.
Ctrl+Shift+F12 Maximize the line items part on a document page. Press the
keys again to return to the normal display. For more
information, see Focusing on Line Items.
F6 Move to the next FastTab or part (subpage).
F7 Open statistics.
F9 Post, issue, register, or reverse document.
Shift+Ctrl+F9 Post, print, and put away warehouse receipt.
Shift+F6 Move to previous FastTab or part (subpage).
Shift+F9 Post and print a document.
Quick Entry Shortcuts for Fields

The following shortcuts pertain to the Quick Entry feature on cards, documents, and list pages. On lists, the
shortcuts cannot be used when the list is in the tile view. For more information about Quick Entry, see
Accelerating Data Entry Using Quick Entry.
( IN M A C O S) TO DO T H IS REM A RK S
Enter Confirm the value in the current field

and go to the next Quick Entry field.
( IN M A C O S) TO DO T H IS REM A RK S
Shift+Enter Confirm the value in the current field

and go to the previous Quick Entry
field.
Ctrl+Shift+Enter Confirm the value in the current

column and go to next Quick Entry
field outside the list.
This shortcut applies to embedded lists

on a page, such as line items on a sales
order. It enables you to quickly get out
of the list and continue entering data
in other fields on the page.
Keyboard Shortcuts in the Calendar (Date Picker)

When setting a date field, you can either enter the date manually or open a calendar (date picker) that lets you
select the date you want. The following table describes the keyboard shortcuts for the calendar.
Ctrl+Home Open the calendar if closed. Note : This doesn't work if the
date field is in a grid, where Ctrl+Home jumps to the first
row.
Ctrl+Home Move to the current month, current day.

(Cmd+Home)
Ctrl+Left Arrow Move to the previous day.

(Cmd+Left Arrow)
Ctrl+Right Arrow Move to the next day.

(Cmd+Right Arrow)
Ctrl+Up Arrow Move to the previous week, same day of the week.
(Cmd+Up Arrow)
Ctrl+Down Arrow Move to the next week, same day of the week.
(Cmd+Down Arrow)
Enter Select the focused date.
Ctrl+End Close the calendar and delete the current date.

(Cmd+End)
Esc Close the calendar without a selection, keep the current

date.
Page Down Move to the next month.
Page Up Move to the previous month.

Keyboard Shortcuts in Date Fields
t Enter the current date. "T" stands for "today".
w Enter the work date. For more information, see Work Date
Keyboard Shortcuts in the Report Preview

Down Arrow Scroll down the page.
Up Arrow Scroll up the page.
Ctrl+0 (zero) Fits the entire page on the page.

(Cmd+0)
Ctrl+Home Go to the first page of the report.

(Cmd+Home)
Ctrl+End Go to the last page of the report.

(Cmd+Home)
Left Arrow Scroll to the left when the page is zoomed in so that it isn't
entirely in view.
Right Arrow Scroll to the right when the page is zoomed in so that it isn't
entirely in view.
Page Down Go to the next page of the report.

(Fn+Down Arrow)
Page Up Go to the previous page of the report.

(Fn+Up Arrow)
Keyboard Shortcuts for Zooming In and Out

P RESS T H ESE K EY S TO DO T H IS
Ctrl++ Zoom in on the current page.
Ctrl+- Zoom out on the current page.
Ctrl+0 Zoom in or out to 100% on the current page.
Keyboard Shortcuts for Role Explorer

Role explorer gives you an overview and quick access to all the business features that are available for your role.
For more information, see Finding Pages with the Role Explorer.
Shift+F12 Open the role explorer.
F3 Open the Find box in role explorer for finding features

based on a given search word or term.
F3 or Ctrl+Down Arrow Moves focus to the next found feature in role explorer. F3
will move focus to the Find box after the last found feature.
Shift F3 or Ctrl+Up Arrow Move focus to the previous found feature in role explorer.
Ctrl+Shift Expand or collapse all subnodes, in addition to top-level

nodes, when you choose the Expand or Collapse action.
Numeric Keypad Shortcuts

The following table describes the shortcuts on a numeric keypad.
Alt+Decimal Separator Switch the output of the decimal separator key to either a
period (.) or the character determined by the Region setting
of the My Settings page. For more information, see Setting
the decimal separator used by numeric keyboards.
See also
Assistive Features
Find Entries
General
Alt+F2 Show and hide the FactBox pane
Alt+N Create a new record
Alt+Shift+N Close a newly created record and create a new one
Alt+O Add a new note for the selected record
Alt+Q Open Tell me
Ctrl+Alt+Q Open Find Entries
Alt+Up Open tooltip or validation error
Alt+Down Arrow Open a drop-down or look up
Alt+T Open the My Settings page
Alt+Shift+W Open the current card or document in a new window
Ctrl+Insert Insert a new line on a document
Ctrl-Delete Delete the line on a document, journal, or worksheet
Ctrl+Shift+F12 Maximize the line items part on a document page
Ctrl+F1 Open the help pane or a help article
Ctrl+Click Navigate when personalizing and customizing
Shift+F12 Open the role explorer, a feature overview
F5/Ctrl+F5 Refresh/reload page
Tab/Shift+Tab Move focus to the next/previous element
F6/Shift+F6 Move to next FastTab/part
Navigate & Select Rows
Home/End Go to first/last field

Ctrl+Home/End Go to first/last row
Ctrl+Up/Down Navigate without losing selection
Ctrl+A Select all
Ctrl+Space Toggle row selection
Ctrl/Shift+Click Add the row/rows to the selection
Shift+Up/Down Add row above/below to selection
Shift+Page Up/Down Select visible rows above/below
Ctrl+Enter Focus out of the list
Copy & Paste
Ctrl+C/V Copy/paste rows
F8 Copy field above into current row
Search, Filter, & Sort
Alt+F7 Sort column in ascending/descending order
F3 Toggle search
Shift+F3 Toggle filter pane; focus on field filters
Alt+F3 Filter on selected cell value
Shift+Alt+F3 Add filter on selected field
Ctrl+Alt+Shift+F3 Reset filters
Quick Entry
Ctrl+Shift+Enter Go to next Quick Entry field outside a list
Enter/Shift+Enter Go to next/previous Quick Entry field
Repo r t Pr evi ew
Ctrl+Home/End Go to the first/last page

Numeric Keypad
Alt+Decimal Separator Toggle output of decimal separator key on numeric keypad
TIP
For a graphical, print-friendly version, choose the following image and download the PDF file.

Touch and Pen Gestures for Tablet and Phones
This article provides some of the special gestures that you can use when working with Business Central from a
tablet or phone.
W H AT DO Y O U
F EAT URE A REA WA N T TO DO GEST URE TA B L ET SUP P O RT P H O N E SUP P O RT
Charts See a tooltip for a Tap and hold the Yes Yes
visual element of a element
chart, like a bar in a
bar chart or slice in a
pie chart.
Lists Scroll a list Swipe left or right on Yes No

horizontally to move the list
columns in and out
of view
Open the options Tap and hold the tile Yes Yes
menu on a tile
Take action on a tile Swipe left or right on No Yes

or open a menu of the tile
swipe actions
Power BI Reports Enable a report from Swipe left on the No Yes

the Power BI report tile
Repor t Selection
page
Disable a report from Swipe right on the No Yes

the Power BI report tile
Repor t Selection
page
See also
Assistive Features
Getting Started
Troubleshooting: Accessing Camera and Location
You might come across some issues when trying to access the camera and location information of a device from
Business Central. You can find the possible causes behind these problems and how to work around them listed
below.
Device must have Camera and Location Capabilities

In order to access the camera or a user's location from a device, the device must have a physical camera or the
capability to retrieve location information, respectively.
If your device has camera and location capabilities but you still encounter problems, it is possible that some
drivers need updating or reinstalling. Even if you are unsure, we always recommend you update your device
operating system, drivers, and browser to the latest version for the best experience.
Access Permissions not Enabled

You must enable general access to camera and location from your device's privacy settings and explicitly give
permission to Business Central to access them. For example, to see or change permissions for a device running
on Windows, go to Settings , choose Privacy , and then App permissions .
For mobile devices, you must give camera and location access permissions to the Business Central Mobile App.
To do so for an iOS device, go to Settings , choose Privacy , and then Camera or Location . For Android devices
go to Settings , choose Apps & Notifications , Advanced , Permission Manager , and then Camera or
Location .
In addition, if you are using Business Central in a browser, you must also grant the Business Central site
permission to access the camera or location information. To see or change a site's permissions in the Microsoft
Edge browser, go to Settings , choose Site Permissions , and then Camera or Location . Note that this might
be different for other browsers.
By default, the device or browser will pop up a request to access these capabilities when the user activates them
for the first time.
NOTE
Some old browsers do not grant access to camera and location. For example, camera is not available in Internet Explorer
or the legacy Edge browser.
Web Client Connection not Secure

The camera and location capabilities are only available when accessing the Web Client through SSL secured
HTTP connections, using the https:// URI scheme.
The only exception is connecting to http://localhost , used for development and test purposes.
Work with Virtualization Technologies

When connecting to Business Central through Remote Desktop or another virtualization, the access to camera
or location might not be available. If this is the case, use the physical system instead.
Antivirus Software
Some antivirus software block access to camera and location by default. Remember to check your antivirus
software settings.
See Also
Implementing the Camera in AL
Implementing the Location in AL
Intelligent Insights in Business Central Online
As a user of Business Central online, you have full access to scenarios that are based on the intelligent cloud,
such as KPIs that are based on machine learning, or when you view your data in Power BI.
However, if you use Business Central on-premises, you do not have access to the same insights. If you want to
benefit from online scenarios, you must migrate to Business Central online. For more information, see Migrating
On-Premises Data to Business Central Online in the administration content for Business Central.
Viewing Insights in Business Central Online

In Business Central online, the Intelligent Cloud Insights page shows four key points of interest for most
businesses:
Cash availability
Sales profitability
Net income
Inventory value
Next to the KPI charts, you get insights into potential areas of concern, including overdue payments. Choose
each insight to drill into the data.
The page also connects to Power BI for even more insights. Optionally, connect to Azure AI for even more
intelligent insights. For more information, see The Sales and Inventory Forecast Extension.
See Also
Welcome to Business Central
Cloud Migration Extensions
Migrating On-Premises Data to Business Central Online
Tell Me FAQ
This article answers questions that our advanced users often ask about the Tell Me feature.
Are all actions from my current page discoverable in Tell Me?
No. Actions in parts, such as the Sales Lines part or FactBoxes, are not displayed in Tell Me.
Are the results in Tell Me filtered by permissions?
If the user does not have AccessByPermissions then actions are not displayed. However, pages and reports
appear in the results but require that the user has permission to access them. A message will display if the user
does not have permission to view the object.
Does Tell Me display content from my customizations or installed third-party extensions?
Actions, pages, and reports that originate from extensions are picked up by Tell Me. For technical information
about how to make custom pages and reports discoverable, see Adding Pages and Reports to Search.
What makes this different from what was previously known as Page Search?
Page Search has evolved into Tell Me to help you get work done quickly. Page Search could only help you
navigate to pages or reports. At a technical level, Tell Me is no longer based on the legacy MenuSuite concept.
I use on-premises Business Central. Does that include Tell Me?
You can use Tell Me in the on-premises Web Client to find actions, pages, and reports, but not apps and
consulting services on AppSource.
Is Tell Me available for all form factors?
Tell Me is only available in the Web Client or Windows desktop app.
Does Tell Me give me help on how to use pages, reports, and other things?
No, but you can easily get this information from the Help pane. Just select the Help menu item (the question
mark in the top-right corner) or press Ctrl+F1 on your keyboard. For more information, see Help pane.
Why don't I see a bookmark icon for my search results?
The bookmark icon is not displayed in the Tell Me window when personalization is disabled for a user role.
See Also
Teams FAQ
APPLIES TO: Business Central online

This article answers some of the questions you may have about working with Teams and Business Central.
General
Search for Contacts
Work with cards
Work with card details
Collaborate with guests
Share to Teams
How do I sign in to the Business Central app in Teams?

After installing the app, you'll be asked to sign in the first time you use the app, when you paste a Business
Central link into Teams chat or choose the Details action on a card in Teams. Depending on your Teams client,
you may have to enter your credentials that you use to access Business Central.
How do I sign out of the Business Central app in Teams?
To sign out of your current user identity in Teams used to connect to Business Central, go to any chat compose
box, right-click the Business Central icon underneath, then choose Settings . When the window appears, check
your currently signed in identity and then choose Sign out .
Does the app for Teams connect to Business Central on premises?
No. The Business Central app for Teams only works with Business Central online. There are no plans to support
Business Central deployment types—like on-premises, hybrid cloud, or private cloud—that Microsoft doesn't
host or manage directly.
Does the app work with multiple companies and environments?
Yes. To search for contacts in a different company, go to Settings. When the Business Central app expands a link
into a card, the link must contain the environment and company names for the app to match the record in the
right company. You can paste links to any companies and environments you have access to within your
organization and from the Business Central account you used to sign in. Participants in the chat will see the card.
But they can't view the card details unless they have permissions to the company or environment where that
record is stored.
In which countries or regions is the Business Central app available?
The Business Central app for Teams isn't restricted by country or region. The app is available in all markets
currently supported by the Teams marketplace.
Does the Business Central app work with any localization of Business Central?
Yes. The app is intended to work with any localization of Business Central, whether that localization is offered
directly from Microsoft or through a partner. For more information, see Country/regional availability and
supported languages.
Which languages does the Business Central app support?
Two things determine the language used for cards and card details in Teams:
1. Your language in Teams, which you can see from your account settings in Teams.
2. Your language in Business Central, which you can see the Business Central Web client (see Change Basic
Setting - Language).
The following table explains how the experience differs for message authors and recipients, depending on
language settings and availability of languages.
WH O C A RD C A RD DETA IL S
Message author Displays in the language that's Displayed in the language that's
specified for you in Teams. If Business specified for you in Business Central.
Central doesn't offer that same which may include languages from
language, the card is displayed in language apps provided by partners.
English.
Message recipient Displays in the language of the Displays in the language that's
message author. specified for you in Business Central.
For the list of supported languages for Business Central, see Supported languages.
Does the Business Central app work with industry solutions?
Yes. But only some features of the app work with Embed apps:
The app works with links based on the *.bc.dynamics.com pattern that's typically used with Embed apps.
Contact search isn't available for Embed apps that replace the base application from Microsoft.
Does Business Central work with the Teams mobile app?
Yes. The Business Central app can be installed from the Teams desktop app or browser, or by an administrator
for all users. Once installed, the Business Central app is automatically available in Teams for iOS and Android. On
mobile devices, you can only view cards sent by others, access details, or pop out the card to the full experience
in the Business Central mobile app. You can't paste links that expand into cards when composing messages or
search for contacts. For minimum requirements for mobile, see Minimum Requirements for Using Business
Central.
Is the Business Central app for Teams the same as the Business Central app for iOS and Android?
No. The app for Teams is an add-in to Microsoft Teams and exclusively designed for collaborative experiences
that light up within Teams. On the other hand, the Business Central mobile app delivers a rich experience for you
to work with Business Central data on your mobile devices.
Mobile users are encouraged to install both the mobile app and the app for Teams to get the most out of
Business Central. With both installed, you can choose the Pop out action on a card in Teams to open the card
details in the Business Central mobile app. For information about installing the Business Central and Teams
mobile apps, see:
Get Business Central on Your Mobile Device
Get the Teams mobile app on Microsoft Support
Does the Business Central app work in all Teams clients?
No. The Business Central app for Teams isn't supported when installed as a package for macOS or Linux. On
these platforms, you can access Teams using a supported browser instead.
For minimum requirements in Business Central, see Minimum Requirements for Using Business Central.
For information about the choice of Teams clients and how to install them, see Get clients for Microsoft Teams in
the Teams documentation.
Which Teams client is best for Business Central?
There are only minor differences and limitations between Teams clients that may affect your experience with the
Business Central app for Teams. When choosing a Teams client, consider:
The camera and location can't be accessed from the details window in the Teams desktop app.
Phone numbers can't be activated from the details window in Teams for iOS, Teams for Android, or Teams in
the browser.
Using Microsoft Edge with the Teams in the browser let's you easily work across multiple identities and
accounts by signing in to Teams from different profiles. To learn about using profiles in Microsoft Edge, see
Sign in and create multiple profiles in Microsoft Edge on Microsoft Support.
What is the best way for me to demonstrate Business Central and Microsoft Teams to prospective
customers?
If you're a reselling partner, you might want to have an environment that you can show prospects as part of pre-
sales demonstrations. To avoid affecting Microsoft Teams in your organization, you can get a Microsoft 365
demo account at https://aka.ms/CDX. This account gives you full control of an independent Azure organization
that includes Microsoft Teams and Business Central. For more information, see Preparing Demonstration
Environments of Dynamics 365 Business Central.
Does the Business Central app for Teams cater for my customization and personalization?
The Business Central app for Teams can display cards for links to customer pages and tables in Business Central,
such as those pages and tables originating from your own custom extensions or from AppSource.
The fields shown on a card in Teams can also be affected by Business Central customizations installed for your
organization. Cards don't consider any role-specific customizations or user personalization. However, the card
details window shows record details as you would see them in Business Central, including any extensions, role
customizations, and user personalization.
When you search for contacts, the fields that are matched in the Contacts table and fields shown in the search
results aren't affected by any customization or personalization.
How do the permissions required by the app affect my privacy?
Before installing the Business Central app for Teams, you can review the minimum permissions required for the
app to function. By installing the app, you agree that the app has permission to receive messages and data that
you provide it, and Teams has permission to store and process those messages.
Also, some Business Central features require opening external links or access to your camera or geographic
location. For example, suppose you wanted to capture a photo of a purchase invoice for processing. The
Business Central app doesn't use these capabilities without your consent and they're only used by specific
features in the Details window. When you use one of these features for the first time, Teams will display a
dialog box asking you to grant access to the required device capabilities.
In Teams desktop, you review and adjust app permissions from the Settings window. Select your profile
picture at the top of the app, select Settings > Permissions , then select the Business Central app.
For Teams in the browser and Teams for iOS or Android, you can review or adjust permissions from your
browser or device settings.
NOTE
Exactly which Business Central features prompt you for permissions depends on the add-on apps and customizations
applied to the Business Central environment that you connect to.
Where can I learn about my privacy?

You can learn about how Microsoft handles your data in the Microsoft Privacy Statement.
Contact your administrator to learn how your organization handles the privacy of your data.
How do I uninstall the Business Central app for Teams?
To remove the app that you installed for yourself, go to any chat compose box, find the Business Central icon
underneath, right-click the icon and choose Uninstall .
Will Microsoft continue to improve the Business Central app for Teams?
At Microsoft, we're constantly listening to feedback from our diverse user community and acting upon the top
suggestions. To learn about what is next for the Business Central app for Teams, see the Dynamics 365 release
plan.
If you want to participate in improving the app for Teams, or have an idea that would help simplify your work or
collaborative experiences in Teams, add an idea or vote for existing ideas at https://aka.ms/BusinessCentralIdeas.
Where can I find Teams integration inside the Business Central Web client?
For functionality in the web client that links to Teams, see the Share Records and Page Links in Microsoft Teams.
See Also
Business Central and Microsoft Teams Integration Overview
Install the Business Central App for Microsoft Teams
Searching for Customers, Vendors, and Other Contacts from Microsoft Teams
Share Records in Microsoft Teams
Troubleshooting Teams
Changing Company and Other Settings in Teams
Developing for Teams Integration
Start a free trial!

Minimum Requirements for Using Business Central
Before you access Business Central online, we recommend that you verify that your computer or mobile device
meets or exceeds the minimum system requirements for the product. This article lists the requirements.
Browsers
Microsoft Edge: Business Central is designed to work with the current version of Microsoft Edge.
Chrome for Windows and Firefox for Windows: Business Central is designed to work with the current
version of these desktop browsers.
Safari: Business Central is designed to work with the current version of Safari on macOS.
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Install the Business Central app in the Start menu using the Microsoft Edge or Chrome browsers.
Mobile devices
Android (tablet and phone): One of the latest three major operating system versions and their updates.
iOS (iPad and iPhone): One of the latest three major operating system versions and their updates.
Outlook
Outlook applications: To use Business Central online as your business inbox in Outlook, you'll need Outlook
2019 or later, Outlook on the web, Outlook for iOS, or Outlook for Android. Your organization must also use
Microsoft 365. You can't use Business Central online as your business inbox in Outlook if your organization uses
Exchange Server on-premises.
IMPORTANT
Starting with Business Central 2021 release wave 2, you will no longer be able to sign in to the Business Central add-in
from Outlook versions earlier than 2012.
Browsers: When using Business Central as your business inbox in Outlook in a browser, the add-in requires
that your computer is running one of the listed supported browsers that are listed earlier in this article.
Platforms: When using the Business Central Outlook Add-In in Outlook for iOS or Outlook for Android, the
add-in requires that your mobile device is running one of the listed supported mobile devices for Business
Central.
Teams
Teams desktop applications: The Business Central app for Teams supports the latest version of the Teams
Windows desktop client.
Browsers: When using the Business Central app for Teams in the browser (web client), the app requires that
your computer is running one of the supported browsers listed earlier in this article.
Platforms: When using the Business Central app in Teams for iOS or Android, the app requires that your
mobile device is running one of the supported mobile platforms listed earlier in this article.
Suppor ted subscription: The Business Central app for Teams supports Microsoft 365 Business and Enterprise
subscriptions, but not standalone Teams subscriptions such as Microsoft Teams (free) or Microsoft Teams
Essentials.
Excel
Edit in Excel: To use the Excel add-in to make changes in Excel and push the changes back into Business
Central, you need Excel 2019 or later. For more information, see Analyzing Financial Statements in Microsoft
Excel.
IMPORTANT
Starting with Business Central 2021 release wave 2, the Excel add-in feature will only support Excel version 2012 or later.
Using the Business Central Administration Center

The administration center is designed to work with the current version of the following browsers:
Microsoft Edge
Chrome for Windows
Firefox for Windows
Safari for macOS
Use Business Central on-premises

If you want to deploy Business Central on-premises, you should check the system requirements. For more
information, see System Requirements for Dynamics 365 Business Central and Deployment Overview.
See Also
System Requirements for Dynamics 365 Business Central
Getting the Business Central Desktop App
Getting Business Central on Your Mobile Device
Managing Business Interactions in Microsoft Outlook
Business Central and Microsoft Teams Integration
Tips and guidance for how to use Dynamics 365 Business Central, how to get unblocked, where to learn more,
and how to find technical information is all available from inside Business Central. This article describes how to
find what.
In-product tips
in the upper right corner to get to the Help. These links can also access content that is published to other
websites, such as the websites of providers of any apps that are installed in your Business Central.
Help pane
In Business Central, the Help menu item (the question mark in the top-right corner) gives you access to a Help
pane that can help you find answers to your questions. The Help pane has different content, depending on how
you access it. The following list describes the cards that are always, or nearly always, present:
A link about the current page
At the top of the pane, a card shows a short description of the current page, if one exists. If there is no
page description, then the card provides a single link to an article about the page.
If Business Central can't find the relevant link, we show the landing page on Docs.microsoft.com. For
example, if the page was part of an app that didn't add context-sensitive Help mapping to Business
Central, the Learn link defaults to the landing page.
Links to related articles from Microsoft Docs
These links are related to the current page and will change if you move to another page. The links are
limited to the docs.microsoft.com site. If there are more than three links, choose the Show more link to
expand the card. Choose any link, and the related article will open in a new browser tab.
Links to content for apps on the current page
These links are based on any app that extends the page or defines the page.
Links to other resources
Three links are always available in the Help pane: Links to the Help & Suppor t page inside Business
Central, the Keyboard Shortcuts article, and the Business Central community.
The following list describes how you can access the Help pane and whether cards are added to it:
Choose the Learn more link on a tooltip for a field
The following card is added to the Help pane:
The field's tooltip
Choose the Learn more link on a tooltip for an action
Choose the Help menu item (the question mark in the top-right corner)
Use the Ctrl+F1 keyboard shortcut from anywhere
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When you choose a link, the target article opens in a new browser tab. You can choose to un-dock the browser tab, then,
so that you can view the relevant information side-by-side with Business Central. The pane remains open while you
navigate through Business Central so that content you searched for remains visible.
Search in the Help pane

Use the search field at the top of the Help pane to search for guidance about how to use the product, built-in
capabilities, and available training modules. Depending on your search terms, the pane shows five or more links
with a short description. Choose a link, or refine your search terms. When you choose a link, the target article
opens in a new browser tab. You can choose to un-dock the browser tab, then, so that you can view the relevant
information side-by-side with Business Central. The pane remains open while you navigate through Business
Central so that content you searched for remains visible.
NOTE
In the current version of Business Central, the search field in the Help pane only applies to content that is published to
the Docs.microsoft.com site.
Help & Support page

From the Help pane, you can access the Help & Suppor t page inside Business Central that includes helpful
links. You can also see how you can contact technical support for your Business Central.
This section outlines the resources available to you in the different sections of the Help and Suppor t page as
outlined in the following list:
Find answers
Help
Community
Blog
Capabilities coming soon
Do more with your trial
Give feedback
Troubleshooting
Report a problem
Support contacts
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Find Answers
The Find it section provides links to the most common places to find answers to your questions. The links fall
into four categories and are explained in the following subsections. Some of the links can be configured by your
Business Central partner, and as a result the behavior can be slightly different.
Product Help
The Find it section includes two links to product Help:
Help about the page you were just viewing in Business Central
This link is automatically generated. If Business Central can't find the relevant link, the landing page on
Docs.microsoft.com for the default version of Business Central is shown. For example, if the page was
part of an app that didn't add context-sensitive Help mapping to Business Central, the Learn link defaults
to the landing page.
Help landing page for Business Central
The functionality in the default version of Business Central is described on the Docs.microsoft.com site.
For more information, see the Use the docs.microsoft.com site to learn more section. You can also extend
and customize Business Central with apps from AppSource. All apps provide links to the relevant product
Help so that you can always find guidance for the different workflows in your version of Business Central.
Community
In the Business Central Forum, you can submit a question and learn from other Business Central community
members. Partners and Microsoft employees participate in the conversations.
If you don't yet have a partner, the Community can also help you get unblocked if you have questions. For
example, if you just signed up for a trial, the Community can be a great starting point.
Blog
We talk about new capabilities on the Dynamics 365 Blog, including if there are special considerations.
Capabilities coming soon
Business Central is updated with major feature updates every six months, and with monthly service updates.
Choose the link to view the latest release plan. You can also get an overview of upcoming and recently released
capabilities in the release plans across Dynamics 365.
For the longer term overview, the Business Central roadmap page shows the general priorities for Business
Central in the coming years.
Do more with your trial
This section gives you shortcuts to Microsoft AppSource where you can find solutions and services from
Business Central partners. Use the links to explore the full capabilities of Business Central before you decide if
you want to buy a subscription. You can also find a link to contact the sales team.
NOTE
This section is only available in Business Central online trial experiences. If you already bought Business Central, the
section isn't longer visible.
Give feedback
On the Dynamics 365 Ideas site, you can provide suggestions for new feature and capabilities. Your input goes
directly to Business Central's engineering backlog for investigation and prioritization.
Make sure that you search through the list of submitted suggestions. Chances are that someone already
submitted something similar, and that entry might have already received votes. Vote if an idea already has been
submitted to get it prioritized on the engineering backlog.
Troubleshooting
The Troubleshooting section shows technical information that your administrator or Business Central partner
can use to unblock users. The section includes information about the latest error message, the current version of
your Business Central, and a link to go to the Page Inspection page. For more information, see Inspecting
Pages in Business Central.
To help you or your supporting partner troubleshoot, you can switch on additional logging in the Repor t a
Problem section. You can then analyze the additional telemetry in the admin center or Application Insights, for
example.
As the internal administrator, you have access to the admin center where you can continue the troubleshooting.
You can view telemetry, manage environments, and manage user sessions. The following articles in the
administration content provide more information:
Finding technical information
Managing environments
Monitoring and analyzing telemetry
Enable sending telemetry to Application Insights
Report a problem
Your Business Central reselling partner will help you with technical support. This section makes it easy for you to
contact your reselling partner, if they've submitted their support contact details. If your Business Central partner
then can't resolve the problem, they'll raise a support ticket with Microsoft.
For more information, see Escalating support issues to Microsoft in the administration content.
NOTE
With Business Central online, the Repor t a Problem section is only available if you have paid for a Business Central
subscription. If you have signed up for a trial and have not yet purchased Business Central, you don't have a reselling
partner, and you can't contact the Microsoft support team. You can find a Business Central partner on the I'm looking for
a solution provider page. For more information, see How do I find a reselling partner?.
With Business Central on-premises, this section is only available in 2020 release wave 2 (version 18) and later.
Support contacts
The Repor t a problem section displays an email address or a hyperlink for you to get in contact with the
customer support person or team. If you are the Business Central reselling partner for a tenant, you can set up
your preferred support contact details in the admin center. For more information, see Configuring the support
experience in the administration content.
To alert your partner to a problem, choose the link to either send an email or open their support site in a new
browser tab. You can then add the technical information about your Azure Active Directory tenant from the
Troubleshooting section and any other information that you find relevant.
NOTE
The support contacts information isn't available with Business Central on-premises.
Use the docs.microsoft.com site to learn more

The base version of Business Central is extended and customized by a large community of partners. Each
partner and many customers deploy their own Help to their own website. But you can always go to the
docs.microsoft.com site to learn more. The site hosts different types of content, such as the following:
Conceptual content about business functionality
Documentation for developers
Free learning paths and e-learning modules across multiple user profiles
In this section, you can learn about how to navigate the business functionality content.
Content on the site
This section of the docs.microsoft.com site hosts content from Microsoft that represents the Learn more pillar in
the user assistance model. In part, the Learn more content intends to answer those questions that the user
interface can't answer, such as the following:
Where does this page fits into the bigger workflow?
What comes next?
What would be the alternative?
From inside the product, you can access this content either through the Learn more link in tooltips and teaching
tips, or by using the Ctrl+F1 keyboard shortcut.
The navigation panel to the left, the table of contents, groups articles by business area. For example, you read
the article Purchase Items for a Sale, and then the table of contents shows you that there's also an article called
Correct or Cancel Unpaid Purchase Invoices. Both articles are in the group called Purchasing, which bundles
articles that are related to the Purchasing module in Business Central.
The table of contents includes a group of content that describes local functionality for the countries that
Microsoft supports. If you don't see your country listed there, it's probably because your country is localized by
a partner. For more information, see Country/regional availability and supported languages.
The local functionality content describes the capabilities in Business Central that can help you be compliant in
the supported markets, such as tax statements and other reports. In some cases, the difference between the
default version and the country-specific version is invisible to users. In other cases, users must set up reporting
or electronic invoicing in a specific way. If you can't find a description of a certain button or action in the general
section, you can hopefully find it in the Local Functionality section.
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On the docs.microsoft.com site as well as in the in-product search field and in the Help pane, the search results show
some context for the target article. The context includes the link that might show the name of a country, or a short
description that calls out a certain capability or a country, for example.
Finding other content
If you land on an article that doesn't answer your question, you can find other content in two ways on the
docs.microsoft.com site:
Use the Filter by title field in the table of contents on the left side of the website
This way, you can filter by words used in the titles of the various articles. For example, type invoice, and
then choose one of the offered links, such as Set Up Invoice Rounding or Create Prepayment Invoices.
Underneath each link, you can see where that article is in the table of contents. That way, you can easily
see if the article is in the Purchasing section or in the section for Australian local functionality, for
example.
Use the Search field in the top-right corner of the website
This way, you can search for any term. The site will then search all the content for that term or expression.
Search for invoice again, and scroll through the list of hundreds of articles in the Business Central content
that uses that word somewhere in the text.
Languages
Content about business functionality is published in several languages. When you land on the
docs.microsoft.com site from inside the product, you see the content in the same language as you've specified in
Business Central, unless that language isn't available on the docs.microsoft.co. site.
You can change the language by changing the URL, or you can use the language toggle in the bottom-left corner
of the website.
The content is authored in English and published to URLs with en-us as the language code. When new
information is published in English, it's then sent off for translation into the supported languages. In some cases,
you will not be able to read this new content in your own language for up to four weeks, but in most cases it
only takes a week or two. You can always view the latest information by switching the language to en-us.
For each language, the table of contents is translated, but the content in the Local Functionality section is in
English except for the country that corresponds to the current language. For example, in the Danish version of
the docs.microsoft.com site ( https://docs.microsoft.com/da-dk/dynamics365/business-central/ ), you can see the
entries for Australian local functionality in Danish in the table of contents, but the articles are in English. Only the
articles for Danish local functionality are translated into Danish.
Recommended content
In March 2021, a new section appeared under most articles on the docs.microsoft.com site. The Recommended
content section is automatically generated based on how each article is used with the rest of the
docs.microsoft.com site. The links aren't static and change over time.
Tell us what you think
On docs.microsoft.com, each article has two buttons at the end of the article. The This product button sends you
to the Ideas site, and the This page button lets you submit feedback about the content through GitHub. In both
cases, you must create an account if you don't already have one. For product feedback, you must sign in with
your work or organizational email account. For access to GitHub, you can use any email address when you
create an account.
We welcome your contributions, both as pull requests with suggestions or corrections to the content, and as
GitHub Issues with bugs or questions. But please be mindful that feedback and contributions to the
dynamics365smb-docs repo is about the content, not about the product.
IMPORTANT
Microsoft accepts pull requests to the dynamics365smb-docs repo only, not the language-specific repos. If you have
feedback about translations, you can report a GitHub issue in the relevant repo.
Navigating to other parts of the site

The docs.microsoft.com hosts content for other products and other types of content. Use the links at the top of
the site to navigate to the Microsoft Learn site site or to the Dynamics 365 release plans, for example. You can
also find a link to the Dynamics 365 Community site, for example.
Apps and other solutions

If your Business Central includes functionality that isn't provided by Microsoft, then the provider of that
functionality also provides Learn more content on their own website. You can access this content in the same
way as in the default version of Business Central, such as by using the Ctrl+F1 keyboard shortcut.
The same applies if you use Business Central on-premises.
See Also
How do I find a reselling partner?
Help System (available in English only)
Blog post: Find the right resources and provide feedback
Business Central developer and administration docs
Resources for Help and Support for Partners
Technical Support
You found our documentation. But some people prefer to watch content rather than read it. To that end, we're
producing short, easily digestible videos. Most videos supplement our user assistance, and some of them can be
viewed on their own.
If you're new to Business Central, you can launch the introduction videos from the welcome page that displays. If
you're already working in Business Central, you can get to the library from the Business Manager and
Accountant Role Centers by choosing the Product Videos tile.
You can also view our "how to" videos, plus much other content, on the YouTube playlist that we created for
Business Central. To visit the videos now, see here.
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Videos in the library display in a frame that might seem a little small. To make the frame larger, choose the double-ended
arrow icon in the upper-right corner. Afterward, videos will display in the larger frame until you make it small again.
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See Also
Dynamics 365 channel on YouTube
Business Central provides functionality for common business processes in small and mid-sized companies,
mainly within wholesale and professional services. However, more complex processes, such as assembly,
manufacturing, service, and directed warehouse management are also supported. Learn how to get a free trial
here.
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Business Central includes standard configurations for most business processes, but you can change the
configuration to suit your business' needs. From your Role Center, you can access assisted setup guides that
help you configure certain scenarios and add features to Business Central. Several areas of business
functionality must be set up manually. The Business Central quick start articles can help you take the first steps
into making Business Central your own. For more information, see Setting Up Business Central.
TO SEE
Make and collect payments, manage your cash flow, defer Finance
income and revenue, prepare year-end closing, and manage
fixed assets.
Get insight to the performance of your business activities Business Intelligence

through budgets, account schedules, and analysis views.
Manage sales processes and information, such as quotes, Sales

orders, returns, and customer accounts, and make drop
shipments.
Manage purchasing processes and information, such as Purchasing

invoices, orders, returns, and vendor accounts, and purchase
items from sales documents.
Register new inventory or service-type items, categorize Inventory

items for easy searching, adjust inventory levels, and
perform common inventory costing tasks.
Create jobs and schedule resources for project, manage job Project Management
budgets, monitor progress, and track machine and employee
hours.
Organize your fixed assets, ensure correct periodic Fixed Assets

depreciation, and keep track of maintenance costs.
Manage and support your sales efforts and focus your Relationship Management
interactions on preferred customers and contacts.
Keep detailed records of your employees, and register Human Resources

absence for analysis purposes.
TO SEE
Plan the production operations that are required to Planning

transform inputs into finished goods.
Put sellable items together in simple steps to make a new Assembly Management
item, such as a kit.
Define shop floor resources and their capacity, schedule Manufacturing

operations, pull production components, and execute
production operations.
Ensure an effective flow of goods that are received and Warehouse Management
shipped.
Schedule service calls and set up service orders, and track Service Management
repair parts and supplies.

Enable users to exchange data with external sources during Exchanging Data Electronically
daily tasks, such as sending/receiving electronic documents,
importing/exporting bank files, and updating currency
exchange rates.
Record external documents in Business Central, including Incoming Documents

their file attachments, and then manually create the related
documents or automatically convert the files to electronic
documents.
See Also
Administration
Business Central provides dedicated functionality for typical business areas, such as finance and sales. For more
information, see Business Functionality.
To support those business area-specific tasks, you can use a variety of general business functionality, such as
defining extended text for document lines and organizing connecting business tasks in workflows.
NOTE
In addition to the business-related functions described in this section, you will use general UI functions every day to
interact with the system. For more information, see Work with Business Central.
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The following table lists these general business areas with links to topics that describe them.
TO SEE
Add extra information to accounts, customers cards, or sales Add Comments to Cards and Documents
orders to communicate agreements, such as a special price
or delivery method, to other users.
View ongoing, posted, or archived documents that are Track Document Lines
related to sales and purchase order lines.
Communicate the contents of business documents quickly Send Documents by Email

to your business partners, such as the payment information
on sales documents to customers.
Archive sales and purchase orders, quotes, return orders, Archive Documents
and blanket orders, and you use the archived document to
recreate the document that it was archived from.
Set up standard text codes so you can extend standard text Add Extended Item Text
by adding extra lines, and set up conditions for use of the
extra lines.
Create tasks to remind you of work to be done. You can Define User Tasks
create tasks for yourself, but you can also assign tasks to
others or be assigned a task by someone else in your
organization.
Work with your Business Central data in Excel. Exporting Your Business Data to Excel
Understand what happens when you choose the Post Posting Documents and Journals
action.
TO SEE
Post multiple sales or purchase documents together, Post Multiple Documents at the Same Time
immediately or as scheduled.
Review the result of posting before you post. Preview Posting Results
Edit selected fields on posted sales or purchase documents. Edit Posted Documents
Learn how to work with general journals, which are used to Work with General Journals
post to general ledger accounts and other accounts such as
bank, customer, vendor, and fixed assets accounts.
Schedule a report to run at a specific date and time. Scheduling a Report to Run
Let the system help you complete tasks quicker and more Letting Business Central Suggest Values
correctly by prefilling fields or complete lines with data that
you would otherwise have to calculate and enter yourself.
Record external documents, including their file attachments, Incoming Documents

and then manually create the related documents or
automatically convert the files to electronic documents.

Set up data exchange definitions so you can send and Exchanging Data Electronically
receive electronic documents.
See Also
Administration
Start a free trial!

Add Comments to Cards and Documents
You can add extra information to G/L accounts, customers cards, or sales orders to communicate exceptions or
special agreements to other users. Practically all cards and document have a Comments action, which opens
the Comment Sheet page where you can write or read comments. On documents, you can also add comments
to individual lines.
Comments on ongoing documents are transferred to the related posted document. For example, a comment on
a sales order is transferred to a resulting posted sales shipment.
In addition, you can specify if you want comments to be transferred from one type of document to another
resulting type of document, such as from a sales order to a sales invoice. You do this in the Sales &
Receivables and the Purchases & Payables pages respectively.
NOTE
Comments are not printed or output to reports or externally-facing documents.
The following describes how to add a comment to an item card. The steps are similar for all other cards and
documents, except on document lines, the Comments action is placed on a lines action menu.
To add a comments to an item card

2. Open the relevant item card.
3. Choose the Comments action.
4. On the Comment Sheet page, enter any text, and then choose the OK button.
See Also
You can view documents that are related to sales order lines and purchase order lines, including from archived
order lines. Related documents that you can track include quotes, shipments, receipts, and blanket orders. This
helps you to identify documents used to process orders.
To track documents related to a sales order line

The following procedure describes how to track from a sales order line. The steps are similar for purchase order
and blanket order lines.
2. Open a sales order that you want to track from.
3. Select a line, and then choose the Document Line Tracking action.
4. On the Document Lines Tracking page, select the document that you want to view, and then choose the
Show action to see the related line.
5. To view the entire document for the selected document line, choose the Show Document action.
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In the default version of Business Central, line numbers are hidden. If you want to see the line numbers, you must
personalize the current page and add the Line No. field. For more information, see Personalize Your Workspace.
See Also
Sales
Send Documents and Emails
You can easily share information and documents, such as sales and purchase orders and invoices, by email
directly from Business Central, without having to open an email app.
You can send almost all types of documents as PDF attachments. Alternatively, you can set up a report layout
that includes information from the document in the email text, along with text that makes the email more
friendly, for example, a standard greeting. For more information, see Managing Report and Document Layouts.
When you send invoices, you can make it easier for customers to make payments through a payment service,
such as PayPal, by automatically adding information and a link to the service in the email. For more information,
see Enable Customer Payments Through Payment Services.
To enable emails from within Business Central, start the Set Up Email assisted setup guide. For more
information, see Set Up Email.
NOTE
Business Central supports only outbound email communications. You cannot also receive replies from within the app.
To send documents by email

This procedure describes how attach a posted sales invoice to an email as a PDF file, and with document-specific
email text.
2. Select the invoice, choose the Print/Send action, and then choose Send .
3. In the Email field, choose Yes (Prompt for Settings) . For more information, see Set Up Document
Sending Profiles.
If the Email field on the Send Document to page is set to Yes (Prompt for Settings) , then the Send
Email page opens pre-filled with the contact person in the To: field and the document attached as a PDF
file. In the Body field, you can either enter text manually or you can have the field filled with a document-
specific email body that you have set up.
5. In the To: field, enter a valid email address. The default value is the customer email address.
6. In the Subject field, enter a descriptive subject text. The default value is the customer name and invoice
number.
7. In the Attachment field, the generated invoice is attached by default as a PDF file.
8. In the Body field, enter a short message to the recipient.
If a document-specific email text is set up on the Repor t Selection - Sales page, then the Body field is
filled in automatically. For more information, see Set Up Reusable Email Texts and Layouts.
9. Choose the OK button to send the email message.
NOTE
If you do not want to specify email settings each time you email a document, you can select the Yes (Use Default
Settings) option in the Email field on the Send Document to page. In that case, the Send Email page will not open.
See Step 4. For more information, see Set Up Document Sending Profiles.
To compose and send an email

You can quickly compose emails for contacts, customers, vendors, salespeople/purchasers, and bank accounts
directly from the pages for those entities. Just choose Process , and then Send Email to open the email editor.
For bank accounts, the Send Email action is under Actions .
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If you often send email messages that are similar in nature, or want to send a bulk communication, for example, to
advertise a sales campaign, using Word templates with email can speed up the process. You can create a template for an
entities such as customers, vendors, and contacts, that will generate the content of an email message for you, and even
personalize the content for the recipient based on data in Business Central. For more information, see Use Word
Templates for Bulk Communication.
Documents marked as printed when they are sent

Some documents in Business Central have a field that specifies how many times the document has been printed.
The number in that field is also updated if you send the document by email because a PDF file is generated for it.
The number is updated even if you don't send the email.
Sent emails and your email outbox

Business Central stores the emails that you send on the Sent Items page. That's to let you resend emails, or
forward them to someone else. If you can't find an email in your sent items, look for it on the Email Outbox
page.
NOTE
Depending on the extension that your company uses for email, administrators can see a list of messages that everyone
has sent, but not the content of the messages
The Email Outbox is where you'll find the emails that you saved as drafts, and emails that failed to send, for
example, if the email address was invalid. For messages that failed to send, you can choose Show Error or
Investigate Error to troubleshoot the problem.

See Also
Set up Email
Invoice Sales
Archive Documents
You can archive sales and purchase orders, quotes, return orders, and blanket orders. Archiving documents lets
you restore the original, if needed. You can archive a sales or purchase document several times, saving a
different archived version each time.
For archived sales documents where the original still exists and isn't posted, you can use the Restore action to
overwrite the current document with an archived version.
For archived documents where the original is deleted, you can only reuse the content by copying the data, for
example, by using the Copy from Document action.
To set up automatic document archiving

You can set up automatic archiving of sales and purchase orders, quotes, blanket orders, and return orders.
When automatic archiving is turned on, a new version of the archived document is created when someone does
the following things:
Changes or deletes a document.
Prints, downloads, or sends a document by email.
Converts a quote to an order or invoice.
Posts an order.
The following procedure describes how to set up automatic archiving of sales documents. The steps are similar
for purchase documents.
2. On the Archiving FastTab, specify whether to turn on automatic archiving for the various types of sales
documents. Hover over a field to read a short description.
The following table describes the options for the Archive Quotes field.
Never Don't archive sales quotes when they're deleted.
Question Prompt the user to choose whether to archive sales quotes

when they're deleted.
Always Archive sales quotes automatically when they're deleted.
To archive a sales order

The following procedure describes how to archive a sales order. The steps are similar for all orders, blanket
orders, return orders, and quotes.
2. Open a sales order that you want to archive.
3. Choose the Archive Document action.
The sales order is archived. You can view it on the Archived Sales Orders page.
To restore a non-posted sales order from the archive

The following procedure describes how to restore an archived sales order to the original sales order. Restoring a
document is only possible when the original document hasn't been posted. The steps are similar for all orders,
blanket orders, return orders, and quotes.
1. Choose the icon, enter Sales Order Archives , and then choose the related link.
2. Select the archived sales order, or version of it, that you want to restore, and then choose the Restore action.
The contents of the original sales order are replaced with the archived version.
To delete archived sales orders

The following procedure describes how to delete archived sales orders. The steps are similar for other archived
sales and purchase documents.
1. Choose the icon, enter Sales Order Archives , and then choose the related link.
2. Choose the Delete Older Versions action, and then, on the Delete Archived Sales Order Versions
page, select the appropriate filters.
See Also
Sales
Add Extended Text
You can extend the description for items, stock-keeping units, general ledger accounts, and resources by adding
extra lines as extended text. You can also set up conditions for use of the extra lines.
The following section describes how to add extended text to a description of an item. But the same steps apply
to stock-keeping units, general ledger accounts, and resources.
To define extended text for an description

1. Open the card for an item that you want to add extended text to, and then choose the Extended Text action.
2. Fill in the Code and Description fields.
3. Choose the New .
4. Fill in the Language Code field or select the All Language Codes check box if you use language codes.
5. Fill in the Star ting Date and Ending Date fields if you want to limit the dates on which the extended text is
used.
6. In the Text field, write the extended text.
7. Select relevant check boxes for the document types where you want the extended text printed.
8. Close the page.
You can now add this extended text to documents. The following procedure explains how to add extended text to
a sales order, but the same steps apply to any other document that you specified for the extended text.
To add an extended item text on a sales order line

1. Open a sales order with a sales line for an item that has extended text defined. For more information, see Sell
Products.
2. Select the line in question, and then choose the Inser t Ext. Text action.
See Also
Setting Up Inventory
Define User Tasks
In Business Central, you can create tasks to remind you of work to be done. You can create tasks for yourself, but
you can also assign tasks to others or be assigned a task by someone else in your organization.
Managing User Tasks

The User Tasks page shows all tasks, and you can easily create and assign new tasks. When you create a task,
you can specify the start date and due date, and you can add a link to the page or report in Business Central
where the user must do the work.
For example, you can create a task for yourself or a coworker to view all posted sales invoices. In that case, you
link the task to page 143, Posted Sales Invoices . In the following screenshot, someone is creating a task for
MeganB to review the posted sales invoices.
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Use the look-up in the Page field and then use the Search field to find the page that you want.
You can link to any page, but you cannot link to individual entries, so make the description as explicit as possible, such as
writing "Please take a look at customer no. 10000 and make sure they don't have overdue payments.".
Picking Up User Tasks

In the Business Manager, Bookkeeper, and Accountant Role Centers, a tile shows pending tasks that are assigned
to that user. To pick up a task, simply choose it from the list of pending user tasks. In the ribbon, the link Go to
Task Item opens the page where you can do the work.
When you have completed a task, simply mark it as completed.
Deleting User Tasks
If you want to bulk delete all or some user tasks, you can use the Delete User Tasks report. In the request
page, you can set filters to determine which tasks must be deleted.
See Also
Searching for a Page or Report
Excel is a powerful tool to work with data. From inside Business Central, you can open any list in Excel. You can
even modify data in Excel and then submit it back to Business Central. The same capability makes it easy for you
to take your data with you if you decide to cancel your subscription.
Opening Lists in Excel

You can open data in Excel from any journal, list, or worksheet. You just open the page that you want, and then
choose Open in Excel . For example, open the list of customers (search for Customers ), and then choose Open
in Excel . Your browser will prompt you to open or save the generated Excel workbook.
NOTE
Use this option when you do not want to make changes and publish those changes back to Business Central.
Each list includes some columns. The export to Excel includes any columns that are in your current view. Change
the columns by opening the shortcut menu for any column, and then specifying which columns that you want to
see. The list of columns is different for most lists. The columns reflect the structure in the database that stores
your data. If you aren't sure what type of data a certain column contains, add it to your view. You can always
remove it again.
Edit Data in Excel
Your Business Central experience includes an add-in for Excel so you can edit data in Excel. For more
information, see Analyzing Financial Statements in Microsoft Excel.
Exporting Data to Other Finance Systems

If you decide to cancel your subscription for Business Central, you can export your data to Excel and take it with
you to your next finance system.
You can export all pages, but that might be more than you really need. So consider exporting the following
essential pages, and remember to add all columns as described earlier:
Chart of Accounts
Customers
Vendors
Banks
Items
If you want all your financial transactions as well, it's a large amount of data, so the export will often take more
than a few minutes of time. The financial transactions are shown on the General Ledger Entries page.
We recommend that you also consider exporting data from the following pages:
Customer Ledger Entries
Vendor Ledger Entries
Bank Account Ledger Entries
Item Ledger Entries
General Posting Setup
Customer Posting Groups
Vendor Posting Groups
Item Posting Groups
Bank Posting Group
G/L Budgets
G/L Budget Entries
Sales Quotes
Sales Invoices
Purchase Invoices
Contacts
Salespeople
NOTE
If you have set up more than one company in Business Central, you must export the relevant data from each company.
NOTE
You must have at least one of the following permissions to open or edit data in Excel:
Permission set D365 Excel Export Action
System permission 6110 Allow Action Export To Excel.
For more information, see To get an overview of a user's permissions.

See Also
Canceling Your Subscription for Business Central
Importing Business Data from Other Finance Systems
Finance
Posting represents the accounting action of recording business transactions in the various company ledgers.
Practically every document and journal in Business Central offers a Posting group from which you can choose
between different posting actions, such as Post , Preview Posting , Post and Send , Post and Email .
The following table describes related tasks, with links to the topics that describe them.
TO SEE
Learn about posting purchase documents. Posting Purchases
Learn about posting sales documents. Posting Sales
Post multiple sales or purchase documents together, Post Multiple Documents at the Same Time
immediately or as scheduled.
Learn about posting general journals. Work with General Journals
Preview, in a page, the entries that will be created when you Preview Posting Results
post.
Preview, in a report, the entries that will be created when View Test Reports Before Posting
you post.
See Also
Instead of posting individual documents one by one, you can select multiple non-posted documents in a list for
immediate posting or for batch posting according to a schedule, such as at the end of the day. This may be
useful if only a supervisor can post documents created by other users or to avoid system performance issues
from posting during work hours.
To post multiple purchase orders immediately

The following procedure explains how to post multiple purchase orders immediately. The steps are similar for all
purchase and sales documents.
2. On the Purchase Orders page, proceed to select all orders to be posted:
3. In the No. field, choose the three vertical dots to open the context menu, and then choose the Select More
action.
4. Select the check box for all the lines representing orders that you want to post at the same time.
5. Choose the Posting action, and then choose the Post action.
6. Choose the Yes button on the confirmation message.
To batch post multiple purchase orders

The following procedure explains how to batch post purchase orders. The steps are similar for all purchase and
sales documents where the Batch Post action is available.
2. On the Purchase Orders page, proceed to select all orders to be posted:
3. In the No. field, choose the three vertical dots to open the context menu, and then choose the Select More
action.
4. Select the check box for all the lines representing orders that you want to post at the same time.
5. Choose the Posting action, and then choose the Post Batch action.
6. On the Batch Post Purchase Order page, fill in the fields as necessary. Hover over a field to read a short
description.
8. To view potential issues that occurred during batch posting of documents, open the Error Message
Register page.
NOTE
Posting of multiple documents might take some time and block other users. Consider enabling background posting. For
more information, see Use Job Queues to Schedule Tasks.
To set up background posting with job queues

Job queues are an effective tool to schedule the running of business processes in the background, such as when
multiple users are trying to post sales orders, but only one order can be processed at a time.
The following procedure explains how to set up background posting of sales orders. The steps are similar for
purchasing.
2. On the Sales & Receivables Setup page, choose the Post with Job Queue check box.
3. Choose the Job Queue Categor y Code field, and then specify the SALESPOST code.
NOTE
Some jobs change the same data and should not run at the same time because that can cause conflicts. For
example, background jobs for sales documents will try to modify the same data at the same time. Job queue
categories help prevent these kinds of conflicts by ensuring that when one job is running, another job that
belongs to the same job queue category will not run until it finishes. For example, a job that belongs to a Sales job
queue category will wait until all other sales related jobs are done. You specify a job queue category on the
Background Posting FastTab on the Sales & Receivables Setup page.
Business Central provides job queue categories for sales, purchase, and general ledger posting. We recommend
that one of these, or one that you create, is always specified. If you experience failures due to conflicts, consider
setting up a category for all sales, purchase, and general ledger background posting.
If you also want sales documents to be printed when they are posted, select the Post & Print with Job
Queue check box on the Sales & Receivables Setup page.
If you select PDF in the Repor t Output Type field, successfully posted purchase orders will be available
in the Repor t Inbox part on your Role Center.
IMPORTANT
If you set up a job that will post and print documents, and the printer displays a dialog box, such as a request for
credentials or a warning about low printer ink, your document is posted but not printed. The corresponding job
queue entry eventually times out and the Status field is set to Error . Accordingly, we recommend that you do
not use a printer setup that requires interaction with the display of printer dialog boxes in conjunction with
background posting.
Next time that you post sales documents, Business Central automatically creates a job queue entry for
each document and run the jobs in the background, one by one.
4. To verify that the job queue is working as expected, post a sales order. For more information, see Sell
Products. The sales order will now be added to a dedicated job queue entry, which defines when the
documents are posted.
To view status from a sales or purchase document
If the job queue cannot post the sales order, the status is changed to Error and the sales order is added to the
list of sales orders that the user must handle manually.
1. From the document that you have tried to post with background posting, choose the Job Queue Status
field, which will contain Error .
2. Review the error message and fix the problem.
Alternatively, you can review on the Job Queue Log Entries page if the sales order was posted successfully.
For more information, see the Monitor the job queue section.
To create a job queue entry for batch posting of sales orders

Alternatively, you can postpone postings for when it is convenient for your organization. For example, in your
business it might make sense to run certain routines when most of the data entry for the day has concluded.
You can achieve this by setting the job queue up to run various batch-posting reports, such as the Batch Post
Sales Orders , Batch Post Sales Invoices , and similar reports. Business Central supports background posting
for all sales, purchasing, and service documents.
The following procedure shows how to set the Batch Post Sales Orders report up to automatically post sales
orders at 4 PM on weekdays.
1. Choose the icon, enter Job Queue Entries , and then choose the related link.
3. In the Object Type to Run field, select Repor t .
4. In the Object ID to Run field, select 296, Batch Post Sales Orders .
You can also use following reports:
900 Batch Post Assembly Orders
497 Batch Post Purchase Invoices
496 Batch Post Purchase Orders
498 Batch Post Purch. Credit Memos
6665 Batch Post Purch. Ret. Orders
298 Batch Post Sales Credit Memos
297 Batch Post Sales Invoices
296 Batch Post Sales Orders
6655 Batch Post Sales Return Orders
6005 Batch Post Ser vice Cr. Memos
6004 Batch Post Ser vice Invoices
6001 Batch Post Ser vice Orders
5. Select the Repor t Request Page check box.
6. In the Batch Post Sales Orders request page, define what is included during automatic posting of sales
orders, and then choose the OK button.
IMPORTANT
Remember to set strict filters; otherwise, Business Central will post all documents, even if they are not ready.
Consider setting a filter on the Status field for the value Released, and a filter on the Posting Date field for the
value ..today. For more information, see Sorting, Searching, and Filtering.
7. Select all check boxes from Run on Mondays through Run on Fridays .
8. In the Star ting Time field, enter 4 PM.
9. Choose the Set Status to Ready action.
Sales orders that are within defined filters will now be posted every weekday at 4 PM.
Monitor the job queue

If you set up background posting with job queues, make it a regular task to monitor the job queue to catch any
issues. You can track the status in the Job Queue Entries page. For more information, see Use Job Queues to
Schedule Tasks.
As an administrator, you can use Application Insights to gather and analyze telemetry that you can use to
identify problems. For more information, see Monitoring and Analyzing Telemetry in the developer and
administration content.
See Also
Preview Posting Results
On every document and journal that can be posted, you can choose the Preview Posting button to review the
different types of entries that will be created when you post the document or journal.
To preview G/L entries that will result from posting a purchase invoice
2. Create a purchase invoice. For more information, see Record Purchases.
3. Choose Preview Posting .
4. On the Posting Preview page, select G/L Entr y , and then choose Show Related Entries .
The G/L Entries Preview page shows which entries will be created when you post the purchase invoice.
See Also
Sometimes you have to update a posted document because information that is relevant to the document has
changed. On a posted sales document, this can be the shipping agent's package tracking number, for example.
On a posted purchase document, this can be a payment reference text.
You perform the change on an editable version of the original document, indicated by "- Update " in the page
title. The page contains a subset of the fields on the original document, of which some are non-editable fields
that are shown for information only.
The functionality is available for the following documents across all supported markets:
Posted Sales Shipment
Posted Purchase Invoice
Posted Return Shipment
Posted Return Receipt
The following additional documents can be edited in the specified countries or regions:
ES: Posted Sales Invoice, Posted Sales Credit Memo, Posted Purchase Credit Memo
APAC: Posted Sales Credit Memo, Posted Purchase Credit Memo
RU: Posted Sales Credit Memo
IT: Posted Transfer Shipment, Posted Service Shipment
To edit a posted sales shipment

The following explains how to edit a posted sales shipment. The steps are similar for the other supported
documents.
1. Choose the icon, enter Posted Sales Shipments , and then choose the related link.
2. Select the document that you want to edit, and then choose the Update Document action. Alternatively,
open the document and then choose the action.
3. On the Posted Sales Shipment - Update page, edit the Package Tracking No. field, for example.
The posted sales shipment is updated.
See Also
Purchasing
Most financial transactions are posted to the general ledger through dedicated business documents, such as
purchase invoices and sales orders. But you can also process business activities such as purchasing, paying,
using recurring journals to post accruals, or refunding employee expenses by posting journal lines in the various
journals in Business Central.
Most journals are based on the General Journal, and you can process all transactions on the General Journal
page. For more information, see Post Transactions Directly to the General Ledger.
For example, you can use post employees' expenditure of own money on business-related expenses, for later
reimbursement. For more information, see Record and Reimburse Employees' Expenses.
But in many cases, you will want to use the journals that are optimized for specific types of transactions, such as
the Payment Journal for registering payments. For more information, see Record Payments and Refunds in the
Payment Journal.
You use general journals to post financial transactions directly to general ledger accounts and other accounts,
such as bank, customer, vendor, and employee accounts. Posting with a general journal always creates entries on
general ledger accounts. This is true even when, for example, you post a journal line to a customer account,
because an entry is posted to a general ledger receivables account through a posting group.
The information that you enter in a journal is temporary and can be changed while it is in the journal. When you
post the journal, the information is transferred to entries on individual accounts, where it cannot be changed.
You can, however, unapply posted entries, and you can post reversing or correcting entries. For more
information, see Reverse Journal Postings and Undo Receipts/Shipments.
NOTE
The general journal only shows a limited number of fields on the journal line by default. If you want to see additional
fields, such as the Account Type field, choose the Show More Columns action. To hide the additional fields again,
choose the Show Fewer Columns action. When you see fewer columns, then the same posting date is used for all lines.
If you want to have multiple posting dates for the same journal entry, choose the Show More Columns action.
Use Journal Templates and Batches

There are several general journal templates. Each journal template is represented by a dedicated page with
particular functions and the fields that are required to support those functions, such as the Payment
Reconciliation Journal page to process bank payments and the Payment Journal page to pay your vendors
or reimburse your employees. For more information, see Make Payments and Reconcile Customer Payments
with the Cash Receipt Journal or from Customer Ledger Entries.
For each journal template, you can set up your own personal journal as a journal batch. For example, you can
define your own journal batch for the payment journal that has your personal layout and settings. The following
tip is an example of how to personalize a journal.
TIP
If you select the Suggest Balancing Amount check box on the line for your batch on the General Journal Batches
page, then the Amount field on, for example, general journal lines for the same document number is automatically
prefilled with the value that is required to balance the document. For more information, see Letting Business Central
Suggest Values.
TIP
To add or remove fields in journals, use the Personalizing banner. For more information, see Personalize Your Workspace.
Validating General Journal Batches

To help prevent delays when posting, you can turn on a background check that will notify you when there is a
mistake in the financial journal you're working on that will prevent you from posting the journal. On the
General Journal Batch page, you can choose Background Error Check to have Business Central validate
finance journals, such as general or payment journals, while you're working on them.
When you enable the validation the Journal Check FactBox displays next to the journal lines and will show
issues in the current line and the whole batch. Validation happens when you load a finance journal batch, and
when you choose another journal line. The Issues total tile in the FactBox shows the total number of issues that
Business Central found, and you can choose it to open an overview the issues.
You can use the Show Lines with Issues and Show All Lines actions to toggle between journal lines that
have or don't have issues. The new Journal Line Details FactBox provides quick overview and access to data
from journal lines, such as the G/L account, customer, or vendor, as well as to the posting setup for specific
accounts.

Reversing Journals to Correct Mistakes
When working with journals that have many lines and something goes wrong, it's important to have an easy
way to correct mistakes. The Posted General Journal page offers a couple of actions that can help.
Copy Selected Lines to Journal - Copy only the lines that you select.
Copy G/L Register to Journal - Copy all lines that belong to the same G/L register.
These actions let you create a copy of a general journal line or a batch, and then specify the following:
The journal to copy the lines to
Whether with opposite signs (a reversing journal)
A different posting date or document number
To allow journals to be copied to posted general journals, on the General Journal Templates page, choose the
Copy to Posted Jnl. Lines check box. After you allow people to copy posted general journals, if needed you
can turn off copying for specific batches.
Understanding Main Accounts and Balancing Accounts

If you have set up default balancing accounts for the journal batches on the General Journals page, the
balancing account will be filled in automatically when you fill in the Account No. field. Otherwise, fill in both
the Account No. field and the Bal. Account No. field manually. A positive amount in the Amount field is
debited to the main account and credited to the balancing account. A negative amount is credited to the main
account and debited to the balancing account.
NOTE
VAT is calculated separately for the main account and the balancing account, so they can use different VAT percentage
rates.
Work with Recurring Journals

A recurring journal is a general journal with specific fields for managing transactions that you post frequently
with few or no changes, such as rent, subscriptions, electricity, and heat. Using these fields for recurring
transactions, you can post both fixed and variable amounts. You can also specify automatic reversal entries for
the day after the posting date. You can also use allocation keys to divide the recurring entries among various
accounts. For more information, see Allocating Recurring Journal Amounts to Several Accounts.
With a recurring journal, entries that will be posted regularly need to be typed in only once. That is, the accounts,
dimensions and dimension values and so on that you enter will be remain in the journal after posting. If any
adjustments are necessary, you can make them with each posting.
Recurring Method field
This field determines how the amount on the journal line is treated after posting. For example, if you will use the
same amount every time you post the line, you can let the amount remain. If you will use the same accounts and
text on the line but the amount will vary every time you post, you can choose to delete the amount after posting.
TO SEE
F Fixed The amount on the journal line will remain after posting.
V Variable The amount on the journal line will be deleted after posting.
B Balance The posted amount on the account on the line will be

allocated among the accounts specified for the line in the
Gen. Jnl. Allocation table. The balance on the account will
thus be set to zero. Remember to fill in the Allocation %
field on the Allocations page. For more information, see
Allocating Recurring Journal Amounts to Several Accounts.
RF Reversing Fixed The amount on the journal line will remain after posting, and
a balancing entry will be posted on the next day.
TO SEE
RV Reversing Variable The amount on the journal line will be deleted after posting,
and a balancing entry will be posted on the next day.
RB Reversing Balance The posted amount on the account on the line will be
allocated among the accounts specified for the line on the
Allocations page. The balance on the account will be set to
zero, and a balancing entry is posted on the next day.
BD Balance by Dimension The journal line allocates costs based on a G/L account's
balance by dimension. You'll be prompted to set the
dimension filters to be used to calculate the source G/L
account's balance by dimension from which you want to
allocate costs. Alternatively, choose the Set Dimension
Filters action later.
RBD Reversing Balance by Dimension The journal line allocates costs based on a G/L account's
reversing balance by dimension. You'll be prompted to set
the dimension filters to be used to calculate the source G/L
NOTE
The VAT fields can be filled in on either the recurring journal line or on the allocation journal line but not on both. That is,
they can be filled in on the Allocations page only if the corresponding lines in the recurring journal are not filled in.
Recurring Frequency field

This field determines how often the entry on the journal line will be posted. It is a date formula field, and it must
be filled in for recurring journal lines. For more information, see Use Date Formulas.
Examples
If the journal line must be posted every month, enter "1M". After every posting, the date in the Posting Date
field will be updated to the same date in the next month.
If you want to post an entry on the last day of every month, you can do one of the following:
Post the first entry on the last day of a month by entering 1D+1M-1D (1 day + 1 month - 1 day). With
this formula, the posting date is calculated correctly regardless of how many days there are in the month.
Post the first entry on any arbitrary day of a month by entering 1M+CM. With this formula, the posting
date will be after one full month + the remaining days of the current month.
Expiration Date field
This field determines the date on which the line will be posted for the last time. The line will not be posted after
this date.
The advantage of using the field is that the line will not be deleted from the journal immediately and you can
always replace the present expiration date with a later one so that you can use the line further into the future.
If the field is blank, the line will be posted every time you post until it is deleted from the journal.
Allocating Recurring Journal Amounts to Several Accounts
On the Recurring General Journal page, you can choose the Allocations action to see or manage how
amounts on the recurring journal line are allocated to several accounts and dimensions. Note that an allocation
functions as balancing account line to the recurring journal line.
Just as in a recurring journal, you need to enter an allocation only once. The allocation will remain in the
allocation journal after posting, so you do not need to enter amounts and allocations every time you post the
recurring journal line.
If the recurring method in the recurring journal is set to Balance or Reversing Balance , then any dimension
value codes in the recurring journal are disregarded when the account is set to zero. So if you allocate a
recurring line to various dimension values on the Allocations page, then only one reversing entry will be
created. Therefore, if you allocate a recurring journal line that contains a dimension value code, then you must
not enter the same code on the Allocations page. If you do, the dimension values will be incorrect.
To allocate recurring journal amounts based on dimensions, set the Recurring Method field to Balance by
Dimension or Reversing Balance by Dimension instead. If the recurring method in the recurring journal is
set to Balance by Dimension or Reversing Balance by Dimension , then any dimension value codes in the
recurring journal are considered when the account is set to zero. So if you allocate a recurring line to various
dimension values on the Allocations page, then a number of reversing entries that matches the number of
dimension value combinations that the balance is comprised of, are created. If you allocate account balance
through the recurring journal that contains a dimension value code, remember to use Balance by Dimension
or Reversing Balance by Dimension to make sure that the dimension values are correctly balanced or
reversed from the source account.
For example, your company has a couple of business units and a handful of departments that your controllers
have set up as dimensions. To speed up the purchase invoice entry process, you decide to require the accounts
payable clerks to enter only business unit dimensions. Since each business unit has specific allocation keys for
the Department dimension, such as based on the number of employees, you can use the BD Balance by
Dimension or RBD Reversing Balance by Dimension recurring methods to re-allocate expenses for each
business unit to the right departments based on the allocation keys.
NOTE
Dimensions that you set on allocation lines are not automatically calculated, and you must specify which dimension values
must be set on the allocation accounts. In case you want to preserve the link between the source account dimension and
the allocation account dimension, we recommend that you use the Cost Accounting capabilities instead.
Example: Allocating Rent Payments to Different Departments

You pay rent every month, so you have entered the rent amount on the cash account on a recurring journal line.
On the Allocations page, you can divide the expense among several departments (Department dimension)
according to the number of square feet that each one occupies. The calculation is based on the allocation
percentage on each line. You can enter various accounts on different allocation lines (if rent will also be divided
among several accounts), or you can enter the same account but with various dimension value codes for the
Department dimension on each line.
Reversal Date Calculation
When using recurring general journals to post accruals at the end of a period, it's important to have full control
over reversal entries. On the Recurring General Journals page, the Reversal Date Calculation field lets you
control the date that reversal entries will be posted when reversal recurring methods are used.
Example
Accruals are usually posted with Fixed, Variable, or Balance recurring methods on the journal line. The posting
date of the posted amount on the account on journal line is calculated using the recurring frequency. The
posting date for the balancing entry is calculated using the Reversal Date Calculation field, as follows:
If the field is blank, the balancing entry will be posted the next day.
If the field contains a date formula (for example, 5D for five days), the balancing entry will be posted with a
posting date calculated using the reversal date calculation.
NOTE
By default, the Reversal Date Calculation field is not available on the Recurring General Journals page. To use the
field, you must add it by personalizing the page. For more information, see Personalize Your Workspace.
Work with Standard Journals

When you have created journal lines which you know you are likely to create again later, you can save them as a
standard journal before you post the journal. This functionality applies to item journals and general journals.
NOTE
The following procedure refers to the item journal, but the information also applies to the general journal.
To save a standard journal

2. Enter one or more journal lines.
3. Select the journal lines that you want to reuse.
4. Choose the Save as Standard Journal action.
5. In the Save as Standard Item Journal request page, define a new or existing standard item journal
that the lines should be saved in.
If you have already created one or more standard item journals and you want to replace one of these
with the new set of item journal lines, in the Code field, select the code you want.
6. Choose the OK button to verify that you want to overwrite the existing standard item journal and replace
all its content.
7. Select the Save Unit Amount field if you want to save the values in the Unit Amount field of the
standard item journal.
8. Select the Save Quantity field if you want application to save the values in the Quantity field.
9. Choose the OK button to save the standard item journal.
When you have finished saving the standard item journal, the Item Journal page is displayed so you can proceed
to post it, knowing that it can easily be recreated next time you need to post the same or similar lines.
To reuse a standard journal
2. Choose the Get Standard Journals action.
The Standard Item Journals page opens showing codes and descriptions for all existing standard item
journals.
3. To review a standard item journal before you select it for reuse, choose the Show Journal action.
Any changes you make in a standard item journal are implemented right away. They will be there next
time you open or reuse the standard item journal in question. You should therefore be sure that the
change is important enough to apply generally. Otherwise, make the specific change in the item journal
after the standard item journal lines have been inserted. See step 4 below.
4. On the Standard Item Journals page, select the standard item journal you want to reuse, and then
Now the item journal is filled with the lines you saved as the standard item journal. If journal lines already
existed in the item journal, the inserted lines will be placed under the existing journal lines.
If you did not check the Save Unit Amount field when you used the Save as Standard Item Journal
function job, then the Unit Amount field on lines that are inserted from the standard journal is
automatically filled with the item's current value, copied from the Unit Cost field on the item card.
NOTE
If you selected the Save Unit Amount or Save Quantity fields, you should now make sure the inserted values
are correct for this particular inventory adjustment before you post the item journal.
If the inserted item journal lines contain saved unit amounts that you do not want to post, you can
quickly adjust it to the current value of the item as follows.
5. Select the item journal lines you want to adjust, and then choose the Recalculate Unit Amount action.
This will update the Unit Amount field with the current unit cost of the item.
6. Choose the post action.
To renumber document numbers in journals

To make sure that you do not receive posting errors because of the document number order, you can use the
Renumber Document Numbers function before you post a journal.
In all journals that are based on the general journal, the Document No. field is editable so that you can specify
different document numbers for different journal lines or the same document number for related journal lines.
If the No. Series field on the journal batch is filled, then the posting function in general journals requires that
the document number on individual or grouped journal lines be in sequential order. Just choose the Renumber
Document Numbers action, and relevant Document No. fields are then updated. If related journal lines were
grouped by document number before you used the function, they will remain grouped but may be assigned a
different document number.
This function also works on filtered views.
Any renumbering of document numbers will respect related applications, such as a payment application that has
been made from the document on the journal line to a vendor account. Accordingly, the Applies-to ID and
Applies-to Doc. No. fields on the affected ledger entries may be updated.
To renumber documents in journals
The following procedure is based on the General Journal page, but applies to all other journals that are based
on the general journal, such as the Payment Journal page.
1. Choose the icon, enter General Journals , and then choose the related link.
2. When you are ready to post the journal, choose the Renumber Document Numbers action.
Values in the Document No. field are changed, where required, so that the document number on individual or
grouped journal lines are in sequential order. After documents are renumbered, you can proceed to post the
journal.

See Also
Finance
Close Open Item Ledger Entries Resulting from Fixed Application in the Item Journal
Revalue Inventory in the Revaluation Journal
Count, Adjust, and Reclassify Inventory Using Journals
Reconcile Customer Payments with the Cash Receipt Journal or from Customer Ledger Entries
Reconcile Vendor Payments with the Payment Journal or from Vendor Ledger Entries
Job queues in Business Central enable users to schedule and run specific reports and codeunits. You can set jobs
to run one time, or on a recurring basis. For example, you might want to run the Salesperson * Sales
Statistics report weekly, to track sales by salesperson each week, or you might want to run the Delegate
Approval Requests codeunit daily, to prevent documents from piling up or otherwise block the workflow.
The Job Queue Entries page lists all existing jobs. If you add a new job queue entry that you want to schedule,
you must specify information about the type of object you want to run, such as a report or codeunit, and the
name and object ID of the object that you want to run. You can also add parameters to specify the behavior of
the job queue entry. For example, you can add a parameter to only send posted sales orders. You must have
permission to run the particular report or codeunit, or an error will be returned when the job queue is run.
IMPORTANT
If you use the SUPER permissions set that comes with Business Central, you and your users have permissions to run all
objects within the license. That is still not enough for Delegated Admin or users with Device license, who cannot create job
queue entires.
A job queue can have many entries, which are the jobs that the queue manages and runs. Information in the
entry specifies what codeunit or report is run, when and how often the entry is run, in what category the job
runs, and how it runs.
After job queues are set up and running, the status can change as follows within each recurring period:
On Hold
Ready
In Process
Error
Finished
After a job has finished successfully, it is removed from the list of job queue entries unless it is a recurring job. If
it is a recurring job, the Earliest Star t Time field is adjusted to show the next time that the job is expected to
run.
Monitor status or errors in the job queue

Data that is generated when a job queue is run is stored in the database, so that you can troubleshoot job queue
errors.
For each job queue entry, you can view and change the status. When you create a job queue entry, its status is
set to On Hold . You can set the status to Ready and back to On Hold , for example. Otherwise, status
information is updated automatically.
The following table describes the values of the Status field.
STAT US DESC RIP T IO N
Ready Indicates that the job queue entry is ready to be run.

STAT US DESC RIP T IO N
In Process Indicates that the job queue entry is in process. This field is
updated while the job queue is running.
On Hold Default. Indicates the status of the job queue entry when it
is created. Choose the Set Status to Ready action to
change the status to Ready . Choose the Set On Hold or
Suspend actions to change the status back to On Hold .
Error Indicates that there is an error. Choose Show Error to see

the error message.
Finished Indicates that the job queue entry is complete.
To view status for any job

2. On the Job Queue Entries page, select a job queue entry, and then choose the Log Entries action.
TIP
You can also view the status of job queue entries by using Application Insights in Microsoft Azure for more in-depth
analysis based on telemetry. For more information, see Monitoring and Analyzing Telemetry and Analyzing Job Queue
Lifecycle Trace Telemetry in the Business Central developer and administration content.
View scheduled tasks

The Scheduled Tasks page in Business Central shows which tasks are ready to run in the job queue. The page
also shows information about the company that each task is set up to run in. However, only tasks that are
marked as belonging to the current environment can run.
For example, if the current company is in an environment that is a copy of another environment, all scheduled
tasks are automatically stopped. Use the Scheduled Tasks page to set tasks as ready to run in the job queue.
NOTE
Internal administrators and users can schedule tasks to run. Delegated administrators cannot.
The My Job Queue Part

The My Job Queue part on your Role Center shows the job queues entries that you have started, but which are
not yet finished. By default, the part is not visible, so you have to add it to your Role Center. For more
The part shows which documents with your ID in the Assigned User ID field are being processed or are
queued, including those related to background posting. The part can tell you at a glance whether there has been
an error in the posting of a document or if there are errors in a job queue entry. The part also lets you cancel a
document posting if it is not running.
To view an error from the My Job Queue part
1. On an entry with the status Error , choose the Show Error action.
2. Review the error message and fix the problem.
Examples of what can be scheduled using job queue
Schedule reports
You can schedule a report or batch job to run at a specific date and time. Scheduled reports and batch jobs are
option after you choose the Send to action, and then you enter information such as printer, time and date,
recurrence.
For more information, see Scheduling a Report to Run
Schedule synchronization between Business Central and Dataverse
If you have integrated Business Central with Dataverse, you can use the job queue to schedule when you want to
synchronize data for the records that you have coupled in the two business apps. Depending on the direction
and rules that you have defined for the integration, the synchronization jobs can also create new records in the
destination app to match those in the source. For example, if a salesperson creates a new contact in Dynamics
365 Sales, the synchronization job can create that contact for the coupled salesperson in Business Central. For
more information, see Scheduling a Synchronization between Business Central and Dynamics 365 Sales.
Schedule the posting of sales and purchase orders
Job queues are an effective tool to schedule the running of business processes in the background, such as when
multiple users are trying to post sales orders, but only one order can be processed at a time.
For more information, see To set up background posting with job queues
Monitor the job queue with telemetry

As an administrator, you can use Application Insights to gather and analyze telemetry that you can use to
identify problems. For more information, see Monitoring and Analyzing Telemetry in the developer and
See Also
Administration
Analyzing Job Queue Lifecycle Trace Telemetry
Letting Business Central Suggest Values
Business Central can help you complete tasks quicker and more correctly by prefilling fields or complete lines
with data that you would otherwise have to calculate and enter yourself. Although such automatic data entry is
always correct, you can change it afterwards if you want to.
Functionality that enters field values for you is typically offered for tasks where you enter large volumes of
transactional data and want to avoid errors and save time. This topic contains a selection of such functionality.
More sections will be added in future updates of Business Central.
The Suggest Balancing Amount check box on the General Journal

Batches page
When, for example, you are entering general journal lines for multiple expenses that must all be posted to the
same bank account, then each time you enter a new journal line for an expense, you can have the Amount field
on the bank account line automatically updated to the amount that balances the expenses. For more information
about working with general journals, see Work with General Journals.
To have the Amount field on balancing general journal lines filled automatically
2. On the line for your preferred general journal batch, choose the Suggest Balancing Amount check box.
3. Open the general journal and proceed to register and post transactions using the described functionality for
automatic entry of a field value.
For information about how to set up a personal general journal batch, for example, for expense handling, see
Work with General Journals.
The Automatically Fill Date Received field on the Payment

Registration page
The Payment Registration page shows outstanding incoming payments as lines that represent sales
documents where an amount is due for payment. For more information about applying customer payments, see
Reconcile Customer Payments from a List of Unpaid Sales Documents.
You main actions on the page are to fill in the Payment Made check box and the Date Received field. You can
set Business Central up to automatically enter work date in the Date Received field when you select the
Payment Made check box.
To have the Date Received field on the Payment Registration page filled automatically
1. Choose the icon, enter Payment Registration Setup , and then choose the related link.
2. Select the Automatically Fill Date Received check box.
3. Open the Payment Registration page and proceed to process incoming customer payments using the
described functionality for automatic entry of a field value.
See Also
Finance
Incoming Documents
External business documents can come into your company as an email attachment or a paper copy that you
scan to file. This scenario is typical of purchases, where such incoming document files represent payment
receipts for expenses or small purchases.
On the Incoming Documents page, you can use different functions to review expense receipts, manage OCR
tasks, and convert incoming document files, manually or automatically, to the relevant documents or journal
lines. The external files can be attached at any process stage, including to posted documents and to the resulting
vendor, customer, and general ledger entries.
Usage scenario
You can register files or paper copies received from your trading partners in Business Central and create a
document record. For example, a purchase or sales invoice, credit memo or a journal line.
Upload the received files—or use the device's camera to take a photo—and create entries to represent the
external documents. Optionally, with PDF or image files, you can have an external OCR service (Optical
Character Recognition) generate electronic documents that can then be converted to records inside Business
Central.
NOTE
The OCR feature is provided by external providers. Choose a service package that is appropriate for your organization
and/or country/region. Find services compatible with Business Central and details on available features at
AppSource.microsoft.com.
For example, when you receive an invoice in PDF format from your vendor, you can send it to the OCR service
from the Incoming Documents page. Alternatively, some OCR providers offer the option of processing files
forwarded to a dedicated email address, which then automatically creates a related incoming document record.
After some seconds, you receive the file back from the OCR service as an electronic invoice that can be
converted to a purchase invoice for the vendor.
TIP
Create incoming document records in Business Central directly from emails sent by vendors using the Outlook add-in. For
more information, see Use Business Central as your Business Inbox in Outlook.
Incoming document features

The incoming document process can consist of the following main activities:
Record the external documents inside Business Central by creating lines on the Incoming Documents page
in either of the following ways:
Manually, either from a PC or from a mobile device, in one of the following ways:
Use the Create from File button, upload a file, and then fill the relevant fields on the
Incoming Document page.
Use the New button, fill the relevant fields on the Incoming Document page and manually
attach the related file.
From a tablet or phone, use the Create from Camera button to create a new incoming
document record using the device's built-in camera.
Automatically, by receiving the document from the OCR service as an electronic document after
you've uploaded or emailed the related PDF or image file to an OCR service. The Financial
Information FastTab is automatically filled on the Incoming Document page.
Use an external OCR service to have PDF or image files turned into electronic documents that can be
converted to document records in Business Central.
Create new documents or general journal lines for incoming document records by entering the information
as you read it from incoming document files.
Attach incoming document files to purchase and sales documents of any status, including to the vendor,
customer, and general ledger entries that result from posting.
View incoming document records and their attachments from any purchase and sales document or entry, or
find all general ledger entries without incoming document records from the Char t of Accounts page.
NOTE
Files attached to cards and documents on the Attachments tab are not included on the Incoming Documents page.
For more information, see Manage Attachments, Links, and Notes on Cards and Documents.
TO SEE
Set up the Incoming Documents feature and set up the Set Up Incoming Documents
OCR service.
Create incoming document records manually or Create Incoming Document Records

automatically by taking a photo of a paper receipt, for
example.
Use an OCR service to turn PDF and image files into Use OCR to Turn PDF and Image Files into Electronic
electronic documents that can be converted to purchase Documents
invoices in Business Central, for example. Train the OCR
service to avoid errors next time it processes similar data.
Connect or remove incoming document records for any Create Incoming Document Records Directly from
non-posted sales or purchase document and to any Documents and Entries
customer, vendor, or general ledger entry from the
document or entry.
From the Char t of Accounts and General Ledger Find Posted Documents without Incoming Document
Entries pages, use a search function to find general ledger Records
entries for posted documents that don't have incoming
document records and then centrally link to existing records
or create new ones with attached document files.
Get a better overview by setting incoming document Manage Many Incoming Document Records
records to Processed and remove them from the default
view.

See also
Purchasing
Editing Posted Documents
Exchanging Data Electronically
Business Central and OneDrive for Business Integration
Use Business Central as your Business Inbox in Outlook
Send Documents and Emails
If you create general journal lines from incoming document records, you must specify on the Incoming
Documents Setup page which journal template and batch to use.
When the Incoming Documents feature is set up, you can use different functions to review expense receipts,
manage OCR tasks, and convert incoming document files, manually or automatically, to the relevant documents
or journal lines. The external files can be attached at any process stage, including to posted documents and to
the resulting vendor, customer, and general ledger entries. For more information, see Create Incoming
Documents Records.
To set up the Incoming Documents feature

1. Choose the icon, enter Incoming Document Setup , and then choose the related link.
2. Fill in the fields as necessary. Hover over a field to read a short description.
As part of the setup, you must decide if you want to require approval of incoming documents. To require
approval, you must set up approvers and approval workflows. If your organization doesn't intend to require
approval, you can skip the next section.
Finally, if you use an OCR service to convert PDF or image files representing incoming documents, you must it
set up. Otherwise, you can also skip that section.
To set up approvers of incoming document records

If you don't want users to create invoices or general journal lines from incoming document records unless the
documents are first approved, set up an approval process for the incoming documents. Approvers of incoming
documents must be set up as approval workflow users.
Before you can create workflows that involve approval steps, you must set up the workflow users who are
involved in approval processes. On the Approval User Setup page, you also set amount limits for specific
types of requests and define substitute approvers to whom approval requests are delegated when the original
approver is absent. For more information, see Set Up Approval Users.
To set up an OCR service

To turn PDF and image files into electronic documents that you can convert to invoices, credit memos, or journal
lines, set up the OCR feature. Alternatively, you can create entries manually to represent the external documents.
1. Choose the icon, enter OCR Ser vice Setup , and then choose the related link.
NOTE
You login data is automatically encrypted.
For more information, see Use OCR to Turn PDF and Image Files into Electronic Documents.

See also
Incoming Documents
Purchasing
Create Incoming Document Records
On the Incoming Documents page, you can use different functions to review expense receipts, manage OCR
tasks, and convert incoming document files, manually or automatically, to the relevant documents or journal
lines. The external files can be attached at any process stage, including to posted documents and to the resulting
vendor, customer, and general ledger entries.
To record an external document in Business Central, first create or complete an incoming document record. You
can do those tasks manually, or you can take a photo of the external document to create the incoming document
record with the image file attached.
Before you can use the Incoming Documents feature, you must perform the required setup. For more
information, see Set Up Incoming Documents.
To approve or reject an incoming document

If you have set up the Incoming Documents feature to require approval to create documents, users with the
appropriate rights must approve the records before they're processed. For more information, see Set up
approvers of incoming document records.
1. Choose the icon, enter Incoming Documents , and then choose the related link.
2. Select the line with the document that you want to approve or reject, and then choose the Approve or
Reject actions.
If you approve the incoming document record, the Released check box on the incoming document line is
selected. The user in charge of creating, for example, purchase invoices can proceed to process the record.
To create an incoming document record by taking a photo

NOTE
The following procedure only applies to the Business Central tablet and phone clients.
1. On the role center, choose the Create Incoming Document from Camera tile, and then go to step 4.
2. Alternatively, choose the icon, enter Incoming Documents , and then choose the related link.
3. On the Incoming Documents page, choose New , and then choose Create from Camera . The camera
on the tablet or phone is activated.
4. Take a photo of a document, such as a purchase receipt, that you want to process as an incoming
document, and then choose the Use button.
A new incoming document record is created with the image attached.
To attach an image to an incoming document record by taking a

photo
NOTE
The following procedure only applies to the Business Central tablet and phone clients.
2. Open the card for an existing incoming document record.
3. On the document record page, choose Process , and then choose Attach Image from Camera . The
camera on the tablet or phone is activated.
4. Take a photo of a document, such as a purchase receipt, that you want to process as an incoming
document, and then choose the Use button.
The image is attached to the incoming document record.
To create an incoming document record manually

2. Choose New , and then the Create from File action.
3. On the Inser t File page, select a file, and then choose Open . The file is automatically attached.
4. Alternatively, choose the New action.
5. To attach a file, choose Process , and then the Attach File action.
6. On the Inser t File page, select the file that represents the incoming document in question, and then choose
the Open button.
7. On the Incoming Document page, fill in the fields as necessary. Hover over a field to read a short
description.

See also
Use OCR to Turn PDF and Image Files into Electronic Documents Create Incoming Document Records Directly
from Documents and Entries Find Posted Documents without Incoming Document Records Incoming
Documents
Purchasing
Use OCR to Turn PDF and Image Files into
Electronic Documents
From PDF or image files that you receive from your trading partners, you can have an external OCR service
(Optical Character Recognition) generate electronic documents that can be converted to document records in
Business Central. For example, when you receive an invoice in PDF format from your vendor, you can send it to
the OCR service from the Incoming Documents page.
As an alternative to sending the file from the Incoming Documents page, the OCR service can offer the option
to process files forwarded to a dedicated email address. Then, when you receive the electronic document back, a
related incoming document record is created automatically in Business Central.
After some seconds, the OCR service will send the processed file to the Incoming Documents page as an
electronic document record that can be converted to a purchase invoice for the vendor, a sales invoice, credit
memo or a journal entry.
Because OCR is based on optical recognition, it's likely that the OCR service will interpret characters in your PDF
or image files wrongly when it first processes a certain vendor's documents, for example. It may not interpret
the company logo as the vendor's name or it may misinterpret the total amount on a receipt because of its
layout. To avoid these errors going forward, you can correct the errors in a separate version of the Incoming
Document page. Then you send the corrections back to the OCR service to train it to interpret the specific
characters and fields correctly next time it processes a PDF or image document for the same vendor. For more
information, see Train the OCR service to avoid errors.
The traffic of files to and from the OCR service is processed by a dedicated job queue entry. This job queue is
created automatically when you enable the external OCR service connection. For more information, see Set Up
Incoming Documents.
NOTE
To send a PDF or image file to the OCR service from the Incoming
Documents page
2. Create a new incoming document record and attach the file. For more information, see Create Incoming
Document Records.
3. On the Incoming Documents page, select one or more lines, and then choose the Send to Job Queue
action.
The value in the OCR Status field changes to Ready . The attached PDF or image file is sent to the OCR
service by the job queue according to the schedule, if no errors exist.
4. Alternatively, on the Incoming Documents page, select one or more lines, and then choose the Send to
OCR Ser vice action to immediately send the files for processing.
The value in the OCR Status field changes to Sent , if no errors exist.
To send a PDF or image file to the OCR service by email

From your email application, you can forward an email to the OCR service provider with the PDF or image file
attached. For information about the email address to send to, see the OCR service provider's web site.
Since no incoming document record exists for the file, a new record will be created automatically on the
Incoming Documents page when the OCR service sends the resulting electronic document. For more
information, see Create Incoming Document Records.
NOTE
If you work on a tablet or phone, you can send the file to the OCR service as soon as you have taken a photo of the
document, or you can create an incoming document directly. For more information, see Create an incoming document
record by taking a photo.
To receive the resulting electronic document from the OCR service

The electronic document that is created by the OCR service from the PDF or image file is automatically received
into the Incoming Documents page by the job queue entry that is set up when you enable the OCR service.
If you aren't using a job queue, or you want to receive a finished OCR document sooner than per the job queue
schedule, you can choose the Receive from OCR Ser vice action. This option will get any documents that are
completed by the OCR service.
NOTE
If the OCR service is set up to require manual verification of processed documents, then the OCR Status field will contain
Awaiting Verification . In that case, perform the following steps to sign in to the OCR service website to manually verify
an OCR document.
1. In the OCR Status field, choose the Awaiting Verification hyperlink.

2. On the OCR service website, sign in using the credentials of your OCR service account. For more
information, see Set up an OCR service.
Information for the OCR document is displayed, showing both the source content of the PDF or image file
and the resulting OCR field values.
3. Review the field values and manually edit or enter values in fields that the OCR service has tagged as
uncertain.
4. Choose the OK button. The OCR process is completed and the resulting electronic document is sent to
the Incoming Documents page in Business Central, according to the job queue schedule.
5. Repeat steps 2 through 4 for any other OCR document to be verified.
Now you can proceed to create document records for the received electronic documents in Business Central,
manually or automatically. For more information, see the next procedure. You can also connect the new
incoming document record to existing posted or non-posted documents so that the source file is easy to access
from Business Central.
To create a purchase invoice from an electronic document received

from the OCR service
The following procedure describes how to create a purchase invoice record from a vendor invoice received as an
electronic document from the OCR service. The procedure is the same when you create, for example, a general
journal line from an expense receipt or a sales return order from a customer.
NOTE
The Description and No. fields on the created document lines will only be filled if you have first mapped text found on
the OCR document to the two fields in Business Central. You can do this mapping as item references, for document lines
of type Item. For more information, see Use Item References. You can also use the Text-to-Account Mapping function.
For more information, see Map text on an incoming document to a specific vendor, G/L, or bank account.
1. Select the line for the incoming document, and then choose the Create Document action.
A purchase invoice will be created in Business Central based on the information in the electronic vendor
document that you received from the OCR service. Information will be inserted in the new purchase invoice
based on the mapping that you've defined as a reference or as text-to-account mapping.
Any validation errors, typically related to wrong or missing data in Business Central, will be shown on the
Errors and Warnings FastTab. For more information, see Handle errors when receiving electronic documents.
To map text on an incoming document to a specific vendor account
For incoming documents, you typically use the Map Text to Account action to define that a certain text on a
vendor invoice received from the OCR service is mapped to a certain vendor account. Going forward, any part
of the incoming document description that exists as a mapping text means that the Vendor No. field on
resulting document or journal lines of type G/L Account are filled with the vendor in question.
In addition to mapping to a vendor account or G/L accounts, you can also map text to a bank account. This
option is useful, for example, for electronic documents for expenses that are already paid, and for which you
want to create a general journal line that is ready to post to a bank account.
1. Select the relevant incoming document line, and then choose the Map Text to Account action. The Text-
to-Account Mapping page opens.
2. In the Mapping Text field, enter any text that occurs on vendor invoices that you want to create purchase
documents or journal lines for. You can enter up to 50 characters.
3. In the Vendor No. field, enter the vendor that the resulting purchase document or journal line will be
created for.
4. In the Debit Acc. No. field, enter the debit-type G/L account that will be inserted on resulting purchase
document or journal line of type G/L Account.
5. In the Credit Acc. No. field, enter the credit-type G/L account that will be inserted on resulting purchase
NOTE
Do not use the Bal. Source Type and Bal. Source No. fields in connection with incoming documents. They are
used for automatic payment reconciliation only. For more information, see Map Text on Recurring Payments to
Accounts for Automatic Reconciliation.
6. Repeat steps 2 through 5 for all text on incoming documents that you want to automatically create
documents for.
To handle errors when receiving electronic documents

1. On the Incoming Documents page, select the line for an electronic document received from the OCR
service with errors, indicated by the Error value in the OCR Status field.
2. Choose the Edit action to open the Incoming Document page.
3. On the Errors and Warnings FastTab, select the message, and then choose the Open Related Record
action.
4. The page that contains the wrong or missing data, such as a vendor card with a missing field value, opens.
5. Correct the error or errors as described in each error message.
6. Proceed to process the incoming electronic document by choosing the Create Manually action again.
7. Repeat steps 5 and 6 for any remaining errors until the electronic document can be received successfully.
To train the OCR service to avoid errors

Because OCR is based on optical recognition, the OCR service can wrongly interpret characters in your PDF or
image files when it first processes documents from a certain vendor, for example. It may not interpret the
company logo as the vendor's name or it may misinterpret the total amount on an expense receipt because of
its layout. To avoid such errors going forward, you can correct data received by the OCR service and then send
the feedback to the service.
The OCR Data Correction page, which you open from the Incoming Document page, shows the fields from
the Financial Information FastTab in two columns, one with the OCR data editable and one with the OCR data
read-only. When you choose the Send OCR Feedback button, the content of the OCR Data Correction page
is sent to the OCR service. Next time the service processes PDF or image files that contain the data in question,
your corrections will be incorporated to improve the document recognition.
2. Open an incoming document record that contains data received from the OCR service that you want to
correct.
3. On the Incoming Document page, choose the Correct OCR Data action.
4. On the OCR Data Correction page, overwrite the data in the editable column for each field that has an
incorrect value.
5. To undo corrections that you have made since you opened the OCR Data Correction page, choose the
Reset OCR Data action.
6. To send the corrections to the OCR service, choose the Send OCR Feedback action.
7. To save the corrections, close the OCR Data Correction page.
The fields on the Financial Information FastTab on the Incoming Document page are updated with any new
values that you entered in step 4.

See also
Create Incoming Document Records Create Incoming Document Records Directly from Documents and Entries
Incoming Documents
Purchasing
Create Incoming Document Records Directly from
Documents and Entries
You can store external business documents in Business Central by attaching the document files to the related
incoming document records. If the document, such as a purchase invoice, didn't start its existence as an
incoming document record, you can still create and connect an incoming document record to it later. You can
also attach incoming document files to posted purchase and sales documents and to vendor, customer, and
general ledger entries by using the Incoming Document Files FactBox in, for example, the Posted Purchase
Invoices and Vendor Ledger Entries pages.
From the Char t of Accounts and General Ledger Entries pages, you can use a search function to find
general ledger entries for posted purchase and sales documents that don't have incoming document records
and then centrally link to existing records or create new ones with attached document files. For more
information, see Find Posted Documents without Incoming Document Records.
The following procedures show how to attach a file to a vendor ledger entry or an existing purchase invoice that
wasn't created from an incoming document record. Attaching a file to posted purchase or sales documents
works in a similar way.
To create and connect an incoming document record from a purchase

invoice
2. Select the line for a purchase invoice that you want to attach a file to, and then choose the Create Incoming
Document from File action.
3. Alternatively, select the line for a purchase invoice that you want to attach a file to, and then choose the
Attach File action.
the Open button.
To create and connect an incoming document record from a vendor

ledger entry
1. Choose the icon, enter Vendor Ledger Entries , and then choose the related link.
2. Select a line for a vendor ledger entry that you want to attach a file to, and then choose the Create
Incoming Document from File action.
3. Alternatively, select a line for a vendor ledger entry that you want to attach a file to, and then choose the
Attach File action.
the Open button.
To remove a connection from an incoming document record to a

posted document
You can remove file attachments from non-posted documents at any time by deleting the related incoming
document record. If the document is posted, then you must first remove the connection from the incoming
document record.
2. Select the line for an incoming document record connected to a posted document that you want to remove,
and then choose the Remove Reference to Record action.
The connection to the posted document is removed. You can now proceed to connect another incoming
document record to the posted document as described in this article.

See also
Create Incoming Document Records Use OCR to Turn PDF and Image Files into Electronic Documents Find
Posted Documents without Incoming Document Records Incoming Documents
Purchasing
Find Posted Documents without Incoming
Document Records
From the Char t of Accounts and General Ledger Entries pages, you can use a search function to find
general ledger entries for posted purchase and sales documents that don't have incoming document records
and then centrally link to existing records or create new ones with attached document files.
To find posted documents without incoming document records

2. Select a line for a G/L account for whose general ledger entries you want to see posted purchase and sales
documents without incoming document records, and then choose the Posted Documents without
Incoming Document action.
3. Alternatively, choose the Ledger Entries action.
4. On the General Ledger Entries page, choose the Posted Documents without Incoming Documents
action.
The Posted Documents without Incoming Document page opens showing posted purchase and sales
documents without incoming document records represented by general ledger entries on the G/L account that
you opened the page for. The page can show a maximum of 1000 lines. By default, the Date Filter field
therefore contains a filter that limits the lines to entries with posting dates from the beginning of the accounting
period to the work date.
To connect found documents to existing incoming document records

1. On the Posted Documents without Incoming Document page, select the line for a posted document
that you want to connect to an existing incoming document record, and then choose the Select Incoming
Document action.
2. On the Incoming Documents page, select the incoming document record that you want to connect to
posted document found, and then choose the OK button.
3. On the Posted Documents without Incoming Document page, the selected incoming document record
is now connected to the posted document, as you can see in the Incoming Document Files FactBox.
If a relevant incoming document record doesn't exist on the Incoming Documents page, then you can create
it. For more information, see Create Incoming Document Records.

See also
Create Incoming Document Records Use OCR to Turn PDF and Image Files into Electronic Documents Create
Incoming Document Records Directly from Documents and Entries Incoming Documents
Purchasing
Manage Many Incoming Document Records
As you create or process incoming document records, the number of lines on the Incoming Documents page
may grow to an extent where you lose overview. Therefore, you can set incoming document records to
Processed to remove them from the default view. When you choose the Show All action, you can view both
processed and unprocessed records.
NOTE
You cannot edit information, attach files, or perform other processes on incoming document records that are set to
Processed. You must first set it to Unprocessed.
The Processed check box is automatically selected on incoming document records that have been processed,
but you can also select or deselect the check box manually. Depending on your business process, an incoming
document record may be processed when a related document has been created for it or a file has been attached.
NOTE
When you open the Incoming Documents page with the My Incoming Documents action on the Role Center, only
unprocessed incoming document records are shown by default. This is referred to in this topic as "the default view".
To remove incoming document records from the default view

1. On the Incoming Documents page, select one or more lines for incoming document records that you
want to remove from the default view.
2. Choose the Set to Processed action.
The incoming document records are removed from the default view, and the Processed check box is
selected on the lines.
NOTE
You can also perform this action for the individual record on the Incoming Document Card page.
To view all incoming document records

1. On the Incoming Documents page, choose the Show All action.
All incoming document records are displayed, including records where the Processed check box isn't selected.
To add incoming document records to the default view

1. On the Incoming Documents page, choose the Show All action.
2. Select one or more lines for incoming document records that you want to appear in the default view.
3. Choose the Set to Unprocessed action.
NOTE
You can also perform this action for the individual record on the Incoming Document Card page.

See also
Incoming Documents
Purchasing
Workflows in Dynamics 365 Business Central
Requesting and granting approval to create new records are typical workflow steps.
The default version of Business Central supports three types of workflows:
Automated approval workflows based on built-in workflow templates
On the Workflow Templates page, you can see all available workflows. The trial version of Business
Central includes a number of pre-configured workflows represented by workflow templates that you can
copy to create workflows. When you open a workflow template from the Workflow Templates page,
and the workflow's name starts with MS-, then the workflow template is added by Microsoft.
Automated flows that you set up yourself
Any workflow template that you create with Power Automate is added to the list of workflow templates
within Business Central. For more information, see Use Business Central in Power Automate Flows.
Manually triggered flows from the Automate action (Business Central online only). For more
information, see Manual instant flows.
Power Automate flows

For Business Central online, you can sign up for Power Automate and then build powerful automated flows that
you can run from inside Business Central. For more information, see Use Business Central in Power Automate
Flows.
Automated approval workflows

You create an approval workflow by listing the involved steps on the lines. Each step consists of a workflow
event, moderated by event conditions, and a workflow response, moderated by response options. You define
workflow steps by filling fields on workflow lines from fixed lists of event and response values representing
scenarios that are supported by the application code.
If a business scenario requires a workflow event or response that is not supported in the default version, sign up
for Power Automate. For more information, see Use Business Central in Power Automate Flows. Alternatively,
get an app or work with a Microsoft partner to customize the application code.
To set up and use workflows that are not defined in Power Automate, check the following articles:
TO SEE
Set up workflow users, specify how users get notified, and Set Up Workflows
create new workflows. For new workflows for unsupported
scenarios, implement the required workflow elements by
customizing the application code.
Enable workflows, act on workflow notifications, including Use Workflows

request approvals and approve requests to perform a
workflow step. Archive and delete workflows.
See also
Sales
Purchasing
Managing Projects
Troubleshoot Your Business Central Automated Workflows
You can use your Business Central data as part of a workflow in Microsoft Power Automate. Create your own
flows and connect to your data with the Business Central connector.
NOTE
You must have a valid account with Business Central and with Power Automate.
TIP
In addition to Power Automate, you can use approval workflow templates in Business Central. Although they are two
separate workflow systems, any approval workflow template that you create with Power Automate is added to the list of
workflows within Business Central. For more information, see Workflows.
Automated workflows
With Power Automate, you can create business flows directly in-house and rely on citizen developers. For more
information, see Set Up Automated Workflows in the administration content.
Manual instant flows

Starting in May 2022, an admin of Business Central online can switch on a feature to make it possible to run a
Power Automate flow from most pages. For more information, see Set Up Automated Workflows in the
Once the admin has connected Business Central with Power Automate, you'll see any flows that your
organization has added when you choose the Automate action in the relevant pages. You run the flows without
leaving Business Central.
These automated workflows open in a pane inside Business Central online so that you remain within context of
the business process you were in the middle of. In some pages, the Automate action hides under the More
Options menu, but find it, choose the Power Automate menu item, and then choose the relevant link to
trigger the workflow. The connection to Power Automate is already set up for you.
Most flows will require you to fill in a field or two before you choose the Run flow action.
TIP
If you don't see an Automate action, then your Business Central probably hasn't yet been set up to use Power
Automate. For more information, ask your admin.
Add more automated flows and manual instant flows

You can create flows at the powerautomate.microsoft.com website. However, if your admin has switched on the
capability to run Power Automate flows from inside Business Central online, you can start the process of
building a flow from the Automate action on the relevant pages. In some pages, the Automate action hides
under the More Options menu, but find it, choose the Power Automate menu item, and then choose the
Create a flow action. Power Automate then opens in a new browser tab, and you're signed in automatically.
Manage workflows
You can get an overview of all workflows that you have access to by choosing the Manage workflows action in
the Power Automate menu. The list opens in a new browser tab, and you signed in to Power Automate
automatically. There, you can see when each flow ran most recently.

See also
Troubleshoot Your Business Central Automated Workflows
Workflows
Import Business Data from Other Finance Systems
Set Up Business Central
Finance
Set Up Automated Workflows
Use Workflows
A workflow is a sequence of tasks that are triggered by an action, a condition or a rule. Workflows are usually
implemented to integrate business logic to an organization, such as the separation of duties, unifying processes,
or to increase trust and responsibilities.
The workflows are designed to create requests for approval of a new value while keeping the old value in case
the request is not approved. The new value will not be implemented until the last request is approved.
The business logic could be approval of:
New master data like G/L Accounts, customers, vendors, or items
Changes to fields in existing records containing sensible information, such as Vendor Bank Account No. or
Customer Credit Limit
Changes to fields in existing records containing business critical information, such as Item Sales Prices
New users or changes to user permissions
Purchase documents
Sales documents
Incoming documents
Finance journals prior to posting
The following illustration shows an example of a workflow with sequential approval triggered by a user. By
triggering the workflow, an approval request is created for the first approver.
In this example, the request must be approved by the first approver before the request is sent on to the next
approver. If the request is not approved by the first approver, the request will never go to the next approver.
The route taken from the initial triggering of the workflow can vary depending on the nature of the approval.
The following illustration shows a parallel approval that is triggered by the user. By triggering the workflow, an
approval request is sent to all approvers simultaneously.
However, the workflow is not approved until all requests have been approved by the approvers, as shown in the
following illustration:
NOTE
It is not possible to create a workflow with multiple approvers and expect the whole workflow to be approved after the
first request has been approved. All requests must be approved for the workflow to be approved.
You can set up and use workflows that connect business-process tasks performed by different users. It is also
possible to create the same workflow more than once. Each workflow triggered by en event using different
filters. This is useful if an approval request in one department must be approved by one approver, where
approval requests in other departments must be approved by another approver. System tasks, such as
automatic posting, can be included as steps in workflows, preceded or followed by user tasks. Requesting and
granting approval to create new records are typical workflow steps.
Before you can begin to use workflows, you must set up workflow users, create the workflows, potentially
preceded by code customization and specify how users receive notifications. For more information, see Setting
Up Workflows.
NOTE
Typical workflow steps are about users who request approval of tasks and approvers accepting or rejecting approval
requests. Therefore, many topics about how to use workflows refer to approvals.
The following table describes a sequence of tasks, with links to the topics that describe them.
TO SEE
Set a workflow to start when the first entry-point event Enable Workflows
occurs.
Request approval of a task, as an approver, accept, decline, Use Approval Workflows

or delegate approvals, and send or view approval
notifications.
Create workflow steps that restrict a certain record type Restrict and Allow Usage of a Record
from being used before a certain event occurs, for example
that the record is approved.
View workflow step instances of status Completed. View Archived Workflow Step Instances
Delete a workflow that you are sure will no longer be used. Delete Workflows

See also
Setting Up Workflows
Workflow
Enable Workflows
When you have created a workflow and you are sure that it is ready to start, you must enable the workflow.
On the Workflow page, you create a workflow by listing the involved steps on the lines. Each step consists of a
workflow event, moderated by event conditions, and a workflow response, moderated by response options. You
define workflow steps by filling fields on workflow lines from fixed lists of event and response values
representing scenarios that are supported by the application code. For more information, see Create Workflows.
To enable a workflow
2. Open the workflow that you want to enable.
3. On the Workflow page, select the Enabled check box.

See also
Create Workflows
Delete Workflows
Use Workflows
Walkthrough: Setting Up and Using a Purchase Approval Workflow
Workflow
When a record, such as a purchase document or a customer card, needs to be approved by someone in your
organization, you send an approval request as part of a workflow. Based on how the workflow is set up, the
appropriate approver is then notified that the record requires their approval.
You set up approval workflows on the Workflow page. You must also set up approval users, including any
relevant amount limits, in the Approval User Setup page. For more information, see Setting Up Workflows.
In addition to approval workflows described in this topic, you can perform various other workflow tasks. For
more information, Use Workflows.
Core approval workflows for purchases documents, sales documents, payment journals, customer cards, and
item cards are ready to start as guides. For more information, see Getting Ready for Doing Business.
To request approval of a record

The following task is performed by an approval user.
1. On the page that presents the record, choose the Send Approval Request action.
2. To see all your approval requests, choose the icon, enter Approval Request Entries , and then choose the
related link.
The status of the approval entry is updated from Created to Open . The status of the record, for example a
purchase invoice, is updated from Open to Pending Approval and remains locked for processing until all
approvers have approved the record.
When the approver has approved the record, the status changes to Released . You can then continue your tasks
with the record.
To cancel requests for approval

The following task is performed by an approval user with approver rights.
A customer may want to change an order after it has been submitted for approval. In this case, you can cancel
the approval process and make the necessary changes to the order before you request approval again.
On the page that displays the record, choose the Cancel Approval Request action.
When the approval request has been canceled, the status of the related approval entry is changed to Canceled .
The status of the record is updated from Pending Approval to Open . The approval process can then start
again.
To approve or reject requests for approval

You can process approval requests on the Requests to Approve page, for example to approve multiple
requests at a time. Alternatively, you can process each request on the related record, such as the Purchase
Invoice page, by choosing the link in the notification that you receive.
1. Choose the icon, enter Requests to Approve , and then choose the related link.
2. Select one or more lines for the record or records that you want to approve or reject.
3. Choose the Approve , Reject , or Delegate actions.
When a record has been approved or rejected, the approval status in the Status field changes to Approved or
Rejected .
If an approver hierarchy is set up, the record status will be Pending Approval until all approvers have
approved the record. Then the record status will change to Released .
At the same time, the approval status changes from Created to Open as soon as an approval request for the
record is created. If the request is rejected, the approval status changes to Rejected . The status remains Open
or Rejected until all approvers have approved the request.
To delegate requests for approval

To prevent documents from piling up or otherwise block the workflow, the approver and the approval
administrator can delegate an approval request to a substitute approver. The substitute can either be a
designated substitute, the direct approver, or the approval administrator, in that order of priority. You typically
use this feature if an approver is out of office and is unable to approve requests before the due date.
1. Choose the icon, enter Requests to Approve , and then choose the related link.
2. Select one or more lines for the approval requests that you want to delegate to a substitute approver, and
then choose the Delegate action.
A notification to approve the request is sent to the substitute approver.
To manage overdue approval requests

At regular intervals, you must remind approval workflow users of overdue approval requests that they must
react on. You use the Send Overdue Approval Notifications function for this.
The Send Overdue Approval Notifications function checks for all open approval requests that are currently
overdue. Each approver that has at least one overdue approval entry receives a notification with the list of all
their overdue approval requests. The notification is also sent to their approver and all the requesters of the
overdue approvals. This helps if the overdue approval entry must be delegated to a substitute.
1. Choose the icon, enter Overdue Approval Requests , and then choose the related link.
2. On the Overdue Approval Requests page, choose the Send Overdue Approval Notifications action.

See also
Sales
Incoming Documents
Purchasing
Restrict and Allow Usage of a Record
If you want to restrict a record from being used in certain activities, for example, until the record has been
approved, you can incorporate two workflow responses in a workflow that controls the usage of the record. One
workflow response will restrict usage of the record as defined by the workflow event and conditions. Another
workflow response will allow usage of the record as defined by the workflow event and conditions. Two
responses exist in the generic version of Business Central for this purpose: Restrict usage of a record. and
Allow usage of a record..
NOTE
The generic version of Business Central offers support for restricting a record from being posted, from being exported as
a payment, and from being printed as a check. To support other restrictions, a Microsoft partner must customize the
application code.
NOTE
The workflow functionality to restrict and allow records from being used is not related to the functionality to block item,
customer, and vendor records from being posted.
The following procedure describes how to restrict purchase orders from being posted until they have been
approved. The new workflow will be based on the existing Purchase Invoice Approval Workflow workflow
template.
To create a workflow step that restricts posting of unapproved

purchase orders
2. On the Workflows page, create a new workflow named Purchase Order Approval Workflow. For more
information, see Create Workflows.
3. Choose the Copy From Workflow Template action.
4. Choose the Source Workflow Code field, and then, on the Workflow Templates page, choose the
Purchase Invoice Approval Workflow workflow template.
Notice that the first two workflow steps are about restricting and then allowing usage of purchase
invoices. Proceed to change the event condition on the first step of the new workflow to specify that it
applies to purchase orders.
5. On the Workflow Steps FastTab, choose the Event Conditions field, and then, for the Document Type
filter, select Order .
6. Proceed to edit, delete, or add other workflow steps to fit a business process that begins by restricting
unapproved purchase orders from being posted.
See Also
Create Workflows
Workflow
All completed workflow step instances are saved on the Archived Workflow Step Instances page.
To view archived workflow step instances

2. Open the workflow for which you want to view all archived workflow step instances.
3. On the Workflow page, choose the Archived Workflow Step Instances action.
The Archived Workflow Step Instances page opens showing the archived workflow step instances of
the selected workflow.
4. Alternatively, Choose the icon, enter Archived Workflow Step Instances , and then choose the
related link.
The Archived Workflow Step Instances page opens showing all archived workflow step instances. In the
Workflow Code field, you can see which workflow the archived workflow step instance belonged to.
See Also
Delete Workflows
Create Workflows
Enable Workflows
Use Workflows
Workflow
Delete Workflows
If you are certain that a workflow is no longer being used, you can delete it. All workflow step instances that are
defined in the workflow must have status Completed .
Cau t i on
When you delete a workflow, all information in the workflow will be lost.
To delete a workflow
2. Select the workflow that you want to delete.
3. Choose the Delete action.
4. Alternatively, open the workflow that you want to delete.
5. On the Workflow page, choose the Delete action.
See Also
Create Workflows
Enable Workflows
Use Workflows
Workflow
You can use the Data Exchange Framework to manage the exchange of business documents, bank files, currency
exchange rates, and any other data files with your business partners.
In the standard version of Business Central, the Data Exchange Framework is used in processes such as
exchanging electronic documents, importing and exporting bank files, and updating exchange rates for
currencies. For more information, see About the Data Exchange Framework.
As an administrator or Microsoft partner, you can use the framework in new integration features by specifying
the data to exchange, and how to exchange it. For more information, see Set Up Data Exchange Definitions.
TO SEE
Learn how the Data Exchange Framework works. About the Data Exchange Framework
Prepare to exchange data in a file by reusing the file’s XML Setting Up Data Exchange
schema. Set up data exchange definitions. Set up master
data for electronic document sending. Set up various bank
import/export fields.
Based on data exchange definitions, send PEPPOL invoices, Exchanging Data

receive PEPPOL invoices, import bank statements, and
export bank payment files.
See Also
Setting Up Data Exchange
Exchanging Data
Incoming Documents
You can use the Data Exchange Framework to manage the exchange of business documents, bank files, currency
exchange rates, and any other data files with your business partners.
As an administrator or Microsoft partner, you can use the framework in new integration features by setting up
which data to exchange and how. For example, the format of files for exchange of data in bank files, electronic
documents, currency exchange rates, and other with ERP systems vary depending on the provider of the data
file or stream and on the country/region. Business Central supports various bank file formats and data service
standards. To provide support for other electronic document formats, you use the data exchange framework.
The following diagrams show the architecture of the data exchange framework.
As an alternative to emailing business documents as file attachments, you can send and receive them
electronically. An "electronic document" is a standard-compliant file representing a business document, such as
an invoice from a vendor that you can receive and convert to a purchase invoice in Business Central. Trading
partners exchange electronic documents through external document exchange services. By default, Business
Central supports sending and receiving electronic invoices and credit memos in the PEPPOL format, which is
supported by the largest providers of document exchange services. A major provider of document exchange
services, Tradeshift, is pre-configured and ready to be set up for your company. To provide support for other
electronic document formats, you must create new data exchange definitions.
From PDF or image files representing incoming documents, you can have an external OCR service (Optical
Character Recognition) create electronic documents that you can then convert to document records in Business
Central, like for electronic PEPPOL documents. For example, when you receive an invoice in PDF format from
your vendor, you can send it to the OCR service from the Incoming Documents page. After a few seconds, you
receive the file back as an electronic invoice that can be converted to a purchase invoice for the vendor. If you
send the file to the OCR service by email, then a new incoming document record is automatically created when
you receive the electronic document back.
To send, for example, a sales invoice as an electronic PEPPOL document, you select the Electronic Document
option in the Post and Send dialog box. From here, you can also set up the customer's default document
sending profile. First, you must set up various master data, such as company information, customers, items, and
units of measure. These are used to identify the business partners and items when you convert data in fields in
Business Central to elements in the outgoing document file. The data conversion and sending of the PEPPOL
sales invoice are performed by dedicated codeunits and XMLports, represented by the PEPPOL electronic
document format.
To receive, for example, an invoice from a vendor as an electronic PEPPOL document, you process the document
on the Incoming Documents page to convert it to a purchase invoice in Business Central. You can either set up
the Job Queue feature to process such files regularly or you can start the process manually. First, you must set
up various master data, such as company information, vendors, items, and units of measure. These are used to
identify the business partners and items when you convert data in elements in the incoming document file to
fields in Business Central. The receiving and data conversion of PEPPOL invoices are performed by the Data
Exchange Framework, represented by the PEPPOL - Invoice data exchange definition.
To receive, for example, an invoice as an electronic OCR document, you process it as when you receive an
electronic PEPPOL document. The receiving and conversion of electronic documents from OCR are performed
by the Data Exchange Framework, represented by the OCR – Invoice data exchange definition.
Bank Files
The formats of files for exchanging bank data with business management applications vary depending on the
supplier of the file and the country or region. Business Central supports import and export of Single Euro
Payments Area (SEPA) bank files. Additionally, the AMC Banking 365 Fundamentals extension lets you connect to
a AMC Banking 365 Fundamentals extension provided by an external provider, AMC Consult. For more
information, see Make Payments with the AMC Banking 365 Fundamentals extension or SEPA Credit Transfer. To
provide support for other electronic document formats, you use the Data Exchange Framework.
To export SEPA credit transfers, you choose Expor t Payments to File button on the Payment Journal page
and then upload the file to process the payments in your bank. First you must set up various master data, such
as bank account, vendors, and payment methods. The data conversion and export of SEPA bank data is
performed by a dedicated codeunit and XMLport, represented by the SEPA Credit Transfer bank
export/import setup. Alternatively, you can set up the AMC Banking 365 Fundamentals extension to perform the
export, represented by the AMC Banking 365 Fundamentals extension - Credit Transfer data exchange
definition.
To export SEPA direct debit instructions, you choose the Expor t Direct Debit File button on the Direct Debit
Collections page and then send to your bank to automatically collect the involved customer payments. First
you must set up bank accounts, customers, direct-debit mandates, and payment methods. The data conversion
and export of SEPA bank data is performed by dedicated a codeunit and XMLport, represented by the SEPA
Direct Debit bank export/import setup.
To import SEPA bank statements, you choose the Import Bank Statement button in the Payment
Reconciliation Journal and Bank Acc. Reconciliation pages and then you proceed to apply each bank
statement entry to payments or bank ledger entries, manually or automatically. First you must set up bank
accounts. The import and data conversion of SEPA bank data is performed by the Data Exchange Framework,
represented by the SEPA CAMT data exchange definition. Alternatively, you can set up the AMC Banking 365
Fundamentals extension to perform the import, represented by the AMC Banking 365 Fundamentals
extension – Bank Statement data exchange definition.
In addition, the local versions of Business Central support various other file formats for importing and exporting
bank data, payroll transactions, and other data. For more information, see the Local Functionality landing page
for your country/region in the Help.
Currency Exchange Rates

You can set up an external service to keep your for currency exchange rates up to date. The service that provides
updated currency exchange rates is enabled by a data exchange definition. Accordingly, the Exch. Rate Update
Setup Card page is a condensed view of the Data Exchange Definition page for the data exchange definition
in question.
For all exchanges of data in XML files, you can prepare the data exchange setup by loading the related XML
schema file on the XML Schema Viewer page. Here you select the data elements that you want to exchange
with Business Central and then you either initialize a data exchange definition or generate an XMLport.
See Also
Incoming Documents
Before you can send and receive electronic documents or import and export bank files, you must set up the data
exchange framework to process the involved files. In addition, you must set up related areas, such as the
customers that you send electronic invoices to, or the AMC Banking 365 Fundamentals extension if you use the
external service provider to convert your bank files. For more information, see Exchanging Data Electronically.
When Business Central is set up to exchange data with external files, users can use the setup in common
business tasks, such as sending and receiving electronic documents and importing and exporting bank files.
TO SEE
Set up the preconfigured document exchange service to Set Up a Document Exchange Service
enable sending and receiving electronic documents from and
to Business Central.
Set up the preconfigured OCR service to turn PDF or image Set Up Incoming Documents
files into electronic documents that can be converted to
document records in Business Central
Set up one of two preconfigured services for updated Update Currency Exchange Rates
exchange rates to get the latest currency exchange rates into
the Currencies page.
Set up various master data, such as company information, Set Up Electronic Document Sending and Receiving
customers, vendors, items, and units of measure, related to
mapping data in Business Central
Set up a bank account, a vendor, and a payment journal for Set Up SEPA Credit Transfer
SEPA credit transfer.
Prepare bank account formats, payment methods, and Collect Payments with SEPA Direct Debit
customer agreements for SEPA direct debit.
Set up user authentication and the URL of the AMC Banking Use the AMC Banking 365 Fundamentals extension
365 Fundamentals extension provider that is required to
have bank files converted to your bank’s format.
Set up and enable an external service that enables you to Set Up the Bank Statement Service
import bank statements directly as bank feeds.
After the Bank Statement service is enabled, link bank Set Up Bank Accounts
accounts in Business Central
Prepare to set up a new data exchange definition for a data Use XML Schemas to Prepare Data Exchange Definitions
file or stream by using the file’s XML schema to prefill the
Column Definitions FastTab on the Posting Exchange
Definition page.
TO SEE
Set up the Data Exchange Framework to enable users to Set Up Data Exchange Definitions
receive a new purchase document format, send a new sales
document format, import a new bank file, or other data
exchange.

See also
Incoming Documents
As part of the Data Exchange Framework, you can exchange sales and purchase documents with your trading
partners without extra steps, such as attaching the documents to email messages as PDF files. For example,
when you're ready to invoice a customer, you can post the invoice and send it for payment as a file that your
customer can receive in their business management application. For more information, see Exchanging Data
Electronically.
NOTE
Setting up a document exchange service for Business Central on-premises requires some additional steps for
authorization. For more information, see Settings for Business Central On-Premises.
Connecting with Trading Partners

Exchanging electronic documents requires a connection to your trading partners. To make it easy to create a
secure connection, Business Central online is configured to use the Business Central Integration app. The app is
available on the Tradeshift App Store, and all you and your business partners need to do is create a Tradeshift
account and then enable the app. The Business Central Integration app comes in production and sandbox
versions. For example, using the sandbox version is good for testing the document exchange. You can switch
between production and sandbox versions by turning the Sandbox toggle on or off on the Doc. Exch. Ser vice
Setup page. When you do, the information on the Ser vice FastTab is updated for you.
Alternatively, if you want to use another service, you must provide information to make the connection. For
more information, see To connect to a document exchange service.
To connect to the Business Central Integration app on Tradeshift

You can quickly create a Tradeshift account and get started with the Business Central Integration app from the
Doc. Exch. Ser vice Setup page. Choose either the Activate App link in the notification or the App URL field
to go to the app in the Tradeshift app store. On the Login page for Tradeshift, either sign in or sign up.
NOTE
After you sign in to your Tradeshift account, the site might not take you to the page where you activate the app. To do
that, you can click the link on the Doc. Exch. Ser vice Setup page in Business Central again to go directly to the app.
If you decide to stop using the Business Central Integration app, you should disable it in the Tradeshift app store.
To connect to a document exchange service

If you prefer to use another document exchange service, you must provide some information to connect to the
service.
1. Choose the icon, enter Document Exchange Ser vice Setup , and then choose the related link.
2. Fill the fields as described in the following table.
User Agent Enter text that can be used to identify your company in
document exchange processes.
Enabled Specify whether the connection to the service is enabled.
Note: When you enable the service at least two job

queue entries are created to send and receive electronic
documents. When you disable the service, the job queue
entries are deleted.
Sandbox Specify whether you are connecting to a sandbox version

of the document exchange service.
Sign-up URL Specify the web page where you sign up for the
document exchange service.
App URL Choose the link to open the app store and turn the
Business Central Integration app on or off.
Ser vice URL Specify the address of the document exchange service,
which will be called when you send and receive electronic
documents.
Sign-in URL Specify the URL for the page you use to sign in to the
document exchange service. This is the page where you
enter your company’s user name and password.
NOTE
Your sign in credentials are automatically encrypted. You cannot turn off encryption.
NOTE
If you cannot connect to the document exchange service because of an authorization issue, it might be because
Business Central cannot automatically renew the access token. For example, this might occur if you have not used
the service for some time. You can renew the token manually by using the Renew Token action.
Settings for Business Central On-Premises

To connect Business Central on-premises, you must create an app on the Tradeshift App Store. When you do, use
the redirect URL from the Redirect URL field on the Document Exchange Ser vice Setup page. After you
register your app, Tradeshift will provide a client ID and a client secret. In Business Central, enter those values on
the Authorization FastTab on the Document Exchange Ser vice Setup page.
If you prefer to store the app ID and secret in a different location, you can leave the Client ID and Client Secret
fields blank and write an extension to fetch the ID and secret from the location. You can provide the secret at
runtime by subscribing to the OnGetClientId and OnGetClientSecret events in codeunit 1410 "Doc. Exch. Service
Mgt."

See Also
If you create general journal lines from incoming document records, you must specify on the Incoming
Documents Setup page which journal template and batch to use.
When the Incoming Documents feature is set up, you can use different functions to review expense receipts,
manage OCR tasks, and convert incoming document files, manually or automatically, to the relevant documents
or journal lines. The external files can be attached at any process stage, including to posted documents and to
the resulting vendor, customer, and general ledger entries. For more information, see Create Incoming
Documents Records.
To set up the Incoming Documents feature

1. Choose the icon, enter Incoming Document Setup , and then choose the related link.
As part of the setup, you must decide if you want to require approval of incoming documents. To require
approval, you must set up approvers and approval workflows. If your organization doesn't intend to require
approval, you can skip the next section.
Finally, if you use an OCR service to convert PDF or image files representing incoming documents, you must it
set up. Otherwise, you can also skip that section.
To set up approvers of incoming document records

If you don't want users to create invoices or general journal lines from incoming document records unless the
documents are first approved, set up an approval process for the incoming documents. Approvers of incoming
documents must be set up as approval workflow users.
Before you can create workflows that involve approval steps, you must set up the workflow users who are
involved in approval processes. On the Approval User Setup page, you also set amount limits for specific
types of requests and define substitute approvers to whom approval requests are delegated when the original
approver is absent. For more information, see Set Up Approval Users.
To set up an OCR service

To turn PDF and image files into electronic documents that you can convert to invoices, credit memos, or journal
lines, set up the OCR feature. Alternatively, you can create entries manually to represent the external documents.
1. Choose the icon, enter OCR Ser vice Setup , and then choose the related link.
NOTE
You login data is automatically encrypted.
For more information, see Use OCR to Turn PDF and Image Files into Electronic Documents.

See also
Incoming Documents
Purchasing
You can define different currencies in Business Central, for example if you do trade in currencies other than your
local currency. Then, to help you keep track of changes in currency exchange rates, you can manage the
currencies manually, or you can set up a currency exchange rate service.
Currencies
TIP
In Business Central if you are looking for real time information about foreign exchange (FX) rates or historical rates, you
will find it referred to as currency. In addition to this article, see also Set Up an Additional Reporting Currency.
You must set up a code for each currency you use if you:
Buy or sell in other currencies besides your local currency (LCY).
Record general ledger transactions in both LCY and an additional reporting currency.
After setting up the codes, assign the appropriate code to each foreign currency bank account, and assign a
default currency code to foreign customer and vendor accounts.
You specify the currency codes in the Currencies list, including extra information and settings that are
necessary for each currency code.
TIP
Create the currencies with the international ISO code as the code to simplify working with the currency in the future.
necessary for each currency code. For more information, see Currencies
Example of a receivable currency transaction
When you receive an invoice from a company in a foreign currency, it is fairly easy to calculate the local currency
(LCY) value of the invoice based on today's currency rate. However, the invoice often comes with payment terms
so you can delay the payment to a later date, which implies a potentially different currency rate. This issue in
combination with the fact that bank currency rates always differ from the official currency rates makes it
impossible to anticipate the exact local currency (LCY) amount that is required to cover the invoice. If the due
date of the invoice extends to the next month, you might also have to revaluate the local currency (LCY) amount
at the end of the month. The currency adjustment is necessary because the new LCY value that is required to
cover the invoice amount might be different, and the company debt to the vendor has potentially changed. The
new LCY amount might be higher or lower than the previous amount and will therefore represent a gain or a
loss. However, since the invoice has not been paid yet, the gain or loss is considered unrealized. Later, the invoice
is paid, and the bank has returned with the actual currency rate for the payment. It is not until now the realized
gain or loss is calculated. This unrealized gain or loss is then reversed, and the realized gain or loss is posted
instead.
In the following example, an invoice is received on January 1 with the currency amount of 1000. At the time, the
currency rate is 1.123.
LCY
A M O UN T UN REA L I
C URREN C ON Z ED REA L IZ ED
Y DO C UM E DO C UM E A DJUST M GA IN S PAY M EN T LO SSES
DAT E A C T IO N A M O UN T N T RAT E NT EN T RAT E A M O UN T RAT E A M O UN T
1/1 Invoice 1000 1.123 1123
1/31 Adjustm 1000 1125 1.125 2

ent
2/15 Adjustm 1000 -2

ent
Reversal
on
payment
2/15 Payment 1000 1120 1.120 -3
At the end of the month, a currency adjustment is performed where the adjustment currency rate has been set
to 1.125, which triggers an unrealized gain of 2.
At the time of payment, the actual currency rate registered on the bank transaction shows a currency rate of
1.120.
Here there is an unrealized transaction, and therefore it will be reversed together with the payment.
Finally, the payment is registered and the actual loss is posted to the realized losses account.
Exchange Rates
The exchange rates are the tool to calculate the local currency value (LCY) of each currency transaction. The
Exchange Rates page includes the following fields:
Star ting Data The date when the currency rate was effectuated
Currency Code The currency code related to this exchange rate
Relational Currency Code If this currency is part of a triangular currency calculation,

then the related currency code can be set up here
Exchange Rate Amount The exchange rate amount is the rate to use for the currency
code selected on the line. Normally 1 or 100
Relational Exch. Rate Amount The relational exchange rate amount relates to the rate to
use for the relational currency code
Adjustment Exch. Rate Amount The adjustment exchange rate amount is the rate to use for
the currency code selected on the line for use of the Adjust
Exchange Rates batch job
Relational Adjmt Exch. Rate Amt The relational adjustment exchange rate amount is the rate
to use for the currency code selected on the line for use of
the Adjust Exchange Rates batch job
Fix Exchange Rate Amount Specifies if the currency's exchange rate can be changed on
invoices and journal lines.
In general, the values of the Exchange Rate Amount and Relational Exchange Rate Amount fields are used
as the default currency rate on all new receivables and payables documents that are created going forward. The
document is assigned the currency rate according to the current working date.
NOTE
The actual currency rate will be calculated using this formula:
Currency Amount = Amount / Exchange Rate Amount * Relational Exch. Rate Amount
The adjustment exchange rate amount or relational adjustment exchange rate amount will be used to update all
open bank, receivables, or payables transactions.
NOTE
Currency Amount = Amount / Adjustment Exch. Rate Amount * Relational Adjmt Exch. Rate Amt
Adjusting Exchange Rates

Because exchange rates fluctuate constantly, additional currency equivalents in your system must be adjusted
periodically. If these adjustments are not done, amounts that have been converted from foreign (or additional)
currencies and posted to the general ledger in LCY may be misleading. In addition, daily entries posted before a
daily exchange rate is entered into application must be updated after the daily exchange rate information is
entered.
The Adjust Exchange Rates batch job is used to manually adjust the exchange rates of posted customer,
vendor, and bank account entries. It can also update additional reporting currency amounts on G/L entries.
TIP
You can use a service to update exchange rates in the system automatically. For more information, see To set up a
currency exchange rate service. However, this does not adjust exchange rates on already posted transactions. To update
exchange rates on posted entries, use the Adjust Exchange Rates batch job.
You can preview the effect that an adjustment will have on posting before you actually post by choosing
Preview on the Adjust Exchange Rates page. Additionally, you can select whether the general ledger posting
will be detailed (per entry) or summarized (per currency) by choosing Summarize Entries . You can also specify
how to handle dimensions for unrealized gains and losses postings by choosing one of the following options in
the Transfer Dimension Values field:
Source Entr y : G/L entries for unrealized gains and losses will have dimensions values transferred from the
adjusted entry.
By G/L Account : G/L entries for unrealized gains and losses will have dimensions values transferred from
the unrealized gains and losses G/L account's dimension settings source entry.
No Transfer : G/L entries for unrealized gains and losses won't have dimensions values.
Effect on Customers and Vendors
For customer and vendor accounts, the batch job adjusts the currency by using the exchange rate that is valid on
the posting date that is specified in the batch job. The batch job calculates the differences for the individual
currency balances and posts the amounts to the general ledger account that is specified in the Unrealized
Gains Acc. field or the Unrealized Losses Acc. field on the Currencies page. Balancing entries are
automatically posted to the receivables/payables account in the general ledger.
The batch job processes all open customer ledger entries and vendor ledger entries. If there is an exchange rate
difference for an entry, the batch job creates a new detailed customer or vendor ledger entry, which reflects the
adjusted amount on the customer or vendor ledger entry.
Dimensions on Customer and Vendor Ledger Entries
The adjustment entries are assigned the dimensions from the customer/vendor ledger entries, and the
adjustments are posted per combination of dimension values.
Effect on Bank Accounts
For bank accounts, the batch job adjusts the currency by using the exchange rate that is valid on the posting
date specified in the batch job. The batch job calculates the differences for each bank account that has a currency
code and posts the amounts to the general ledger account that is specified in the Realized Gains Acc. field or
the Realized Losses Acc. field on the Currencies page. Balancing entries are automatically posted to the
general ledger bank accounts that are specified in the bank account posting groups. The batch job calculates one
entry per currency per posting group.
Dimensions on Bank Account Entries
The adjustment entries for the bank account's general ledger account and for the gain/loss account are assigned
the bank account's default dimensions.
Effect on G/L Accounts
If you post in an additional reporting currency, you can have the batch job create new general ledger entries for
currency adjustments between LCY and the additional reporting currency. The batch job calculates the
differences for each general ledger entry and adjusts the general ledger entry depending on the contents of the
Exchange Rate Adjustment field for each general ledger account.
D i m e n si o n s o n G / L A c c o u n t En t r i e s
The adjustment entries are assigned the default dimensions from the accounts they are posted to.
IMPORTANT
Before you can use the batch job, you must enter the adjustment exchange rates that are used to adjust the foreign
currency balances. You do so on the Currency Exchange Rates page.
To set up a currency exchange rate service

You can use an external service to keep your currency exchange rates up to date, such as FloatRates.
NOTE
Most exchange rate services provide data that is compatible with the import process in Business Central. However,
sometimes the data is formatted differently and you will need to customize your import process. You can use the data
exchange framework to do that by adding your own codeunit. You'll probably need some help from a developer to do
that. For more information, see Set Up Data Exchange Definitions.
1. Choose the icon, enter Currency Exchange Rate Ser vices , and then choose the related link.
3. On the Currency Exchange Rate Ser vice page, fill in the fields as necessary. Hover over a field to read a
short description.
4. Turn on the Enabled toggle to enable the service.
NOTE
The following video shows an example of how to connect to a currency exchange rate service, using the European Central
Bank as an example. In the segment that describes how to set up field mappings, the setting in the Source column for
the Parent Node for Currency Code will only return the first currency found. The setting should be
/gesmes:Envelope/Code/Code/Code .
To update currency exchange rates through a service

1. Choose the icon, enter Currencies , and then choose the related link.
2. Choose the Update Exchange Rates action.
The value in the Exchange Rate field on the Currencies page is updated with the latest currency exchange
rate.

See Also
Set Up Currencies
As an alternative to emailing as file attachments, you can send and receive business documents electronically. By
electronic document is meant a standard-compliant file representing a business document, such as an invoice
from a vendor that can be received and converted to a purchase invoice in Business Central. The exchange of
electronic documents between two trading partners is performed by an external provider of document
exchange services. The generic version of Business Central supports sending and receiving electronic invoices
and credit memos in the PEPPOL format, which is supported by the largest providers of document exchange
services. A major provider of document exchange services is preconfigured and ready to be set up for your
company.
From PDF or image files representing incoming documents, you can have an external OCR service (Optical
Character Recognition) create electronic documents that you can then convert to document records in Business
Central, like for electronic PEPPOL documents. For example, when you receive an invoice in PDF format from
your vendor, you can send it to the OCR service from the Incoming Documents page. After a few seconds, you
receive the file back as an electronic invoice that can be converted to a purchase invoice for the vendor. If you
send the file to the OCR service by email, then a new incoming document record is automatically created when
you receive the electronic document back.
The PEPPOL electronic document format is preconfigured to enable you to send electronic invoices and credit
memos in the PEPPOL format. First, you must set up various master data, such as company information,
customers, items, and units of measure. These are used to identify the business partners and items when
converting data in fields in Business Central to elements in the outgoing document file. Last, you must select the
format on the Electronic Document Format page for each customer who you will send electronic PEPPOL
documents to. For more information, see Send Electronic Documents.
The PEPPOL – Invoice and PEPPOL – Credit Memo data exchange definitions are preconfigured to enable
you to receive electronic invoices and credit memos in the PEPPOL format. First, you must set up various master
data, such as company information, vendors, items, and units of measure. These are used to identify the
business partners and items when converting data in elements in the incoming document file to fields in
Business Central. Last, you must select the data exchange definition on the Incoming Documents page for
each incoming electronic document that you want to convert to a purchase document in Business Central.
The OCR – Invoice data exchange definition is preconfigured to enable you to receive electronic documents
that are generated by the OCR service. To receive, for example, an invoice as an electronic OCR document, you
set up master date and then process the document just as when receiving an electronic PEPPOL document. For
more information, see Use OCR to Turn PDF and Image Files into Electronic Documents.
The preconfigured services for document exchange and OCR must be enabled before you send or receive. For
more information, see Set Up a Document Exchange Service.
The topic contains the following procedures:
To set up the company for electronic document sending and receiving
To set up VAT posting for electronic document sending and receiving
To set up countries/regions for electronic document sending and receiving
To set up items for electronic document sending and receiving
To set up units of measure for electronic document sending and receiving
To set up customers for electronic document sending
To select the PEPPOL electronic document format for electronic document sending
To set up vendors for electronic document receiving
To select the PEPPOL – Invoice data exchange definition for electronic document receiving
To set up the G/L account to use on new purchase invoice lines for non-identifiable items and non-items
To set up the company for electronic document sending and receiving
1. In the Search box, enter Company Information , and then choose the related link.
2. On the General FastTab, fill the fields as described in the following table.
GLN Identify your company.
For example, when you send electronic invoices in the

PEPPOL format, the value in this field is used to populate
the EndPointID element under the
AccountingSupplierPar ty node in the file. The number
is based on the GS1 standard, which is compliant with
ISO 6523.
VAT Registration No. Specify your company's VAT registration number.
Responsibility Center If your company is set up with a responsibility center,

make sure that the Countr y/Region Code field is filled.
To set up VAT posting for electronic document sending and receiving

1. In the Search box, enter VAT Posting Setup , and then choose the related link.
2. For each VAT posting setup line that you will use for electronic documents, fill the field as described in the
following table.
Tax Categor y Specify the VAT category.

the TaxApplied element under the
is based on the UNCL5305 standard.
To set up countries/regions for electronic document sending and receiving

1. In the Search box, enter Countr y/Regions , and then choose the related link.
2. For each country/region that you will exchange electronic documents with, fill the field as described in

VAT Scheme Identify the national body that issues the VAT
registration number for the country/region in connection
with electronic document sending.

the SchemeID attribute for the EndPointID element
under both the AccountingSupplierPar ty node and
the AccountingCustomerPar ty in the file.
The VAT Scheme field is only used if the GLN field on

the Company Information page is not filled. Note:
The value in the Code field on the Countries/Regions
page must comply with ISO 3166-1:Alpha2.
To set up items for electronic document sending and receiving

1. In the Search box, enter Items , and then choose the related link.
2. For each item that you buy or sell on electronic documents, fill the field as described in the following
table.
GTIN Identifies the item in connection with electronic

document sending and receiving. For the PEPPOL
format, the field is used as follows:
If the StandardItemIdentification/ID element has the

SchemeID attribute set to GTIN, then the element is
mapped to the GTIN field on the item card.
To set up units of measure for electronic document sending and receiving

1. In the Search box, enter Units of Measure , and then choose the related link.
2. For each unit of measure that you will use for items on electronic documents, fill the field as described in
International Standard Code Specify the unit of measure code expressed according to
the UNECERec20 standard in connection with sending of
electronic documents.

the unitCode attribute of the InvoicedQuantity
element under the InvoiceLine node. Note: If the Unit
of Measure field on the sales line is empty, the
UNECERe20 standard value for "Piece" (H87) is inserted
by default. For more information and a list of valid unit
of measure codes, see Recommendation No. 20 - Units
of Measure used in International Trade.
To set up customers for electronic document sending

1. In the Search box, enter Customers , and then choose the related link.
2. For each customer who you will send electronic documents to, fill the fields as described in the following
table.
GLN Identify the customer.

AccountingCustomerPar ty node in the file. The
number is based on the GS1 standard, which is
compliant with ISO 6523.
If the GLN field is blank, the value in the VAT

Registration No. field is used.
VAT Registration No. Specify the customer's VAT registration number. Tip: In
supported localized versions, choose the DrillDown
button to use the web service that verifies if the number
exists in the national company register.
Responsibility Center If the customer is set up with a responsibility center,

make sure that the Countr y/Region Code field is filled.
You can set up each customer with a preferred method of sending business documents, so that you do
not have to select a sending option every time that you send a document to the customer. For more
information, see Set Up Document Sending Profiles.
To select the PEPPOL electronic document format for electronic document sending
1. In the Search box, enter Document Sending Profiles , and then choose the related link.
2. Open an existing document sending profile, or create a new one. For more information, see Set Up
Document Sending Profiles.
3. On the Document Sending Profile page, choose the Electronic Format , select the line for PEPPOL,
and then choose OK .
4. In the Electronic Document field, select Yes (Through Document Exchange Ser vice) .
NOTE
Business Central automatically detects if the document is an invoice or a credit memo and applies the PEPPOL
format accordingly.
5. To make this document sending profile apply to all customers, select the Default check box on the
General FastTab. To make it apply to specific customers only, fill the Document Sending Profile field
on the customer cards in question. For more information, see Set Up Document Sending Profiles.
You can now send the electronic document containing the converted data. For more information, see
Send Electronic Documents.
To set up vendors for electronic document receiving
1. In the Search box, enter Vendors , and then choose the related link.
2. For each vendor that you will receive electronic documents from, fill the fields as described in the
following table.
GLN Identify the vendor.
For example, when you receive electronic invoices in the

is based on the GS1 standard, which is compliant with
ISO 6523.
If the GLN field is blank, the value in the VAT

Registration No. field is used.
VAT Registration No. Specify the vendor's VAT registration number. Tip: In
supported localized versions, choose the DrillDown
button to use the web service that verifies if the number
exists in the national company register.
Responsibility Center If the vendor is set up with a responsibility center, make

sure that the Countr y/Region Code field is filled.
To select the PEPPOL - Invoice data exchange definition for electronic document receiving
1. In the Search box, enter Incoming Documents , and then choose the related link.
2. On the line for the electronic document that you want to receive and convert, choose the Data Exchange
Type field, and then select PEPPOLINVOICE .
If the document to receive is a credit memo, select PEPPOLCREDITMEMO .
You can now receive the electronic document by starting the data conversion process on the Incoming
Documents page. For more information, see Receive and Convert Electronic Documents.
To set up the G/L account to use on new purchase invoice lines for non-identifiable items and non-items
1. In the Search box, enter Purchases & Payables Setup , and then choose the related link.
2. On the Default Accounts FastTab, fill the field as described in the following table.
G/L Account for Non-Item Lines Specifies the G/L account that is automatically inserted
on purchase lines that are created from electronic
documents when the incoming document line does not
contain an identifiable item. Any incoming document line
that does not have a GTIN or the vendor's item number
will be converted to a purchase line of type G/L
Account , and the No. field on the purchase line will
contain the account that you select in the G/L Account
for Non-Item Lines field.
If you leave the G/L Account for Non-Item Lines

field blank, and the incoming document has lines
without identifiable items, then the purchase document
will not be created. An error message will instruct you to
fill the G/L Account for Non-Item Lines field before
you can complete the task.

See Also
Invoice Sales
Record Purchases
With your customer's consent, you can collect payments directly from the customer's bank account according to
the SEPA format.
First, set up the export format of the bank file that instructs your bank to perform a direct debit. Then, set up the
customer's payment method. Last, set up the direct-debit mandate that reflects your agreement with the
customer to collect their payments in a certain agreement period.
To instruct the bank to transfer the payment amount from the customer's bank account to your company's
account, you create a direct-debit collection entry, which holds information about bank accounts, the affected
sales invoices, and the direct-debit mandate. You then export an XML file that is based on the collection entry,
which you send to your bank for processing. Any payments that could not be processed will be communicated
to you by your bank, and you must then manually reject the direct debit-collection entries in question.
You can set up standard customer sales codes with the direct-debit payment method and mandate information.
You can then use the Create Standard Cust. Invoices batch job to generate multiple sales invoices with the
direct-debit information prefilled. This is can be done manually or automatically, according to the payment due
date.
When payments are successfully processed, as communicated by your bank, you can post the payment receipts
either directly from the Direct Debit Collect. Entries page or by moving the payment lines to the journal
where you post payment receipts, such as the Cash Receipt Journal page. Alternatively, depending on your
cash management process, you can wait and just apply the payments as a part of bank reconciliation.
NOTE
To collect payments using SEPA Direct Debit, the currency on the sales invoice must be EURO.
Setting Up SEPA Direct Debit

From the Direct Debit Collections page, you can export instructions to your electronic bank to perform a
direct debit collection from the customer's bank account to your bank account according to the SEPA Direct
Debit format.
NOTE
The global version of Business Central supports the SEPA direct debit format only. Your country/region version may
support other formats for electronic payment. See under Local Functionality in the table of contents.
To enable export of a bank file formats that are not supported out of the box in Business Central, you can set up
a data exchange definition by using the data exchange framework. For more information, see Set Up Data
Exchange Definitions.
Before you can process customer payments electronically by exporting direct debit instructions in the SEPA
Direct Debit format, you must perform the following setup steps:
Set up the export format of the bank file that instructs your bank to perform a direct debit collection from the
customer's bank account to your bank account.
Set up the customer's payment method.
Set up the direct-debit mandate that reflects your agreement with the customer to collect their payments in a
certain agreement period.
To set up your bank account for SEPA direct debit
1. Choose the icon, enter Bank Accounts , and then choose the related link.
2. Open the bank account that you want to use for direct debit.
3. On the Transfer FastTab, in the SEPA Direct Debit Expor t Format field, choose the option for SEPA direct
debit.
To set up the customer's payment method for SEPA direct debit
1. Choose the icon, enter Payment Methods , and then choose the related link.
3. Set up a payment method. Fill in the direct debit-specific fields as described in the following table.
Direct Debit Specify if the payment method is for SEPA direct debit
collection.
Direct Debit Pmt. Terms Code Specify the payment terms, such as DON'T PAY, that are
displayed on sales invoices that are paid with SEPA direct
debit to indicate to the customer that the payment will
be collected automatically. Alternatively, leave the field
empty.
NOTE
Do not enter a value in the Bal. Account No. field.
4. Choose the OK button to close the Payment Methods page.

6. Open the customer card for the customer that you want to set up for SEPA direct debit collection.
7. Choose the Payment Method Code field, and then select the payment method code that you specified
in step 3.
8. Repeat steps 6 and 7 for all customers that you want to set up for SEPA direct debit collection.
To set up the direct-debit mandate that represents the customer agreement
2. Open the card for the customer that you want to set up for SEPA direct debits.
3. Choose the Bank Accounts action.
4. On the Customer Bank Account List page, select the customer bank account that will use direct debits,
and then choose the Direct Debit Mandates action.
5. On the SEPA Direct Debit Mandates page, fill in the fields as described in the following table.

Customer Bank Account Code Specifies the bank account from which direct-debit
payments are collected. This field is filled automatically.
Valid From Specify the date when the direct-debit mandate starts.
Valid To Specify the date when the direct-debit mandate ends.
Date of Signature Specify the date when the customer signed the direct-
debit mandate.
Sequence Type Specify if the agreement covers multiple (Recurring ) or a

single (One Off ) direct debit collection.
Expected Number of Debits Specify how many direct debit collections you expect to
make. This field is only relevant if you selected
Recurring in the Sequence Type field.
Debit Counter Specifies how many direct debit collections have been
made using this direct-debit mandate. This field is
automatically updated.
Blocked Specify that direct debit collections cannot be made

using this direct-debit mandate.
6. Repeat steps 1 through 5 for all customers that you want to set up for SEPA direct debits.
The direct-debit mandate is automatically inserted in the Direct Debit Mandate ID field when you create a
sales invoice for the customer that you selected in step 2. For more information, see Create Recurring Sales and
Purchase Lines.
Creating SEPA Direct Debit Collection Entries and Export to a Bank File
account, you create a direct-debit collection, which holds information about the customer's bank account, the
affected sales invoices, and the direct-debit mandate. From the resulting direct-debit collection entry, you then
export an XML file that you send or upload to your electronic bank for processing. Any payments that could not
be processed by the bank will be communicated to you by your bank, and you must then manually reject the
direct debit-collection entries in question.
NOTE
To create a direct-debit collection

1. Choose the icon, enter Direct Debit Collections , and then choose the related link.
2. On the Direct Debit Collections page, choose the Create Direct Debit Collection action.
3. On the Create Direct Debit Collection page, fill in the fields as described in the following table.
From Due Date Specify the earliest payment due date on sales invoices
that you want to create a direct-debit collection for.
To Due Date Specify the latest payment due date on sales invoices
Par tner Type Specify if the direct-debit collection is made for

customers of type Company or Person .
Only Customers With Valid Mandate Specify if a direct-debit collection is created for customers
who have a valid direct-debit mandate. Note: A direct-
debit collection is created even if the Direct Debit
Mandate ID field is not filled on the sales invoice.
Only Invoices With Valid Mandate Specify if a direct-debit collection is only created for sales
invoices if a valid direct-debit mandate is selected in the
Direct Debit Mandate ID field on the sales invoice.
Bank Account No. Specify which of your company's bank accounts the
collected payment will be transferred to from the
customer's bank account.
Bank Account Name Specifies the name of the bank account that you select in
the Bank Account No. field. This field is filled
automatically.

A direct-debit collection is added to the Direct Debit Collections page, and one or more direct-debit collection
entries are created.
To export a direct-debit collection entry to a bank file
1. On the Direct Debit Collections page, choose the Direct Debit Collect. Entries action.
2. On the Direct Debit Collect. Entries page, select the entry that you want to export, and then choose
the Create Direct Debit File action.
3. Save the export file to the location from where you send or upload it to your electronic bank.
On the Direct Debit Collect. Entries page, the Direct Debit Collection Status field is changed to File
Created. On the SEPA Direct Debit Mandates page, the Debit Counter field is updated with one
count.
If the exported file cannot be processed, for example because the customer is insolvent, you can reject the direct-
debit collection entry. If the exported file is successfully processed by the bank, the due payments of the
involved sales invoices are automatically collected from the involved customers. In that case you can close the
collection.
To reject a direct-debit collection entry
On the Direct Debit Collect. Entries page, select the entry that was not successfully processed, and
then choose the Reject Entr y action.
The value in the Status field on the Direct Debit Collect. Entries page is changed to Rejected .
To close a direct-debit collection
On the Direct Debit Collect. Entries page, select the entry that was successfully processed, and then
choose the Close Collection action.
The related direct-debit collection is closed.
You can now proceed to post receipts of payment for the involved sales invoices. You can do this as you typically
post payment receipts, such as on the Payment Registration page, or you can post the related payment
receipts directly from the Direct Debit Collect. Entries page. For more information, see Collect Payments with
SEPA Direct Debit.
Posting SEPA Direct Debit Payment Receipts

When a direct debit collection is successfully processed by your bank, you can proceed to post receipt of the
payment for the involved sales invoices. For more information, see Create SEPA Direct Debit Collection Entries
and Export to a Bank File.
You can post the payment receipt directly from the Direct Debit Collections page or the Direct Debit
Collect. Entries page. Alternatively, you can relay the work to another user by preparing the related journal
lines.
To post a direct-debit payment receipt from the Direct Debit Collections page
2. Select a line for a direct debit collection that has been exported to a bank file and successfully processed
by the bank.
3. Choose the Post Payment Receipts action.
4. On the Post Direct Debit Collection page, fill in the fields as described in the following table.
Direct Debit Collection No. Specify the direct debit collection that you want to post
payment receipt for.
General Journal Template Specify which general journal template to use for posting
the payment receipt, such as the template for cash
receipts.
General Journal Batch Name Specify which general journal batch to use for posting
the payment receipt.
Create Journal Only Select this check box if you do not want to post the
payment receipt when you choose the OK button. The
payment receipt will be prepared in the specified journal
and will not be posted until someone posts the journal
lines in question.
See Also
Managing Receivables
Service Management
Use the AMC Banking 365 Fundamentals Extension
The AMC Banking 365 Fundamentals extension makes it easier, and more accurate, to send data to your banks.
The extension connects Business Central with the AMC Banking 365 Fundamentals for Microsoft Dynamics 365
Business Central service, which can convert bank data from Business Central into formats that are required by
over 600 banks around the world. For example, this makes it easier to transfer payments and credits to vendors
by entering the payments in Business Central, and then uploading them to your bank. The formats can also
smooth out bank reconciliation processes. For more information, see AMC Banking for Microsoft Dynamics 365
Business Central.
NOTE
AMC Banking has built additional extensions that work with Business Central. This topic describes only the Fundamental
extension.
NOTE
In the generic version of Business Central, a global provider of services to convert bank data to any file format that your
bank requires is set up and connected. In North American versions, the same service can be used to send payment files as
electronic funds transfer (EFT), for example the commonly used Automated Clearing House (ACH) network, however with
a slightly different process.
Use Our Demonstration Account

Business Central comes with a demonstration account that lets you try out the AMC Banking 365 Fundamentals
extension. We provide default settings for connecting to AMC Banking, specifying the bank accounts to get data
from in Business Central, plus a few data exchange definitions. You can view the connection settings on the AMC
Banking Setup page. For bank accounts, the extension applies values in the Bank Name , Credit Transfer
Msg. Nos., Bank Statement Impor t Format , and Payment Expor t Format fields on bank account cards.
We provide the settings, but to try out the extension you must run the assisted setup guide to apply them. To
run the guide, on the AMC Banking Setup page, choose the Assisted Setup action.
NOTE
There are some limitations on the demo account. For example, when you convert payments, the amount in the converted
file will not match the actual amount. Instead, the amount will always be five units of the currency that you use for
payments.
Setting Up the Extension

Getting started with the extension involves just a few easy steps, and an assisted setup guide will make the
connection and turn on the extension. The guide will do things like install the data exchange definitions for bank
statement export/import setups and initiate the number series used for credit transfer messages.
To set up the required permission sets
Before people can use this extension, your administrator must copy the following permission sets, edit them,
and then assign the new permission sets to users instead of original:
D365 Basic
D365 Team Member
D365 Read
IntelligentCloudBC
For more information, see To copy a permission set.
For each new permission set, grant only the Read permission for the AMC Banking Setup table (20101) . For
more information, see To create or modify permissions manually.
To connect the extension to AMC Banking
1. Get a module and a service plan for AMC Banking. To do that, visit the AMC License page.
2. In Business Central, choose the icon, enter AMC Banking Setup , and then choose the related link.
3. On the AMC Banking Setup page, choose the Assisted Setup action.
4. Complete the steps in the assisted setup guide.
To connect bank accounts to the extension
2. Open the card for the bank account that you want to connect to the service.
3. In the Bank Name field, choose the format that your bank requires.
The formats are filtered to show only those that are relevant for the country/region that is specified for
the bank account.
4. In the Credit Transfer Msg. Nos. field, choose the number series to use for messages that accompany
payments.
5. In the Bank Statement Impor t Format and Payment Expor t Format fields, choose the data
exchange definitions that your bank requires.
Use the Extension

Using this extension is just a matter of exporting data on the Payment Journals page, and then uploading it to
your bank's web service. For more information, see Making Payments with Bank Data Conversion or SEPA Credit
Transfer.
NOTE
You must fill in the SWIFT Code and IBAN fields for each bank account.
To export data and submit it to your bank

Cau t i on
When you export data by using the AMC Banking 365 Fundamentals extension, some of your business data will
be exposed to the provider of the service. The service provider, AMC Consult A/S, is responsible for the privacy
of this data. For more information, see AMC Privacy Policy.
1. Choose the icon, enter Payment Journals , and then choose the related link.
2. Create the journal lines that you want to export.
NOTE
For each line, remember to choose Electronic Payment in the Bank Payment Type field.
3. Choose the Expor t action.

To import and apply the converted file
1. Choose the icon, enter Payment Reconciliation Journal , and then choose the related link.
2. Choose the Impor t Bank Transaction action, and then choose the converted file.
Business Central will create a new payment reconciliation journal that contains the data in the file. For
more information, see Applying Payments Automatically and Reconciling Bank Accounts.
See Also
You can import electronic bank statements from your bank to quickly fill on the Payment Reconciliation
Journal page so you can apply payments and reconcile the bank account. For more information, see Applying
Payments Automatically and Reconciling Bank Accounts.
IMPORTANT
Due to the Payment Services Directive in Europe (PSD2), after September 14, 2019, you will no longer be able to
automatically import bank statements from banks in the United Kingdom into Business Central. We are looking into the
possibility of offering this feature again in the future.
NOTE
The Envestnet Yodlee Bank Feeds service is only supported in the online version of Business Central. To use this
functionality on-premises, you must obtain a cobrand account from Envestnet, and you must add code to integrate with
the Yodlee API.
The Envestnet Yodlee Bank Feeds service is only supported in the United States and Canada. Only banks residing in these
countries are supported, even though banks from other countries may appear in the Envestnet Yodlee Bank Feeds bank
selection window in Business Central.
IMPORTANT
For technical assistance with the Envestnet Yodlee functionality, contact Microsoft Support. Do not contact Envestnet
Yodlee. For more information, see Configuring Technical Support for Dynamics 365 Business Central.
The Envestnet Yodlee Bank Feeds service is installed as an extension to Business Central online and is ready to
be enabled in the supported countries. For more information, see Customizing Business Central Using
Extensions.
After you enable the bank feed service, you must link a bank account to the online bank account that the feed
will come from. You link bank accounts to online bank accounts in the following different scenarios:
A bank account does not exist in Business Central for your online bank account. Therefore, you create the
bank account by linking from the online bank account.
A bank account exists in Business Central, which you want to link to an online bank account.
A linked bank account must be unlinked because you want to stop using the bank feed service for the
account.
Online bank accounts have changed and you want to update the information on bank accounts in Business
Central.
When the bank feed service is enabled, you can set a bank account up to automatically import new bank
statements into the Payment Reconciliation Journal page every two hour. Transactions for payments that
have already been posted as applied and/or reconciled on the Payment Reconciliation Journal page will not
be imported. For more information, see the “To enable automatic import of bank statements” section.
NOTE
If you use the Set Up Company assisted setup guide, some of the steps in the following procedures happen automatically
when you get to the company bank account setup. For more information, see Getting Ready for Doing Business.
To enable the bank feed service

2. Open the bank account that you will use for the bank feed service.
3. On the Bank Account page, in the Bank Statement Impor t Format field, select YODLEEBANKFEED.
The bank feed service will be enabled when you link a bank account to its related online bank account. See the
next procedure.
NOTE
If you use the Company Setup assisted setup guide, then you enable the service by selecting the Use a bank feed
ser vice check box. For more information, see Creating New Companies in Business Central.
To create a new linked bank account

2. Select the relevant bank account, and then choose the Create New Linked Bank Account . The Bank
Account Linking page opens after a few moments.
NOTE
This page shows the actual web page of the Envestnet Yodlee Bank Feeds service. Terminology and functionality
on the page may not match instructions provided in this topic.
3. On the Online Bank Account Linking page, in the Link Account pane, use the Search function to find
the bank where you have one or more online bank accounts.
4. Choose the bank name. The Log In pane opens.
5. Enter the username and password that you use to log on to the online bank, and then choose the Next
button.
6. The bank feed service prepares to link the first online bank account at the specified bank to a new bank
account in Business Central.
NOTE
If you have more than one online bank account at the bank, you must create additional bank accounts in Business
Central for them. See steps 8 through 10.
After the process completes, the bank name will appear in the My Accounts pane on the Linked tab.
The number in brackets indicates how many online bank accounts were linked.
If you are only linking one online bank account, the Bank Account Card page opens and displays the
name of the online bank account. In this case, the bank account linking task is completed. All that's left to
do is to set up the bank account. For more information, see Set Up Bank Accounts.
If you are linking more than one online bank accounts, the Bank Account Linking page opens and lists
the online bank accounts that are not yet linked to bank accounts in Business Central. In that case, follow
the next step.
8. On the Bank Account Linking page, select the line for an online bank account, and then choose the
Link to New Bank Account action.
The Bank Account Card page for a new bank account opens and displays the name of the online bank
account.
If a bank account already exists in Business Central that you want to link the additional online bank
account to, follow the next step.
Link to Existing Bank Account action.
10. On the Bank Account List page, select the bank account that you want to link to, and then choose the
OK button.
To link a bank account to an online bank account

2. Select the line for a bank account that is not linked to an online bank account, and then choose the Link
to Online Bank Account action. The Online Bank Account Linking page opens with the name of the
bank prefilled in the Link Account pane.
button.
The bank feed service prepares to link your bank account in Business Central to the related online bank
account.
When the process has completed successfully, the bank name will appear in the My Accounts pane on
the Linked tab. If the bank has more than one bank account, only the bank account that you selected in
step 2 is linked.
On the Bank Account List page, the Linked check box is selected.
To edit the credentials for an online bank account

2. Choose the line for a bank account that is linked to an online bank account, and then choose the Edit Online
Bank Account Information action.
3. Update the credentials.
To unlink a bank account

2. Select the line for a linked bank account that you want to unlink from its related online bank account, and the
choose the Unlink Online Bank Account action.
NOTE
If you choose Yes on the confirmation dialog, the link to the online bank account is removed, and the log-in details are
cleared. To link the bank account to the online bank account again, you must log on to the bank again. For more
information, see the “To link a bank account to an online bank account“ section.
To update bank account linking

2. Select the relevant bank account, and then choose the Update Bank Account Linking action.
If issues exist for any of the linked bank accounts on the Bank Account List page, the Bank Account Linking
page opens specifying which bank accounts have issues. Issues can best be resolved by unlinking the online
bank account and then re-creating the link. For more information, see the “To link a bank account to an online
bank account“ section.
To enable automatic import of bank statements

2. Select the line for a linked bank account, and then choose the Automatic Bank Statement Impor t
Setup action.
3. On the Automatic Bank Statement Impor t Setup page, in the Number of Days Included field,
specify how far back in time to get new bank transactions for.
NOTE
It is recommended that you set this value to 7 days or more.
4. Select the Enabled check box.

Every hour, the Payment Reconciliation Journal page will display new payments that are made on the online
bank account.
NOTE
Transactions for payments that have already been posted as applied and/or reconciled on the Payment Reconciliation
Journal page will not be imported.
See Also
Setting Up Banking
Reconciling Bank Accounts
Applying Payments Automatically and Reconciling Bank Accounts
You use bank accounts in Business Central to keep track of your banking transactions. Accounts can be
denominated in your local currency or in a foreign currency. After you have set up bank accounts, you can also
use the check printing option. The bank accounts includes extra functionality for payment reconciliation, bank
reconciliation, and the import and export of bank files. The bank accounts can also be included in transactions in
the general journals. Each bank account is linked to an account in the chart of accounts through the assigned
bank account posting group. Using a bank account in a payment transaction will automatically create an entry in
both the bank account and the connected G/L account.
Bank accounts work differently depending on whether a currency code is specified:
Currency code is blank
All transactions in the bank account will be in the local currency (LCY) for the current company. If a
transaction is made to the account in another currency, the amounts are posted to the account in LCY
based on the relevant currency exchange rate. Any checks that are issued from this account must be
issued in LCY. If the bank account is used in a journal, the journal line will automatically inherit the blank
currency code.
Currency code is specified
All transactions that are made to this account must be in the same currency as is specified on the account.
All checks that are issued from this account must also have this currency.
You can save time on data entry by making a bank account the default account to use for the currency specified
for the account. If you do, the account will be assigned to sales and service documents that use the currency. To
make the account the default for sales and service documents, on the Bank Account Card page, turn on the
Use as Default for Currency toggle. If needed, you can choose a different account when you're working on a
document.
A bank account is an integrated part of Business Central and plays a role in many other capabilities. The
following illustration shows the most important relations:
This means that creating a bank account, makes it available in all the places shown above as well as being
mirrored in for the relevant G/L account and in the Company Information page.
A bank account is usually monitored daily to make sure that any new payments from customers are registered
as quickly as possible. This helps make sure that the actual status of the customers is reflected in Business
Central so that sales people, accountants, and other employees have access to relevant and up-to-date
information. This way, they avoid unnecessary calls to the customer regarding overdue invoices or delay in
shipments.
Another task is to import the vendor currency payments with the realized currency rates to make sure that the
actual status of the vendors is up-to-date. The easiest way to make sure that the bank account is updated is
using the payment reconciliation capability. In the Payment Reconciliation Journal , you can import bank
transactions directly from an online bank application and have them posted more or less automatically. The
journal automatically identifies and posts the following:
Direct debit payments from customers
Customer payments of single invoices
Lump-sum payments from customers
Customer payments in foreign currencies
Vendor payments
Vendor payments in foreign currency
Recurring vendor payments and subscriptions
Bank charges and interests
Payment reconciliation provides massive time savings in posting incoming and outgoing payments. However,
the transactions on the bank account in Business Central is not considered 100% correct until you run a bank
reconciliation.
Bank reconciliation is how you make sure that the bank account in Business Central matches the external
account at the bank.
In the illustration above, the left side represents the bank account in Business Central, and the right side
represents the transactions imported from the bank through the online bank application. The diagram in the
middle shows the transactions from both sides, which is the bank reconciliation.
From the bank account in Business Central, most transactions should be known to the physical bank. The only
exceptions include the following cases:
Corrections posted in Business Central
Checks issued that has not been cashed yet
Vendor payments that have not been approved by the bank
From the physical account in the bank, unknown transactions that were not identified in the payment
reconciliation journal arrive all the time, such as the following:
New vendor subscriptions
Customer payments without description
Bank interests
Bank Charges
Credit card charges that haven't been reported yet
The better mapping information that you do in the payment reconciliation journal, the more transactions are
posted automatically and the easier the periodic bank reconciliation becomes.
WARNING
Some fields may contain sensitive data, such as the Bank Branch No. , Bank Account No. , SWIFT Code , and IBAN
Code fields. For more information, see Monitoring Sensitive Fields.
To set up bank accounts
2. On the Bank Accounts page, choose the New action.
For example, the Bank Acc. Posting Group field connects the bank account to the underlying G/L
account in the balance sheet. For more information, see Set Up Posting Groups.
TIP
Some fields are hidden until you choose the Show more action, typically because they are used rarely. Others must be
added through personalization. For more information, see Personalize Your Workspace.
You can create as many bank accounts as you need for your business. For each bank account, you must specify
information that makes the bank account uniquely identifiable. This information includes the bank's
geographical address, number series for different types of transactions, such as direct debit and credit transfers,
the currency that amounts are specified in, and information that is used for importing bank statements. Hover
over a field to read a short description.
Entering an opening balance

To fill in the Balance field with an opening balance, you must post a bank account ledger entry with the amount
in question. You can do this by performing a bank account reconciliation. For more information, see Reconcile
Bank Accounts.
Alternatively, you can implement the opening balance as a part of general data creation in new companies
by using the Migrate Business Data assisted setup guide. For more information, see Getting Ready for
Doing Business.
IMPORTANT
It is important that you do not post the opening balance directly to the general ledger. Having entries in the G/L account
that are posted directly to the G/L account will typically result in you not be able to to reconcile the bank account, or, for
foreign currency bank accounts, result in differences accumulating as you post more bank reconciliations. Often, you post
the opening bank balance directly to the bank account, and the amount then ends up in the G/L account. Alternatively,
you reverse it later against the G/L account that you use to balance the opening general ledger balance. In both cases,
you must balance any direct posting to the G/L account before you start your first bank reconciliation, and especially so if
the bank account is in a foreign currency.
To set up your bank account for import or export of bank files

The fields related to the import and export of bank feeds and files are on the Transfer FastTab on the Bank
Account Card page. For more information, see Using the AMC Banking 365 Fundamentals Extension and Set
Up the Envestnet Yodlee Bank Feeds Service.
2. Open the card for a bank account that you will export or import bank files for.
3. On the Transfer FastTab, fill in the fields as necessary. Hover over a field to read a short description.
NOTE
Different file export services and their formats require different setup values on the Bank Account Card page. You will
be informed about wrong or missing setup values when you export the file. Read the short descriptions of the fields
carefully or refer to the related procedure topics. For example, exporting a payment file for North American electronic
funds transfer (EFT) requires that both the Last Remittance Advice No. field and the Transit No. field are filled in. For
more information, see Export Payments to a Bank File.
The fields on the Transit FastTab on the bank account serve different purposes, depending on whether the
payment is inbound or outbound.
The illustration shows the route of inbound payments:
1. The transactions are exported from the bank account in either a human-readable .csv format or the bank's
own format.
2. The data exchange definition maps the information in the file to the fields in Business Central. For more
information, see Set Up Data Exchange
3. The data export/import setup defines the export or import, and it links to the data exchange definition.
4. The bank statements import format links the import setup to the bank account.
5. The payments are imported through the Payment Reconciliation Journal or the Bank Account
Reconciliation page.
Incoming payments are always imported through the Payment Reconciliation Journal or directly in the
Bank Account Reconciliation page. In contrast, outgoing payments can originate from any payment journal.
The only prerequisite is that the Allow Payment Expor t field in the relevant payment journal batch must be
selected.
The illustration shows the route of outbound payments:
6. The transactions populated in a payment journal that has been prepared for exporting payments to file.
7. The bank statements import format links the import setup to the bank account
8. The data export/import setup defines the export or import and links to the data exchange definition.
9. The data exchange definition maps the information in the file to the fields in Business Central. For more
information, see Set Up Data Exchange
10. The payments are exported from the payment journal and imported into the bank account
To set up vendor bank accounts for export of bank files
Fields on the Transfer FastTab on the Vendor Bank Account Card page are related to export of bank feeds
and files. For more information, see Use the AMC Banking 365 Fundamentals extension and Export Payments to
a Bank File.
2. Open the card for a vendor whose bank account you will export payment bank files to.
4. From the Vendor Bank Accounts List , choose the relevant bank account, or add a new bank account.
5. On the Vendor Bank Account Card page, on the Transfer FastTab, fill in the fields as necessary. Hover over
a field to read a short description.
WARNING
Some fields on the vendor bank account contain sensitive data, such as the Bank Branch No. , Bank Account No. ,
SWIFT Code , and IBAN Code fields. For more information, see Monitoring Sensitive Fields.
Changing your bank account

If you want to use a different bank account for your business, you must create the new bank account in Business
Central. We recommend that you do not simply replace the information about the account you are currently
using because that can cause incorrect data. For example, your opening balance might be incorrect or your bank
feed might stop working correctly. It's important that you keep the current and new accounts separate.
After you create the new bank account, you should also create a new bank posting group and assign it to a new
general ledger account. You can reuse an existing bank posting group, and bank transactions will be posted to
the same general ledger accounts as the other bank accounts that share the bank posting group. However, we
recommend that you create a new bank posting group and general ledger account so that reconciliations are
easier to do.
NOTE
Remember that the bank account information on open sales invoices still shows the original bank account. Accordingly,
payments are likely to still be posted to that account. We recommend that you keep both accounts active for a period of
time after the change.
To get a more condensed view of your cash accounts in financial reporting, use the Begin-Total and End-Total
accounts in your chart of accounts, the Totaling rows in account schedules, or G/L account categories. For more
information, see the Business Intelligence and Financial Reporting section.

See also
Setting Up Banking
Setting Up Posting Groups
SEPA Direct Debit in Business Central
To set up a bank account for SEPA Credit Transfer
Make Payments with the AMC Banking 365 Fundamentals extension or SEPA Credit Transfer
Payment Reconciliation
Understanding the General Ledger and the COA
Use XML Schemas to Prepare Data Exchange
Definitions
To enable import/export of data in XML files through the data exchange framework in Business Central, you can
use XML schemas to define which data elements you want to exchange with Business Central. You perform this
work on the XML Schema Viewer page by loading the XML schema file, selecting the relevant data elements,
and then initializing a data exchange definition.
When you have defined which data elements to include based on the XML schema, you can use the Generate
Data Exchange Definition action to initialize a data exchange definition based on the selected data elements,
which you then complete in the Data Exchange Framework. This creates a record on the Posting Exchange
Definition page where you continue by defining which elements in the file map to which fields in Business
Central. For more information, see Set Up Data Exchange Definitions.
This topic contains the following procedures:
To load an XML schema file
To select or clear nodes in an XML schema
To generate a data exchange definition that is based on an XML schema
To load an XML schema file

1. Make sure that the relevant XML schema file is available. The file extension is .xsd.
2. Choose the icon, enter XML Schemas , and then choose the related link.
4. Fill the fields as described in the following table.
Code Specify a code to identify the XML schema.
Description Specify a description of the XML schema.
The Target Namespace field specifies any namespace in the XML schema file that has been loaded for
the line.
5. Choose the Load Schema action, and then select the XML schema file.
When the file is loaded, the rest of the fields on the line are filled with information from the file, and the
Schema is Loaded check box is selected.
NOTE
The tree of the loaded XML schema is collapsed by default. You expand each node by choosing the + button on
the node. To expand all nodes, choose Expand All on the ribbon.
To select or clear nodes in an XML schema
1. Choose the icon, enter XML Schema Viewer , and then choose the related link.
2. Fill the fields on the header as described in the following table.
XML Schema Code Specify the XML schema file that you loaded in step 5 in
the "To load an XML schema file" section.
New XMLpor t No. Specify the number of the XMLport that is created from
this XML schema when you choose the Generate
XMLpor t action.
The lines are now filled with nodes representing all elements in the XML schema. Nodes for elements that
are mandatory according to the XML schema are selected by default.
3. On the first line, in the Node Name column, expand the Document node, and then gradually expand
underlying nodes that you want to review.
Alternatively, right-click on a node and then choose Expand All .
4. Choose either of the following actions to change which nodes are displayed.
Show All All nodes are shown.
Hide Non-Mandator y Only nodes representing elements that are required

according to the XML schema are shown. These nodes
are typically indicated by a 1 in the MinOccurs field.
Choose Show All to reverse the view.
Hide Non-Selected Only nodes where the Selected check box is selected
are shown.
Choose Show All to reverse the view.
5. Choose the Edit action.

6. In the Selected check box, specify for each node if you want the element to be supported in the data
exchange definition for the related SEPA bank file.
NOTE
When you select a mandatory child node, all parent nodes above it are also selected.
7. Choose the Select All Mandator y Elements action to reselect all nodes that represent elements that
are mandatory according to the XML schema.
8. Choose the Deselect All action to clear all selections.
The Choice field specifies that the node has two or more sibling nodes that function as options.
To generate a data exchange definition that is based on an XML schema
1. Choose the icon, enter XML Schemas , and then choose the related link.
2. Select the relevant XML schema, and then choose the Open XML Schema Viewer action.
3. Make sure the relevant nodes are selected. For more information, see the "To select or clear nodes in an
XML schema" section.
4. On the XML Schema Viewer page, choose the Generate Data Exchange Definition action.
A data exchange definition is created on the Posting Exchange Definition page, which you can complete by
specifying which elements in the file map to which fields in Business Central. For more information, see Set Up
Data Exchange Definitions.
NOTE
You can also use the Get File Structure function from the Posting Exchange Definition page, which uses the
functionality of the XML Schema Viewer page to prefill the Column Definitions TastTab.
NOTE
In 2019 release wave 1 and earlier versions, you could generate an XMLport that was based on the schema and then
import that into your solution. This is no longer supported.
See Also
Exchanging Data
You can exchange data between Business Central and external files or streams in connection with common
business tasks, such as sending and receiving electronic documents and importing and exporting bank files.
Before you can send and receive electronic documents or import and export bank files, you must set up the data
exchange framework to process the data files or streams. In addition, you must set up related areas, such as the
customers that you send electronic invoices to, and the AMC Banking 365 Fundamentals extension if you
distribute bank file conversions to an external service provider. For more information, see Setting Up Data
Exchange.
TO SEE
Convert sales document records in Business Central to a Send Electronic Documents

standardized format and send them as electronic documents
that your customers can receive into their system.
Send PDF or image files to a provider of OCR services, and Use OCR to Turn PDF and Image Files into Electronic
receive them back as electronic documents that can be Documents
converted to document records in Business Central.
Receive electronic documents, either from the OCR service or Receive and Convert Electronic Documents
the document exchange service, in a standardized format
that you convert to the relevant document records in
Business Central.
Prepare to import a bank statement file into the Payment Set Up the Envestnet Yodlee Bank Feeds Service
Reconciliation Journal page as the first step in reconciling
payments or into the Bank Acc. Reconciliation page as
the first step in reconciling bank accounts.
Export payments from the Payment Journal page to a Export Payments to a Bank File
bank file that you upload to your electronic bank account for
processing.
Make electronic payments according to the EU SEPA Credit Making Payments with AMC Banking 365 Fundamentals
Transfer standard. extension or SEPA Credit Transfer
Instruct your bank to transfer payment amounts from your Create SEPA Direct Debit Collection Entries and Export to a
customers’ bank accounts to your company’s account Bank File
according to your setup of SEPA direct debit.
Use a service provider of currency exchange rates to update Update Currency Exchange Rates
the Currencies page.
View which file elements are mapped to fields in Business Field Mapping When Importing SEPA CAMT Files
Central when importing SEPA CAMT statement files.
TO SEE
View which fields in Business Central are mapped to file Field Mapping When Exporting Payment Files Using the
elements when exporting payment files by using the AMC AMC Banking 365 Fundamentals extension
Banking 365 Fundamentals extension.
See Also
Invoice Sales
Record Purchases
Incoming Documents
You can set up Business Central to exchange data in specific tables with data on external files, for example to
send and receive electronic documents, import and export bank data or other data, such as payroll, currency
exchange rates, and item catalogues. For more information, see Exchanging Data Electronically.
As preparation for creating a data exchange definition for a data file or stream, you can use the related XML
schema to define which data elements to include on the Column Definitions FastTab. See step 6 in To describe
the formatting of lines and columns in the file. For more information, see the Use XML Schemas to Prepare Data
You normally set up data exchange definitions on the Data Exchange Definition page. However, when you set
up a data exchange definition for the service of refreshing currency exchange rates, you start the process in the
simplified Exch. Rate Update Setup Card page.
NOTE
If the file that is being converted is in XML format, the term “column” in this topic should be interpreted as “XML element
containing data”.
This topic includes the following procedures:

To create a data exchange definition
To export a data exchange definition as an XML file for use by others
To import an XML file for an existing data exchange definition
To create a data exchange definition

Creating a data exchange definition involves two tasks:
1. On the Data Exchange Definition page, describe the formatting of lines and columns in the file.
2. On the Data Exchange Mapping page, map columns in the data file to fields in Business Central.
This is described in the following procedures.
TIP
To see which codeunits Microsoft uses in existing definitions in the standard product, review the three Codeunit fields on
the header of the Field Mapping page for each definition.
To describe the formatting of lines and columns in the file

1. In the Search box, enter Data Exchange Definitions , and then choose the related link.
3. On the General FastTab, describe the data exchange definition and the data file type by filling the fields
as described in the following table.
F IEL D DEF IN IT IO N
Code Enter a code to identify the data exchange definition.
Name Enter a name for the data exchange definition.
File Type Specify what type of file that the data exchange
definition is used for. You can select between four file
types:
- XML : Layered strings of content and markup

surrounded by tags indicating function.
- Variable Text : Records have variable length and are
separated by a character, such as comma or semi-colon.
Also known as delimited file.
- Fixed Text : Records have the same length, using pad
characters, and each record is on a separate line. Also
known as fixed-width file.
- Json : Layered strings of content in JavaScript.
Type Specify what type of business activity the data exchange

definition is used for, such as Payment Expor t .
Data Handling Codeunit Specify the codeunit that transfers data in and out of
tables in Business Central.
Validation Codeunit Specify the codeunit that is used to validate data against
pre-defined business rules.
Reading/Writing Codeunit Specify the codeunit that processes imported data prior
to mapping and exported data after mapping.
Reading/Writing XMLpor t Specify the XMLport through which an imported data

file or service enters prior to mapping and through
which exported data exits when it is written to a data file
or service after mapping.
Ext. Data Handling Codeunit Specify the codeunit that transfers external data in and
out of the data exchange framework.
User Feedback Codeunit Specify the codeunit that does various clean-up after
mapping, such as marks the lines as exported and
deletes temporary records.
File Encoding Specify the encoding of the file. Note: This field is only
relevant for import.
Column Separator Specify how columns in the data file are separated, if the
file is of type Variable Text .
Header Lines Specify how many header lines exist in the file.
This makes sure that the header data is not imported.

Note: This field is only relevant for import.
Header Tag If a header line exists in several positions in the file, enter
the text of the first column on the header line.
This makes sure that the header data is not imported.

Footer Tag If a footer line exists in several positions in the file, enter
the text of the first column on the footer line.
This makes sure that the footer data is not imported.

4. On the Line Definitions FastTab, describe the formatting of lines in the data file by filling the fields as
NOTE
For import of bank statements, you only create one line for the single format of the bank statement file that you
want to import.
For export of payments, you can create a line for each payment type that you want to export. In that case, the
Column Definitions FastTab shows different columns for each payment type.
Code Enter a code to identify the line in the file.
Name Enter a name that describes the line in the file.
Column Count Specify how many columns the line in data file has.
Data Line Tag Specify the position in the related XML schema of the
element that represents the main entry of the data file.
Namespace Specify the namespace that is expected in the file, to

enable namespace validation. You can leave this field
blank if you do not want to enable namespace validation.
5. Repeat step 4 to create a line for every type of file data that you want to export.
Proceed to describe the formatting of columns in the data file by filling the fields on the Column
Definitions FastTab as described in the table below. You can use the structure file, such as an .XSD file, for
the data file to prefill the FastTab with the relevant elements. For more information, see Use XML Schemas
to Prepare Data Exchange Definitions.
6. On the Column Definitions FastTab, choose Get File Structure .
7. On the Get File Structure page, select the related structure file, and then choose the OK button. The
lines on the Column Definitions FastTab are filled according to the structure of the data file.
8. On the Column Definitions FastTab, edit or fill the fields as described in the following table.
Column No. Specify the number that reflects the column’s position on
the line in the file.
For XML files, specify the number that reflects the type
of element in the file that contains the data.
Name Specify the name of the column.
For XML files, specify the markup that marks the data to
be exchanged.
Data Type Specify if the data to be exchanged is of type Text , Date ,

or Decimal.
Data Format Specify the format of the data, if any. For example, MM-
dd-yyyy if the data type is Date . Note: For export,
specify the data format according to Business Central.
For import, specify the data format according to the .NET
Framework. For more information, see Standard Date
and Time Format Strings.
Data Formatting Culture Specify the culture of the data format, if any. For
example, en-US if the data type is Decimal to make
sure that comma is used as the .000 separator, according
to the US format. For more information, see Standard
Date and Time Format Strings. Note: This field is only
relevant for import.
Length Specify the length of the fixed-width line that holds the
column if the data file is of type Fixed Text .
Description Enter a description of the column, for information.
Path Specify the position of the element in the related XML

schema.
Negative-Sign Identifier Enter the value that is used in the data file to identify
negative amounts, in data files that cannot contain
negative signs. This identifier is then used to reverse the
identified amounts to negative signs during import.
Constant Specify any data that you want to export in this column,
such as extra information about the payment type.
Note: This field is only relevant for export.
9. Repeat step 8 for every column or XML element in the data file that has data that you want to exchange
with Business Central.
The next step in creating a data exchange definition is to decide which columns or XML elements in the data file
map to which fields in Business Central.
NOTE
The specific mapping depends on the business purpose of the data file to be exchanged and on local variations. Even the
SEPA bank standard has local variations. Business Central supports import of SEPA CAMT bank statement files out-of-the-
box. This is represented by the SEPA CAMT data exchange definition record code on the Data Exchange Definitions
page. For information about the specific field mapping of this SEPA CAMT support, see Field Mapping When Importing
SEPA CAMT Files.
To map columns in the data file to fields in Business Central
TIP
Sometimes the values in the fields that you want to map are different. For example, in one business app the language
code for the United States is "U.S.," but in the other it's "US." That means you must transform the value when you
exchange data. This happens through transformation rules that you define for the fields. For more information, see
Transformation Rules.
1. On the Line Definitions FastTab, select the line for which you want to map columns to fields, and then
choose Field Mapping . The Data Exchange Mapping page opens.
2. On the General FastTab, specify the mapping setup by filling the fields as described in the following
table.
Table ID Specify the table that holds the fields to or from which
data is exchanged according to the mapping.
Use as Intermediate Table Specify if the table that you select in the Table ID field is
an intermediate table where the imported data is stored
before it is mapped to the target table.
You typically use an intermediate table when the data

exchange definition is used to import and convert
electronic documents, such as vendor invoices into
purchase invoices in Business Central. For more
information, see Exchanging Data Electronically.
Name Enter a name for the mapping setup.
Pre-Mapping Codeunit Specify the codeunit that prepares the mapping between
fields in Business Central and external data.
Mapping Codeunit Specify the codeunit that is used to map the specified
columns or XML data elements to fields in Business
Central.
Post-Mapping Codeunit Specify the codeunit that completes the mapping

between fields in Business Central and external data.
Note: When using the AMC Banking 365 Fundamentals
extension feature, the codeunit converts exported data
from Business Central to a generic format that is ready
for export. For import, the codeunit converts external
data to a format that is ready for import into Business
Central.
3. On the Field Mapping FastTab, specify which columns map to which fields in Business Central by filling
the fields as described in the following table.
Column No. Specify which column in the data file that you want to
define a map for.
You can only select columns that are represented by lines

on the Column Definitions FastTab on the Data
Exchange Definition page.
Field ID Specify which field the column in the Column No. field
maps to.
You can only select from fields that exist in the table that
you specified in the Table field on the General FastTab.
Optional Specify that the map will be skipped if the field is empty.
Note: If you do not select this check box, an export
error will occur if the field is empty. Note: This field is
only relevant for export.
Target Table ID Only visible when the Use as Intermediate Table

check box is selected.
Specify the table that the value in the Column Caption

field is mapped to, when you are using an intermediate
table for data import.
Target Table Caption Only visible when the Use as Intermediate Table
Specify the name of the table in the Target Table ID

field, which is the table that the value in the Column
Caption field is mapped to, when you are using an
intermediate table for data import.
Target Field ID Only visible when the Use as Intermediate Table

Specify the field in the target table that the value in the
Column Caption field is mapped to, when you are
using an intermediate table for data import.
Target Field Caption Only visible when the Use as Intermediate Table
Specify the name of the field in the target table that the
value in the Column Caption field is mapped to, when
you are using an intermediate table for data import.
Optional Only visible when the Use as Intermediate Table

Specify if the map should be skipped if the field is empty.

If you do not select this check box, then an export error
will occur if the field is empty.
The data exchange definition is now ready to be enabled for users. For more information, see Set Up Electronic
Document Sending and Receiving, Set Up SEPA Credit Transfer, Collect Payments with SEPA Direct Debit, and
Make Payments with AMC Banking 365 Fundamentals extension or SEPA Credit Transfer.
Transformation Rules
If the values in the fields you are mapping differ, you must use transformation rules for data exchange
definitions to make them the same. You define transformation rules for data exchange definitions by opening an
existing definition, or creating a new definition, and then on the Line Definitions FastTab, choosing Manage ,
and then Field Mapping . Predefined rules are provided, but you can also create your own. The following table
describes the types of transformations that you can perform.
Uppercase Capitalize all letters.
Lowercase Make all letters lowercase.
Title Case Capitalize the first letter of each word.
Trim Remove empty spaces before and after the value.
Substring Transform a specific portion of a value. To specify where to

start the transformation, choose either a Star t Position or
Star ting Text . The starting position is a number that
represents the first character to transform. The starting text
is the letter immediately before the letter to replace. If you
want to start with the first letter in the value, use a starting
position instead. To specify where to stop the transformation
you choose either Length , which is the number of
characters to replace, or the Ending Text , which is the
character that is immediately after the last character to
transform.
Replace Find a value and replace it with another. This is useful for
replacing simple values, such as a particular word.
Regular Expression - Replace Use a regular expression as part of a find and replace
operation. This is useful for replacing multiple, or perhaps
more complex, values.
Remove Non-Alphanumeric Characters Delete characters that are not letters or numbers, such as
symbols or special characters.
Date Formatting Specify how to display dates. For example, you can transform
DD-MM-YYYY to YYYY-MM-DD.
Decimal Formatting Define rules for decimal placement and rounding precision.
Regular Expression - Match Use a regular expression to find one or more values. This is
similar to the Substring and Regular Expression -
Replace options.
Custom This is an advanced option that requires assistance from a

developer. It enables an integration event that that you can
subscribe to if you want to use your own transformation
code. If you are a developer and want to use this option, see
the "Tip for Developers: Example of the Custom Option"
section below.
Date and Time Formatting Define how to display the current date as well as the time of
day.
Tip for Developers: Example of the Custom Option

The following example shows how to implement your own transformation code.
codeunit 60100 "Hello World"

{
[EventSubscriber(ObjectType::Table, Database::"Transformation Rule", 'OnTransformation', '', false,
false)]
procedure OnTransformation(TransformationCode: Code[20]; InputText: Text; var OutputText: Text)
begin
if TransformationCode = 'CUST' then
OutputText := InputText + ' testing';
end;
}
After you define your rules you can test them. In the Test section, enter an example of a value that you want to
transform, and then check the results.
To export a data exchange definition as an XML file for use by others
When you have created the data exchange definition for a specific data file, you can export the data exchange
definition as an XML file that you can import. This is described in the following procedure.
2. Select the data exchange definition that you want to export.
3. Choose the Expor t Data Exchange Definition action.
4. Save the XML file that represents the data exchange definition in an appropriate location.
If a data exchange definition has already been created, you just have to import the XML file into the Data
Exchange Framework. This is described in the following procedure.
To import an existing data exchange definition
1. Save the XML file that represents the data exchange definition in an appropriate location.
3. Choose the New action. The Data Exchange Definitio page opens.
4. Choose the Impor t Data Exchange Definition action.
5. Choose the file that you saved in step 1.
See Also
Make Payments with AMC Banking 365 Fundamentals extension or SEPA Credit Transfer
Incoming Documents
Send Electronic Documents
The generic version of Business Central supports sending electronic invoices and credit memos in the PEPPOL
format, a format that the largest document exchange service providers support. A document exchange service
provider dispatches electronic documents between trading partners. To provide support for other electronic
document formats, you use the data exchange framework.
In the generic version of Business Central, a document exchange service is preconfigured and ready to be set up
for your company. For more information, see Set Up a Document Exchange Service. However, in some cases, you
must install an app. For more information, see Electronic Invoicing FAQ.
To send a sales invoice as an electronic PEPPOL document, you select the Electronic Document option in the
Post and Send dialog box. You can also set up the customer's default document sending profile from that
dialog box. First, you must set up various master data, such as company information, customers, items, and units
of measure. These are used to identify the business partners and items when converting data in fields in Set Up
Electronic Document Sending and Receiving.
To send an electronic sales invoice
2. Create a new sales invoice.
3. When the sales invoice is ready to be invoiced, choose the Post and Send action.
If the customer's default sending profile is Electronic Document , then it will be shown in the Post and
Send Confirmation dialog box. This way, you just have to choose the Yes button to post and send the
invoice electronically in the selected format.
4. In the Post and Send Confirmation dialog box, choose the AssistEdit button to the right of the Send
Document to field.
5. In the Send Document to dialog box, in the Electronic Document field, choose Through Document
Exchange Ser vice .
6. In the Format field, choose PEPPOL .
7. Choose the OK button. The Post and Send Confirmation dialog box appears. Electronic Document
(PEPPOL) is added to the Send Document to field.
The sales invoice is posted and sent to the customer in the PEPPOL format.
NOTE
You can also send a posted sales invoice as an electronic document. The procedure is the same as described in this
topic for non-posted sales documents. On the Posted Sales Invoice page, choose the Activity Log action to
view the status of the electronic document.

See Also
Invoice Sales
Set Up Document Sending Profiles
Electronic Invoicing FAQ
Use OCR to Turn PDF and Image Files into
From PDF or image files that you receive from your trading partners, you can have an external OCR service
(Optical Character Recognition) generate electronic documents that can be converted to document records in
Business Central. For example, when you receive an invoice in PDF format from your vendor, you can send it to
the OCR service from the Incoming Documents page.
As an alternative to sending the file from the Incoming Documents page, the OCR service can offer the option
to process files forwarded to a dedicated email address. Then, when you receive the electronic document back, a
related incoming document record is created automatically in Business Central.
After some seconds, the OCR service will send the processed file to the Incoming Documents page as an
electronic document record that can be converted to a purchase invoice for the vendor, a sales invoice, credit
memo or a journal entry.
Because OCR is based on optical recognition, it's likely that the OCR service will interpret characters in your PDF
or image files wrongly when it first processes a certain vendor's documents, for example. It may not interpret
the company logo as the vendor's name or it may misinterpret the total amount on a receipt because of its
layout. To avoid these errors going forward, you can correct the errors in a separate version of the Incoming
Document page. Then you send the corrections back to the OCR service to train it to interpret the specific
characters and fields correctly next time it processes a PDF or image document for the same vendor. For more
information, see Train the OCR service to avoid errors.
The traffic of files to and from the OCR service is processed by a dedicated job queue entry. This job queue is
created automatically when you enable the external OCR service connection. For more information, see Set Up
Incoming Documents.
NOTE
To send a PDF or image file to the OCR service from the Incoming
Documents page
2. Create a new incoming document record and attach the file. For more information, see Create Incoming
Document Records.
3. On the Incoming Documents page, select one or more lines, and then choose the Send to Job Queue
action.
The value in the OCR Status field changes to Ready . The attached PDF or image file is sent to the OCR
service by the job queue according to the schedule, if no errors exist.
4. Alternatively, on the Incoming Documents page, select one or more lines, and then choose the Send to
OCR Ser vice action to immediately send the files for processing.
The value in the OCR Status field changes to Sent , if no errors exist.
To send a PDF or image file to the OCR service by email

From your email application, you can forward an email to the OCR service provider with the PDF or image file
attached. For information about the email address to send to, see the OCR service provider's web site.
Since no incoming document record exists for the file, a new record will be created automatically on the
Incoming Documents page when the OCR service sends the resulting electronic document. For more
information, see Create Incoming Document Records.
NOTE
If you work on a tablet or phone, you can send the file to the OCR service as soon as you have taken a photo of the
document, or you can create an incoming document directly. For more information, see Create an incoming document
record by taking a photo.
To receive the resulting electronic document from the OCR service

The electronic document that is created by the OCR service from the PDF or image file is automatically received
into the Incoming Documents page by the job queue entry that is set up when you enable the OCR service.
If you aren't using a job queue, or you want to receive a finished OCR document sooner than per the job queue
schedule, you can choose the Receive from OCR Ser vice action. This option will get any documents that are
completed by the OCR service.
NOTE
If the OCR service is set up to require manual verification of processed documents, then the OCR Status field will contain
Awaiting Verification . In that case, perform the following steps to sign in to the OCR service website to manually verify
an OCR document.
1. In the OCR Status field, choose the Awaiting Verification hyperlink.

2. On the OCR service website, sign in using the credentials of your OCR service account. For more
information, see Set up an OCR service.
Information for the OCR document is displayed, showing both the source content of the PDF or image file
and the resulting OCR field values.
3. Review the field values and manually edit or enter values in fields that the OCR service has tagged as
uncertain.
4. Choose the OK button. The OCR process is completed and the resulting electronic document is sent to
the Incoming Documents page in Business Central, according to the job queue schedule.
5. Repeat steps 2 through 4 for any other OCR document to be verified.
Now you can proceed to create document records for the received electronic documents in Business Central,
manually or automatically. For more information, see the next procedure. You can also connect the new
incoming document record to existing posted or non-posted documents so that the source file is easy to access
from Business Central.
To create a purchase invoice from an electronic document received

from the OCR service
The following procedure describes how to create a purchase invoice record from a vendor invoice received as an
electronic document from the OCR service. The procedure is the same when you create, for example, a general
journal line from an expense receipt or a sales return order from a customer.
NOTE
The Description and No. fields on the created document lines will only be filled if you have first mapped text found on
the OCR document to the two fields in Business Central. You can do this mapping as item references, for document lines
of type Item. For more information, see Use Item References. You can also use the Text-to-Account Mapping function.
For more information, see Map text on an incoming document to a specific vendor, G/L, or bank account.
1. Select the line for the incoming document, and then choose the Create Document action.
A purchase invoice will be created in Business Central based on the information in the electronic vendor
document that you received from the OCR service. Information will be inserted in the new purchase invoice
based on the mapping that you've defined as a reference or as text-to-account mapping.
Any validation errors, typically related to wrong or missing data in Business Central, will be shown on the
Errors and Warnings FastTab. For more information, see Handle errors when receiving electronic documents.
To map text on an incoming document to a specific vendor account
For incoming documents, you typically use the Map Text to Account action to define that a certain text on a
vendor invoice received from the OCR service is mapped to a certain vendor account. Going forward, any part
of the incoming document description that exists as a mapping text means that the Vendor No. field on
resulting document or journal lines of type G/L Account are filled with the vendor in question.
In addition to mapping to a vendor account or G/L accounts, you can also map text to a bank account. This
option is useful, for example, for electronic documents for expenses that are already paid, and for which you
want to create a general journal line that is ready to post to a bank account.
1. Select the relevant incoming document line, and then choose the Map Text to Account action. The Text-
to-Account Mapping page opens.
2. In the Mapping Text field, enter any text that occurs on vendor invoices that you want to create purchase
documents or journal lines for. You can enter up to 50 characters.
3. In the Vendor No. field, enter the vendor that the resulting purchase document or journal line will be
created for.
4. In the Debit Acc. No. field, enter the debit-type G/L account that will be inserted on resulting purchase
5. In the Credit Acc. No. field, enter the credit-type G/L account that will be inserted on resulting purchase
NOTE
Do not use the Bal. Source Type and Bal. Source No. fields in connection with incoming documents. They are
used for automatic payment reconciliation only. For more information, see Map Text on Recurring Payments to
6. Repeat steps 2 through 5 for all text on incoming documents that you want to automatically create
documents for.
To handle errors when receiving electronic documents

1. On the Incoming Documents page, select the line for an electronic document received from the OCR
service with errors, indicated by the Error value in the OCR Status field.
2. Choose the Edit action to open the Incoming Document page.
3. On the Errors and Warnings FastTab, select the message, and then choose the Open Related Record
action.
4. The page that contains the wrong or missing data, such as a vendor card with a missing field value, opens.
5. Correct the error or errors as described in each error message.
6. Proceed to process the incoming electronic document by choosing the Create Manually action again.
7. Repeat steps 5 and 6 for any remaining errors until the electronic document can be received successfully.
To train the OCR service to avoid errors

Because OCR is based on optical recognition, the OCR service can wrongly interpret characters in your PDF or
image files when it first processes documents from a certain vendor, for example. It may not interpret the
company logo as the vendor's name or it may misinterpret the total amount on an expense receipt because of
its layout. To avoid such errors going forward, you can correct data received by the OCR service and then send
the feedback to the service.
The OCR Data Correction page, which you open from the Incoming Document page, shows the fields from
the Financial Information FastTab in two columns, one with the OCR data editable and one with the OCR data
read-only. When you choose the Send OCR Feedback button, the content of the OCR Data Correction page
is sent to the OCR service. Next time the service processes PDF or image files that contain the data in question,
your corrections will be incorporated to improve the document recognition.
2. Open an incoming document record that contains data received from the OCR service that you want to
correct.
3. On the Incoming Document page, choose the Correct OCR Data action.
4. On the OCR Data Correction page, overwrite the data in the editable column for each field that has an
incorrect value.
5. To undo corrections that you have made since you opened the OCR Data Correction page, choose the
Reset OCR Data action.
6. To send the corrections to the OCR service, choose the Send OCR Feedback action.
7. To save the corrections, close the OCR Data Correction page.
The fields on the Financial Information FastTab on the Incoming Document page are updated with any new
values that you entered in step 4.

See also
Incoming Documents
Purchasing
The generic version of Business Central supports receiving electronic invoices and credit memos in the PEPPOL
format, which is supported by the largest providers of document exchange services. To receive an invoice from a
vendor as an electronic PEPPOL document, you process the document in the Incoming Documents page to
convert it to a purchase invoice or general journal line in Business Central.
In addition to receiving electronic documents directly from trading partners, you can receive electronic
documents from an OCR service that has turned your PDF or image files into electronic documents.
Before you can receive electronic documents through the document exchange service, you must set up various
master data, such as company information, vendors, items, and units of measure. These are used to identify the
Business Central. For more information, see Set Up a Document Exchange Service.
Before you can receive electronic documents through the OCR service, you must set up and enable the
preconfigured service connection. For more information, see Set Up Incoming Documents.
The traffic of electronic documents in and out of Business Central is managed by the Job Queue feature. Before
you can receive electronic documents, the relevant job queue must be started.
You can either start the conversion of electronic documents manually, as described in this procedure, or you can
enable a workflow to convert electronic documents automatically when they are received. The generic version of
Business Central includes a workflow template, From Incoming Electronic through OCR to Open Purchase
Invoice Workflow , which is ready to be copied to a workflow and enabled. For more information, see Workflow.
NOTE
When you convert electronic documents received from the OCR service to documents or journal lines in Business Central,
multiple lines on the source document will be summed on one line. The single line will be of type G/L Account and the
Description and (G/L account) No. fields will be empty. The value in the Amount field will equal the total amount
excluding VAT of all lines in the source document.
To make sure that the Description and No. fields are filled, you can choose the Map Text to Account button on the
Incoming Documents page to define that a certain invoice text is always mapped to a certain debit or credit account in
the general ledger. Going forward, the Description field on document or journal lines created from an electronic
document for that vendor or customer will be filled with the text in question and the (G/L account) No. field with the
account in question.
Instead of mapping to a G/L account, you can also map to a bank account. This is practical, for example, for electronic
documents for expenses that are already paid where you want to create a general journal line that is ready to post to a
bank account.
The following procedure describes how to receive a vendor invoice and convert it to a purchase invoice in
Business Central. The procedure is the same when you convert a vendor invoice to a general journal line.
To receive and convert an electronic invoice to a purchase invoice
2. Select the line for the incoming document record that represents a new incoming electronic invoice, and
then choose the Edit action.
On the Incoming Document Card page, the related XML file is attached, and most of the fields are
prefilled with information from the electronic invoice. For more information, see Create Incoming
Document Records.
3. In the Data Exchange Type field, choose PEPPOL - Invoice or OCR – Invoice depending on the
source of the electronic document.
4. To map text on the vendor invoice to a specific debit account, on the Actions tab, in the General group,
choose Map Text to Account , and then fill the Text-to-Account Mapping Worksheet page.
5. Choose the Create Document action.
A purchase invoice will be created in Business Central based on the information in the electronic
document.
Any validation errors, typically related to wrong or missing master data in Business Central will be shown
on the Error Messages FastTab.

See Also
Managing Payables
Incoming Documents
You can import electronic bank statements from your bank to quickly fill on the Payment Reconciliation
Journal page so you can apply payments and reconcile the bank account. For more information, see Applying
Payments Automatically and Reconciling Bank Accounts.
IMPORTANT
Due to the Payment Services Directive in Europe (PSD2), after September 14, 2019, you will no longer be able to
automatically import bank statements from banks in the United Kingdom into Business Central. We are looking into the
possibility of offering this feature again in the future.
NOTE
The Envestnet Yodlee Bank Feeds service is only supported in the online version of Business Central. To use this
functionality on-premises, you must obtain a cobrand account from Envestnet, and you must add code to integrate with
the Yodlee API.
The Envestnet Yodlee Bank Feeds service is only supported in the United States and Canada. Only banks residing in these
countries are supported, even though banks from other countries may appear in the Envestnet Yodlee Bank Feeds bank
selection window in Business Central.
IMPORTANT
For technical assistance with the Envestnet Yodlee functionality, contact Microsoft Support. Do not contact Envestnet
Yodlee. For more information, see Configuring Technical Support for Dynamics 365 Business Central.
The Envestnet Yodlee Bank Feeds service is installed as an extension to Business Central online and is ready to
be enabled in the supported countries. For more information, see Customizing Business Central Using
Extensions.
After you enable the bank feed service, you must link a bank account to the online bank account that the feed
will come from. You link bank accounts to online bank accounts in the following different scenarios:
A bank account does not exist in Business Central for your online bank account. Therefore, you create the
bank account by linking from the online bank account.
A bank account exists in Business Central, which you want to link to an online bank account.
A linked bank account must be unlinked because you want to stop using the bank feed service for the
account.
Online bank accounts have changed and you want to update the information on bank accounts in Business
Central.
When the bank feed service is enabled, you can set a bank account up to automatically import new bank
statements into the Payment Reconciliation Journal page every two hour. Transactions for payments that
have already been posted as applied and/or reconciled on the Payment Reconciliation Journal page will not
be imported. For more information, see the “To enable automatic import of bank statements” section.
NOTE
If you use the Set Up Company assisted setup guide, some of the steps in the following procedures happen automatically
when you get to the company bank account setup. For more information, see Getting Ready for Doing Business.
To enable the bank feed service

2. Open the bank account that you will use for the bank feed service.
3. On the Bank Account page, in the Bank Statement Impor t Format field, select YODLEEBANKFEED.
The bank feed service will be enabled when you link a bank account to its related online bank account. See the
next procedure.
NOTE
If you use the Company Setup assisted setup guide, then you enable the service by selecting the Use a bank feed
ser vice check box. For more information, see Creating New Companies in Business Central.
To create a new linked bank account

2. Select the relevant bank account, and then choose the Create New Linked Bank Account . The Bank
Account Linking page opens after a few moments.
NOTE
This page shows the actual web page of the Envestnet Yodlee Bank Feeds service. Terminology and functionality
on the page may not match instructions provided in this topic.
3. On the Online Bank Account Linking page, in the Link Account pane, use the Search function to find
the bank where you have one or more online bank accounts.
button.
6. The bank feed service prepares to link the first online bank account at the specified bank to a new bank
account in Business Central.
NOTE
If you have more than one online bank account at the bank, you must create additional bank accounts in Business
Central for them. See steps 8 through 10.
After the process completes, the bank name will appear in the My Accounts pane on the Linked tab.
The number in brackets indicates how many online bank accounts were linked.
If you are only linking one online bank account, the Bank Account Card page opens and displays the
name of the online bank account. In this case, the bank account linking task is completed. All that's left to
do is to set up the bank account. For more information, see Set Up Bank Accounts.
If you are linking more than one online bank accounts, the Bank Account Linking page opens and lists
the online bank accounts that are not yet linked to bank accounts in Business Central. In that case, follow
the next step.
Link to New Bank Account action.
The Bank Account Card page for a new bank account opens and displays the name of the online bank
account.
If a bank account already exists in Business Central that you want to link the additional online bank
account to, follow the next step.
Link to Existing Bank Account action.
10. On the Bank Account List page, select the bank account that you want to link to, and then choose the
OK button.
To link a bank account to an online bank account

2. Select the line for a bank account that is not linked to an online bank account, and then choose the Link
to Online Bank Account action. The Online Bank Account Linking page opens with the name of the
bank prefilled in the Link Account pane.
button.
The bank feed service prepares to link your bank account in Business Central to the related online bank
account.
When the process has completed successfully, the bank name will appear in the My Accounts pane on
the Linked tab. If the bank has more than one bank account, only the bank account that you selected in
step 2 is linked.
On the Bank Account List page, the Linked check box is selected.
To edit the credentials for an online bank account

2. Choose the line for a bank account that is linked to an online bank account, and then choose the Edit Online
Bank Account Information action.
3. Update the credentials.
To unlink a bank account

2. Select the line for a linked bank account that you want to unlink from its related online bank account, and the
choose the Unlink Online Bank Account action.
NOTE
If you choose Yes on the confirmation dialog, the link to the online bank account is removed, and the log-in details are
cleared. To link the bank account to the online bank account again, you must log on to the bank again. For more
information, see the “To link a bank account to an online bank account“ section.
To update bank account linking

2. Select the relevant bank account, and then choose the Update Bank Account Linking action.
If issues exist for any of the linked bank accounts on the Bank Account List page, the Bank Account Linking
page opens specifying which bank accounts have issues. Issues can best be resolved by unlinking the online
bank account and then re-creating the link. For more information, see the “To link a bank account to an online
bank account“ section.
To enable automatic import of bank statements

2. Select the line for a linked bank account, and then choose the Automatic Bank Statement Impor t
Setup action.
3. On the Automatic Bank Statement Impor t Setup page, in the Number of Days Included field,
specify how far back in time to get new bank transactions for.
NOTE
It is recommended that you set this value to 7 days or more.
4. Select the Enabled check box.

Every hour, the Payment Reconciliation Journal page will display new payments that are made on the online
bank account.
NOTE
Transactions for payments that have already been posted as applied and/or reconciled on the Payment Reconciliation
Journal page will not be imported.
See Also
Setting Up Banking
Make Payments with the AMC Banking 365
Fundamentals extension or SEPA Credit Transfer
On the Payment Journal page, you can process payments to your vendors by exporting a file together with the
payment information from the journal lines. You can then upload the file to your electronic bank where the
related money transfers are processed. Business Central supports the SEPA Credit Transfer format, but in your
country/region, other formats for electronic payments may be available.
NOTE
a slightly different process. See step 6 in To export payments to a bank file.
To enable SEPA credit transfers, you must first set up a bank account, a vendor, and the general journal batch that
the payment journal is based on. You then prepare payments to vendors by automatically filling the Payment
Journal page with due payments with specified posting dates.
NOTE
When you have verified that the payments are successfully processed by the bank, you can proceed to post the payment
journal lines.
Setting Up the AMC Banking 365 Fundamentals Extension

Activate the AMC Banking 365 Fundamentals extension to have any bank statement file converted to a format
that you can import or to have your exported payment files converted to the format that your bank requires. For
more information, see Use the AMC Banking 365 Fundamentals extension.
Setting Up SEPA Credit Transfer

From the Payment Journal page, you can export payments to a file for upload to your electronic bank for
processing of the related money transfers. Business Central supports the SEPA Credit Transfer format, but in
your country/region, other formats for electronic payments may be available.
Before you can process payment electronically by exporting payment files in the SEPA Credit Transfer format,
you must perform the following setup steps:
Set up the bank account in question to handle the SEPA Credit Transfer format
Set up vendor cards to process payments by exporting files in the SEPA Credit Transfer format
Set up the related general journal batch to enable payment export from the Payment Journal page
Connect the data exchange definition for one or more payment types with the relevant payment method or
methods
TIP
This article applies to the generic version of Business Central. In your country or region, additional required fields may
have been added to the various pages. Hover over a field to read a short description.

1. In the Search box, enter Bank Accounts , and then choose the related link.
2. Open the card of the bank account from which you will export payment files in the SEPA Credit Transfer
format.
3. On the Transfer FastTab, in the Payment Expor t Format field, choose SEPACT .
4. On the General FastTab, in the Credit Transfer Msg. Nos. field, choose a number series from which
numbers are assigned to SEPA credit transfer entries.
5. Make sure the IBAN field is filled.
NOTE
The Currency Code field must be set to EUR, because SEPA credit transfers can only be made in the EURO
currency.
To set up a vendor card for SEPA Credit Transfer

2. Open the card of the vendor whom you will pay electronically by export payment files in the SEPA Credit
Transfer format.
3. On the Payment FastTab, in the Payment Method Code field, choose BANK .
4. In the Preferred Bank Account field, choose the bank to which the money will be transferred when it is
processed by your electronic bank.
If you have not yet set up a bank for this vendor, you can do so now. For more information, see To set up
vendor bank accounts for export of bank files. The value in the Preferred Bank Account field is copied
to the Recipient Bank Account field on the Payment Journal page.
To set the payment journal up to export payment files
1. In the Search box, enter Payment Journals , and then choose the related link.
2. In the Batch Name field, choose the drop-down button.
3. On the General Journal Batches page, choose the Edit List action.
4. On the line for the payment journal that you will use to export payments, select the Allow Payment Expor t
check box.
To connect the data exchange definition for one or more payment types with the relevant payment method
or methods
1. In the Search box, enter Payment Methods , and then choose the related link.
2. On the Payment Methods page, select the payment method that is used to export payments from, and then
choose the Pmt. Expor t Line Definition field.
3. On the Pmt. Expor t Line Definitions page, select the code that you specified in the Code field on the Line
Definitions FastTab in step 4 in the "To describe the formatting of lines and columns in the file" section in the
Set Up Data Exchange Definitions procedure.
Preparing the Payment Journal
Fill the payment journal with lines for due payments to vendors, with the option to insert posting dates based
on the due date of the related purchase documents. For more information, see Managing Payables.
Exporting Payments to a Bank File

When you are ready to make payments to your vendors, or reimbursements to your employees, you can export
a file with the payment information on the lines on the Payment Journal page. You can then upload the file to
your bank to process the related money transfers.
In the generic version of Business Central, the AMC Banking 365 Fundamentals extension is available. In North
American versions, the same extension can be used to send payment files as electronic funds transfer (EFT),
however with a slightly different process. See step 6 in To export payments to a bank file.
NOTE
Before you can export payment files from the payment journal, you must specify the electronic format for the involved
bank account, and you must enable the AMC Banking 365 Fundamentals extension. For more information, see Set Up
Bank Accounts and Use the AMC Banking 365 Fundamentals extension. In addition, you must select the Allow Payment
Expor t check box on the General Journal Batches page. For more information, see Work with General Journals.
You use the Credit Transfer Registers page to view the payment files that have been exported from the
payment journal. From this page, you can also re-export payment files in case of technical errors or file changes.
Note, however, that exported EFT files are not shown in this page and cannot be re-exported.
To export payments to a bank file
The following describes how to pay a vendor by check. The steps are similar to refund a customer by check.
2. Fill in the payment journal lines. For more information, see Record Payments and Refunds.
NOTE
If you are using EFT, you must select either Electronic Payment or Electronic Payment–IAT in the Bank
Payment Type field. Different file export services and their formats require different setup values on the Bank
Account Card and Vendor Bank Account Card pages. You will be informed about wrong or missing setup
values as you try to export the file.
The EFT feature can only be used for bank accounts in the local currency. It cannot be used with a foreign
currency, indicated by a value in the Currency Code field. (Blank field value means local currency.)
3. When you have completed all payment journal lines, choose the Expor t action.
4. On the Expor t Electronic Payments page, fill in the fields as necessary.
Any error messages will be shown in the Payment File Errors FactBox where you can also choose an
error message to see detailed information. You must resolve all errors before the payment file can be
exported.
TIP
When you use the AMC Banking 365 Fundamentals extension, a common error message states that the bank
account number does not have the length that your bank requires. To avoid or resolve the error, you must
remove the value in the IBAN field on the Bank Account Card page and then, in the Bank Account No. field,
enter a bank account number in the format that your bank requires.
5. On the Save As page, specify the location that the file is exported to, and then choose Save .
NOTE
If you are using EFT, save the resulting vendor remittance form as a Word document or select to have it emailed
directly to the vendor. The payments are now added to the Generate EFT File page from where you can
generate multiple payment orders together to save transmission cost. For more information, see the following
steps.
6. On the Payment Journal page, choose the Generate EFT File action.
On the Generate EFT File page, all payments set up for EFT that you have exported from the payment
journal for a specified bank account but not yet generated are listed on the Lines FastTab.
7. Choose the Generate EFT File action to export one file for all the EFT payments.
The bank payment file is exported to the location that you specify, and you can proceed to upload it to your
electronic bank account and make the actual payments. Then you can post the exported payment journal lines.
To plan when to post exported payments
If you do not want to post a payment journal line for an exported payment, for example because you are waiting
for confirmation that the transaction has been processed by the bank, you can just delete the journal line. When
you later create a payment journal line to pay the remaining amount on the invoice, the Total Expor ted
Amount field shows how much of the payment amount has already been exported. Also, you can find detailed
information about the exported total by choosing the Credit Transfer Reg. Entries button to see details about
exported payment files.
If you follow a process where you do not post payments until you have confirmation that they have been
processed in the bank, you can control this in two ways.
In a payment journal with suggested payment lines, you can sort on either the Expor ted to Payment File
column or the Total Expor ted Amount and then delete payment suggestions for open invoices for which
payments have already been made and you do not want to make payments for.
On the Suggest Vendor Payments page, where you specify which payments to insert in the payment
journal, you can select the Skip Expor ted Payments check box if you do not want to insert journal lines for
payments that have already been exported.
To see information about exported payments, choose the Payment Expor t Histor y action.
To re -export payments to a bank file
You can re-export payment files from the Credit Transfer Registers page. Before you delete or post payment
journal lines, you can also re-export the payment file from the Payment Journal page by simply exporting it
again. If you have deleted or posted the payment journal lines after exporting them, you can re-export the same
payment file from the Credit Transfer Registers page. Select the line for the batch of credit transfers that you
want to re-export, and then use the Reexpor t Payments to File action.
NOTE
Exported EFT files are not shown on the Credit Transfer Registers page and cannot be re-exported.
1. Choose the icon, enter Credit Transfer Registers , and then choose the related link.
2. Select a payment export that you want to re-export, and then choose the Reexpor t Payment to File action.
Posting the Payments

When the electronic payment is successfully processed by the bank, post the payments. For more information,
see Making Payments.
See Also
Managing Payables
NOTE
NOTE
journal lines.


methods
TIP

format.
NOTE
currency.

Transfer format.
check box.
or methods

NOTE
NOTE
exported.
TIP
NOTE
steps.
NOTE

See Also
Managing Payables
the SEPA format.
date.
NOTE

Debit format.
NOTE
debit.
collection.
empty.
NOTE

in step 3.

debit mandate.


Purchase Lines.
NOTE


automatically.

count.
collection.
SEPA Direct Debit.

lines.
by the bank.
receipts.
lines in question.
See Also
Service Management
Currencies
TIP
TIP
instead.
LCY
1/1 Invoice 1000 1.123 1123
1/31 Adjustm 1000 1125 1.125 2

ent
2/15 Adjustm 1000 -2

ent
Reversal
on
payment
2/15 Payment 1000 1120 1.120 -3
1.120.
Exchange Rates

NOTE
NOTE

entered.
TIP
adjusted entry.
IMPORTANT

NOTE
short description.
NOTE

rate.

See Also
Set Up Currencies
Field Mapping When Importing SEPA CAMT Files
Business Central supports the regional SEPA standards (Single Euro Payments Area) for importing SEPA bank
statements (CAMT format). For more information, see Use the AMC Banking 365 Fundamentals extension.
The SEPA CAMT standard itself has local variations. Therefore, you may have to modify the generic data
exchange definition (represented by the SEPA CAMT code on the Posting Exchange Definitions page) to
adapt it to a local variation of the standard. The following tables show the element-to-field mapping for tables
81, 273, and 274 in the SEPA CAMT implementation in Business Central.
For information about creating or adjusting a data exchange definition, see Set Up Data Exchange Definitions.
CAMT data mapping to fields in the General Journal table (81)

N EGAT IVE-
EL EM EN T M ESSA GE SIGN
PAT H EL EM EN T DATA T Y P E DESC RIP T IO N IDEN T IF IER F IEL D N O. F IEL D N A M E
Stmt/Ntry/A Amount Decimal The amount 13 Amount

mt of money in
the cash
entry
Stmt/Ntry/Cd CreditDebitIn Text Indicates DBIT 13 Amount

tDbtInd dicator whether the
entry is a
credit or a
debit entry
Stmt/Ntry/Bo Date Date The date 5 Posting Date

okgDt/Dt when an
entry is
posted to an
account on
the account
servicer's
books
Stmt/Ntry/Bo DateTime DateTime The date and 5 Posting Date

okgDt/DtTm time when an
entry is
posted to an
account on
the account
servicer's
books
Stmt/Ntry/Ntr Name Text The name of 1221 Payer

yDtls/TxDtls/R the party that Information
ltdPties/Dbtr/ owes an
Nm amount of
money to the
(ultimate)
creditor
N EGAT IVE-
Stmt/Ntry/Ntr Unstructured Text Information 8 Description

yDtls/TxDtls/R supplied to
mtInf/Ustrd enable the
matching/rec
onciliation of
an entry with
the items that
the payment
is intended to
settle, such as
commercial
invoices in an
accounts-
receivable
system, in an
unstructured
form
Stmt/Ntry/Ad AdditionalEnt Text Additional 1222 Transaction

dtlNtryInf ryInformation information Information
about the
entry
CAMT data mapping to fields in the Bank Acc. Reconciliation table

(273)
N EGAT IVE-
Stmt/CreDtTm CreationDate Date The date and 3 Statement

Time time when Date
the message
was created
Stmt/Bal/Amt Amount Decimal The amount 4 Statement

resulting from Ending
the netted Balance
amounts for
all debit and
credit entries
CAMT data mapping to fields in the Bank Acc. Reconciliation Line

table (274)
N EGAT IVE-
Stmt/Ntry/A Amount Decimal The amount 7 Statement

mt of money in Amount
the cash
entry
N EGAT IVE-
Stmt/Ntry/Cd CreditDebitIn Text Indicates DBIT 7 Statement

tDbtInd dicator whether the Amount
entry is a
credit or a
debit entry
Stmt/Ntry/Bo Date Date The date 5 Transaction

okgDt/Dt when an Date
entry is
posted to an
account on
the account
servicer's
books
Stmt/Ntry/Bo DateTime DateTime The date and 5 Transaction

okgDt/DtTm time when an Date
entry is
posted to an
account on
the account
servicer's
books
Stmt/Ntry/Val Date Date The date 12 Value Date

Dt/Dt when assets
become
available to
the account
owner in case
of a credit
entry, or
cease to be
available to
the account
owner in case
of a debit
entry
Stmt/Ntry/Val DateTime DateTime The date and 12 Value Date

Dt/DtTm time when
assets
become
available to
the account
owner in case
of a credit
entry, or
cease to be
available to
the account
owner in case
of a debit
entry
N EGAT IVE-
Stmt/Ntry/Ntr Name Text The name of 15 Payer

yDtls/TxDtls/R the party that Information
ltdPties/Dbtr/ owes an
Nm amount of
money to the
(ultimate)
creditor
Stmt/Ntry/Ntr Unstructured Text Information 6 Description

yDtls/TxDtls/R supplied to
mtInf/Ustrd enable the
matching/rec
onciliation of
an entry with
the items that
the payment
is intended to
settle, such as
commercial
invoices in an
accounts-
receivable
system, in an
unstructured
form
Stmt/Ntry/Ad AdditionalEnt Text Additional 16 Transaction

dtlNtryInf ryInformation information Information
about the
entry
Elements in the Ntr y node that are imported into Business Central but not mapped to any fields are stored in
the Posting Exch. Column Def table. Users can view these elements from the Payment Reconciliation
Journal , Payment Application , and Bank Acc. Reconciliation pages by choosing the Bank Statement Line
Details action. For more information, see Reconcile Payments Using Automatic Application.
IMPORTANT
In an import of CAMT bank statements, Business Central expects each transaction to be unique, which means that the
Transaction ID field that comes from the Stmt/Ntry/NtryDtls/TxDtls/Refs/EndToEndId tag in the CAMT file, must be
unique within the open bank account reconciliation. If the information is not present, Business Central ignores the
payment. If an earlier bank reconciliation on the same bank account was posted with the same transaction ID as on the
current import, the current transaction will not automatically reconcile but can still be imported.
See Also
Reconcile Payments Using Automatic Application
Field Mapping When Exporting Payment Files Using
the AMC Banking 365 Fundamentals extension
When you export payment files using the AMC Banking 365 Fundamentals extension, the data that you export is
exposed to the service provider. The service provider is responsible for the privacy of this data. For more
information about the AMC Banking 365 Fundamentals extension, see Use the AMC Banking 365 Fundamentals
extension.
Cau t i on
When you export payment files by using the AMC Banking 365 Fundamentals extension, some of your business
data will be exposed to the provider of the service. The service provider, AMC Consult A/S, is responsible for the
privacy of this data. For more information, see AMC Privacy Policy.
NOTE
a slightly different process.
The following table lists the fields in Business Central from which you can export data.
M A P P ED F IEL D F IEL D IN TA B L E TA B L E DESC RIP T IO N
Creditor No. Creditor No. Bank Account The identifier assigned to

your company by your
bank to collect payments
Sender Bank Account No. Bank Account No./IBAN Bank Account Your company's bank
account number (IBAN or
other) that is specified on
the bank account card
Sender Bank Clearing Bank Clearing Standard Bank Account The national bank names
Standard register used for the sender
bank account
Sender Bank Clearing Code Bank Clearing Code Bank Account The identifier of the sender's
bank in relation to the bank
names register used
Sender Bank BIC SWIFT Code Bank Account The SWIFT identifier of the
sender bank account
Sender Bank Account Currency Code Bank Account The sender bank account
Currency Currency Code
Document No. Document No. General Journal Line The document number of
the payment line
Applies-to Ext. Doc. No. Applies-to Ext. Doc. No. General Journal Line The external document
number of the invoice or
credit memo that the
payment line is applied to
Recipient ID Account No. General Journal Line The customer or vendor

number that is specified on
the payment line
Payment Type Bank Data Conversion Pmt. Payment Method The type of bank transfer,
Type such as domestic or
international
Payment Reference Payment Reference General Journal Line The payment reference of
the payment line
Recipient Address Address Customer/Vendor The recipient address that is

specified on the customer
or vendor card
Recipient City City Customer/Vendor The recipient city that is

or vendor card
Recipient Name Name Customer/Vendor The recipient name that is

or vendor card
Recipient Country/Region Country/Region Code Customer/Vendor The recipient

Code country/region code that is
or vendor card
Recipient Post Code Post Code Customer/Vendor The recipient post code that
is specified on the customer
or vendor card
Recipient Bank Acc. No. Bank Account No./IBAN Customer Bank The recipient bank account
Account/Vendor Bank number (IBAN or other)
Account that is specified on the
customer or vendor bank
account card
Recipient Bank Clearing Bank Clearing Standard Customer Bank The national bank names
Code Account/Vendor Bank register used for the
Account recipient bank account
Recipient Bank Clearing Std. Bank Clearing Code Customer Bank The identifier of the
Account/Vendor Bank recipient bank account in
Account relation to the bank names
register that is used
Recipient Email Address E-Mail Customer/Vendor The email address of the

recipient
Message To Recipient 1 Message to Recipient General Journal Line The message to recipient
that is specified on the
payment line
Amount Amount General Journal Line The amount on the

payment line
Currency Code Currency Code General Journal Line The currency code on the
payment line
Transfer Date Posting Date General Journal Line The posting date of the
payment line
Invoice Amount Original Amount Customer/Vendor Ledger The amount on the entry
Entry that the payment is applied
to
Invoice Date Document Date Customer/Vendor Ledger The invoice date on the
Entry entry that the payment is
applied to
Recipient Bank Address Address Customer Bank The recipient bank account
Account/Vendor Bank address that is specified on
Account the customer or vendor
bank account card
The recipient bank account City Customer Bank The recipient bank account
address that is specified on Account/Vendor Bank city that is specified on the
the customer or vendor Account customer or vendor bank
bank account card account card
Recipient Bank Name Name Customer Bank The recipient bank account
Account/Vendor Bank name that is specified on
Account the customer or vendor
bank account card
Recipient Bank Country/Region Code Customer Bank The recipient bank account
Country/Region Account/Vendor Bank country/region that is
Account specified on the customer
or vendor bank account
card
Recipient Bank Post Code Post Code Customer Bank The recipient bank account
Account/Vendor Bank post code that is specified
Account on the customer or vendor
bank account card
Sender Bank Address Address Bank Account The sender bank account
address that is specified on
Sender Bank City City Bank Account The sender bank account
city that is specified on the
bank account card
Sender Bank Name Name Bank Account The sender bank account
name that is specified on
Sender Bank Country/Region Code Bank Account The sender bank account
Country/Region country/region that is
specified on the bank
account card
Sender Bank Post Code Post Code Bank Account The sender bank account
post code that is specified
on the bank account card
General Journal Template Journal Template Name General Journal Line The general journal
template that is used for
the payment line
General Journal Batch Journal Batch Name General Journal Line The general journal batch
Name name that is used for the
payment line
Sender Bank Name - Data Bank Name – Data Conv. Bank Account The sender bank account
Conv. name that is requested by
the AMC Banking 365
Fundamentals extension
and specified on the bank
account card
See Also
Exchanging Data Electronically Use the AMC Banking 365 Fundamentals extension
Make Payments with AMC Banking 365 Fundamentals extension or SEPA Credit Transfer
Financial Management
Business Central includes a standard configuration of most financial processes, but you can change the
configuration to suit your business. For more information, see Setting Up Finance.
The default configuration includes a chart of accounts and standard posting groups that make the process of
assigning default general ledger posting accounts to customers, vendors, and items more efficient.
TO SEE
Apply incoming payments, reconcile bank accounts during Managing Receivables

payment application, and collect outstanding balances.
Make payments, apply outgoing payments, and work with Managing Payables
checks.
Make your customers submit payment before you ship to Invoicing Prepayments
them, or submit payment to your vendors before they ship
to you.
Reconcile bank accounts and transfer funds between bank Reconciling Bank Accounts
accounts.
Set up intercompany partners and process transactions, Managing Intercompany Transactions

manually or automatically, between legal entities within the
same company.
Analyze the costs of running your business by allocating Accounting for Costs
actual and budgeted costs of operations, departments,
products, and projects to cost centers.
Manage inventory and manufacturing costs, report costs, Managing Inventory Costs
and reconcile costs with the general ledger.
Understand the general ledger and the chart of accounts. Understanding the General Ledger and the COA
Combine general ledger entries from multiple companies in Consolidating Financial Data from Multiple Companies
one virtual consolidated company for financial analysis.
Add dimensions for richer business intelligence. Work with Dimensions
Create G/L budgets to forecast different financial activities Create G/L Budgets
and assign dimensions for business intelligence purposes.
Record income or expenses directly in the general ledger Post Transactions Directly to the General Ledger
without posting dedicated business documents.
TO SEE
Post reversing entries to undo value postings in the general Reverse Journal Postings and Undo Receipts/Shipments
journal or quantity postings on purchase and sales
documents.
Allocate an entry in a general journal to several different Allocate Costs and Income
accounts when you post the journal.
Assign extra costs, such as freight and physical handling that Use Item Charges to Account for Additional Trade Costs
you incur during trade, to the involved items so that the
cost is reflected in inventory valuation.
Post employees' personal expenses for business-related Record and Reimburse Employees' Expenses
activities and reimburse employees by making payment to
their bank account.
Recognize revenues and expenses in other periods than Defer Revenues and Expenses
when the transactions were posted.
Learn about the available options to automate sending Work with Recurring Revenue
subscription invoices to your customers and register
recurring revenue.
Learn how to use additional currencies and update currency Update Currency Exchange Rates
exchange rates automatically.
Import salary transactions from your payroll provider into Import Payroll Transactions
the general ledger.
Use functions to calculate value-added tax (VAT) on sales Work with VAT on Sales and Purchases
and purchase transactions so that you can report the
amounts to the tax authorities.
Prepare a report that lists VAT from sales, and submit the Report VAT to Tax Authorities
report to tax authorities in the EU.
Manually convert service contracts to change their VAT rate. Convert Service Contracts that Include VAT Amounts
Monitor the flow of cash in and out of your business. Analyzing Cash Flows in Your Company
Follow an end-to-end procedure on how to use account Walkthrough: Making Cash Flow Forecasts by Using Account
schedules to make cash flow forecasts. Schedules
Work with financial statements and overviews in Excel. Analyzing Financial Statements in Excel
Learn how to use the Accountant Role Center, invite an Accountant Experiences in Business Central
external accountant, and use the Company Hub to manage
accounts for multiple clients.
Take a Video Tour

The following video introduces some of the key capabilities for managing finances.
See Also
Setting Up Finance
Sales
Purchasing
Closing Fiscal Periods
Managing Projects
Importing Data from Other Finance Systems
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Financial Reports and Analytics in Business Central
Financial reporting in Business Central allows financial and business professionals to create, maintain, deploy,
and view financial statements. It moves beyond traditional reporting constraints to help you efficiently design
various types of reports. Business Central includes several reports, tracing functions, and tools that help auditors
or controllers who are responsible for reporting to the finance department. Financial reporting includes support
for dimensions, so account segments or dimensions are immediately available. No other tools or configuration
steps are required.
TIP
If you have a (online) Business Central production environment, you can click on a report id below to open the report
directly in the product. If you want to stay on this page, consider holding down CTRL before clicking. In most browsers,
the report will then open in a new browser tab.
Reports
The following table describes some of the key reports in financial reporting.
REP O RT DESC RIP T IO N ID
Trial Balance Shows the chart of accounts with 6

balances and net changes. You can
choose to see a trial balance for
selected dimensions. You can use the
report at the close of an accounting
period or fiscal year.
Trial Balance by Period Shows the opening balance by general 38

ledger account, the movements in the
selected period of month, quarter, or
year, and the resulting closing balance.
Tip: Can be used to display profit and
loss (P&L) with a total for each month.
Trial Balance/Budget Shows a trial balance in comparison to 9

a budget. You can choose to see a trial
balance for selected dimensions. You
can use the report at the close of an
accounting period or fiscal year.
Detailed Trial Balance Shows a detail trial balance for selected 4

general ledger accounts. You can use
the report at the close of an
accounting period or fiscal year. You
can define which accounts are included
in the report by setting filters.
Trial Balance/Previous Year Shows a trial balance in comparison to 7

the previous year's figures. You can
period or fiscal year. The previous year
means the same period one calendar
year earlier.
Account Schedule Account schedules can be used to 25

display the general ledger accounts in
a different way than in the chart of
accounts. For example, account
schedules can be used for reports on
key figures.
Consolidated Trial Balance Shows a combined overview of general 17

ledger entries for two or more
companies in one consolidated
company. Use this report to report on
consolidated financial data from
multiple companies. For more
information, see Set Up Company
Consolidation
Consolidated Trial Balance (4) Shows a combined overview of general 18

company. This version of the report
lets you display up to four business
units as columns. For more
Consolidation. Use this report to
report on consolidated financial data
from multiple companies.
Tasks
The following articles describe some of the key tasks for analyzing the state of your business:

See also
Use Pre-Closing Reports
Preparing Closing Statements
Setting Up Finance
Finance
Accountant Experiences in Dynamics 365 Business Central
A regular step in any financial rhythm is to reconcile bank accounts, which requires that you apply incoming
payments to customer or vendor ledger entries to close sales invoices and purchase credit memos as paid.
While most customers in B2B environments pay some time after delivery, leaving the posted sales invoices open
for the Accounts Receivable department to close (apply) when payment is received, some sales invoices can be
paid immediately, for example with PayPal. Such invoices are immediately applied as paid when they are posted
and, therefore, do not appear as payments to be processes in AR. For more information, see, for example,
Invoice Sales.
In Business Central, one of the fastest ways to register payments is with the Payment Reconciliation Journal
page by importing a bank statement file or feed. The payments are applied to open customer or vendor ledger
entries based on data matches between payment text and entry information. You can review and change the
matches before you post the journal, and close bank account ledger entries for ledger entries when you post the
journal. The bank account is reconciled when all payments are applied.
Other pages exist where you can either apply payments or reconcile bank accounts:
The Bank Account Reconciliations page, where you reconcile bank accounts by matching imported bank
statement lines with your system bank account ledger entries. Here, you can also reconcile check payments.
For more information, see Reconcile Bank Accounts. Here, you cannot apply payments.
The Payment Registration page, where you can manually apply payments received as cash, check, or bank
transaction against a generated list of unpaid sales documents. Note that this functionality is available only
for sales documents. Here, you cannot apply outgoing payments, and you cannot reconcile bank accounts.
The Cash Receipt Journal page, where you manually post receipts to the relevant general ledger, customer,
or other account by entering a payment line. You can either apply the receipt or refund to one or more open
entries before you post the cash receipt journal, or from the customer ledger entries. Here, you cannot
reconcile bank accounts.
The Payment Reconciliation Journal page use automatic matching logic that you can set up on the Payment
Application Rules page. For more information, see Set Up Rules for Automatic Application of Payments.
Other aspects of managing receivables include to collect outstanding balances, including finance charges and
reminders, and to set bank accounts up to allow customers' payments to be withdrawn from their account
automatically.
TO SEE
Apply payments to open customer or vendor ledger entries Applying Payments Automatically and Reconciling Bank
based on an imported bank statement file or feed, and Accounts
reconcile the bank account when all payments are applied.
Apply payments to open customer ledger entries based on a Reconcile Customer Payments from a List of Unpaid Sales
list of unpaid sales documents on the Payment Documents
Registration page.
TO SEE
Post cash receipts or refunds for customers in the cash Reconcile Customer Payments with the Cash Receipt Journal
receipt journal and apply to customer ledger entries, either or from Customer Ledger Entries
from the journal or from posted ledger entries.
Remind customers of overdue amounts, calculate interest Collect Outstanding Balances

and finance charges, and manage accounts receivable.
With your customer’s consent, collect payments directly Collect Payments with SEPA Direct Debit
from the customer’s bank account according, in the Euro
currency only.
Block a customer from being entered on documents or from Block Customers

posting, for example because of insolvency.
Set up a tolerance by which the system closes an invoice Work with Payment Tolerances and Payment Discount
even though the payment, including any discount, does not Tolerances
fully cover the amount on the invoice.
Predict when payments will be made late for sales The Late Payment Prediction Extension
documents.

See Also
Sales
Managing Payables
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Accounts Receivable Reports and Analytics in
Business Central
To help you manage your accounts receivable in Business Central, standard reports and analytics are built in. It
moves beyond traditional reporting constraints to help you efficiently design various types of reports.
Reports
The following table describes some of the key reports in accounts receivable reporting.
Aged Accounts Receivables Shows the amount outstanding with 120

customers broken down into time
intervals for the overdue time. The
report also displays the part of the
customers' balance that is not due and
can be shown with or without
document details for each customer.
This report is the main report for
reconciling customer ledger to G/L.
Assuming you have not allowed direct
posting to the accounts used in the
customer posting groups' receivables
account, this report is a specification of
the amounts you find in G/L.
Customer Statement Generates a customer statement for a 1316

specified time interval. It's usually sent
to the customers to give them an
overview of outstanding amounts and
also as a reminder to pay any overdue
amounts. You can choose to show the
overdue amounts in a separate
section. You can include an aging band
similar to the one used in the Aged
Receivables report. For the aging
band, you typically set 30D, which
means 30 days intervals such as30, 60,
90, and 90+ days overdue, from the
ending date, or 1M+CM, which will be
the current month in a separate
interval and then monthly intervals for
the preceding months. Note : In the
customer list, this report also has a
separate action, Scheduled
Statements . This option does not
filter to the customer you have
selected. It's the same report but used
when you want to send statement to
all/more customers.
Customer - Balance to Date Shows the open customer ledger 121

entries until the ending date. This
report shows similar content as the
customer statement but with no
indication if the entry is overdue.
Note : The date filter will be applied to
the detailed customer ledger entries.
This means that if you have payments
later than the ending date that have
been applied to invoices in within the
date range, the invoices will appear in
the report as they have not been
closed as per the ending date.
Customer - Trial Balance Shows the net changes for customers 129
for the period specified in the date
filter as well as the net change year-to-
date for the fiscal year corresponding
to the period selected. The report is
grouped by customer posting groups
and will give a different view of the
customer ledger than the Aged
Account Receivables report. Note :
If you haven't set up any accounting
period, the system will not know what
fiscal year to use and will either show
year-to-date from the most recent
fiscal year defined or just select the
period, which may or may not be from
beginning of a year.
Customer - Detail Trial Balance Shows all the customer ledger entries 104
within the specified date filter. This
report is generally used to check that
all entries for a specific customer are
accounted for, or other internal checks
on customer ledgers.
Customer - Payment Receipt Creates a payment receipt for each 211

customer ledger entry of type
Payment . If the payment has been
applied to invoices, the invoices will be
specified; otherwise, it will just state
the payment amount as unapplied.
This report is used to send to
customers that want documentation
for receipt of payment.
Reconcile Customer and Vendor Shows the G/L entries resulting from 33
Accounts posting customer and vendor entries
split per G/L account and posting
groups. This report is used for
reconciling the balances on customer
and vendor ledgers to general ledger
balances.
Customer - Summary Aging Simp. This is a legacy version of an accounts 109

receivables aging report. We
recommend you use the Aged
Accounts Receivables report
instead.
Sales Statistics Shows amounts for sales, profit, 112

invoice discount, and payment
discount in LCY, and the profit
percentage for each customer. The
costs and profits are given as both the
original and adjusted amounts. The
original costs and profits are those
values that were calculated at the time
of posting, and the adjusted costs and
profits reflect changes to the original
costs of the items in the sales. The cost
adjustment amount shown in the
report is the difference between the
original cost and the adjusted cost.
The figures are divided into three
periods. You can select the length of
the period, starting on a selected date.
There are also columns for amounts
before and after the three periods. Use
the report to analyze earnings from an
individual customer and earnings
trends, for example.
This report can also be used in
accounts receivable as it's easier to do
a quick look-up of posted payments,
discounts, and sales for a given
customer.
Customer List Shows various kinds of basic 101

information for customers, such as
customer posting group, discount
group, finance charge and payment
information, salesperson, the
customer's default currency and credit
limit in your local currency (LCY), and
the customer's current balance (in
LCY). The report can be used, for
example, to maintain the information
in the Customer table.
See also
Managing Fixed Assets
Applying Payments Automatically and Reconciling
Bank Accounts
You must regularly reconcile your bank, receivables, and payables accounts by applying payments recorded in
the bank to their related open (unpaid) invoices and credit memos or other open entries in Business Central.
You can perform this task on the Payment Reconciliation Journal page, for example, by importing a bank
statement file or feed to quickly register the payments. Payments are applied to open customer or vendor ledger
entries based on matches between payment text and entry information. You can review and change automatic
applications before you post the journal. You can choose to close any open bank account ledger entries related
to the applied ledger entries when you post the journal. The bank account is automatically reconciled when all
payments are applied.
The logic that governs how payment text is automatically matched with entry information is set up on the
Payment Application Rules page as a number of prioritized rules that you can edit.
You can also reconcile bank accounts without simultaneously applying payments. You perform this work on the
Bank Acc. Reconciliation page. For more information, see Reconcile Bank Accounts.
To import bank statements as a bank feed, you must first set up and enable the Envestnet Yodlee Bank Feed
service, and then link your bank accounts to the related online bank accounts. For more information, see Set Up
the Envestnet Yodlee Bank Feeds Service.
TIP
You can also import bank statement files in comma or semicolon delimited format (.CSV). Use the Set up a bank
statement file format assisted setup to define bank statement import formats and attach the format to a bank
account. You can then use these formats when you import bank statements in the Bank Account Reconciliation page.
Alternatively, you can use the AMC Banking 365 Fundamentals extension to convert a bank statement file, from
any format, to a data stream that you can import into Business Central. For more information, see Use the AMC
TO SEE
Apply payments to open customer or vendor ledger entries Reconcile Payments Using Automatic Application
by importing a bank statement, and reconcile the bank
account when all payments are applied.
Manually apply payments by viewing detailed information Review or Apply Payments After Automatic Application
about matched data and suggestions for candidate open
entries to apply payments to.
Resolve payments that cannot be applied automatically to Reconcile Payments that Cannot be Applied Automatically
their related open ledger entries. For example because the
amounts differ, or because a related ledger entry does not
exist.
TO SEE
Link text on payments to specific customer, vendor, or Map Text on Recurring Payments to Accounts for Automatic
general ledger accounts to always post recurring cash Reconciliation
receipts or expenses to those accounts when no documents
exist to apply to.
Set up the rules to govern how payments/bank transactions Set Up Rules for Automatic Application of Payments
should be automatically applied to their related open ledger
entries when you use the Apply Automatically function
on the Payment Reconciliation Journal page.

See Also
Sales
The Payment Reconciliation Journal page specifies payments, either incoming or outgoing, that have been
recorded as transactions on your online bank account or on a payment service and that you can apply to their
related open customer, vendor, and bank account ledger entries. The lines in the journal can be filled in by
importing a bank statement as a bank feed or file or by manually entering transactions that you make on your
payment service.
NOTE
The page offers automatic matching functionality that applies payments to their related open entries based on a matching
of data on a bank statement line (journal line) with data on one or more open entries. Note that you can overwrite the
suggested automatic applications, and you can choose to not use automatic application at all. For more information, see
step 7.
A payment reconciliation journal is related to one bank account in Business Central that reflects the online bank
account where the payment transactions are recorded. Any open bank account ledger entries related to the
applied customer or vendor ledger entries will be closed when you choose the Post Payments and Reconcile
Bank Account action. This means that the bank account is automatically reconciled for payments that you post
with the journal.
You can import bank transactions as .csv bank files or other format that your bank provides. If you want to
import bank statements as bank feeds, you must first enable a dedicated bank integration service and then link
the bank account to its related online bank account. The payment reconciliation journal will then automatically
detect bank feeds when you choose the Impor t Bank Transactions action. In addition, you can set a bank
account up to automatically import new bank statement feeds every hour. Transactions for payments that have
already been posted as applied and/or reconciled will not be imported. You can use the Envestnet Yodlee Bank
Feeds service for this, which is preinstalled in some country versions of Business Central. For more information,
see Set Up the Envestnet Yodlee Bank Feeds Service. Alternatively, contact your Microsoft partner for help
meeting your business or country requirements.
The Map Text to Account action lets you set up mappings between text on payments and specific debit, credit,
and balancing accounts so that such payments are posted to the specified accounts when you post the payment
reconciliation journal. This is useful, for example, for recurring cash receipts or expenses, such as frequent
purchases of car fuel or bank fees and interest, that regularly occur on the bank statement and do not need a
related business document. (See step 10 below.) For more information, see Map Text on Recurring Payments to
Journal lines may have no suggested application. This may be for various reason, such as a missing document
or because a customer overpaid so that an excess amount exists after applying the payment on another journal
line. For such cases, you can use the Transfer Difference to Account action to create and post the missing
general ledger entry, for example for a refund, that is needed to apply the payment to. (See step 11 below) For
more information, see Reconcile Payments That Cannot be Applied..
You use the Apply Automatically function either automatically when you import a bank file or feed with
payment transactions or when you activate it, to apply payments to their related open entries based on a
matching of text on a bank statement line ( journal line) with text on one or more open entries. This automation
is based on rules that you define on the Payment Application Rules page, where you also define whether an
application suggestion requires review. For more information, see Set Up Rules for Automatic Application of
Payments.
On journal lines where a payment has been applied automatically to one or more open entries, the Match
Confidence field has a value of Low , Medium , or High to indicate the quality of the data matching that the
suggested payment application is based on.
Some payment applications require your review as defined by the used matching rule, such as lines with Low
match confidence. Other lines require your review and manual change because there is a value in the
Difference field. To review one or more payment applications, choose the Lines to Review or Lines with
Difference field at the bottom. The Payment Application Review page opens showing all relevant
information about the customer or vendor that the payment is applied to, the matching details, and actions to
process the line, such as the Accept Application action. (See steps 7 and 8 below.)
For each journal line on the Payment Reconciliation Journal page, you can open the Payment Application
page to see all candidate open entries for the payment and view detailed information for each entry about the
data matching that a payment application is based on. Here, you can manually apply payments or reapply
payments that were applied automatically to a wrong entry. (See step 10 below.) For more information, see
Review or Apply Payments After Automatic Application.
NOTE
You can start the bank transactions import at the same time as you open the Payment Reconciliation Journal page
for an existing journal. The following procedure describes how to import bank transactions into the Payment
Reconciliation Journal page after you have created a new journal.
To reconcile payments using automatic application

1. Choose the icon, enter Payment Reconciliation Journals , and then choose the related link.
2. To work in a new payment reconciliation journal, choose the New Journal action.
3. On the Payment Bank Account List page, select the bank account that you want to reconcile payments
for, and then choose the OK button. The Payment Reconciliation Journal page opens prepared for the
selected bank account.
4. Choose the Impor t Bank Transactions action. If the bank account for the selected journal is not set up
for import of bank transactions, then a dialog box will open to help you fill in the relevant fields.
5. On the Select a file to impor t page, select the file that contains the bank transactions for payments
that you want to reconcile, and then choose the Open button.
6. If the Envestnet Yodlee Bank Feeds service is enabled, on the Bank Statement Filter page that opens
automatically, specify the date interval for the bank statements to be imported.
The Payment Reconciliation Journal page is filled with lines for payments representing bank
transactions in the imported bank statement.
On lines for payments that have been automatically applied to their related open entries, the Match
Confidence field has a value between Low and High to indicate the quality of the data matching that
the suggested payment application is based on. In addition, the Account Name , Account Type , and
Account No. fields are filled with information about the customer or vendor that the payment is applied
to.
The automatic applications, the matching qualities, and whether lines require review are defined by rules
that you can edit to adjust the results. For more information, see Set Up Rules for Automatic Application
of Payments.
7. To review, accept/remove, or manually change multiple payment applications that have a value in the
Difference field, choose the Lines with Difference action at the bottom.
The Payment Application Review page opens showing the first application to review. The next
application to review will be shown on the page as you process the preceding one. All relevant
information about the customer or vendor that the payment is applied to, the matching details, and
actions to process the line, such as the Accept Application and Apply Manually actions.
8. To review, accept/remove, or manually change multiple payment applications that are set to be reviewed,
according to the payment application rule, choose the Lines to Review action at the bottom. The same
experience as described for step 8 is presented
9. To change an automatic application, select a journal line, and then choose the Apply Manually action to
reapply or apply the payment manually on the Payment Application page. For more information, see
10. Select an unapplied journal line for a recurring cash receipt or expense, such as a car gasoline purchase,
and then choose the Map Text to Account action. For more information, see Map Text on Recurring
Payments to Accounts for Automatic Reconciliation.
When you have finished your mapping of payment text to accounts, choose the Apply Manually action.
When a text-to-account ,map is set up, the resulting automatic payment application will contain High -
Text-to-Account Mapping in the Match Confidence field.
11. For a journal line has no suggested application because no ledger entry exists that it can be applied to,
choose the Transfer Difference to Account action to create and post the missing general ledger entry
that is needed to apply the payment to. For more information, see Reconcile Payments That Cannot be
Applied.
12. When no more lines require review and the Difference field is blank on all lines, choose the Post action,
and then choose one of the following options:
Post Payments and Reconcile Bank Accounts - To post the payments as applied and also close
the related bank account ledger entries as reconciled.
Post Payments Only - To only post the payments as applied, but leave the related bank account
ledger entries open. Required that you reconcile the bank account separately, for example: For more
information, see Reconcile Bank Accounts.
Test Repor t - To review the result of posting before you post. The Bank Account Statement report
opens and shows the same fields as at the bottom of the Payment Reconciliation Journal page.
When you post the payment reconciliation journal, the applied open entries memos are closed, and the related
customer, vendor, or general ledger accounts are updated. For payments on journal lines based on text-to-
account mapping, the specified customer, vendor, and general ledger accounts are updated. For all journal lines,
bank account ledger entries are created. If you choose the Post Payments and Reconcile Bank Account
action, any open bank account ledger entries related to the applied customer or vendor ledger entries will be
closed. This means that the bank account is automatically reconciled for payments that you post with the
journal.
You can compare the value in the Balance on Bank Account After Posting field together with the value in
the Statement Ending Balance field to track when the bank account is reconciled based on payments that you
post.
NOTE
If you do not want to reconcile the bank account from the Payment Reconciliation Journal page, then you must use
the Bank Acc. Reconciliation page. For more information, see Reconcile Bank Accounts.

See also
Sales
Review and Apply Payments Manually After
Automatic Application
For each journal line representing a payment on the Payment Reconciliation Journal page, you can open the
Payment Application page to see all candidate open entries for the payment and view detailed information for
each entry about the data matching that a payment application is based on. Here, you can manually apply
payments or reapply payments that were applied automatically to a wrong entry. For more information about
automatic application, see Reconcile Payments Using Automatic Application.
IMPORTANT
When the bank account that you are reconciling payments for is set up for the local currency, then the Payment
Application page will show all open entries in the local currency, including open entries for documents that were
originally invoiced in foreign currencies. Payments applied to entries with converted currencies may therefore be posted
with different amounts than on the original document because of the potentially different exchange rates used by the
bank and Business Central respectively.
Therefore, we recommend that you look for foreign currency codes in the Currency Code field on the
Payment Application page to check if applications are based on converted currencies. To review the original
document amount in the foreign currency and to see the exchange rate used, choose the Applies-to Entr y No.
field, and then, on the shortcut menu, choose the drilldown button to open the Customer Ledger Entries or
Vendor Ledger Entries page.
Any gains-and-loss adjustment required due to currency conversions is not handled automatically by Business
Central.
NOTE
You cannot apply entries with a different sign than the sign on the payment. For example, to close both a negative-sign
credit memo and its related positive-sign invoice, you must first apply the credit memo to the invoice, and then apply the
payment to the invoice with the reduced remaining amount.
WARNING
If you use payment discounts, and if the payment date is before the payment due date, then the Remaining Amt. Incl.
Discount field on the Payment Application page will be used for matching. Otherwise, the value in the Remaining
Amount field will be used. If the payment was made with a discounted amount after the payment due date, or the full
amount was paid but a discount was granted, then the amount will not be matched.
NOTE
You can only apply a payment to one account. If you want to split the application on multiple open entries, for example to
apply a lump-sum payment, then the open entries must be for the same account. For more information, see steps 7 and
8 in the procedure in this topic.
To review or apply payments after automatic application

2. Open the payment reconciliation journal for a bank account that you want to reconcile payments for. For
more information, see Reconcile Payments Using Automatic Application.
3. On the Payment Reconciliation Journal page, select a payment that you want to review or manually apply
to one or more open entries, and then choose the Apply Manually action.
4. Select the Applied check box on the line for the open entry that you want to apply the payment to.
5. The payment amount, which is also shown in the Transaction Amount field on the Payment Application
page, is inserted in the Applied Amount field, but you can modify the field, for example if you want to apply
the amount to several open entries.
6. To apply a part of the paid amount to another open entry for the account, for example to apply a lump-sum
payment, select the Applied check box for the line. The applied amount is automatically deducted from the
transactions amount to reflect the distribution on the two open entries.
7. To apply a part of a payment to one or more open entries that does not exist in the database, create a new
line under the line for the same account. In the Applied Amount field, enter the amount to apply on the new
line, and then adjust the Applied Amount field on the existing line.
8. Repeat steps 5, 6, or 7 for other open entries that you want to apply a full or partial payment amount to.
9. When you have reviewed a payment application or manually applied to one or more open entries, choose
the Accept Application action.
The Payment Application page closes, and on the Payment Reconciliation Journal page, the value in the
Match Confidence field is changed to Accepted to indicate to you that you have reviewed or manually
applied the payment.
See Also
Sales
Reconcile Payments that Cannot be Applied
Automatically
You may sometimes have to handle payments to your bank account that cannot be applied to a related open
customer, vendor or bank account ledger entry. Reasons may be that no document exists in Business Central
that the payment can be applied to, or the related document in Business Central has a different amount than the
transaction amount, for example, because of currency exchange. On the Payment Reconciliation Journal
page, all transaction amounts for payments that are not yet applied appear in the Difference field, including
amounts that cannot be applied because of reasons such as the above.
The methods for resolving these types of unapplied payments:
Apply manually
Use text-to-account mapping
Transfer an excess amount to a journal line to create and post the required entry, such as a refund of an
overpayment.
Payments that cannot be applied can appear on payment reconciliation journal lines in the following different
ways:
The value in the Difference field is equal to the value in the Transaction Amount field, which indicates that
no part of the payment can be applied to a related open customer, vendor, or bank account ledger entry.
The value in the Difference field is lower than the value in the Transaction Amount field, which indicates
that a part of the payment can be applied to a related open customer, vendor, or bank account ledger entry.
The remaining part of the payment cannot be applied and must be reconciled manually or by posting it
directly to an account.
To reconcile such payments, you can choose the Transfer Difference to Account action and then specify to
which account the amount in the Difference field will be posted when you post the payment reconciliation
journal. You can do this either from the Payment Reconciliation Journal page or from the Payment
Application Review page that you open by choosing the value in the Match Confidence field or by choosing
the Difference field.
TIP
Similar functionality exists to set up automatic reconciliation of recurring payments that cannot be applied to related open
customer, vendor, or bank account ledger entries. For more information, see Map Text on Recurring Payments to Accounts
for Automatic Reconciliation.
To reconcile payments that cannot be applied automatically

2. Open a payment reconciliation journal. For more information, see Reconcile Payments Using Automatic
Application.
3. Choose the Transfer Difference to Account . The Transfer Difference to Account page opens.
4. In the Account Type field, specify if the type of account that the payment amount will be posted to.
5. In the Account No. field, specify the account that the payment amount will be posted to.
6. In the Description field, specify text that describes this direct payment posting. By default, the text in the
Transaction Text field on the payment reconciliation journal line is inserted.
If the value in the Difference field was equal to the value in the Transaction Amount field when you post the
payment reconciliation journal, the whole payment on the journal line will be posted directly to the specified
balancing account.
If the value in the Difference field was lower than the value in the Transaction Amount field, then an
additional journal line will be created with the same text and date and with the difference inserted in the
Transaction Amount field. On the original journal line, the difference will be deducted from the value in the
Transaction Amount field, and the payment will remain applied to its related customer, vendor, or bank
account ledger entry. When you post the payment reconciliation journal, one part of the payment will be posted
as an applied payment. The other part of the payment will be posted directly to the specified account.
See Also
Sales
Map Text on Recurring Payments to Accounts for
Automatic Reconciliation
On the Text-to-Account Mapping page, which you open from the Payment Reconciliation Journal page,
you can set up mappings between text on payments and specific debit, credit, and balancing accounts so that
such payments are posted to the specified accounts when you post the payment reconciliation journal.
Similar functionality exists to reconcile excess amounts on payment reconciliation journal lines on an ad-hoc
basis. For more information, see Reconcile Payments that Cannot be Applied Automatically.
Payments posted based on text-to-account mapping are not applied to open entries, but are merely posted to
the specified accounts in addition to creating bank account ledger entries. Accordingly, text-to-account mapping
is suited for recurring cash receipts or expenses, such as frequent purchases of car fuel or bank fees and interest,
that regularly occur on the bank statement and do not need a related business document. For more information,
see the "Example - Text-to-Account Mapping for Fuel Expense" section in this topic.
NOTE
Payments on reconciliation journal lines are only set to posting according to text-to-account mapping if the automatic
application function can only provide a match confidence of Low or Medium . If the automatic application function
provides a match confidence of High, then the payment is automatically applied to one or more open entries, and the
payment is not posted to the accounts specified on the Text-to-Account Mapping page. In other words, a match
confidence of High overrules a text-to-account mapping.
On a payment reconciliation journal line where the payment has been set to posting according to text-to-
account mapping, the Match Confidence field contains High - Text-to-Account Mapping , and the Account
Type and Account No. fields contain the mapped accounts.
To map text on recurring payments to accounts for automatic

reconciliation
Application.
3. Choose the Map Text to Account action. The Text-to-Account Mapping page opens.
4. In the Mapping Text field, enter any text that occurs on payments that you want to post to specified
accounts without applying to an open entry. You can enter up to 50 characters.
NOTE
If no other payments exist with the mapping text in question, then the text-to-account mapping will occur even
when only a part of the text on the payment exists as a mapping text.
5. In the Vendor No. field, enter the vendor that the payments will be posted to.
6. In the Bal. Source Type field, specify if the payment will be posted to a general ledger account or to a
customer or vendor account.
7. In the Bal. Source No. field, specify the account that the payment will be posted to, depending on your
selection in the Bal. Source Type field.
NOTE
Do not use the Debit Acc. No. and Credit Acc. No. fields in connection with payment reconciliation. They are
used for incoming documents only. For more information, see Use OCR to Turn PDF and Image Files into
Electronic Documents.
8. Repeat steps 3 through 7 for all text on payments that you want to map to accounts for direct posting
without application.
Next time you import a bank statement file or choose the Apply Automatically action on the Payment
Reconciliation Journal page, journal lines for the payments that contain the specified mapping text will
contain the mapped accounts in the Account Type and Account No. fields. The Match Confidence field will
contain High - Text-to-Account Mapping . This is on the condition that the automatic application function can
only provide a match confidence of Low or Medium .
Example: Text-to-Account Mapping for Bank Fees

To always post expenses that are related to fees from a specific bank, MyBank, to the general ledger account for
bank charges and fees (account 60400), fill a line on the Text-to-Account Mapping page as follows.
M A P P IN G T EXT DEB IT A C C . N O. C REDIT A C C . N O. B A L . SO URC E T Y P E B A L . SO URC E N O.
MyBank BLANK 60400 G/L Account BLANK

See also
Sales
On the Payment Application Rules page, you set up rules to govern how payment text (on a bank
transaction) is automatically matched with text on related open (unpaid) invoices, credit memos, or other entries
when you use the Apply Automatically function on the Payment Reconciliation Journal page. For more
information, see Reconcile Payments Using Automatic Application.
You set up new payment application rules by choosing which types of data on a payment reconciliation journal
line must match with data on one or more open entries before the related payment is automatically applied to
the open entries. The quality of each automatic application is shown as a value of Low to High in the Match
Confidence field on the Payment Reconciliation Journal page according to the payment application rule
that was used.
Each row on the Payment Application Rules page represents a payment application rule. Rules are applied in
the order specified by the Sor ting Order field. If multiple rules are used simultaneously, then the match
confidence of the highest sorted rule is used.
The automatic application function is based on prioritized matching criteria. First the function tries, in prioritized
order, to match text in the five Related-Par ty fields on a journal line with text in the bank account, name, or
address of customers or vendors with unpaid documents representing open entries. Then, the function tries to
match text in the Transaction Text and Additional Transaction Info fields on a journal line with text in the
External Document No. and Document No. fields on open entries. Last, the function tries to match the
amount in the Statement Amount field on a journal line with the amount on open entries.
NOTE
Text matching is only possible for text longer than four characters.
In addition to the matching criteria, the following applies concerning the sign of the payment amount:
For negative amounts, a match is made first against open entries representing customer invoices and then
against vendor credit memos.
For positive amounts, a match is made first against open entries representing vendor invoices and then
against customer credit memos.
To set up a payment application rule

1. Choose the icon, enter Payment Application Rules , and then choose the related link.
2. Define a new or edited payment application rule by filling the fields on a line as described in the following
table.
Match Confidence Specifies your confidence in the application rule that you
define on the line.
A value that you specify in this field is shown in the Match

Confidence field on the Payment Reconciliation Journal
page according to the quality of the automatic payment
application on the journal line.
Priority Specifies the priority of the application rule relative to other

application rules that are defined as lines on the Payment
Application Rules page. 1 represents the highest priority.
Related Par ty Matched Specifies how much information about the customer or
vendor, such as address, city name, and bank account
number, on the payment reconciliation journal line must
match with information about the open entry before the
application rule will be used to automatically apply the
payment to the open entry.
Doc. No./Ext. Doc. No. Matched Specifies whether text on the payment reconciliation journal
line must match with the value in the Document No. field
or the External Document No. field on the open entry
before the application rule will be used to automatically
apply the payment to the open entry.
Amount Incl. Tolerance Matched Specifies how many entries for a customer or vendor must
match the amount including payment tolerance before the
application rule will be used to automatically apply a
payment to the open entry.
Review Required Specifies whether the automatic payment application is

recommended for manual review by the user before posting.
Choosing the Lines to Review field on the Payment
Application Journal page starts a guided experience
where you can easily review multiple applications in a
sequence on the Payment Application Review page.
The following table describes the standard payment application rules in Business Central.
IMPORTANT
The payment application rules may be different in your implementation of Business Central.
A M O UN T IN C L .
REL AT ED PA RT Y DO C . N O. / EXT. DO C . TO L ERA N C E
M ATC H C O N F IDEN C E P RIO RIT Y M ATC H ED N O. M ATC H ED M ATC H ED
High 1 Fully Yes - Multiple One Match
High 2 Fully Yes - Multiple Multiple Matches
High 3 Fully Yes One Match
High 4 Fully Yes Multiple Matches
High 5 Partially Yes - Multiple One Match
High 6 Partially Yes - Multiple Multiple Matches
High 7 Partially Yes One Match
High 8 Fully No One Match

A M O UN T IN C L .
REL AT ED PA RT Y DO C . N O. / EXT. DO C . TO L ERA N C E
M ATC H C O N F IDEN C E P RIO RIT Y M ATC H ED N O. M ATC H ED M ATC H ED
High 9 No Yes - Multiple One Match
High 10 No Yes - Multiple Multiple Matches
Medium 1 Fully Yes - Multiple Not Considered
Medium 2 Fully Yes Not Considered
Medium 3 Fully No Multiple Matches
Medium 4 Partially Yes - Multiple Not Considered
Medium 5 Partially Yes Not Considered
Medium 6 No Yes One Match
Medium 7 No Yes-Multiple Not Considered
Medium 8 Partially No One Match
Medium 9 No Yes Not Considered
Low 1 Fully No No Matches
Low 2 Partially No Multiple Matches
Low 3 Partially No No Matches
Low 4 No No One Match
Low 5 No No Multiple Matches

See Also
Sales
Reconcile Customer Payments from a List of Unpaid
Sales Documents
When your customers have made payments to your electronic bank account, you must apply each amount paid
to the related sales document and then post the payment to update the customer, general ledger, and bank
ledger entries. Depending on your business needs, you can get paid and register that payment in different ways:
manually, automatically, and through payment services.
NOTE
You can perform the same tasks, including vendor payments, on the Payment Reconciliation Journal page using
functions for bank statement import, automatic application, and bank account reconciliation. For more information, see
Reconcile Payments Using Automatic Application.
The Register Customer Payments page is designed to support you in tasks involved in balancing internal
accounts by using actual cash figures to make sure that payments are collected efficiently from customers. This
payment processing tool enables you to quickly verify and post individual or lump-sum payments, process
discounted payments, and find specific unpaid documents for which payment is made.
Payments for different customers that have different payment dates must be posted as individual payments.
Payments for the same customer that have the same payment date can be posted as a lump-sum payment. This
is useful, for example, when a customer has made a single payment that covers multiple sales invoices.
To set up the payment registration journal

Because you can post different payment types to different balancing accounts, you must select a balancing
account on the Payment Registration Setup page before you start processing customer payments. If you
always post to the same balancing account, you can set that account as the default and avoid this step every
time that you open the Register Customer Payments page.
1. Choose the icon, enter Payment Registration Setup , and then choose the related link.
Alternatively, on the Register Customer Payments page, choose the Setup action.
2. Fill in the fields on the Payment Registration Setup page. Choose a field to read a short description of
the field or link to related information.
To register customer payments individually

1. Choose the icon, enter Register Customer Payments , and then choose the related link.
The Register Customer Payments page shows all posted documents for which a payment can be
registered. The page can also be opened from the Customers and Customer Card pages where it is
automatically filtered for the specified customer.
2. Select the Payment Made check box on the line that represents the posted document for which a
payment has been made.
If the Auto Fill Date Received check box is selected on the Payment Registration Setup page, then
the work date is entered in the Date Received field.
3. In the Date Received field, enter the date when the payment was made. This date may be different from
the work date.
4. In the Amount Received field, enter the amount that has been paid.
For full payments, this is the same as the amount in the Remaining Amount field on the line. For partial
payments, this is lower than the amount in the Remaining Amount field on the line.
5. Repeat steps 2-4 for other lines that represent posted documents for which payments are made.
6. Choose the Post Payments action.
The payment information is posted for documents represented by lines where the Payment Made check box is
selected.
Payments entries are posted to general ledger, bank, and customer accounts. Each payment is applied to the
related posted sales document.
To reconcile lump-sum payments

1. Choose the icon, enter Payment Registration , and then choose the related link.
2. Select the Payment Made check box on the lines that represent posted documents for the same
customer for which a lump-sum payment has been made.
NOTE
The customer in the Name field must be the same on all lines that will be posted as a lump-sum payment.
If the Auto Fill Date Received check box is selected on the Payment Registration Setup page, then
the work date is filled in the Date Received field.
3. In the Date Received field, enter the date when the payment was made. This date may be different from
the work date.
NOTE
This date must be the same on all lines that will be posted as a lump-som payment.
4. In the Amount Received field, enter amounts on multiple lines that sum up to the lump payment
amount.
TIP
Try to post as many full payments as possible with the lump-sum amount. Enter amounts that are the same as
the amount in the Remaining Amount field on as many lines as possible.
5. Repeat steps 2-4 for other lines that represent posted documents for the same customer for which a
lump-sum payment has been made.
6. Choose the Post As Lump Payment action. The entered payment information is posted for documents
represented by lines where the Payment Made check box is selected.
Payment entries are posted to general ledger, bank, and customer accounts. Each payment is applied to the
related posted sales document.
If a payment in the bank is not represented by line on the Payment Registration page, it may be because the
related document has not yet been posted. In that case, you can use a search function to quickly find the
document and post it to process the payment. For more information, see To find a specific sales document that is
not fully invoiced.
If a payment in the bank is not represented by any document in Business Central, then you can open a prefilled
general journal from the Payment Registration page to post the payment directly to the balancing account
without applying the payment to a document. Alternatively, you may want to record the payment in the journal
until the origin of the payment has been resolved. For more information, see To record or post a payment
without a related document.
To process customer payments with discounts manually

If you have agreed on a payment discount with your customer, then the payment amounts can be lower than the
invoice amounts if payment occurs before the agreed discount date.
The following procedures explains four different ways to post discounted payments on the Payment
Registration page.
The payment amount is equal to the remaining discounted amount, and the payment date is before the
discount date. You post the payment as is.
The payment amount is equal to the remaining discounted amount, but the payment date is after the
discount date. You post the payment as partial. The document remains open to collect/pay the remaining
amount. Alternatively, you set the discount date later to allow the payment in full.
The payment amount is lower than the remaining discounted amount. You post the payment as partial. The
document remains open to collect/pay the remaining amount.
The payment amount is more than the remaining discounted amount. You post the payments as is. Only the
remaining amount is posted. The additional amount is credited to the customer.
To process a payment amount that is equal to the discounted amount and where the payment date is before
the discount date
2. Enter the payment amount in the Amount Received field. The amount is equal to the amount in the
Rem. Amt. after Discount field.
The Payment Made check box is automatically selected, and the Date Received field is filled with the
work date.
3. In the Date Received field, enter the payment date. The date is before the date in the Pmt. Discount
Date field.
4. Verify that the Remaining Amount field contains zero (0).
5. Choose the Post Payments action to post the full payment to general ledger, bank, and customer
accounts.
To process a payment amount that is equal to the discounted amount but where the payment date is after the
discount date
2. Enter the payment amount in the Amount Received field. The amount is equal to the amount in the
work date.
3. In the Date Received field, enter a payment date that is after the date in the Pmt. Discount Date field.
Date fields change to red font, and an error message is shown at the bottom of the page.
TIP
If you want to make an exception and grant the discount even though the payment is late, follow these steps:
4. Choose the Details action.

5. On the Payment Registration Details page, in the Pmt. Discount Date field on the Payment
Discount FastTab, enter a date that is after the date in the Date Received field on the Payment
Registration page.
The error message and the red font disappear, and you can proceed to process the discounted payment.
6. Verify that the Remaining Amount field contains the amount that remains to pay the full invoice
amount.
7. Choose the Post Payments action to post the partial payment to general ledger, bank, and customer
accounts.
The related document remains open.
To process a payment that is lower than the remaining discounted amount
2. Enter the payment amount in the Amount Received field. The amount is lower than the amount in the
work date.
Date field.
4. Verify that the Remaining Amount field contains the amount that remains to pay the discounted
amount.
5. Choose the Post Payments action to post the partial payment to general ledger, bank, and customer
accounts.
The related document remains open.
To process a payment that is more than the remaining discounted amount
2. Enter the payment amount in the Amount Received field. The amount is more than the amount in the
work date.
Date field.
4. Verify that the Remaining Amount field contains zero (0).
5. Choose the Post Payments action to post the full payment to general ledger, bank, and customer
accounts.
The related document is closed, and the customer is credited the excess payment amount.
To find a specific sales document that is not fully invoiced

The Payment Registration page supports you in tasks needed to balance internal accounts with actual cash
figures to ensure effective collection from customers. It shows outstanding incoming payments as lines that
represent sales documents where an amount is due for payment.
Typically, when a payment has been made, recorded in the bank or otherwise, the related sales or purchase
document is represented as a line on the Payment Registration page because the document in question is
waiting for the payment to be posted against the outstanding amount. However, sometimes a payment that has
been made is not represented by a line on the Payment Registration page, typically because the document in
question has not been fully invoice posted.
On the Document Search page, you can search among documents that are not fully invoiced. You can search
based on one or more of the following criteria:
Document number
Amount or amount range
The following procedure explains how to find a specific document by using both search criteria.
2. With the pointer on any line, Choose the Search Documents action.
3. On the Document Search page, enter a search value in the Document No. field.
NOTE
The value that you enter in this field is enclosed in hidden wildcard characters. This means that the function
searches for all document numbers that contain the entered value.
4. In the Amount field, enter the specific amount that exists on the document that you want to find.
5. In the Amount Tolerance % field, enter a percentage value to define the range of amounts that you
want to search to find the open document.
If you enter 10, then the function will search for amounts in a range between ten percent lower and ten
percent higher than the value in the Amount field.
6. Choose the Search action.
The Search function searches among documents that are not fully invoiced based on the specified criteria.
If one or more documents match the criteria, then the Document Search Result page opens to display lines
that represent those documents. Each line contains a document number, description, and amount so that you
can easily find a specific document, for example based on information on your bank statement.
general journal from the Payment Registration page to post the payment directly to the balancing account
without applying the payment to a document. Alternatively, you may want to record the payment in the journal
until the origin of the payment has been resolved.
To record or post a payment without a related document

general journal line from the Payment Registration page to post the payment directly to the balancing
account without applying the payment to a document. Alternatively, you may want to record the payment in the
journal until the origin of the payment has been clarified.
Proceed to record an undocumented payment.
2. Choose the General Journal action.
The General Journal page opens with one line prefilled with the balancing account of the journal batch
that is set up on the Payment Registration Setup page.
3. Fill in the remaining fields on the general journal line, such as the amount and the customer number or
other information from the bank statement. For more information, see Post Transactions Directly to the
General Ledger.
You can either post the journal line to update the total on the balancing account. Alternatively, you can leave the
journal line unposted, and perhaps append it with a note that the payment needs more analysis.
If you leave the journal line unposted, it will add to the value in the Unposted Balance field at the bottom of
the Payment Registration page.
See Also
Sales
Reconcile Customer Payments with the Cash
Receipt Journal or from Customer Ledger Entries
When you receive a cash payment from a customer or give a cash refund you can apply the payment or refund
to close open debits or credits. You can specify the amount to apply. For example, you can apply partial
payments to customer ledger entries. Closing customer ledger entries keeps customer statistics, account
statements, finance charges, and so on, up-to-date.
TIP
On the Customer Ledger Entries page, red font means that the related payment is past its due date. If overdue
payments are becoming a problem, we can help you reduce their frequency. You can enable the Late Payment
Predictions extension, which uses a predictive model that we built in Azure Machine Learning to predict the timing of
payments. These predictions help you reduce outstanding receivables and fine-tune your collections strategy. For
example, if a payment is predicted to be late, you can adjust the terms of payment or the payment method for the
customer. For more information, see Late Payment Predictions.
You can apply customer ledger entries in several ways:

By entering information on dedicated pages:
The Payment Reconciliation Journal page. For more information, see Applying Payments
Automatically and Reconciling Bank Accounts.
The Payment Registration page. For more information, see Reconcile Customer Payments from a
List of Unpaid Sales Documents.
The Cash Receipt Journal . This option is described below.
By filling in the Applies-to Doc. No. field on sales credit memo documents. This option is described below.
By using the Set Applies-to ID action on a customer ledger entry. This option is described below.
By using the Apply Entries action on the Bank Deposit page, and then entering the invoice number in the
Applies-to ID field. For more information, see Create Bank Deposits.
NOTE
If the Application Method field on the customer card contains Apply to Oldest , payments are applied to the oldest
open credit entry, unless you manually specify an entry. If the application method is Manual, you always apply entries
manually.
To fill and post a cash receipt journal

A cash receipt journal is a type of general journal. You can use it to post transactions to general ledger, bank,
customer, vendor, and fixed assets accounts. You can apply the payment to one or more debit entries when you
post the payment. You can also apply from the posted entries later.
1. Choose the icon, enter Cash Receipt Journal , and then choose the related link.
2. Choose the Edit Journal action.
3. Select the relevant batch in the Batch Name field.
4. Fill in the Posting Date field.
5. In the Document Type field, select Payment .
The Document No. field is filled by the number series assigned to the batch.
6. Use the External Document No. field to store an identifier, such as the customer's check number.
7. In the Account Type field, select Customer .
8. In the Account No. field, select the relevant G/L account.
9. If you want to post the application at the same time as you post the journal, do one of the following.
10. In the Balancing Account Type field, select G/L Account for cash payments, and Bank Account for
other payments.
11. In the Balancing Account No. field, select the cash account for cash payments, or the relevant bank
account for other payments.
12. Post the journal.
To apply a payment to a single customer ledger entry

1. Choose the icon, enter Cash Receipt Journal and choose the related link.
3. On the first journal line, enter the relevant information about the entry to be applied.
4. In the Document Type field, enter Payment .
5. In the Account Type field, enter Customer .
6. In the Bal. Account Type field, enter Bank Account .
7. In the Applies-to Doc. No. field, choose the field to open the Apply Customer Entries page.
8. On the Apply Customer Entries page, select the entry to apply the payment to.
9. In the Amount to Apply field, enter the amount you want to apply to the entry. If you don't enter an
amount, the maximum amount is applied.
At the bottom of the Apply Customer Entries page, you can see the specific amount in the Applied
Amount field and also whether the application balances.
10. Choose the OK button. The Cash Receipt Journal page now shows the entry in the Applies-to Doc.
Type and Applies-to Doc. No. fields.
11. Post the cash receipt journal.
To apply a payment to multiple customer ledger entries

1. Choose the icon, enter Cash Receipt Journal , and then choose the related link.
3. On the first journal line, enter the relevant information about the entry to be applied.
4. In the Document Type field, enter Payment .
5. In the Account Type field, enter Customer .
6. In the Bal. Account Type field, enter Bank Account .
7. In the Amount field, enter the full payment as a negative amount.
8. To apply the payment to multiple customer ledger entries when posting, choose the Apply Entries
action.
9. Select the lines with the entries that you want the applying entry to be applied to, and then choose the
Set Applies-to ID action.
10. On each line, in the Amount to Apply field, enter the amount you want to apply to the individual entry.
If you don't enter an amount, the maximum amount is applied.
12. Post the cash receipt journal.
To apply a credit memo to a single customer ledger entry

1. Choose the icon, enter Sales Credit Memos , and then choose the related link.
2. Open the relevant sales credit memo.
3. To apply the credit memo to a single customer ledger entry when posting, in the Applies-to Doc. No.
field, select the entry to which you want to apply the payment.
4. On the line in the Amount to Apply field, enter the amount you want to apply to the entry.
If you don't enter an amount, application automatically applies the maximum amount. At the bottom of
the Apply Customer Entries page, you can see the specific amount in the Applied Amount field and
also whether the application balances.
5. Choose the OK button. The Sales Credit Memo page now shows the entry you have selected entered in
the Applies-to Doc. Type and Applies-to Doc. No. fields. And the amount of the credit memo to be
posted, adjusted for any possible payment discounts.
6. Post the credit memo.
To apply a credit memo to multiple customer ledger entries

2. Open the relevant sales credit memo.
3. To apply the credit memo to multiple customer ledger entries when posting, choose the Apply Entries
action.
Set Applies-to ID action.
5. On each line, in the Amount to Apply field, enter the amount you want to apply to the individual entry.
6. Choose the OK button. The Sales Credit Memo page now shows the amount of the credit memo to be
posted, adjusted for any possible payment discounts.
To apply posted customer ledger entries

2. Open the customer card for the customer with entries that you want to apply.
3. Choose the Ledger Entries action, and then select the line with the entry that will be the applying entry.
4. Choose the Apply Entries action. The Apply Customer Entries page opens showing the open entries
for the customer.
Set Applies-to ID. action.
6. For each line in the Amount to Apply field, enter the amount you want to apply to the individual entry.
Amount field.
7. Choose the Post Application action. The Post Application page appears with the document number of
the applying entry and the posting date of the entry with the most recent posting date.
8. Choose the OK button to post the application.
If the posted application has resulted in closed customer ledger entries, the Open field is cleared for
these ledger entries.
9. To see the ledger entries, choose the icon, enter Customers , and then choose the related link. Browse
to the card for the relevant customer to see the ledger entries.
On the ledger entry list, on the line that contains the ledger entry that was fully applied to, you can see that the
Open check box isn't selected.
NOTE
After you select an entry on the Apply Customer Entries page, or several entries by setting the Applies-to ID , the
Applied Amount field on the journal line will contain the sum of the remaining amounts for the posted entries you've
selected, unless the field contains something already. If you select Apply to Oldest in the Application Method field on
the customer card, the application occurs automatically.
To apply customer ledger entries in different currencies to one

another
If you sell to a customer in one currency and receive payment in another currency, you can still apply the invoice
to the payment.
Here's an example. You apply Entry 1 in one currency to Entry 2 in another currency. The posting date on Entry 1
is used to find the exchange rate to use to convert amounts on Entry 2. The exchange rate is found on the
Currency Exchange Rates page.
Applying customer ledger entries in different currencies must be enabled. For more information, see Enable
Application of Ledger Entries in Different Currencies.
1. Choose the icon, enter Cash Receipts Journal , and then choose the related link.
2. Open the journal you want, and fill in the first empty journal line using a currency code.
3. Choose the Apply Entries action.
4. Select the line with the entry you want to apply to the entry in the cash receipt journal, choose the Set
Applies-to ID action, and then select the entry you want to apply to.
5. Choose the OK button to return to the cash receipt journal.
6. Post the sales journal.
IMPORTANT
When you apply entries in different currencies, the entries are converted to USD. Although the exchange rates for the two
currencies are fixed, for example between USD and EUR, there may be a small residual amount when they are converted
to USD. These small residual amounts are posted as gains and losses to the account specified in the Realized Gains
Account or Realized Losses Account fields on the Currencies page. The Amount (USD) field is also adjusted on the
vendor ledger entries.
To correct an application of customer entries

When you correct an application, correcting entries are created and posted for all entries. The correcting entries
are the same as the originals but have an opposite sign in the Amount field. The correcting entries include all
general ledger entries derived from the application. For example, the payment discount and currency
gains/losses. The entries that were closed by the application are reopened.
2. Open the relevant customer card.
3. Choose the Ledger Entries action.
4. Select the relevant ledger entry, and then choose the Unapply Entries action.
5. Alternatively, choose the Detailed Ledger Entr y action.
6. Select the application entry, and then choose the Unapply Entries action.
7. Fill in the fields in the header, and then choose the Unapply action.
IMPORTANT
If an entry has been applied by more than one application entry, you must unapply the latest application entry first.
See Also
Sales
Managing receivables includes checking whether amounts due are paid on time. If customers have overdue
payments, you can begin by sending the Customer Statement report as a reminder. Alternatively, you can
issue reminders.
You can use reminders to remind customers about overdue amounts. You can also use reminders to calculate
finance charges, such as interest or fees and include them on the reminder. Use finance charge memos if you
want to debit customers for interest or fees without reminding them of overdue amounts.
Statements
From the customer card, you can create a statement with that customer's transactions with you. Then, you send
the customer the generated PDF file. Alternatively, use the Customer Statement report to send your
customers an overview of their business with you. The customer statement can be sent to Excel for further
processing.
To send the Customer Statement report
1. Choose the icon, enter Customer Statement , and then choose the related link.
3. Under Output Options , select how to send the report to the customer.
NOTE
If you are using multiple currencies, the Customer Statement report is always printed in the customer's currency. The last
date in a statement period is also used as the statement date and the aging date, if aging is included.
Reminders
finance charges such as interest or fees and include them on the reminder.
Before you can create reminders, you must set up reminder terms and assign them to your customers. For more
information, see Set Up Reminder Terms and Levels. You can set up an unlimited number of reminder terms.
Each set of terms is identified by a code. Each reminder term has predefined reminder levels. Each reminder
level includes rules about when the reminder will be issued, for example, how many days after the invoice due
date or the date of the previous reminder. The contents of the Finance Charge Terms page determines
whether interest is calculated on the reminder.
You can periodically run the Create Reminders batch job to create reminders for all customers with overdue
balances, or you can manually create a reminder for a specific customer and have the lines calculated and filled
in automatically.
After you create the reminders, you can modify them. The text that appears at the beginning and end of a
reminder is determined by the reminder level terms, and can be seen in the Description column. If a calculated
amount has been inserted automatically in the beginning or ending text, the text will not be adjusted if you
delete lines. Then you must use the Update Reminder Text function.
A customer ledger entry with the On Hold field filled in will not prompt the creation of a reminder. However, if a
reminder is created on the basis of another entry, an overdue entry marked on hold will also be included on the
reminder. Interest is not calculated on lines with these entries.
After you have created reminders and made any needed modifications, you can either print test reports or issue
the reminders, typically as email.
To create a reminder automatically
A reminder is similar to an invoice. When you create a reminder, a reminder header as well as one or more
reminder lines must be filled in. You can use a function to create reminders for all customers automatically.
1. Choose the icon, enter Reminders , and then choose the related link.
2. On the Reminder page, choose the Create Reminders action.
3. On the Create Reminders page, fill in the fields to define how and to whom the reminders are created.
To create a reminder manually
On the Reminder page, you can fill in the General FastTab manually and then have the lines filled in
automatically.
3. On the General FastTab, fill in the fields as necessary.
4. Choose the Suggest Reminder Lines action.
5. In the Suggest Reminder Lines batch job, fill in the fields to define how and to whom the reminders
are created.
6. Select the Include Entries On Hold check box if you want the reminders to contain overdue open
entries that are on hold.
7. Select the Only Entries with Overdue Amounts check box if you want the reminders to contain only
overdue open entries. Only invoices and payments will be shown as these are the entries for which your
customers' payments may be overdue.
IMPORTANT
Open entries that are on hold will be inserted, irrespective of the setting in the Only Entries with Overdue
Amounts check box.

To replace reminder texts
There are several ways you can determine the text that appears on the printed reminder. In some cases, you may
want to replace the beginning and ending texts that have been defined for the current level with those from a
different level.
2. Open the relevant reminder, and then choose the Update Reminder Text action.
3. On the Update Reminder Text page, enter the required level in the Reminder Level field.
4. Choose the OK button to update the beginning and ending texts.
To issue a reminder
the reminders.
When you issue a reminder, the data is transferred to a separate page for issued reminders. At the same time,
reminder entries are posted. If interest or an additional fee has been calculated, entries are posted to the
customer ledger and the general ledger.
When a reminder is issued, the entries are posted according to your specifications on the Reminder Terms
page. This specification determines whether interest and/or additional fees are posted to the customer's account
and the general ledger. Setup on the Customer Posting Groups page determines which accounts are posted
to.
For each customer ledger entry on the finance charge memo, an entry is created on the Reminder/Fin.
Charge Entries page.
If the Post Interest or the Post Additional Fee check boxes are selected on the Reminder Terms page, then
the following entries are also created:
One entry on the Customer Ledger Entries page
One receivables entry in the relevant G/L account
One interest and/or one additional fee entry in the relevant G/L account
In addition, issuing the reminder may result in VAT entries.
2. Select the relevant reminder, and then choose the Issue action.
3. On the Issue Reminders page, fill in the fields as necessary.
4. Choose the OK button
The reminder is either printed for sent to an specified email as a PDF attachment.
To cancel an issued reminder
If reminders were issued in error, you can cancel them before they are sent out. You can do this either one by
one or as a batch.
1. On the Issued Reminders page, select one or more lines for issued reminders that you want to cancel, and
then choose the Cancel action.
2. On the Cancel Issued Reminders page, fill in the fields as necessary, and then choose the OK button.
Finance Charges
When a customer does not pay by the due date, you can have finance charges calculated automatically and add
them to the overdue amounts on the customer's account. You can inform customers of the added charges by
sending finance charge memos.
NOTE
You use finance charge memos to calculate interest and finance charges and to inform your customers about interest and
finance charges without reminding them of overdue payments. Alternatively, you can calculate interest on overdue
payments when you create reminders.
Before you can create finance charge memos, you must set up terms. For more information, see Set Up Finance
Charge Terms.
You can manually create a finance charge memo for an individual customer, and fill in the lines automatically.
Alternatively, you can use the Create Finance Charge Memos function job to create finance charge memos
for all or selected customers with overdue balances.
After you create the finance charge memos, you can modify them. The text that appears at the beginning and
end of the finance charge memo is determined by the finance charge terms, and can be seen in the Description
column on the lines. If a calculated amount has been inserted automatically in the beginning or ending text, the
text will not be adjusted if you delete lines. Then you must use the Update Finance Charge Text function.
After you have created finance charge memos and made any needed modifications, you can either print test
reports or issue the finance charge memos, typically as email.
To create a finance charge memo manually
A finance charge memo is similar to an invoice. You can fill in a header manually and have the lines filled in for
you, or you can create finance charge memos for all customers automatically.
1. Choose the icon, enter Finance Charge Memos , and then choose the related link.
2. Choose the New action, and then fill in the fields as necessary.
3. Choose Suggest Fin. Charge Memo Lines action.
4. On the Suggest Finance Charge Memo Lines page, set a filter on the Cust. Ledger Entr y FastTab if
you want to create finance charge memos only for specific entries.
NOTE
Although they are listed, selecting Payment and Credit Memo as Document Type filters will not have any
effect because the Suggest Finance Charge Memo Lines function only handles positive amounts.

To update finance charge memo texts
In some cases, you may want to modify the beginning and ending text that you have set up for the finance
charge terms. If you do this at a time when you have created, but not yet issued, finance charge memos, you can
update the memos with the modified text.
1. Choose the icon, enter Finance Charge Memo , and then choose the related link.
2. open the finance charge memo that you want to change text for, and then choose the Update Finance
Charge Text action.
3. On the Update Finance Charge Text page, you can set a filter if you want to update several memos.
To issue finance charge memos
reports or issue the finance charge memos.
When a reminder is issued, the entries are posted according to your specifications on the Finance Charge
Terms page. This specification determines whether interest and/or additional fees are posted to the customer's
account and the general ledger. Setup on the Customer Posting Groups page determines which accounts are
posted to.
If the Post Interest or the Post Additional Fee check boxes are selected on the Finance Charge Terms page,
then the following entries are also created:
One entry on the Cust. Ledger Entries page
In addition, issuing the finance charge memo may result in VAT entries.
2. Select the relevant memo, and then choose the Issue action.
3. On the Issue Finance Charge Memos page, fill in the fields as necessary.
The finance charge memo is either printed for sent to an specified email as a PDF attachment.
To cancel an issued finance charge memo
If finance charge memos were issued in error, you can cancel them before they are sent out. You can do this
either one by one or as a batch.
1. On the Issued Finance Charge Memos page, select one or more lines for issued finance charge memos
that you want to cancel, and then choose the Cancel action.
2. On the Cancel Issued Fin. Charge Memos page, fill in the fields as necessary, and then choose the OK
button.
To view reminder and finance charge entries
When you issue a reminder, a reminder entry is created on the Reminder/Fin. Charge Entries page for each
reminder line that contains a customer ledger entry. You can then get an overview of the created reminder
entries for a specific customer.
2. Open the relevant customer card, and then choose the Ledger Entries action.
3. On the Customer Ledger Entries page, select the line with the ledger entry you want to see the reminder
entries for, and then choose the Reminder/Fin. Charge Entries action.
Multiple Interest rates

For each finance charge term code, you can specify multiple interest rates so that you can calculate finance
charges with multiple interest rates for a specific period. This is helpful if you charge different interest on
payments that are late. The interest calculation is the same for each financial charge, with variation only in the
rate of interest for a specific period. If multiple interest rates are not set up, then the interest rate and period that
is defined in the Finance Charge Terms and Reminder Terms pages for the whole period of calculation will
be used. For more information, see Set Up Multiple Interest Rates.

See Also
Sales
the SEPA format.
date.
NOTE

Debit format.
NOTE
debit.
collection.
empty.
NOTE

in step 3.

debit mandate.


Purchase Lines.
NOTE


automatically.

count.
collection.
SEPA Direct Debit.

lines.
by the bank.
receipts.
lines in question.
See Also
Service Management
Send Reminders of Outstanding Balances
in automatically.
automatically.
are created.
IMPORTANT
Amounts check box.

different level.
To issue a reminder
the reminders.
to.
one or as a batch.

See Also
Set Up Multiple Interest Rates for Delayed Payment
Sales
Block Customers
You can block a customer, for example because of insolvency, so that the customer cannot be added to sales
documents or so that no transactions can be posted for the customer.
In addition to blocking a customer, you can set receivable transactions for the customer to be on hold in
connection with reminders. For more information, see Collect Outstanding Balances.
The following table describes the options for blocking customers.
Blank Transactions are allowed for this customer.
Ship New orders and new shipments cannot be created for this
customer. Existing shipments not yet invoiced can be
invoiced.
Invoice New orders, new shipments, and new invoices cannot be

created for this customer. Existing shipments not yet
invoiced cannot be invoiced. You can still send reminders and
finance charge memos to the customer.
All No transaction is allowed for this customer, including

payments.
To block a customer
2. Select a customer, and then choose the Edit action.
3. In the Blocked field, choose what to block, as described in the table above.
See Also
Work with Payment Tolerances and Payment
Discount Tolerances
You can set up a payment tolerance to close an invoice when the payment does not fully cover the amount on
the invoice. For example, payment tolerances are typically for small amounts that would cost more to correct
than to just accept. You can set up a payment discount tolerance to grant a payment discount after the payment
discount date has passed.
You can use payment tolerances so that every outstanding amount has a set maximum allowed payment
tolerance. If the payment tolerance is met, then the payment amount is analyzed. If the payment amount is an
underpayment, then the outstanding amount is fully closed by the underpayment. A detailed ledger entry is
posted to the payment entry so that no remaining amount is left on the applied invoice entry. If the payment
amount is an overpayment, then a new detailed ledger entry is posted to the payment entry so that no
remaining amount is left on the payment entry.
You can use payment discount tolerances so that if you accept a payment discount after the payment discount
date, then it is always posted to either the payment discount account or a payment tolerance account.
Applying Payment Tolerance to Multiple Documents

A single document has the same payment tolerance whether it is applied on its own or with other documents.
Acceptance of a late payment discount when you are applying payment tolerance to multiple documents
automatically occurs for each document where the following rule is true:
payment discount date < payment date on the selected entry <= payment tolerance date
This rule also applies to determine whether to display warnings when you apply payment tolerance to multiple
documents. The payment discount tolerance warning is displayed for each entry that meets the date criteria. For
more information, see Example 2 - Tolerance Calculations for Multiple Documents.
You can choose to display a warning that is based on different tolerance situations.
The first warning is for the payment discount tolerance. You are informed that you can accept a late payment
discount. You can then choose whether to accept tolerance on the discount date.
The second warning is for the payment tolerance. You are informed that all entries can be closed because the
difference is in the sum of the maximum payment tolerance for the applied entries. You can then choose
whether to accept tolerance on the payment amount.
NOTE
Enabling the warning message will let choose how to process payments that are within tolerance. If you do not enable the
message, and a tolerance level is specified, invoices with amounts that are within tolerance will be automatically closed
and you cannot choose to leave the remaining amount.
For more information, see To enable or disable payment tolerance warning.
To set up tolerances
Tolerance on days and amounts allows you to close an invoice even though the payment does not fully cover the
amount on the invoice, whether this is because the due date for the payment discount has been exceeded, goods
have been deducted or because of a minor error. This also applies to refunds and credit memos.
To set up tolerance you have to set up various tolerance accounts, specify both payment discount tolerance and
payment tolerance posting methods and then run the Change Payment Tolerance batch job.
2. On the General Posting Setup page, set up a debit and a credit sales payment tolerance account and a
debit and a credit purchase payment tolerance account.
3. Choose the icon, enter Customer Posting Groups , and then choose the related link.
4. On the Customer Posting Groups page, set up a debit and a credit payment tolerance account. For more
information, see Setting Up Posting Groups.
5. Choose the icon, enter Vendor Posting Setup , and then choose the related link.
6. On the Vendor Posting Groups page, set up a debit and a credit payment tolerance account.
7. Choose the icon, enter General Ledger Setup , and then choose the related link.
8. Open the General Ledger Setup page.
9. On the Application FastTab, fill in the Payment Discount Tolerance Posting , Payment Discount Grace
Period and Payment Tolerance Posting fields.
10. Choose the Change Payment Tolerance action.
11. On the Change Payment Tolerance page, fill in the Payment Tolerance % and Max Payment Tolerance
Amount fields, and then choose the OK button.
IMPORTANT
You have now set up tolerance for local currency only. If you want Business Central to handle tolerance on payments,
credit memos, and refunds in a foreign currency, you must run the Change Payment Tolerance batch job with a value
in the Currency Code field.
NOTE
If you want to get a payment tolerance warning every time that you post an application in the tolerance, you must
activate the payment tolerance warning. For more information, see To enable or disable payment tolerance warning
section.
To deactivate tolerance for a customer or vendor, you must block tolerances on the relevant customer or vendor card. For
more information, see To block payment tolerance for customers.
When you set up tolerance, Business Central also checks if there are any open entries and calculates the tolerance for
these entries.
To enable or disable payment tolerance warnings

The payment tolerance warning appears when you post an application that has a balance in the allowed
tolerance. You can then choose how you want to post and document the balance.
2. On the General Ledger Setup page, on the Application FastTab, turn on the Payment Tolerance
Warning toggle to activate the warning. To deactivate the warning, turn off the toggle.
NOTE
The default option for the Payment Tolerance Warning page is Leave the Balance as Remaining Amount . The
default option for the Payment Discount Tolerance Warning page the is Do Not Accept the Late Payment
Discount .
To block payment tolerance for customers

The default setting for payment tolerance is allowed. To disallow a certain customer or vendor payment
tolerance you need to block tolerance on the respective customer or vendor card. The following describes how
to do it for a customer. The steps are similar for a vendor.
1. Choose the icon, enter Customer or Vendor , and then choose the related link.
2. On the Payments FastTab, select the Block Payment Tolerance check box.
NOTE
If the customer or vendor has open entries, you must first remove payment tolerance from entries that are currently
open.
Example 1 - Tolerance Calculations for a Single Document

The following are some example scenarios showing the expected tolerance calculations and postings occurring
in different situations.
The G/L Setup page contains the following setup:
Payment Discount Grace Period: 5D
Max Payment Tolerance: 5
Scenarios with alternative A or B represent the following:
A In this case, the payment discount tolerance warning has been turned off OR the user has the warning on
and has selected to allow the late payment discount (Post the Balance as Payment Tolerance).
B In this case, the user has the warning on and has selected not to allow the late payment discount (Leave the
Balance as Remaining Amount).
PAY M PAY M
MAX EN T EN T
PAY M PAY M DISC O ALL DISC O PAY M
PAY M EN T EN T UN T EN T RI UN T EN T
EN T TO L E DISC O TO L ER PAY M TO L ER ES TO L ER TO L ER
DISC RA N C UN T ANCE EN T PAY M ANCE C LO SE ANCE ANCE
— IN V. O UN T E DAT E DAT E DAT E EN T TYPE D GL / C L G/ L
1 1,000 20 5 01/15 01/20 <=01 985 Paym Yes 0 -5

/03 /03 /15/0 entTol
3 eranc
e
2 1,00 20 5 01/1 01/2 <=0 980 None Yes 0 0

0 5/03 0/03 1/15/
03
PAY M PAY M
MAX EN T EN T
3 1,000 20 5 01/15 c <=01 975 Paym Yes 0 5

/03 /15/0 entTol
3 eranc
e
4A 1,000 20 5 01/15 01/20 01/16 1005 Paym No, 20/- 0

/03 /03 /03 entDis 25 on 20
01/20 count the
/03 Tolera Paym
nce ent
5A 1,000 20 5 01/15 01/20 01/16 1000 Paym No, 20/- 0

/03 /03 /03 entDis 20 on 20
01/20 count the
/03 Tolera Paym
nce ent
6A 1,000 20 5 01/15 01/20 01/16 995 Paym No, 20/- 0

/03 /03 /03 entDis 15 on 20
01/20 count the
/03 Tolera Paym
nce ent
4B 1,000 20 5 01/15 01/20 01/16 1005 Paym Yes 0 -5

/03 /03 /03 entTol
01/20 eranc
/03 e
5B 1,00 20 5 01/1 01/2 01/1 1000 None Yes 0 0

0 5/03 0/03 6/03
01/2
0/03
6B 1,000 20 5 01/15 01/20 01/16 995 Paym Yes 0 5

/03 /03 /03 entTol
01/20 eranc
/03 e
7 1,000 20 5 01/15 01/20 01/16 985 Paym Yes 20/- -5

/03 /03 /03 entDis 20
01/20 count
/03 Tolera
nce &
Paym
entTol
eranc
e
8 1,000 20 5 01/15 01/20 01/16 980 Paym Yes 20/- 0

/03 /03 /03 entDis 20
01/20 count
/03 Tolera
nce
PAY M PAY M
MAX EN T EN T
9 1,000 20 5 01/15 01/20 01/16 975 Paym Yes 20/- 5

/03 /03 /03 entDis 20
01/20 count
/03 Tolera
nce &
Paym
entTol
eranc
e
10 1,000 20 5 01/15 01/20 >01/2 1005 Paym Yes 0 -5

/03 /03 0/03 entTol
eranc
e
11 1,00 20 5 01/1 01/2 >01/ 1000 None Yes 0 0

0 5/03 0/03 20/0
3
12 1,000 20 5 01/15 01/20 >01/2 995 Paym Yes 0 5

/03 /03 0/03 entTol
eranc
e
13 1,000 20 5 01/15 01/20 >01/2 985 None No, 0 0

/03 /03 0/03 15 on
the
invoic
e
14 1,000 20 5 01/15 01/20 >01/2 980 None No, 0 0

/03 /03 0/03 20 on
the
invoic
e
15 1,000 20 5 01/15 01/20 >01/2 975 None No, 0 0

/03 /03 0/03 25 on
the
invoic
e
Payment Range Diagrams

In relation to the scenario above, the diagrams of payment ranges are as follows:
(1) Payment Date <=01/15/03 (Scenarios 1-3)
Remaining Amount per
Normal Application Rules
(1) If payment falls in these ranges, all application entries can be closed with or without tolerance.
(2) If payment falls in these ranges, all application entries cannot be closed even with tolerance.
(2) Payment Date is between 01/16/03 and 01/20/03 (Scenarios 4-9)
(3) Payment Date is after 01/20/03 (Scenarios 10-15)
Example 2 - Tolerance Calculations for Multiple Documents

in different situations. The examples are limited to being only those scenarios that result in all entries in the
application being closed.
Payment Discount Grace Period 5D
Max Payment Tolerance 5
Scenarios with alternative A, B, C, or D represent the following:
A In this case the payment discount tolerance warning has been turned off, OR the user has the warning on
and has selected to allow the late payment discount (Post as Tolerance) in any invoice.
B In this case, the user has the warning on and has selected not to allow the late payment discount on any
invoice.
C - In this case, the user has the warning on and has selected to allow the late payment discount on the first
invoice but not the second.
D - In this case, the user has the warning on and has selected not to allow the late payment discount on the
first invoice but allowed it on the second.
PAY M PAY M
MAX EN T EN T
1 1,000 60 5 01/15 01/20 <=01 1920 Paym Yes 0 -5

1,000 30 5 /03 /03 /15/0 entTol -5
01/17 01/22 3 eranc 0
/03 /03 e
2 1,00 60 5 01/1 01/2 <=0 1910 None Yes 0 0

0 30 5 5/03 0/03 1/15/ 0
1,00 01/1 01/2 03 0
0 7/03 2/03
3 1,000 60 5 01/15 01/20 <=01 1900 Paym Yes 0 5

1,000 30 5 /03 /03 /15/0 entTol 5
01/17 01/22 3 eranc 0
/03 /03 e
4B 1,000 60 5 01/15 01/20 01/16 1980 Paym Yes 0 -5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/17 eranc 0 -5
/03 /03 /03 e
5B 1,00 60 5 01/1 01/2 01/1 1970 None Yes 0 0

0 30 5 5/03 0/03 6/03
1,00 01/1 01/2 01/1 0 0
0 7/03 2/03 7/03
6B 1,000 60 5 01/15 01/20 01/16 1960 Paym Yes 0 5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/17 eranc 0 5
/03 /03 /03 e
PAY M PAY M
MAX EN T EN T
7A 1,000 60 5 01/15 01/20 01/16 1920 Paym Yes 60/60 -5

1,000 30 5 /03 /03 /03 entDis -5
01/17 01/22 01/17 count 0/0
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
8A 1,000 60 5 01/15 01/20 01/16 1910 Paym Yes 60/60 0

1,000 30 5 /03 /03 /03 entDis 0
01/17 01/22 01/17 count 0/0
/03 /03 /03 Tolera
nce
9A 1,000 60 5 01/15 01/20 01/16 1900 Paym Yes 60/60 5

1,000 30 5 /03 /03 /03 entDis 5
01/17 01/22 01/17 count
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
10B 1,000 60 5 01/15 01/20 01/18 2010 Paym Yes 0 -5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/20 eranc 0 -5
/03 /03 /03 e
11B 1,00 60 5 01/1 01/2 01/1 2000 None Yes 0 0

0 30 5 5/03 0/03 8/03
1,00 01/1 01/2 01/2 0 0
0 7/03 2/03 0/03
12B 1,000 60 5 01/15 01/20 01/18 1990 Paym Yes 0 5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/20 eranc 0 5
/03 /03 /03 e
13D 1,000 60 5 01/15 01/20 01/18 1980 Paym Yes 0/0 -5

1,000 30 5 /03 /03 /03 entDis -5
01/17 01/22 01/20 count 30/-
/03 /03 /03 Tolera 30
nce &
Paym
entTol
eranc
e
PAY M PAY M
MAX EN T EN T
14D 1,000 60 5 01/15 01/20 01/18 1970 Paym Yes 0/0 0

1,000 30 5 /03 /03 /03 entDis 0
01/17 01/22 01/20 count 30/-
/03 /03 /03 Tolera 30
nce
15D 1,000 60 5 01/15 01/20 01/18 1960 Paym Yes 0/0 5

1,000 30 5 /03 /03 /03 entDis 5
01/17 01/22 01/20 count 30/-
/03 /03 /03 Tolera 30
nce &
Paym
entTol
eranc
e
16D 1,000 60 5 01/15 01/20 01/18 1950 Paym Yes 60/- -5

1,000 30 5 /03 /03 /03 entDis 60 -5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 0/0
nce &
Paym
entTol
eranc
e
17D 1,000 60 5 01/15 01/20 01/18 1940 Paym Yes 60/- 0

1,000 30 5 /03 /03 /03 entDis 60 0
01/17 01/22 01/20 count
/03 /03 /03 Tolera 0/0
nce
18D 1,000 60 5 01/15 01/20 01/18 1930 Paym Yes 60/- 5

1,000 30 5 /03 /03 /03 entDis 60 5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 0/0
nce &
Paym
entTol
eranc
e
19A 1,000 60 5 01/15 01/20 01/18 1920 Paym Yes 60/- -5

1,000 30 5 /03 /03 /03 entDis 60 -5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 30/-
nce & 30
Paym
entTol
eranc
e
PAY M PAY M
MAX EN T EN T
20A 1,000 60 5 01/15 01/20 01/18 1910 Paym Yes 60/- 0

1,000 30 5 /03 /03 /03 entDis 60 0
01/17 01/22 01/20 count
/03 /03 /03 Tolera 30/-
nce 30
21A 1,000 60 5 01/15 01/20 01/18 1900 Paym Yes 60/- 5

1,000 30 5 /03 /03 /03 entDis 60 5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 30/-
nce & 30
Paym
entTol
eranc
e
22B 1,000 60 5 01/15 01/20 01/21 2010 Paym Yes 0 -5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/22 eranc 0 -5
/03 /03 /03 e
23B 1,00 60 5 01/1 01/2 01/2 2000 None Yes 0 0

0 30 5 5/03 0/03 1/03
1,00 01/1 01/2 01/2 0 0
0 7/03 2/03 2/03
24B 1,000 60 5 01/15 01/20 01/21 1990 Paym Yes 0 5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/22 eranc 0 5
/03 /03 /03 e
25A 1,000 60 5 01/15 01/20 01/21 1980 Paym Yes 0/0 -5

1,000 30 5 /03 /03 /03 entDis -5
01/17 01/22 01/22 count 30/30
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
26A 1,000 60 5 01/15 01/20 01/21 1970 Paym Yes 0/0 0

1,000 30 5 /03 /03 /03 entDis 0
01/17 01/22 01/22 count 30/30
/03 /03 /03 Tolera
nce
PAY M PAY M
MAX EN T EN T
27A 1,000 60 5 01/15 01/20 01/21 1960 Paym Yes 0/0 5

1,000 30 5 /03 /03 /03 entDis 5
01/17 01/22 01/22 count 30/30
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
28 1,000 60 5 01/15 01/20 >01/2 2010 Paym Yes 0 -5

1,000 30 5 /03 /03 2/03 entTol
01/17 01/22 eranc
/03 /03 e
29 1,00 60 5 01/1 01/2 >01/ 2000 None Yes 0 0

0 30 5 5/03 0/03 22/0
1,00 01/1 01/2 3
0 7/03 2/03
30 1,000 60 5 01/15 01/20 >01/2 1990 Paym Yes 0 5

1,000 30 5 /03 /03 2/03 entTol
01/17 01/22 eranc
/03 /03 e


See also
Finance
Setting Up Finance
Effectively managing receivables is important to the overall financial health of a business. The Late Payment
Prediction extension can help you reduce outstanding receivables and fine-tune your collections strategy by
predicting whether sales invoices will be paid on time. For example, if a payment is predicted to be late, you
might decide to adjust the terms of payment or the payment method for the customer.
Getting Started
When you open a posted sales document, a notification will display at the top of the page. To use the Late
Payment Prediction Extension you can opt in by choosing Enable in the notification. Alternatively, you can set up
the extension manually. For example, if you regret dismissing the notification.
To enable the extension manually, follow these steps:
1. Choose the icon, enter Late Payment Prediction Setup , and then choose the related link.
NOTE
If you decide to enable the extension manually, be aware that Business Central will not allow you to do so if the quality of
the model is low. The quality of the model indicates how accurate the model's predictions are likely to be. Several factors
can impact the quality of a model. For example, there might not have been enough data, or the data did not contain
enough variation. You can view the quality of the model you are currently using on the Late Payment Prediction
Setup page. You can also specify a minimum threshold for the model quality.
Viewing All Payment Predictions

If you enable the extension a Payments Predicted to be Late tile is available in the Business Manager Role
Center. The tile displays the number of payments that are predicted to be late, and let's you open the Customer
Ledger Entries page where you can dig deeper into the posted invoices. There are three columns to pay
attention to:
Late Payment - Indicates whether the payment for the invoice is predicted to be late.
Prediction Confidence - Indicates how reliable you should consider the prediction to be. High means that
the prediction is at least 90% sure, Medium is between 80 and 90%, and Low is below 80%.
Prediction Confidence % - Shows the actual percentage behind the confidence rating. By default, this
column is not displayed, but you can add it if you want. For more information, see Personalize Your
Workspace.
TIP
The Customer Ledger Entries page also shows a FactBox on the right. While you are reviewing predictions, the information
in the Customer Details section can be helpful. When you choose the invoice in the list, the section shows information
about the customer. It also lets you take immediate action. For example, if a customer frequently misplaces their wallet,
you can open the Customer card from the FactBox and block the customer for future sales.
Viewing a Payment Prediction for a Specific Sales Document

You can also predict late payments up-front. On the Sales Quotes , Sales Orders , and Sales Invoices pages,
you can use the Predict Payment action to generate a prediction for the sales document you're viewing.
Design details
Microsoft deploys and operates number of predictive web services in all regions where Business Central is
available. Access to these web services is included in your Business Central subscription. For more information,
see the Microsoft Dynamics 365 Business Central Licensing Guide. The guide is available for download on the
Business Central website.
The web-services work in three modes:
Train model. The web service trains the model based on the provided dataset.
Evaluate model. The web service checks whether the model returns reliable data for the provided dataset.
Predict. Web-service applies the model to the provided dataset to make a prediction.
These web-services are stateless, meaning they use data only to calculate predictions on demand. They do not
store data.
NOTE
You can use your own predictive web service instead of ours. For more information, see Create and use your own
predictive web service late payment prediction.
Data required to train and evaluate the model

For each Customer ledger entr y that has a related Posted Sales Invoice :
Amount (LCY) including Tax
Payment terms in days is calculated as Due Date minus Posting Date .
Whether there is an applied credit memo.
Additionally, the record is enriched with aggregated data from other invoices that are related to the same
customer. This includes the following:
Total number and amount of paid invoices
Total number and amount of invoices that were paid late
Total number and amount of outstanding invoices
Total number and amount of outstanding invoices that are already late
Average days late
Ratio: Number Paid Late/Paid invoices
Ratio: Amount Paid Late/Paid invoices
Ratio: Number Outstanding Late/Outstanding invoices
Ratio: Amount Outstanding Late/Outstanding invoices
NOTE
The information about the customer is not included in the dataset.
Standard model and My model

The Late Payment Prediction extension contains a predictive model that is trained using data that is
representative of a range of small to medium-sized businesses. When you start posting invoices and receiving
payments, Business Central will evaluate whether the standard model fits your business flow.
If it appears that your processes do not match the standard model, you still can use the extension but you will
need to get more data. Just continue to use Business Central.
NOTE
We use a bit of your compute time each week when we evaluate and re-train the model.
Business Central runs training and evaluation automalically when there are enough paid and late invoices are
available, however you can run it manually whenever you want.
To train and use your model
2. In the Selected Model field, choose My Model .
3. Choose the Create My Model action, to train model on your data.
Create and use your own predictive web service for late payment
prediction
You can also create your own predictive web service based on a public model named Prediction Experiment
for Dynamics 365 Business Central . This predictive model is available online in the Azure AI Gallery. To use
the model, follow these steps:
1. Open a browser and go to the Azure AI Gallery.
2. Search for Prediction Experiment for Dynamics 365 Business Central , and then open the model in
Azure Machine Learning Studio.
3. Use your Microsoft account to sign up for a workspace, and then copy the model.
4. Run the model, and publish it as a web service.
5. Make a note of the API URL and API key. You will use these credentials for a cash flow setup.
7. Choose the Use My Azure Subscription check box.
8. On the My Model Credentials FastTab, enter the API URL and API key for your model. .

See Also
Azure Machine Learning Studio Documentation
Use Artificial Intelligence in Microsoft Dynamics 365 Business Central (Microsoft Learn)
Managing Payables
A big part of managing accounts payable is paying your vendors, or reimbursing your employees for expenses.
You can use functions to add payments lines for purchase invoices that are due on the Payment Journal page.
To send transactions to your bank, you can export multiple payment journal lines to a file, and then upload the
file to your bank. You can also make payments by check, including transmitting checks as electronic payments.
Another typical task is to apply outgoing payments to their related vendor or employee ledger entries in order
to close purchase invoices, purchase credit memos, or employee accounts as paid. You can do this on the
Payment Reconciliation Journal page by importing a bank statement file to register the payments. The
payments are applied to open vendor, customer, or employee ledger entries by matching payment text and entry
information. There are various ways to review and change the matches before you post the journal. You can
choose to close any open bank account ledger entries related to the applied ledger entries when you post the
journal. The bank account is automatically reconciled when all payments are applied.
Alternatively, you can apply outgoing payments manually on the Payment Journal page or from the related
vendor or employee ledger entries.
The following table describes a sequence of tasks within accounts payable, with links to the topics that describe
them.
TO SEE
Generate due vendor payments or employee Making Payments

reimbursements, prepare check payments, and export
payments to a bank file when posting.
Apply vendor payments automatically to unpaid purchase Applying Payments Automatically and Reconciling Bank
invoices by importing a bank statement file. Accounts
Apply vendor payments to unpaid purchase invoices Reconcile Vendor Payments with the Payment Journal or
manually. from Vendor Ledger Entries
Ensure correct inventory valuation by assigning added item Use Item Charges to Account for Additional Trade Costs
costs, such as freight, physical handling, insurance, and
transportation that you incur when purchasing.
Reimburse employees for personal expenses during business Record and Reimburse Employees' Expenses
activities by making payment to their bank account.

See Also
Purchasing
Start a free trial!
Accounts Payable Reports and Analytics in Business
Central
To help you manage your accounts payable in Business Central, standard reports and analytics are built in. It
moves beyond traditional reporting constraints to help you efficiently design various types of reports.
Reports
The following table describes some of the key reports in accounts payable reporting.
Aged Accounts Payable Shows overdue balances for vendors in 322

overdue time intervals. The overdue
amounts can be shown by due date,
posting date, or by document date as
needed. You can choose to show the
amounts in local currency (LCY) and
print details of the overdue
documents. The time intervals can
have headings with dates or with
number of dates overdue, relative to
the specified aging by type.
This report is the main report for
reconciling vendor ledger to G/L.
Assuming that you have not allowed
direct posting to the accounts used in
the vendor posting groups' payables
account, this report is a specification of
the amounts you find in the general
ledger.
Vendor - Balance to Date Shows the vendor balance by the 321

ending date of the specified date
range. You can choose to display the
vendor balance in your local currency
(LCY). Select the Include Unapplied
Entries field to show entries that have
been closed by the ending date but
have been un-applied (opened) at a
later date. Select the Show Entries
with Zero Balance to show vendors
with a balance of zero by the ending
date of the date filter. The date filter
applies to the detailed vendor ledger
entries for the entries in the report. If
you have payments later than the
ending date that have been applied to
invoices in within the date range, the
invoices will appear in the report as
they have not been closed as by the
ending date.
Vendor - Trial Balance Shows the net changes for vendors for 329
the period specified in the date filter as
well as the net change year-to-date for
the fiscal year corresponding to the
period selected. The report is grouped
by vendor posting groups and will give
a different view of the vendor ledger
than the Aged Accounts Payable
report. Note : If you haven't set up any
accounting period, the system will not
know what fiscal year to use and will
either show year-to-date from the
most recent fiscal year defined or just
select the period, which may or may
not be from beginning of a year.
Vendor - Detail Trial Balance Shows all the vendor ledger entries 304
within the specified date filter. The
report shows the vendor's beginning
balances relative to the date filter.
Purchase Statistics Shows purchase statistics for each 312

vendor. This includes information for
five periods, starting on the date that
you specify.
The report includes the total
purchases, payments, finance charges,
and discount information including the
payment discounts taken and lost.
Statistics are calculated for purchases
before the date entered, at three one-
month intervals from the date entered,
and for a period including all purchases
made after the third one-month
interval.
This report can also be used in
accounts payable as it's easier to do a
quick look-up of posted payments,
discounts, and other transactions for a
given vendor.
Vendor - Summary Aging Legacy report for aged accounts 305

payable. We recommend that you use
Aged Accounts Payables report
instead. You can choose a period
length and a date to use as set
overdue per date.
Payments on Hold Shows vendor ledger entries where the 319

On Hold field is not blank.
Vendor Pre-Payment Journal Shows the payment journal with 317

payment discount and tolerance
information. The report can be used to
check payments before creating
payment files and posting the journal.
Note : The report will show payment
discounts incorrectly when multiple
credit memos have been used in an
application. In this case, the payment
discount for the additional credit
memos will be shown as an un-applied
amount.
Vendor - List Shows various kinds of basic 301

information for vendors, such as
vendor posting group, discount and
payment information, priority level and
the vendor's default currency, and the
vendor's current balance (in LCY). The
report can be used, for example, to
maintain the information in the Vendor
table.
See also
Making Payments
When you make payments to vendors or customers, or reimburse your employees, you post the related
payment lines on the Payment Journal page. The payment journal is a general journal that is optimized for
making payments and includes a number of powerful functions such as the Suggest Vendor Payments
function that finds vendor payments that are due, and the Vendor - Summar y Aging report that shows an
overview of due vendor payments.
You can start the process of making the payment from the lists, cards, and ledger entries for vendors, customers,
and employees. Each of these pages has a button that starts the payment flow and helps you fill in the payment
journal.
From the payment journal, you can print computer checks or record when checks are written. If you select
Computer Check in the Bank Payment Type field, then any lines representing checks must be printed before
the payment journal can be posted.
When the payments are posted, you can export them to a bank file for upload to your bank for processing.
After the payments are made at your bank, you must apply them to their related open vendor or employee
ledger entries. You can do this manually or by importing a bank statement file and applying the payments
automatically. For more information, see Applying Payments Automatically and Reconciling Bank Accounts.
TO SEE
Understand basic functions of the Payment Journal page, Work with General Journals
which is a based on the general journal, to prepare to post
payments to vendors or employees.
Post payments to vendors or employees and refunds to Record Payments and Refunds
customers, and optionally apply the payments to the related
unpaid invoices/credit memos to close them as paid.
Use a function on the Payment Journal page to suggest Suggest Vendor Payments
vendor payments according to selected criteria, such as due
date, discount eligibility, and your liquidity.
Issue checks for vendor payments or customer refunds, Make Check Payments
either as print-outs or as computer checks. Void checks
before or after posting.
Make electronic payments according to the EU SEPA Credit Making Payments with AMC Banking 365 Fundamentals
Transfer standard. extension or SEPA Credit Transfer
Pay a vendor by cash or check, and post the payment when Settle Purchase Invoices Promptly
you post the invoice.
Make sure that your bank only clears validated checks and Export a Positive Pay file
amounts by sending them a file that contains vendor, check,
and payment information.
See also
Managing Payables
Purchasing
Most financial transactions are posted to the general ledger through dedicated business documents, such as
purchase invoices and sales orders. But you can also process business activities such as purchasing, paying,
using recurring journals to post accruals, or refunding employee expenses by posting journal lines in the various
journals in Business Central.
Most journals are based on the General Journal, and you can process all transactions on the General Journal
page. For more information, see Post Transactions Directly to the General Ledger.
For example, you can use post employees' expenditure of own money on business-related expenses, for later
reimbursement. For more information, see Record and Reimburse Employees' Expenses.
But in many cases, you will want to use the journals that are optimized for specific types of transactions, such as
the Payment Journal for registering payments. For more information, see Record Payments and Refunds in the
Payment Journal.
such as bank, customer, vendor, and employee accounts. Posting with a general journal always creates entries on
general ledger accounts. This is true even when, for example, you post a journal line to a customer account,
because an entry is posted to a general ledger receivables account through a posting group.
The information that you enter in a journal is temporary and can be changed while it is in the journal. When you
post the journal, the information is transferred to entries on individual accounts, where it cannot be changed.
You can, however, unapply posted entries, and you can post reversing or correcting entries. For more
information, see Reverse Journal Postings and Undo Receipts/Shipments.
NOTE
The general journal only shows a limited number of fields on the journal line by default. If you want to see additional
fields, such as the Account Type field, choose the Show More Columns action. To hide the additional fields again,
choose the Show Fewer Columns action. When you see fewer columns, then the same posting date is used for all lines.
If you want to have multiple posting dates for the same journal entry, choose the Show More Columns action.
Use Journal Templates and Batches

There are several general journal templates. Each journal template is represented by a dedicated page with
particular functions and the fields that are required to support those functions, such as the Payment
Reconciliation Journal page to process bank payments and the Payment Journal page to pay your vendors
or reimburse your employees. For more information, see Make Payments and Reconcile Customer Payments
with the Cash Receipt Journal or from Customer Ledger Entries.
For each journal template, you can set up your own personal journal as a journal batch. For example, you can
define your own journal batch for the payment journal that has your personal layout and settings. The following
tip is an example of how to personalize a journal.
TIP
If you select the Suggest Balancing Amount check box on the line for your batch on the General Journal Batches
page, then the Amount field on, for example, general journal lines for the same document number is automatically
prefilled with the value that is required to balance the document. For more information, see Letting Business Central
Suggest Values.
TIP
To add or remove fields in journals, use the Personalizing banner. For more information, see Personalize Your Workspace.
Validating General Journal Batches

To help prevent delays when posting, you can turn on a background check that will notify you when there is a
mistake in the financial journal you're working on that will prevent you from posting the journal. On the
General Journal Batch page, you can choose Background Error Check to have Business Central validate
finance journals, such as general or payment journals, while you're working on them.
When you enable the validation the Journal Check FactBox displays next to the journal lines and will show
issues in the current line and the whole batch. Validation happens when you load a finance journal batch, and
when you choose another journal line. The Issues total tile in the FactBox shows the total number of issues that
Business Central found, and you can choose it to open an overview the issues.
You can use the Show Lines with Issues and Show All Lines actions to toggle between journal lines that
have or don't have issues. The new Journal Line Details FactBox provides quick overview and access to data
from journal lines, such as the G/L account, customer, or vendor, as well as to the posting setup for specific
accounts.

Reversing Journals to Correct Mistakes
When working with journals that have many lines and something goes wrong, it's important to have an easy
way to correct mistakes. The Posted General Journal page offers a couple of actions that can help.
Copy Selected Lines to Journal - Copy only the lines that you select.
Copy G/L Register to Journal - Copy all lines that belong to the same G/L register.
These actions let you create a copy of a general journal line or a batch, and then specify the following:
The journal to copy the lines to
Whether with opposite signs (a reversing journal)
A different posting date or document number
To allow journals to be copied to posted general journals, on the General Journal Templates page, choose the
Copy to Posted Jnl. Lines check box. After you allow people to copy posted general journals, if needed you
can turn off copying for specific batches.
Understanding Main Accounts and Balancing Accounts

If you have set up default balancing accounts for the journal batches on the General Journals page, the
balancing account will be filled in automatically when you fill in the Account No. field. Otherwise, fill in both
the Account No. field and the Bal. Account No. field manually. A positive amount in the Amount field is
debited to the main account and credited to the balancing account. A negative amount is credited to the main
account and debited to the balancing account.
NOTE
VAT is calculated separately for the main account and the balancing account, so they can use different VAT percentage
rates.

with few or no changes, such as rent, subscriptions, electricity, and heat. Using these fields for recurring
transactions, you can post both fixed and variable amounts. You can also specify automatic reversal entries for
the day after the posting date. You can also use allocation keys to divide the recurring entries among various
accounts. For more information, see Allocating Recurring Journal Amounts to Several Accounts.
With a recurring journal, entries that will be posted regularly need to be typed in only once. That is, the accounts,
dimensions and dimension values and so on that you enter will be remain in the journal after posting. If any
adjustments are necessary, you can make them with each posting.
Recurring Method field
This field determines how the amount on the journal line is treated after posting. For example, if you will use the
same amount every time you post the line, you can let the amount remain. If you will use the same accounts and
text on the line but the amount will vary every time you post, you can choose to delete the amount after posting.
TO SEE
F Fixed The amount on the journal line will remain after posting.
V Variable The amount on the journal line will be deleted after posting.
B Balance The posted amount on the account on the line will be

allocated among the accounts specified for the line in the
Gen. Jnl. Allocation table. The balance on the account will
thus be set to zero. Remember to fill in the Allocation %
field on the Allocations page. For more information, see
Allocating Recurring Journal Amounts to Several Accounts.
RF Reversing Fixed The amount on the journal line will remain after posting, and
a balancing entry will be posted on the next day.
TO SEE
RV Reversing Variable The amount on the journal line will be deleted after posting,
and a balancing entry will be posted on the next day.
RB Reversing Balance The posted amount on the account on the line will be
allocated among the accounts specified for the line on the
Allocations page. The balance on the account will be set to
zero, and a balancing entry is posted on the next day.
BD Balance by Dimension The journal line allocates costs based on a G/L account's
balance by dimension. You'll be prompted to set the
dimension filters to be used to calculate the source G/L
RBD Reversing Balance by Dimension The journal line allocates costs based on a G/L account's
reversing balance by dimension. You'll be prompted to set
the dimension filters to be used to calculate the source G/L
NOTE
The VAT fields can be filled in on either the recurring journal line or on the allocation journal line but not on both. That is,
they can be filled in on the Allocations page only if the corresponding lines in the recurring journal are not filled in.
Recurring Frequency field

This field determines how often the entry on the journal line will be posted. It is a date formula field, and it must
be filled in for recurring journal lines. For more information, see Use Date Formulas.
Examples
If the journal line must be posted every month, enter "1M". After every posting, the date in the Posting Date
field will be updated to the same date in the next month.
If you want to post an entry on the last day of every month, you can do one of the following:
Post the first entry on the last day of a month by entering 1D+1M-1D (1 day + 1 month - 1 day). With
this formula, the posting date is calculated correctly regardless of how many days there are in the month.
Post the first entry on any arbitrary day of a month by entering 1M+CM. With this formula, the posting
date will be after one full month + the remaining days of the current month.
Expiration Date field
This field determines the date on which the line will be posted for the last time. The line will not be posted after
this date.
The advantage of using the field is that the line will not be deleted from the journal immediately and you can
always replace the present expiration date with a later one so that you can use the line further into the future.
If the field is blank, the line will be posted every time you post until it is deleted from the journal.
Allocating Recurring Journal Amounts to Several Accounts
On the Recurring General Journal page, you can choose the Allocations action to see or manage how
amounts on the recurring journal line are allocated to several accounts and dimensions. Note that an allocation
functions as balancing account line to the recurring journal line.
Just as in a recurring journal, you need to enter an allocation only once. The allocation will remain in the
allocation journal after posting, so you do not need to enter amounts and allocations every time you post the
recurring journal line.
If the recurring method in the recurring journal is set to Balance or Reversing Balance , then any dimension
value codes in the recurring journal are disregarded when the account is set to zero. So if you allocate a
recurring line to various dimension values on the Allocations page, then only one reversing entry will be
created. Therefore, if you allocate a recurring journal line that contains a dimension value code, then you must
not enter the same code on the Allocations page. If you do, the dimension values will be incorrect.
To allocate recurring journal amounts based on dimensions, set the Recurring Method field to Balance by
Dimension or Reversing Balance by Dimension instead. If the recurring method in the recurring journal is
set to Balance by Dimension or Reversing Balance by Dimension , then any dimension value codes in the
recurring journal are considered when the account is set to zero. So if you allocate a recurring line to various
dimension values on the Allocations page, then a number of reversing entries that matches the number of
dimension value combinations that the balance is comprised of, are created. If you allocate account balance
through the recurring journal that contains a dimension value code, remember to use Balance by Dimension
or Reversing Balance by Dimension to make sure that the dimension values are correctly balanced or
reversed from the source account.
For example, your company has a couple of business units and a handful of departments that your controllers
have set up as dimensions. To speed up the purchase invoice entry process, you decide to require the accounts
payable clerks to enter only business unit dimensions. Since each business unit has specific allocation keys for
the Department dimension, such as based on the number of employees, you can use the BD Balance by
Dimension or RBD Reversing Balance by Dimension recurring methods to re-allocate expenses for each
business unit to the right departments based on the allocation keys.
NOTE
Dimensions that you set on allocation lines are not automatically calculated, and you must specify which dimension values
must be set on the allocation accounts. In case you want to preserve the link between the source account dimension and
the allocation account dimension, we recommend that you use the Cost Accounting capabilities instead.
Example: Allocating Rent Payments to Different Departments

You pay rent every month, so you have entered the rent amount on the cash account on a recurring journal line.
On the Allocations page, you can divide the expense among several departments (Department dimension)
according to the number of square feet that each one occupies. The calculation is based on the allocation
percentage on each line. You can enter various accounts on different allocation lines (if rent will also be divided
among several accounts), or you can enter the same account but with various dimension value codes for the
Department dimension on each line.
Reversal Date Calculation
When using recurring general journals to post accruals at the end of a period, it's important to have full control
over reversal entries. On the Recurring General Journals page, the Reversal Date Calculation field lets you
control the date that reversal entries will be posted when reversal recurring methods are used.
Example
Accruals are usually posted with Fixed, Variable, or Balance recurring methods on the journal line. The posting
date of the posted amount on the account on journal line is calculated using the recurring frequency. The
posting date for the balancing entry is calculated using the Reversal Date Calculation field, as follows:
If the field is blank, the balancing entry will be posted the next day.
If the field contains a date formula (for example, 5D for five days), the balancing entry will be posted with a
posting date calculated using the reversal date calculation.
NOTE
By default, the Reversal Date Calculation field is not available on the Recurring General Journals page. To use the
field, you must add it by personalizing the page. For more information, see Personalize Your Workspace.
Work with Standard Journals

When you have created journal lines which you know you are likely to create again later, you can save them as a
standard journal before you post the journal. This functionality applies to item journals and general journals.
NOTE
The following procedure refers to the item journal, but the information also applies to the general journal.
To save a standard journal

2. Enter one or more journal lines.
3. Select the journal lines that you want to reuse.
4. Choose the Save as Standard Journal action.
5. In the Save as Standard Item Journal request page, define a new or existing standard item journal
that the lines should be saved in.
If you have already created one or more standard item journals and you want to replace one of these
with the new set of item journal lines, in the Code field, select the code you want.
6. Choose the OK button to verify that you want to overwrite the existing standard item journal and replace
all its content.
7. Select the Save Unit Amount field if you want to save the values in the Unit Amount field of the
standard item journal.
8. Select the Save Quantity field if you want application to save the values in the Quantity field.
9. Choose the OK button to save the standard item journal.
When you have finished saving the standard item journal, the Item Journal page is displayed so you can proceed
to post it, knowing that it can easily be recreated next time you need to post the same or similar lines.
To reuse a standard journal
2. Choose the Get Standard Journals action.
The Standard Item Journals page opens showing codes and descriptions for all existing standard item
journals.
3. To review a standard item journal before you select it for reuse, choose the Show Journal action.
Any changes you make in a standard item journal are implemented right away. They will be there next
time you open or reuse the standard item journal in question. You should therefore be sure that the
change is important enough to apply generally. Otherwise, make the specific change in the item journal
after the standard item journal lines have been inserted. See step 4 below.
4. On the Standard Item Journals page, select the standard item journal you want to reuse, and then
Now the item journal is filled with the lines you saved as the standard item journal. If journal lines already
existed in the item journal, the inserted lines will be placed under the existing journal lines.
If you did not check the Save Unit Amount field when you used the Save as Standard Item Journal
function job, then the Unit Amount field on lines that are inserted from the standard journal is
automatically filled with the item's current value, copied from the Unit Cost field on the item card.
NOTE
If you selected the Save Unit Amount or Save Quantity fields, you should now make sure the inserted values
are correct for this particular inventory adjustment before you post the item journal.
If the inserted item journal lines contain saved unit amounts that you do not want to post, you can
quickly adjust it to the current value of the item as follows.
5. Select the item journal lines you want to adjust, and then choose the Recalculate Unit Amount action.
This will update the Unit Amount field with the current unit cost of the item.
To renumber document numbers in journals

To make sure that you do not receive posting errors because of the document number order, you can use the
Renumber Document Numbers function before you post a journal.
In all journals that are based on the general journal, the Document No. field is editable so that you can specify
different document numbers for different journal lines or the same document number for related journal lines.
If the No. Series field on the journal batch is filled, then the posting function in general journals requires that
the document number on individual or grouped journal lines be in sequential order. Just choose the Renumber
Document Numbers action, and relevant Document No. fields are then updated. If related journal lines were
grouped by document number before you used the function, they will remain grouped but may be assigned a
different document number.
This function also works on filtered views.
Any renumbering of document numbers will respect related applications, such as a payment application that has
been made from the document on the journal line to a vendor account. Accordingly, the Applies-to ID and
Applies-to Doc. No. fields on the affected ledger entries may be updated.
To renumber documents in journals
The following procedure is based on the General Journal page, but applies to all other journals that are based
on the general journal, such as the Payment Journal page.
2. When you are ready to post the journal, choose the Renumber Document Numbers action.
Values in the Document No. field are changed, where required, so that the document number on individual or
grouped journal lines are in sequential order. After documents are renumbered, you can proceed to post the
journal.

See Also
Finance
Revalue Inventory in the Revaluation Journal
Reconcile Customer Payments with the Cash Receipt Journal or from Customer Ledger Entries
Reconcile Vendor Payments with the Payment Journal or from Vendor Ledger Entries
Record Payments and Refunds in the Payment
Journal
On the Payment Journal page, you record payments that you make to vendors and refunds that you make to
customers. When you post a payment journal line, the paid amount is recorded on the specified system bank
account. You must then take steps to perform the actual money transfer from the related bank account.
The payment journal is a general journal that is optimized for making payments. You can quickly add lines
manually, you can let Business Central suggest vendor payments, and you can apply the payment to posted
documents. Even though you are making payments, you enter a positive amount in the Document Amount
field. Depending on the document type for the journal line, this amount is then converted to a negative amount
in the underlying transactions. This way, it's faster for you to add journal lines manually. If you prefer to enter
negative amounts, you can personalize the payment journal to show the Amount field instead.
Applying payments to invoices or credit memos
If you fill in the Applies-to Doc. No. field with the invoice or credit memo that must be paid or
refunded, then the document in question is set to paid when you post the journal. This is referred to as
"applied". As an alternative to applying during payment posting, you can use the Apply Vendor Entries
and Apply Customer Entries page after you have made the payment posting. For more information,
see, for example, Reconcile Vendor Payments with the Payment Journal or from Vendor Ledger Entries.
Get suggested payments to vendors or employees
The Suggest Vendor Payments and Suggest Employee Payments functions can help you fill
payment journal lines automatically according to vendor prioritization and due dates. For more
information, see Suggest Vendor Payments. With this function, the Applies-to Doc. No. field is always
filled in.
Print checks and submit payments electronically to your bank
In addition to recording that the payment is made, you can also use the Payment Journal page to
output the payment for further processing by your bank. For more information, see Make Check
Payments and Make Electronic Payments.
To make payments in the payment journal

2. Open the journal batch that is dedicated to payments.
3. If you know who to pay, fill in the fields manually. Hover over a field to read a short description.
4. To also apply the payment to the related invoice or credit memo, choose the Applies-to Doc No. field,
on the Apply Vendor Entries page, select the relevant invoice or credit memo, and then choose the OK
button.
Many fields, such as the Document Amount and Due Date fields, are now filled in with information
from the selected document.
5. Alternatively, use the Suggest Vendor Payments function. All the applies-to information and amounts
are then also entered on the journal lines. For more information, see Suggest Vendor Payments.
Messages will guide you to fill in the required fields correctly.
6. When all payment journal lines are completed, choose the Post action.
To issue a refund check

2. In the Document Type field, select Refund .
3. In the External Document No. field, use this as a reference for the refund check (for example, return order
number).
4. In the Account Type field, select Customer .
5. In the Account No. field, select the customer's account number that the refund check is being issued to.
6. In the Amount field, enter the amount to be refunded.
7. In the Bal Account Type field, select Bank Account .
8. In the Bal Account No. field, select the bank account the check will come out of.
9. In the Applies To Doc. No. field, select the documents requiring a refund.
10. When all payment journal lines are completed, choose the Post/Print action, then choose the Post and
Print action, and select Yes .
See Also
Make Check Payments
Managing Payables
Setting Up Banking
On the Payment Journal page, you can use the Suggest Vendor Payments batch job to suggest payment
lines. Lines for payments that are due soon or payments where a payment discount is available are suggested
based on your settings.
To benefit fully from payment suggestions, you must first prioritize your vendors. For more information, see
Prioritize Vendors.
NOTE
Vendor ledger entries that are On Hold are not included in the batch job.
IMPORTANT
If you want to take advantage of payment discounts, and have entered an available amount, the amount will be used for:
* Prioritized overdue vendor entries first in order of priority.
* Overdue vendor entries that are not prioritized.
* Open vendor entries that qualify for payment discounts, arranged by vendor number.
To use the Suggest Vendor Payments function

2. Open the relevant journal, and then choose the Suggest Vendor Payments action.
To insert the due date as posting date on payment journal lines

When you use the Suggest Vendor Payments batch job to create payment lines for your vendors, you can fill
two special fields to make sure that the generated lines use the due date to calculate the posting date. These
fields are Calculate Posting Date from Applies-to-Doc Due Date and Applies-to-Doc Due Date Offset .
IMPORTANT
You cannot use the Calculate Posting Date from Applies-to-Doc Due Date field together with the Find Payment
Discounts field or the Summarize per Vendor field. If the posting date is based on the due date, some payment
discounts may not calculate correctly because the posting date is after the payment discount date.
Also, if the calculated posting date is in the past, then the posting date is moved up to the work date, and a
warning is displayed.
Alternatively, you can manually create payment lines using the due date to calculate the posting date. After you
apply vendor ledger entries, you can use the Calculate Posting Date action to update the posting date on the
journal line with the due date of the related purchase invoice. For more information, see Apply Purchase
Transactions Manually.
NOTE
If the purchase invoice is overdue, the posting date is set to the work date, and the font on the line becomes red.

See also
Managing Payables
Making Payments
Make Check Payments
You can issue electronic and manual checks in Business Central. Both methods use the payment journal to issue
checks to vendors. You can also void checks and view check ledger entries.
The following procedure shows how to pay a vendor with a computer checks by applying the payment to the
relevant vendor invoice, printing the check, and then posting the payment as paid. This results in positive vendor
ledger entries, applied to negative bank ledger entries, and physical checks for processing in the bank.
You can pay with two types of checks. For both types, the Bal. Account Type or the Account Type field must
contain Bank Account .
Computer Check : Select this option if you want to print a check for the amount on the payment journal line.
You must print the checks before you can post the journal lines.
Manual Check : Select this option if you have created a check manually and want to create a corresponding
check ledger entry for this amount. By using this option, you cannot print the check.
NOTE
To make sure that your bank only clears validated checks and amounts, you can send them a file that contains vendor,
check, and payment information. For more information, see Export a Positive Pay file.
IMPORTANT
Your printer must be correctly set up with the check forms, and you must define which check layout to use. For more
information, see Select a Check Layout. Alternatively, you can send the check as a PDF file, for example.
You can print up to 10 invoices on a page for a check stub. If a check applies to more than 10 invoices, when you
print the stub we void the check on the first page and print the word VOID on the check. We then print the
remainder of the invoices and the total check amount on the second page.
To pay a vendor invoice with a computer check

3. In the Payment Method Code field, select Check .
4. In the Bank Payment Type field, select Computer Check .
5. Choose the Print Check action.
6. On the Check page, fill in the fields as necessary. Hover over a field to read a short description.
7. If your printer is set up to print checks, choose the Print button. Otherwise, choose the Send to button,
select the PDF Document option, choose the OK button, and then print the PDF document.
The physical checks can now be sent to the vendors for processing. Proceed to post the payment as
applied to the vendor and thereby paid in the system.
Fully applied vendor ledger entries and bank ledger entries are created.
NOTE
If you want to print and pay checks in more than one currency from different bank accounts, you must run the Print
Check batch job separately for each currency and specify the appropriate bank account.
To cancel printed checks that are not posted

You can cancel non-posted checks after they have been printed by using the Void Check action on the
Payment Journal page.
1. On the Payment Journal page, choose the Void Check , and then choose which checks to cancel.
To void checks
When check payment have been posted, you can only cancel (void) checks from the resulting bank ledger
entries.
IMPORTANT
If the check is applied to an invoice, unapply the check first so that the invoice can be repaid, and then void the check. If
the check was printed and did not pay an invoice, then choose Void Check Only as described in this section.
2. Select the relevant bank account, choose the Edit action, and then choose the Check Ledger Entries action.
3. On the Check Ledger Entries page, choose the Void Check action.
4. Select the Void Check Only check box.
To view a summary of posted checks

If you want to review posted checks, for example to verify multiple checks paid to one vendor, you can use the
Bank Account - Check Details report.
1. Choose the icon, enter Bank Account - Check Details , and then choose the related link.
2. Set filters as relevant, and then choose the Preview button.

See also
Making Payments
Managing Payables
Setting Up Banking
NOTE
NOTE
journal lines.


methods
TIP

format.
NOTE
currency.

Transfer format.
check box.
or methods

NOTE
NOTE
exported.
TIP
NOTE
steps.
NOTE

See Also
Managing Payables
Settle Purchase Invoices Promptly
If you need to pay the vendor by cash or check, you can post the payment when you post the invoice.
NOTE
If you frequently pay purchase invoices in cash, check, or bank transfer, it is a good idea to set up a specific payment
method with a balancing account and enter this method in the Payment Method field on the vendor card. The
balancing account number is inserted automatically on the invoice header every time you create a new invoice. For more
information, see Defining Payment Methods.
To settle purchase invoices promptly

3. To pay either in cash or by bank transfer, enter the number of the general ledger cash account or the bank
account in the Bal. Account No. field.
IMPORTANT
The Bal. Account Type and Bal. Account No. fields are not included in the standard layout of the invoice header. In
order to post the payment of an invoice, you must contact a Microsoft partner who can add the fields through code.
This customization is only required if you do not specify balancing accounts on the payment methods as describe above.
See Also
Managing Payables
Purchasing
Export a Positive Pay File
To make sure that your bank only clears validated checks and amounts, you can export a Positive Pay file that
contains vendor information, check number, and payment amount, which you send to the bank for reference
when you process payments.
Business Central is preconfigured to support Positive Pay files for Bank of America and City Bank.
To set up a bank account for Positive Pay

2. Open the card for the bank that you want to use Positive Pay for.
3. In the Positive Pay Expor t Code field, enter POSPAYBANK.
4. Close the page.
To export a Positive Pay file

2. Select the bank account that you want to export a Positive Pay file for.
3. Choose Positive Pay Expor t action.
The Positive Pay Expor t page opens displaying payments that have been made for the bank account
since the last upload date, as shown in the Last Upload Date and Last Upload Time fields.
4. In the Cutoff Upload Date field, specify a date before which payments are not included in the exported
file.
6. On the Expor t File page, choose the Save button, and then save the file to a convenient location.
7. Upload the file to your electronic bank site.
8. Write down or copy the confirmation number that is displayed when the file upload is successful.
To view exported Positive Pay records
2. Select the bank account that you want to view Positive Pay export records for.
3. Choose the Positive Pay Entries action.
On the Positive Pay Entries page, you can see all the Positive Pay export records for the bank account.
4. In the Confirmation Number field, enter, for each export record, the confirmation number that you
receive when the file upload to the bank is successful.
5. To view the related payment lines, choose the Positive Pay Entr y Details action.
To reexport Positive Pay files
2. Select the bank account that you want to reexport Positive Pay files for.
3. Choose the Positive Pay Entries action.
4. Select the line for the Positive Pay export file that you want to reexport.
5. On the Positive Pay Entries page, choose the Reexpor t Positive Pay to File action.
See Also
Finance
Setting Up Finance
Bank Accounts
TIP
TO SEE
exist.
TO SEE
exist to apply to.

See Also
Sales
The Payment Reconciliation Journal page specifies payments, either incoming or outgoing, that have been
recorded as transactions on your online bank account or on a payment service and that you can apply to their
related open customer, vendor, and bank account ledger entries. The lines in the journal can be filled in by
importing a bank statement as a bank feed or file or by manually entering transactions that you make on your
payment service.
NOTE
The page offers automatic matching functionality that applies payments to their related open entries based on a matching
of data on a bank statement line (journal line) with data on one or more open entries. Note that you can overwrite the
suggested automatic applications, and you can choose to not use automatic application at all. For more information, see
step 7.
A payment reconciliation journal is related to one bank account in Business Central that reflects the online bank
account where the payment transactions are recorded. Any open bank account ledger entries related to the
applied customer or vendor ledger entries will be closed when you choose the Post Payments and Reconcile
Bank Account action. This means that the bank account is automatically reconciled for payments that you post
with the journal.
You can import bank transactions as .csv bank files or other format that your bank provides. If you want to
import bank statements as bank feeds, you must first enable a dedicated bank integration service and then link
the bank account to its related online bank account. The payment reconciliation journal will then automatically
detect bank feeds when you choose the Impor t Bank Transactions action. In addition, you can set a bank
account up to automatically import new bank statement feeds every hour. Transactions for payments that have
already been posted as applied and/or reconciled will not be imported. You can use the Envestnet Yodlee Bank
Feeds service for this, which is preinstalled in some country versions of Business Central. For more information,
see Set Up the Envestnet Yodlee Bank Feeds Service. Alternatively, contact your Microsoft partner for help
meeting your business or country requirements.
The Map Text to Account action lets you set up mappings between text on payments and specific debit, credit,
and balancing accounts so that such payments are posted to the specified accounts when you post the payment
reconciliation journal. This is useful, for example, for recurring cash receipts or expenses, such as frequent
purchases of car fuel or bank fees and interest, that regularly occur on the bank statement and do not need a
related business document. (See step 10 below.) For more information, see Map Text on Recurring Payments to
Journal lines may have no suggested application. This may be for various reason, such as a missing document
or because a customer overpaid so that an excess amount exists after applying the payment on another journal
line. For such cases, you can use the Transfer Difference to Account action to create and post the missing
general ledger entry, for example for a refund, that is needed to apply the payment to. (See step 11 below) For
more information, see Reconcile Payments That Cannot be Applied..
You use the Apply Automatically function either automatically when you import a bank file or feed with
payment transactions or when you activate it, to apply payments to their related open entries based on a
matching of text on a bank statement line ( journal line) with text on one or more open entries. This automation
is based on rules that you define on the Payment Application Rules page, where you also define whether an
application suggestion requires review. For more information, see Set Up Rules for Automatic Application of
Payments.
On journal lines where a payment has been applied automatically to one or more open entries, the Match
Confidence field has a value of Low , Medium , or High to indicate the quality of the data matching that the
suggested payment application is based on.
Some payment applications require your review as defined by the used matching rule, such as lines with Low
match confidence. Other lines require your review and manual change because there is a value in the
Difference field. To review one or more payment applications, choose the Lines to Review or Lines with
Difference field at the bottom. The Payment Application Review page opens showing all relevant
information about the customer or vendor that the payment is applied to, the matching details, and actions to
process the line, such as the Accept Application action. (See steps 7 and 8 below.)
For each journal line on the Payment Reconciliation Journal page, you can open the Payment Application
page to see all candidate open entries for the payment and view detailed information for each entry about the
data matching that a payment application is based on. Here, you can manually apply payments or reapply
payments that were applied automatically to a wrong entry. (See step 10 below.) For more information, see
NOTE
You can start the bank transactions import at the same time as you open the Payment Reconciliation Journal page
for an existing journal. The following procedure describes how to import bank transactions into the Payment
Reconciliation Journal page after you have created a new journal.
To reconcile payments using automatic application

2. To work in a new payment reconciliation journal, choose the New Journal action.
3. On the Payment Bank Account List page, select the bank account that you want to reconcile payments
for, and then choose the OK button. The Payment Reconciliation Journal page opens prepared for the
selected bank account.
4. Choose the Impor t Bank Transactions action. If the bank account for the selected journal is not set up
for import of bank transactions, then a dialog box will open to help you fill in the relevant fields.
5. On the Select a file to impor t page, select the file that contains the bank transactions for payments
that you want to reconcile, and then choose the Open button.
6. If the Envestnet Yodlee Bank Feeds service is enabled, on the Bank Statement Filter page that opens
automatically, specify the date interval for the bank statements to be imported.
The Payment Reconciliation Journal page is filled with lines for payments representing bank
transactions in the imported bank statement.
On lines for payments that have been automatically applied to their related open entries, the Match
Confidence field has a value between Low and High to indicate the quality of the data matching that
the suggested payment application is based on. In addition, the Account Name , Account Type , and
Account No. fields are filled with information about the customer or vendor that the payment is applied
to.
The automatic applications, the matching qualities, and whether lines require review are defined by rules
that you can edit to adjust the results. For more information, see Set Up Rules for Automatic Application
of Payments.
7. To review, accept/remove, or manually change multiple payment applications that have a value in the
Difference field, choose the Lines with Difference action at the bottom.
The Payment Application Review page opens showing the first application to review. The next
application to review will be shown on the page as you process the preceding one. All relevant
information about the customer or vendor that the payment is applied to, the matching details, and
actions to process the line, such as the Accept Application and Apply Manually actions.
8. To review, accept/remove, or manually change multiple payment applications that are set to be reviewed,
according to the payment application rule, choose the Lines to Review action at the bottom. The same
experience as described for step 8 is presented
9. To change an automatic application, select a journal line, and then choose the Apply Manually action to
reapply or apply the payment manually on the Payment Application page. For more information, see
10. Select an unapplied journal line for a recurring cash receipt or expense, such as a car gasoline purchase,
and then choose the Map Text to Account action. For more information, see Map Text on Recurring
Payments to Accounts for Automatic Reconciliation.
When you have finished your mapping of payment text to accounts, choose the Apply Manually action.
When a text-to-account ,map is set up, the resulting automatic payment application will contain High -
Text-to-Account Mapping in the Match Confidence field.
11. For a journal line has no suggested application because no ledger entry exists that it can be applied to,
choose the Transfer Difference to Account action to create and post the missing general ledger entry
that is needed to apply the payment to. For more information, see Reconcile Payments That Cannot be
Applied.
12. When no more lines require review and the Difference field is blank on all lines, choose the Post action,
and then choose one of the following options:
Post Payments and Reconcile Bank Accounts - To post the payments as applied and also close
the related bank account ledger entries as reconciled.
Post Payments Only - To only post the payments as applied, but leave the related bank account
ledger entries open. Required that you reconcile the bank account separately, for example: For more
information, see Reconcile Bank Accounts.
Test Repor t - To review the result of posting before you post. The Bank Account Statement report
opens and shows the same fields as at the bottom of the Payment Reconciliation Journal page.
When you post the payment reconciliation journal, the applied open entries memos are closed, and the related
customer, vendor, or general ledger accounts are updated. For payments on journal lines based on text-to-
account mapping, the specified customer, vendor, and general ledger accounts are updated. For all journal lines,
bank account ledger entries are created. If you choose the Post Payments and Reconcile Bank Account
action, any open bank account ledger entries related to the applied customer or vendor ledger entries will be
closed. This means that the bank account is automatically reconciled for payments that you post with the
journal.
You can compare the value in the Balance on Bank Account After Posting field together with the value in
the Statement Ending Balance field to track when the bank account is reconciled based on payments that you
post.
NOTE
If you do not want to reconcile the bank account from the Payment Reconciliation Journal page, then you must use
the Bank Acc. Reconciliation page. For more information, see Reconcile Bank Accounts.

See also
Sales
Review and Apply Payments Manually After
Automatic Application
For each journal line representing a payment on the Payment Reconciliation Journal page, you can open the
Payment Application page to see all candidate open entries for the payment and view detailed information for
each entry about the data matching that a payment application is based on. Here, you can manually apply
payments or reapply payments that were applied automatically to a wrong entry. For more information about
automatic application, see Reconcile Payments Using Automatic Application.
IMPORTANT
When the bank account that you are reconciling payments for is set up for the local currency, then the Payment
Application page will show all open entries in the local currency, including open entries for documents that were
originally invoiced in foreign currencies. Payments applied to entries with converted currencies may therefore be posted
with different amounts than on the original document because of the potentially different exchange rates used by the
bank and Business Central respectively.
Therefore, we recommend that you look for foreign currency codes in the Currency Code field on the
Payment Application page to check if applications are based on converted currencies. To review the original
document amount in the foreign currency and to see the exchange rate used, choose the Applies-to Entr y No.
field, and then, on the shortcut menu, choose the drilldown button to open the Customer Ledger Entries or
Vendor Ledger Entries page.
Any gains-and-loss adjustment required due to currency conversions is not handled automatically by Business
Central.
NOTE
You cannot apply entries with a different sign than the sign on the payment. For example, to close both a negative-sign
credit memo and its related positive-sign invoice, you must first apply the credit memo to the invoice, and then apply the
payment to the invoice with the reduced remaining amount.
WARNING
If you use payment discounts, and if the payment date is before the payment due date, then the Remaining Amt. Incl.
Discount field on the Payment Application page will be used for matching. Otherwise, the value in the Remaining
Amount field will be used. If the payment was made with a discounted amount after the payment due date, or the full
amount was paid but a discount was granted, then the amount will not be matched.
NOTE
You can only apply a payment to one account. If you want to split the application on multiple open entries, for example to
apply a lump-sum payment, then the open entries must be for the same account. For more information, see steps 7 and
8 in the procedure in this topic.
To review or apply payments after automatic application

2. Open the payment reconciliation journal for a bank account that you want to reconcile payments for. For
more information, see Reconcile Payments Using Automatic Application.
3. On the Payment Reconciliation Journal page, select a payment that you want to review or manually apply
to one or more open entries, and then choose the Apply Manually action.
4. Select the Applied check box on the line for the open entry that you want to apply the payment to.
5. The payment amount, which is also shown in the Transaction Amount field on the Payment Application
page, is inserted in the Applied Amount field, but you can modify the field, for example if you want to apply
the amount to several open entries.
6. To apply a part of the paid amount to another open entry for the account, for example to apply a lump-sum
payment, select the Applied check box for the line. The applied amount is automatically deducted from the
transactions amount to reflect the distribution on the two open entries.
7. To apply a part of a payment to one or more open entries that does not exist in the database, create a new
line under the line for the same account. In the Applied Amount field, enter the amount to apply on the new
line, and then adjust the Applied Amount field on the existing line.
8. Repeat steps 5, 6, or 7 for other open entries that you want to apply a full or partial payment amount to.
9. When you have reviewed a payment application or manually applied to one or more open entries, choose
the Accept Application action.
The Payment Application page closes, and on the Payment Reconciliation Journal page, the value in the
Match Confidence field is changed to Accepted to indicate to you that you have reviewed or manually
applied the payment.
See Also
Sales
Reconcile Payments that Cannot be Applied
Automatically
You may sometimes have to handle payments to your bank account that cannot be applied to a related open
customer, vendor or bank account ledger entry. Reasons may be that no document exists in Business Central
that the payment can be applied to, or the related document in Business Central has a different amount than the
transaction amount, for example, because of currency exchange. On the Payment Reconciliation Journal
page, all transaction amounts for payments that are not yet applied appear in the Difference field, including
amounts that cannot be applied because of reasons such as the above.
The methods for resolving these types of unapplied payments:
Apply manually
Use text-to-account mapping
Transfer an excess amount to a journal line to create and post the required entry, such as a refund of an
overpayment.
Payments that cannot be applied can appear on payment reconciliation journal lines in the following different
ways:
The value in the Difference field is equal to the value in the Transaction Amount field, which indicates that
no part of the payment can be applied to a related open customer, vendor, or bank account ledger entry.
The value in the Difference field is lower than the value in the Transaction Amount field, which indicates
that a part of the payment can be applied to a related open customer, vendor, or bank account ledger entry.
The remaining part of the payment cannot be applied and must be reconciled manually or by posting it
directly to an account.
To reconcile such payments, you can choose the Transfer Difference to Account action and then specify to
which account the amount in the Difference field will be posted when you post the payment reconciliation
journal. You can do this either from the Payment Reconciliation Journal page or from the Payment
Application Review page that you open by choosing the value in the Match Confidence field or by choosing
the Difference field.
TIP
Similar functionality exists to set up automatic reconciliation of recurring payments that cannot be applied to related open
customer, vendor, or bank account ledger entries. For more information, see Map Text on Recurring Payments to Accounts
for Automatic Reconciliation.
To reconcile payments that cannot be applied automatically

Application.
3. Choose the Transfer Difference to Account . The Transfer Difference to Account page opens.
4. In the Account Type field, specify if the type of account that the payment amount will be posted to.
5. In the Account No. field, specify the account that the payment amount will be posted to.
6. In the Description field, specify text that describes this direct payment posting. By default, the text in the
Transaction Text field on the payment reconciliation journal line is inserted.
If the value in the Difference field was equal to the value in the Transaction Amount field when you post the
payment reconciliation journal, the whole payment on the journal line will be posted directly to the specified
balancing account.
If the value in the Difference field was lower than the value in the Transaction Amount field, then an
additional journal line will be created with the same text and date and with the difference inserted in the
Transaction Amount field. On the original journal line, the difference will be deducted from the value in the
Transaction Amount field, and the payment will remain applied to its related customer, vendor, or bank
account ledger entry. When you post the payment reconciliation journal, one part of the payment will be posted
as an applied payment. The other part of the payment will be posted directly to the specified account.
See Also
Sales
Map Text on Recurring Payments to Accounts for
Automatic Reconciliation
On the Text-to-Account Mapping page, which you open from the Payment Reconciliation Journal page,
you can set up mappings between text on payments and specific debit, credit, and balancing accounts so that
such payments are posted to the specified accounts when you post the payment reconciliation journal.
Similar functionality exists to reconcile excess amounts on payment reconciliation journal lines on an ad-hoc
basis. For more information, see Reconcile Payments that Cannot be Applied Automatically.
Payments posted based on text-to-account mapping are not applied to open entries, but are merely posted to
the specified accounts in addition to creating bank account ledger entries. Accordingly, text-to-account mapping
is suited for recurring cash receipts or expenses, such as frequent purchases of car fuel or bank fees and interest,
that regularly occur on the bank statement and do not need a related business document. For more information,
see the "Example - Text-to-Account Mapping for Fuel Expense" section in this topic.
NOTE
Payments on reconciliation journal lines are only set to posting according to text-to-account mapping if the automatic
application function can only provide a match confidence of Low or Medium . If the automatic application function
provides a match confidence of High, then the payment is automatically applied to one or more open entries, and the
payment is not posted to the accounts specified on the Text-to-Account Mapping page. In other words, a match
confidence of High overrules a text-to-account mapping.
On a payment reconciliation journal line where the payment has been set to posting according to text-to-
account mapping, the Match Confidence field contains High - Text-to-Account Mapping , and the Account
Type and Account No. fields contain the mapped accounts.
To map text on recurring payments to accounts for automatic

reconciliation
Application.
3. Choose the Map Text to Account action. The Text-to-Account Mapping page opens.
4. In the Mapping Text field, enter any text that occurs on payments that you want to post to specified
accounts without applying to an open entry. You can enter up to 50 characters.
NOTE
If no other payments exist with the mapping text in question, then the text-to-account mapping will occur even
when only a part of the text on the payment exists as a mapping text.
5. In the Vendor No. field, enter the vendor that the payments will be posted to.
6. In the Bal. Source Type field, specify if the payment will be posted to a general ledger account or to a
customer or vendor account.
7. In the Bal. Source No. field, specify the account that the payment will be posted to, depending on your
selection in the Bal. Source Type field.
NOTE
Do not use the Debit Acc. No. and Credit Acc. No. fields in connection with payment reconciliation. They are
used for incoming documents only. For more information, see Use OCR to Turn PDF and Image Files into
Electronic Documents.
8. Repeat steps 3 through 7 for all text on payments that you want to map to accounts for direct posting
without application.
Next time you import a bank statement file or choose the Apply Automatically action on the Payment
Reconciliation Journal page, journal lines for the payments that contain the specified mapping text will
contain the mapped accounts in the Account Type and Account No. fields. The Match Confidence field will
contain High - Text-to-Account Mapping . This is on the condition that the automatic application function can
only provide a match confidence of Low or Medium .
Example: Text-to-Account Mapping for Bank Fees

To always post expenses that are related to fees from a specific bank, MyBank, to the general ledger account for
bank charges and fees (account 60400), fill a line on the Text-to-Account Mapping page as follows.
M A P P IN G T EXT DEB IT A C C . N O. C REDIT A C C . N O. B A L . SO URC E T Y P E B A L . SO URC E N O.
MyBank BLANK 60400 G/L Account BLANK

See also
Sales
Reconcile Vendor Payments with the Payment
Journal or from Vendor Ledger Entries
When you send a payment or receive a refund from a vendor, you must decide whether to apply the payment or
refund to one or more open entries. You can specify the exact amount that you want to apply to the payment
receipt or refund, and then only partially apply vendor ledger entries. You must apply all vendor ledger entries
to obtain correct vendor statistics and reports of the account statements and finance charges.
NOTE
Vendors may sometimes give a payment refund instead of a credit memo to offset against future invoices, especially when
you return items that you have already paid for or when you have overpaid an invoice.
You can apply vendor ledger entries in three different ways:

By entering information in dedicated pages, such as the Payment Journal page and the Payment
Reconciliation Journal page.
From purchase credit memo documents.
From vendor ledger entries after purchase documents are posted but not applied.
NOTE
If the Application Method field on the vendor card contains Apply to Oldest , then payments will automatically be
applied to the oldest open credit entry if you do not manually specify which entry to apply to. If the application method
for a customer is Manual, then you must apply entries manually.
You can apply vendor payments manually to their related purchase documents when you post the payments on
the Payment Journal page. For information about filling the payment journal, see Making Payments.
You can also apply vendor payments, and customer payments, after the payments appear as negative bank
transactions in your bank. On the Payment Reconciliation Journal page, you can use functions for bank
statement import, automatic application, and bank account reconciliation. For more information, see Reconcile
Payments Using Automatic Application.
To apply a payment to a single or multiple vendor ledger entries

1. Choose the icon, enter Payment Journal , and then choose the related link.
2. On the Payment Journal page, on the first journal line, enter the relevant information about the
payment entry.
3. To apply a single vendor ledger entry:
a. In the Applies-to Doc. No. field, choose the field to open the Apply Vendor Entries page.
b. On the Apply Vendor Entries page, select the entry to apply the payment to.
c. On the line in the Amount to Apply field, enter the amount to apply to the entry.
4. Or, to apply multiple vendor ledger entries:
a. Choose the Apply Entries action.
b. On the Apply Vendor Entries page, select the lines with the entries to apply the payment to.
c. Choose the Set Applies-to ID action.
d. On each line in the Amount to Apply field, enter the amount to apply to the individual entry.
If you do not enter an amount, then the maximum amount is automatically applied. At the bottom
of the Apply Vendor Entries page, you can see the amount in the Applied Amount field, and you
can see whether the application balances.
6. Choose the Post action to post the payment journal.
To apply a credit memo to a single or multiple vendor ledger entries

1. Choose the icon, enter Purchase Credit Memo , and then choose the related link.
2. Open the credit memo that you want to apply.
3. Enter the relevant information in the header.
4. To apply a single vendor ledger entry, on the Application FastTab, in the Applies-to Doc. No. field,
select the entry to apply the credit to, and then, in the Amount to Apply field, enter the amount to apply
to the entry.
5. Or, to apply multiple vendor ledger entries:
a. Choose the Apply Entries action.
b. Select the lines with the entries to apply the credit memo to.
c. Choose the Set Applies-to ID action.
d. On each line in the Amount to Apply field, enter the amount to apply to the individual entry.
If you do not enter an amount, then the maximum amount is automatically applied. At the bottom
of the Apply Vendor Entries page, you can see the amount in the Applied Amount field, and
you can see whether the application balances.
The Purchase Credit Memo page shows the entry that you have selected in the Applies-to Doc. Type
field and the Applies-to Doc. No. field. The page also shows the amount of the credit memo to be
posted, adjusted for any payment discounts.
7. Choose the Post button to post the purchase credit memo.
To apply posted vendor ledger entries

2. Open the relevant vendor with entries that have already been posted.
3. Choose the Ledger Entries action, and then choose the Apply Entries action.
4. On the Apply Vendor Entries page, you can see the open entries for the vendor.
5. Select the line with the entry that will be applied.
6. Choose the Set Applies-to ID action.
The Applies-to ID field displays three asterisks if you work in a single-user system or your user ID if you
work in a multiuser system.
7. For each line in the Amount to Apply field, enter the amount to apply to the individual entry.
If you do not enter an amount, then the maximum amount is automatically applied. You can see the
amount in the Applied Amount field at the bottom of the Apply Vendor Entries page.
8. Choose the Post Application action.
The Post Application page opens with the document number of the applying entry and the posting date
of the entry with the most recent posting date.
9. Choose the OK button to post the application.
To apply vendor ledger entries in different currencies to one another

If you buy from a vendor in one currency and make payment in another currency, you can still apply the invoice
to the payment.
If you apply an entry (Entry 1) in one currency to an entry (Entry 2) in a different currency, the posting date on
Entry 1 is used to find the relevant exchange rate to convert amounts on Entry 2. The relevant exchange rate is
found on the Currency Exchange Rates page. In that case, you must enable application of vendor ledger
entries in different currencies. For more information, see Enable Application of Ledger Entries in Different
Currencies
2. Open the journal you want, and fill in the first empty journal line using a currency code.
4. Select the line with the entry you want to apply to the entry in the payment journal, choose the Set Applies-
to ID action, and then select the entry you want to apply to.
5. Choose the OK button to return to the payment journal.
6. Post the payment journal.
IMPORTANT
When you apply entries in different currencies to one another, the entries are converted to USD. Even though the
exchange rates for the two relevant currencies are fixed, for example between USD and EUR, there may be a small residual
amount when these foreign-currency amounts are converted to USD. These small residual amounts are posted as gains
and losses to the account specified in the Realized Gains Account or Realized Losses Account field on the
Currencies page. The Amount (USD) field is also adjusted on the relevant vendor ledger entries.
To unapply an application of vendor entries

When you unapply an erroneous application, correcting entries that are identical to the original entry but with
opposite sign in the amount field are created and posted for all entries, including all general ledger posting
derived from the application, such as payment discount and currency gains/losses. The entries that were closed
by the application are reopened.
2. Open the relevant vendor card.
3. Choose the Ledger Entries action.
4. Select the relevant ledger entry, and then choose the Unapply Entries action.
5. Alternatively, choose the Detailed Ledger Entr y action.
6. Select the application entry, and then choose the Unapply Entries action.
7. Fill in the fields in the header, and then choose the Unapply action.
IMPORTANT
If an entry has been applied by more than one application entry, you must unapply the latest application entry first.
See Also
Payables
Purchasing
Managing receivables includes checking whether amounts due are paid on time. If customers have overdue
payments, you can begin by sending the Customer Statement report as a reminder. Alternatively, you can
issue reminders.
finance charges, such as interest or fees and include them on the reminder. Use finance charge memos if you
want to debit customers for interest or fees without reminding them of overdue amounts.
Statements
From the customer card, you can create a statement with that customer's transactions with you. Then, you send
the customer the generated PDF file. Alternatively, use the Customer Statement report to send your
customers an overview of their business with you. The customer statement can be sent to Excel for further
processing.
To send the Customer Statement report
1. Choose the icon, enter Customer Statement , and then choose the related link.
3. Under Output Options , select how to send the report to the customer.
NOTE
If you are using multiple currencies, the Customer Statement report is always printed in the customer's currency. The last
date in a statement period is also used as the statement date and the aging date, if aging is included.
Reminders
in automatically.
automatically.
are created.
IMPORTANT
Amounts check box.

different level.
To issue a reminder
the reminders.
to.
one or as a batch.
Finance Charges
When a customer does not pay by the due date, you can have finance charges calculated automatically and add
them to the overdue amounts on the customer's account. You can inform customers of the added charges by
sending finance charge memos.
NOTE
You use finance charge memos to calculate interest and finance charges and to inform your customers about interest and
finance charges without reminding them of overdue payments. Alternatively, you can calculate interest on overdue
payments when you create reminders.
Before you can create finance charge memos, you must set up terms. For more information, see Set Up Finance
Charge Terms.
You can manually create a finance charge memo for an individual customer, and fill in the lines automatically.
Alternatively, you can use the Create Finance Charge Memos function job to create finance charge memos
for all or selected customers with overdue balances.
After you create the finance charge memos, you can modify them. The text that appears at the beginning and
end of the finance charge memo is determined by the finance charge terms, and can be seen in the Description
column on the lines. If a calculated amount has been inserted automatically in the beginning or ending text, the
text will not be adjusted if you delete lines. Then you must use the Update Finance Charge Text function.
reports or issue the finance charge memos, typically as email.
To create a finance charge memo manually
A finance charge memo is similar to an invoice. You can fill in a header manually and have the lines filled in for
you, or you can create finance charge memos for all customers automatically.
2. Choose the New action, and then fill in the fields as necessary.
3. Choose Suggest Fin. Charge Memo Lines action.
4. On the Suggest Finance Charge Memo Lines page, set a filter on the Cust. Ledger Entr y FastTab if
you want to create finance charge memos only for specific entries.
NOTE
Although they are listed, selecting Payment and Credit Memo as Document Type filters will not have any
effect because the Suggest Finance Charge Memo Lines function only handles positive amounts.

To update finance charge memo texts
In some cases, you may want to modify the beginning and ending text that you have set up for the finance
charge terms. If you do this at a time when you have created, but not yet issued, finance charge memos, you can
update the memos with the modified text.
1. Choose the icon, enter Finance Charge Memo , and then choose the related link.
2. open the finance charge memo that you want to change text for, and then choose the Update Finance
Charge Text action.
3. On the Update Finance Charge Text page, you can set a filter if you want to update several memos.
To issue finance charge memos
reports or issue the finance charge memos.
When a reminder is issued, the entries are posted according to your specifications on the Finance Charge
Terms page. This specification determines whether interest and/or additional fees are posted to the customer's
account and the general ledger. Setup on the Customer Posting Groups page determines which accounts are
posted to.
If the Post Interest or the Post Additional Fee check boxes are selected on the Finance Charge Terms page,
then the following entries are also created:
One entry on the Cust. Ledger Entries page
In addition, issuing the finance charge memo may result in VAT entries.
2. Select the relevant memo, and then choose the Issue action.
3. On the Issue Finance Charge Memos page, fill in the fields as necessary.
The finance charge memo is either printed for sent to an specified email as a PDF attachment.
To cancel an issued finance charge memo
If finance charge memos were issued in error, you can cancel them before they are sent out. You can do this
either one by one or as a batch.
1. On the Issued Finance Charge Memos page, select one or more lines for issued finance charge memos
that you want to cancel, and then choose the Cancel action.
2. On the Cancel Issued Fin. Charge Memos page, fill in the fields as necessary, and then choose the OK
button.
To view reminder and finance charge entries
When you issue a reminder, a reminder entry is created on the Reminder/Fin. Charge Entries page for each
reminder line that contains a customer ledger entry. You can then get an overview of the created reminder
entries for a specific customer.
2. Open the relevant customer card, and then choose the Ledger Entries action.
3. On the Customer Ledger Entries page, select the line with the ledger entry you want to see the reminder
entries for, and then choose the Reminder/Fin. Charge Entries action.
Multiple Interest rates

For each finance charge term code, you can specify multiple interest rates so that you can calculate finance
charges with multiple interest rates for a specific period. This is helpful if you charge different interest on
payments that are late. The interest calculation is the same for each financial charge, with variation only in the
rate of interest for a specific period. If multiple interest rates are not set up, then the interest rate and period that
is defined in the Finance Charge Terms and Reminder Terms pages for the whole period of calculation will
be used. For more information, see Set Up Multiple Interest Rates.

See Also
Sales
the SEPA format.
date.
NOTE

Debit format.
NOTE
debit.
collection.
empty.
NOTE

in step 3.

debit mandate.


Purchase Lines.
NOTE


automatically.

count.
collection.
SEPA Direct Debit.

lines.
by the bank.
receipts.
lines in question.
See Also
Service Management
Block Vendors
You can block a vendor, for example because of insolvency, so that the vendor cannot be added to purchase
documents or so that no payments can be posted for the vendor.
The following table describes the options for blocking vendors.
Blank Transactions are allowed for this vendor.
Payment New payments cannot be created for this vendor.
All No transactions are allowed for this vendor.
To block a vendor
2. Select the vendor that you want to block.
3. In the Blocked field, choose one of the options for blocking.
See Also
Making Payments
Managing Payables
Use Item Charges to Account for Additional Trade
Costs
To ensure correct valuation, your inventory items must carry any added costs, such as freight, physical handling,
insurance, and transportation that you incur when purchasing or selling the items. For purchases, the landed
cost of a purchased item consists of the vendor's purchase price and all additional direct item charges that can
be assigned to individual receipts or return shipments. For sales, knowing the cost of shipping sold items can be
as vital to your company as knowing the landed cost of purchased items.
In addition to recording the added cost in you inventory value, you can use the Item Charges feature for the
following:
Identify the landed cost of an item for making more accurate decisions on how to optimize the distribution
network.
Break down the unit cost or unit price of an item for analysis purposes.
Include purchase allowances into the unit cost and sales allowances into the unit price.
Before you can assign item charges, you must set up item charge numbers for the different types of item
charges, including to which G/L accounts costs related to sales, purchases, and inventory adjustments are
posted to. An item charge number contains a combination of general product posting group, tax group code,
VAT product posting group, and item charge. When you enter the item charge number on a purchase or sales
document, the relevant G/L account is retrieved based on the setup of the item charge number and the
information on the document.
For both purchase and sales documents, you can assign an item charge in two ways:
On the document where the items that the item charge relates to are listed. This you typically do for
documents that are not yet fully posted.
On a separate invoice by linking the item charge to a posted receipt or shipment where the items that the
item charge relate to are listed.
NOTE
You can assign item charges to orders, invoices, and credit memos, for both sales and purchases. The following procedures
describe how to work with item charges for a purchase invoice. The steps are similar for all other purchase and sales
documents.
Example
This video shows how to handle an additional shipping cost as part of inventory costing.
To set up item charge numbers

You use item charge numbers to distinguish between the different kinds of item charges that are used in your
company.
1. Choose the icon, enter Item Charges , and then choose the related link.
2. On the Item Charges page, choose the New action to create a new line.
To assign an item charge directly to the purchase invoice for the item
If you know the item charge at the time when you post a purchase invoice for the item, follow this procedure.
2. Create a new purchase invoice. For more information, see Record Purchases.
3. Make sure the purchase invoice has one or more lines of type Item.
4. On a new line, in the Type field, select Charge (Item) .
5. In the Quantity field, enter the units of the item charge that you have been invoiced for.
6. In the Direct Unit Cost field, enter the amount of the item charge.
7. Fill in the remaining fields as necessary. Hover over a field to read a short description.
In the following steps, you will perform the actual assignment. Until the item charge is fully assigned, the
value in the Qty. to Assign field is in red font.
8. On the Lines tab, choose the Item Charge Assignment action.
The Item Charge Assignment page opens showing one line for each line of type Item on the purchase
invoice. To assign the item charge to one or more invoice lines, you can use a function that assigns and
distributes it for you or you can manually fill in the Qty. to Assign field. The following steps describe
how to use the Suggest Item Charge Assignment function.
9. On the Item Charge Assignment page, choose the Suggest Item Charge Assignment action.
10. If there are more than one invoice lines of type Item, choose one of the four distribution options.
It the item charge is fully assigned, the value in the Qty. to Assign field on the purchase invoice is zero.
The item charge is now assigned to the purchase invoice. When you post the receipt of the purchase invoice, the
items' inventory values are updated with the cost of the item charge.
To assign an item charge from a separate invoice to the purchase

invoice for the item
If you received an invoice for the item charge after you posted the original purchase receipt, follow this
procedure.
1. Repeat steps 1 through 8 in To assign an item charge directly to the purchase invoice for the item.
2. On the Item Charge Assignment page, choose the Get Receipt Lines action.
3. On the Purch. Receipt Lines page, select the posted purchase receipt for the item that you want to assign
the item charge to, and then choose the OK button.
4. Choose the Suggest Item Charge Assignment action.
The item charge on the separate purchase invoice is now assigned to the item on the posted purchase receipt,
thereby updating the item's inventory value with the cost of the item charge.

See also
Managing Payables
Record Purchases
Invoice Sales
Work with Payment Tolerances and Payment
Discount Tolerances
You can set up a payment tolerance to close an invoice when the payment does not fully cover the amount on
the invoice. For example, payment tolerances are typically for small amounts that would cost more to correct
than to just accept. You can set up a payment discount tolerance to grant a payment discount after the payment
discount date has passed.
You can use payment tolerances so that every outstanding amount has a set maximum allowed payment
tolerance. If the payment tolerance is met, then the payment amount is analyzed. If the payment amount is an
underpayment, then the outstanding amount is fully closed by the underpayment. A detailed ledger entry is
posted to the payment entry so that no remaining amount is left on the applied invoice entry. If the payment
amount is an overpayment, then a new detailed ledger entry is posted to the payment entry so that no
remaining amount is left on the payment entry.
You can use payment discount tolerances so that if you accept a payment discount after the payment discount
date, then it is always posted to either the payment discount account or a payment tolerance account.
Applying Payment Tolerance to Multiple Documents

A single document has the same payment tolerance whether it is applied on its own or with other documents.
Acceptance of a late payment discount when you are applying payment tolerance to multiple documents
automatically occurs for each document where the following rule is true:
payment discount date < payment date on the selected entry <= payment tolerance date
This rule also applies to determine whether to display warnings when you apply payment tolerance to multiple
documents. The payment discount tolerance warning is displayed for each entry that meets the date criteria. For
more information, see Example 2 - Tolerance Calculations for Multiple Documents.
You can choose to display a warning that is based on different tolerance situations.
The first warning is for the payment discount tolerance. You are informed that you can accept a late payment
discount. You can then choose whether to accept tolerance on the discount date.
The second warning is for the payment tolerance. You are informed that all entries can be closed because the
difference is in the sum of the maximum payment tolerance for the applied entries. You can then choose
whether to accept tolerance on the payment amount.
NOTE
Enabling the warning message will let choose how to process payments that are within tolerance. If you do not enable the
message, and a tolerance level is specified, invoices with amounts that are within tolerance will be automatically closed
and you cannot choose to leave the remaining amount.
For more information, see To enable or disable payment tolerance warning.
To set up tolerances
Tolerance on days and amounts allows you to close an invoice even though the payment does not fully cover the
amount on the invoice, whether this is because the due date for the payment discount has been exceeded, goods
have been deducted or because of a minor error. This also applies to refunds and credit memos.
To set up tolerance you have to set up various tolerance accounts, specify both payment discount tolerance and
payment tolerance posting methods and then run the Change Payment Tolerance batch job.
2. On the General Posting Setup page, set up a debit and a credit sales payment tolerance account and a
debit and a credit purchase payment tolerance account.
3. Choose the icon, enter Customer Posting Groups , and then choose the related link.
4. On the Customer Posting Groups page, set up a debit and a credit payment tolerance account. For more
information, see Setting Up Posting Groups.
5. Choose the icon, enter Vendor Posting Setup , and then choose the related link.
6. On the Vendor Posting Groups page, set up a debit and a credit payment tolerance account.
8. Open the General Ledger Setup page.
9. On the Application FastTab, fill in the Payment Discount Tolerance Posting , Payment Discount Grace
Period and Payment Tolerance Posting fields.
10. Choose the Change Payment Tolerance action.
11. On the Change Payment Tolerance page, fill in the Payment Tolerance % and Max Payment Tolerance
Amount fields, and then choose the OK button.
IMPORTANT
You have now set up tolerance for local currency only. If you want Business Central to handle tolerance on payments,
credit memos, and refunds in a foreign currency, you must run the Change Payment Tolerance batch job with a value
in the Currency Code field.
NOTE
If you want to get a payment tolerance warning every time that you post an application in the tolerance, you must
activate the payment tolerance warning. For more information, see To enable or disable payment tolerance warning
section.
To deactivate tolerance for a customer or vendor, you must block tolerances on the relevant customer or vendor card. For
more information, see To block payment tolerance for customers.
When you set up tolerance, Business Central also checks if there are any open entries and calculates the tolerance for
these entries.
To enable or disable payment tolerance warnings

The payment tolerance warning appears when you post an application that has a balance in the allowed
tolerance. You can then choose how you want to post and document the balance.
2. On the General Ledger Setup page, on the Application FastTab, turn on the Payment Tolerance
Warning toggle to activate the warning. To deactivate the warning, turn off the toggle.
NOTE
The default option for the Payment Tolerance Warning page is Leave the Balance as Remaining Amount . The
default option for the Payment Discount Tolerance Warning page the is Do Not Accept the Late Payment
Discount .
To block payment tolerance for customers

The default setting for payment tolerance is allowed. To disallow a certain customer or vendor payment
tolerance you need to block tolerance on the respective customer or vendor card. The following describes how
to do it for a customer. The steps are similar for a vendor.
2. On the Payments FastTab, select the Block Payment Tolerance check box.
NOTE
If the customer or vendor has open entries, you must first remove payment tolerance from entries that are currently
open.
Example 1 - Tolerance Calculations for a Single Document

in different situations.
Payment Discount Grace Period: 5D
Max Payment Tolerance: 5
Scenarios with alternative A or B represent the following:
A In this case, the payment discount tolerance warning has been turned off OR the user has the warning on
and has selected to allow the late payment discount (Post the Balance as Payment Tolerance).
B In this case, the user has the warning on and has selected not to allow the late payment discount (Leave the
Balance as Remaining Amount).
PAY M PAY M
MAX EN T EN T
1 1,000 20 5 01/15 01/20 <=01 985 Paym Yes 0 -5

/03 /03 /15/0 entTol
3 eranc
e
2 1,00 20 5 01/1 01/2 <=0 980 None Yes 0 0

0 5/03 0/03 1/15/
03
PAY M PAY M
MAX EN T EN T
3 1,000 20 5 01/15 c <=01 975 Paym Yes 0 5

/03 /15/0 entTol
3 eranc
e
4A 1,000 20 5 01/15 01/20 01/16 1005 Paym No, 20/- 0

/03 /03 /03 entDis 25 on 20
01/20 count the
/03 Tolera Paym
nce ent
5A 1,000 20 5 01/15 01/20 01/16 1000 Paym No, 20/- 0

/03 /03 /03 entDis 20 on 20
01/20 count the
/03 Tolera Paym
nce ent
6A 1,000 20 5 01/15 01/20 01/16 995 Paym No, 20/- 0

/03 /03 /03 entDis 15 on 20
01/20 count the
/03 Tolera Paym
nce ent
4B 1,000 20 5 01/15 01/20 01/16 1005 Paym Yes 0 -5

/03 /03 /03 entTol
01/20 eranc
/03 e
5B 1,00 20 5 01/1 01/2 01/1 1000 None Yes 0 0

0 5/03 0/03 6/03
01/2
0/03
6B 1,000 20 5 01/15 01/20 01/16 995 Paym Yes 0 5

/03 /03 /03 entTol
01/20 eranc
/03 e
7 1,000 20 5 01/15 01/20 01/16 985 Paym Yes 20/- -5

/03 /03 /03 entDis 20
01/20 count
/03 Tolera
nce &
Paym
entTol
eranc
e
8 1,000 20 5 01/15 01/20 01/16 980 Paym Yes 20/- 0

/03 /03 /03 entDis 20
01/20 count
/03 Tolera
nce
PAY M PAY M
MAX EN T EN T
9 1,000 20 5 01/15 01/20 01/16 975 Paym Yes 20/- 5

/03 /03 /03 entDis 20
01/20 count
/03 Tolera
nce &
Paym
entTol
eranc
e
10 1,000 20 5 01/15 01/20 >01/2 1005 Paym Yes 0 -5

/03 /03 0/03 entTol
eranc
e
11 1,00 20 5 01/1 01/2 >01/ 1000 None Yes 0 0

0 5/03 0/03 20/0
3
12 1,000 20 5 01/15 01/20 >01/2 995 Paym Yes 0 5

/03 /03 0/03 entTol
eranc
e
13 1,000 20 5 01/15 01/20 >01/2 985 None No, 0 0

/03 /03 0/03 15 on
the
invoic
e
14 1,000 20 5 01/15 01/20 >01/2 980 None No, 0 0

/03 /03 0/03 20 on
the
invoic
e
15 1,000 20 5 01/15 01/20 >01/2 975 None No, 0 0

/03 /03 0/03 25 on
the
invoic
e

Example 2 - Tolerance Calculations for Multiple Documents

in different situations. The examples are limited to being only those scenarios that result in all entries in the
application being closed.
Payment Discount Grace Period 5D
Max Payment Tolerance 5
Scenarios with alternative A, B, C, or D represent the following:
A In this case the payment discount tolerance warning has been turned off, OR the user has the warning on
and has selected to allow the late payment discount (Post as Tolerance) in any invoice.
B In this case, the user has the warning on and has selected not to allow the late payment discount on any
invoice.
C - In this case, the user has the warning on and has selected to allow the late payment discount on the first
invoice but not the second.
D - In this case, the user has the warning on and has selected not to allow the late payment discount on the
first invoice but allowed it on the second.
PAY M PAY M
MAX EN T EN T
1 1,000 60 5 01/15 01/20 <=01 1920 Paym Yes 0 -5

1,000 30 5 /03 /03 /15/0 entTol -5
01/17 01/22 3 eranc 0
/03 /03 e
2 1,00 60 5 01/1 01/2 <=0 1910 None Yes 0 0

0 30 5 5/03 0/03 1/15/ 0
1,00 01/1 01/2 03 0
0 7/03 2/03
3 1,000 60 5 01/15 01/20 <=01 1900 Paym Yes 0 5

1,000 30 5 /03 /03 /15/0 entTol 5
01/17 01/22 3 eranc 0
/03 /03 e
4B 1,000 60 5 01/15 01/20 01/16 1980 Paym Yes 0 -5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/17 eranc 0 -5
/03 /03 /03 e
5B 1,00 60 5 01/1 01/2 01/1 1970 None Yes 0 0

0 30 5 5/03 0/03 6/03
1,00 01/1 01/2 01/1 0 0
0 7/03 2/03 7/03
6B 1,000 60 5 01/15 01/20 01/16 1960 Paym Yes 0 5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/17 eranc 0 5
/03 /03 /03 e
PAY M PAY M
MAX EN T EN T
7A 1,000 60 5 01/15 01/20 01/16 1920 Paym Yes 60/60 -5

1,000 30 5 /03 /03 /03 entDis -5
01/17 01/22 01/17 count 0/0
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
8A 1,000 60 5 01/15 01/20 01/16 1910 Paym Yes 60/60 0

1,000 30 5 /03 /03 /03 entDis 0
01/17 01/22 01/17 count 0/0
/03 /03 /03 Tolera
nce
9A 1,000 60 5 01/15 01/20 01/16 1900 Paym Yes 60/60 5

1,000 30 5 /03 /03 /03 entDis 5
01/17 01/22 01/17 count
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
10B 1,000 60 5 01/15 01/20 01/18 2010 Paym Yes 0 -5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/20 eranc 0 -5
/03 /03 /03 e
11B 1,00 60 5 01/1 01/2 01/1 2000 None Yes 0 0

0 30 5 5/03 0/03 8/03
1,00 01/1 01/2 01/2 0 0
0 7/03 2/03 0/03
12B 1,000 60 5 01/15 01/20 01/18 1990 Paym Yes 0 5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/20 eranc 0 5
/03 /03 /03 e
13D 1,000 60 5 01/15 01/20 01/18 1980 Paym Yes 0/0 -5

1,000 30 5 /03 /03 /03 entDis -5
01/17 01/22 01/20 count 30/-
/03 /03 /03 Tolera 30
nce &
Paym
entTol
eranc
e
PAY M PAY M
MAX EN T EN T
14D 1,000 60 5 01/15 01/20 01/18 1970 Paym Yes 0/0 0

1,000 30 5 /03 /03 /03 entDis 0
01/17 01/22 01/20 count 30/-
/03 /03 /03 Tolera 30
nce
15D 1,000 60 5 01/15 01/20 01/18 1960 Paym Yes 0/0 5

1,000 30 5 /03 /03 /03 entDis 5
01/17 01/22 01/20 count 30/-
/03 /03 /03 Tolera 30
nce &
Paym
entTol
eranc
e
16D 1,000 60 5 01/15 01/20 01/18 1950 Paym Yes 60/- -5

1,000 30 5 /03 /03 /03 entDis 60 -5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 0/0
nce &
Paym
entTol
eranc
e
17D 1,000 60 5 01/15 01/20 01/18 1940 Paym Yes 60/- 0

1,000 30 5 /03 /03 /03 entDis 60 0
01/17 01/22 01/20 count
/03 /03 /03 Tolera 0/0
nce
18D 1,000 60 5 01/15 01/20 01/18 1930 Paym Yes 60/- 5

1,000 30 5 /03 /03 /03 entDis 60 5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 0/0
nce &
Paym
entTol
eranc
e
19A 1,000 60 5 01/15 01/20 01/18 1920 Paym Yes 60/- -5

1,000 30 5 /03 /03 /03 entDis 60 -5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 30/-
nce & 30
Paym
entTol
eranc
e
PAY M PAY M
MAX EN T EN T
20A 1,000 60 5 01/15 01/20 01/18 1910 Paym Yes 60/- 0

1,000 30 5 /03 /03 /03 entDis 60 0
01/17 01/22 01/20 count
/03 /03 /03 Tolera 30/-
nce 30
21A 1,000 60 5 01/15 01/20 01/18 1900 Paym Yes 60/- 5

1,000 30 5 /03 /03 /03 entDis 60 5
01/17 01/22 01/20 count
/03 /03 /03 Tolera 30/-
nce & 30
Paym
entTol
eranc
e
22B 1,000 60 5 01/15 01/20 01/21 2010 Paym Yes 0 -5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/22 eranc 0 -5
/03 /03 /03 e
23B 1,00 60 5 01/1 01/2 01/2 2000 None Yes 0 0

0 30 5 5/03 0/03 1/03
1,00 01/1 01/2 01/2 0 0
0 7/03 2/03 2/03
24B 1,000 60 5 01/15 01/20 01/21 1990 Paym Yes 0 5

1,000 30 5 /03 /03 /03 entTol
01/17 01/22 01/22 eranc 0 5
/03 /03 /03 e
25A 1,000 60 5 01/15 01/20 01/21 1980 Paym Yes 0/0 -5

1,000 30 5 /03 /03 /03 entDis -5
01/17 01/22 01/22 count 30/30
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
26A 1,000 60 5 01/15 01/20 01/21 1970 Paym Yes 0/0 0

1,000 30 5 /03 /03 /03 entDis 0
01/17 01/22 01/22 count 30/30
/03 /03 /03 Tolera
nce
PAY M PAY M
MAX EN T EN T
27A 1,000 60 5 01/15 01/20 01/21 1960 Paym Yes 0/0 5

1,000 30 5 /03 /03 /03 entDis 5
01/17 01/22 01/22 count 30/30
/03 /03 /03 Tolera
nce &
Paym
entTol
eranc
e
28 1,000 60 5 01/15 01/20 >01/2 2010 Paym Yes 0 -5

1,000 30 5 /03 /03 2/03 entTol
01/17 01/22 eranc
/03 /03 e
29 1,00 60 5 01/1 01/2 >01/ 2000 None Yes 0 0

0 30 5 5/03 0/03 22/0
1,00 01/1 01/2 3
0 7/03 2/03
30 1,000 60 5 01/15 01/20 >01/2 1990 Paym Yes 0 5

1,000 30 5 /03 /03 2/03 entTol
01/17 01/22 eranc
/03 /03 e


See also
Finance
Setting Up Finance
Effectively managing receivables is important to the overall financial health of a business. The Late Payment
Prediction extension can help you reduce outstanding receivables and fine-tune your collections strategy by
predicting whether sales invoices will be paid on time. For example, if a payment is predicted to be late, you
might decide to adjust the terms of payment or the payment method for the customer.
Getting Started
When you open a posted sales document, a notification will display at the top of the page. To use the Late
Payment Prediction Extension you can opt in by choosing Enable in the notification. Alternatively, you can set up
the extension manually. For example, if you regret dismissing the notification.
To enable the extension manually, follow these steps:
NOTE
If you decide to enable the extension manually, be aware that Business Central will not allow you to do so if the quality of
the model is low. The quality of the model indicates how accurate the model's predictions are likely to be. Several factors
can impact the quality of a model. For example, there might not have been enough data, or the data did not contain
enough variation. You can view the quality of the model you are currently using on the Late Payment Prediction
Setup page. You can also specify a minimum threshold for the model quality.
Viewing All Payment Predictions

If you enable the extension a Payments Predicted to be Late tile is available in the Business Manager Role
Center. The tile displays the number of payments that are predicted to be late, and let's you open the Customer
Ledger Entries page where you can dig deeper into the posted invoices. There are three columns to pay
attention to:
Late Payment - Indicates whether the payment for the invoice is predicted to be late.
Prediction Confidence - Indicates how reliable you should consider the prediction to be. High means that
the prediction is at least 90% sure, Medium is between 80 and 90%, and Low is below 80%.
Prediction Confidence % - Shows the actual percentage behind the confidence rating. By default, this
column is not displayed, but you can add it if you want. For more information, see Personalize Your
Workspace.
TIP
The Customer Ledger Entries page also shows a FactBox on the right. While you are reviewing predictions, the information
in the Customer Details section can be helpful. When you choose the invoice in the list, the section shows information
about the customer. It also lets you take immediate action. For example, if a customer frequently misplaces their wallet,
you can open the Customer card from the FactBox and block the customer for future sales.
Viewing a Payment Prediction for a Specific Sales Document

You can also predict late payments up-front. On the Sales Quotes , Sales Orders , and Sales Invoices pages,
you can use the Predict Payment action to generate a prediction for the sales document you're viewing.
Design details
Microsoft deploys and operates number of predictive web services in all regions where Business Central is
available. Access to these web services is included in your Business Central subscription. For more information,
see the Microsoft Dynamics 365 Business Central Licensing Guide. The guide is available for download on the
Business Central website.
The web-services work in three modes:
Train model. The web service trains the model based on the provided dataset.
Evaluate model. The web service checks whether the model returns reliable data for the provided dataset.
Predict. Web-service applies the model to the provided dataset to make a prediction.
These web-services are stateless, meaning they use data only to calculate predictions on demand. They do not
store data.
NOTE
You can use your own predictive web service instead of ours. For more information, see Create and use your own
predictive web service late payment prediction.
Data required to train and evaluate the model

For each Customer ledger entr y that has a related Posted Sales Invoice :
Amount (LCY) including Tax
Payment terms in days is calculated as Due Date minus Posting Date .
Whether there is an applied credit memo.
Additionally, the record is enriched with aggregated data from other invoices that are related to the same
customer. This includes the following:
Total number and amount of paid invoices
Total number and amount of invoices that were paid late
Total number and amount of outstanding invoices
Total number and amount of outstanding invoices that are already late
Average days late
Ratio: Number Paid Late/Paid invoices
Ratio: Amount Paid Late/Paid invoices
Ratio: Number Outstanding Late/Outstanding invoices
Ratio: Amount Outstanding Late/Outstanding invoices
NOTE
The information about the customer is not included in the dataset.
Standard model and My model

The Late Payment Prediction extension contains a predictive model that is trained using data that is
representative of a range of small to medium-sized businesses. When you start posting invoices and receiving
payments, Business Central will evaluate whether the standard model fits your business flow.
If it appears that your processes do not match the standard model, you still can use the extension but you will
need to get more data. Just continue to use Business Central.
NOTE
We use a bit of your compute time each week when we evaluate and re-train the model.
Business Central runs training and evaluation automalically when there are enough paid and late invoices are
available, however you can run it manually whenever you want.
To train and use your model
2. In the Selected Model field, choose My Model .
3. Choose the Create My Model action, to train model on your data.
Create and use your own predictive web service for late payment
prediction
You can also create your own predictive web service based on a public model named Prediction Experiment
for Dynamics 365 Business Central . This predictive model is available online in the Azure AI Gallery. To use
the model, follow these steps:
1. Open a browser and go to the Azure AI Gallery.
2. Search for Prediction Experiment for Dynamics 365 Business Central , and then open the model in
Azure Machine Learning Studio.
3. Use your Microsoft account to sign up for a workspace, and then copy the model.
4. Run the model, and publish it as a web service.
5. Make a note of the API URL and API key. You will use these credentials for a cash flow setup.
7. Choose the Use My Azure Subscription check box.
8. On the My Model Credentials FastTab, enter the API URL and API key for your model. .

See Also
Azure Machine Learning Studio Documentation
Use Artificial Intelligence in Microsoft Dynamics 365 Business Central (Microsoft Learn)
the same invoice.
For example, you can specify a total amount for the entire order, or you can distribute the prepayment across
each line on the order. You can also send additional prepayment invoices if, for example, additional items are
added to the order. You can increase quantities or add new lines to an order after issuing a prepayment, and
then you can post another prepayment invoice.
NOTE
If you want to delete a line for which a prepayment has already been invoiced, you must issue a prepayment credit memo
before you can delete the line.
TO SEE
Set up prepayment posting groups and number series, and Set Up Prepayments
set up default prepayment percentages for customers,
vendors, and items.
Create an order, adjust the prepayment amounts, and issue Create Prepayment Invoices
an invoice for prepayment amounts.
Issue an additional prepayment invoice, either for additional Correct Prepayments

items or for an additional deposit on the original order, or
issue a prepayment credit memo.

See Also
Walkthrough: Setting Up and Invoicing Sales Prepayments
Finance
Set Up Prepayments
If you require your customers to submit payment before you ship an order to them, or if your vendor requires
you to submit payment before they ship an order to you, you can use the Prepayment functionality. The
prepayments functionality enables you to invoice and collect deposits required from customers or to remit
deposits to vendors, to ensure that all partial payments are posted against an invoice. For more information, see
Create Prepayment Invoices.
Before you can post prepayment invoices, you have to set up the posting accounts in the general ledger, and you
have to set up number series for prepayment documents. You must specify an account for prepayments related
to sales and an account for prepayments related to purchasing. You can specify the same posting accounts to be
used for all prepayments related to all general business posting groups or general product posting groups, or
you can specify specific accounts for specific posting groups for sales and purchasing, respectively. This depends
on your company's requirements for tracking prepayments.
You can define the percentage of the line amount that will be invoiced for prepayment, for a customer or vendor,
for all items or selected items. After you complete the setup, you can generate prepayment invoices from sales
and purchase orders. You can use the default percentages for each sales or purchase line, or you can change the
amounts on the invoice as needed. For example, you can specify a total amount for the entire order.
NOTE
We recommend that you do not use a prepayment percentage of 100 in the following cases:
If you are located in North America. Due to how taxes are calculated, a prepayment percentage of 100 can lead to
issues with prepayment invoices.
In all regions, if you manually deduct a payment discount from the invoice. A prepayment percentage of 100 will not
automatically leave an amount from which to deduct the discount.
Also, when you're using prepayment percentage of 100, Business Central might need to create off-setting rounding
entries. When that happens, you will need to choose a G/L account in the Invoice Rounding Account field on the
Customer Posting Groups page. This is true even if you have not turned on the Invoice Rounding toggle on the
Sales & Receivables Setup page. If you do not specify an account you you will not be able to post prepayment
invoices.
Because the prepaid amount belongs to the buyer until they have received the goods or services, you need to
set up general ledger accounts to hold the prepayment amounts until the final invoice is posted. Sales
prepayments must be recorded in a liabilities account until the items are shipped. Purchase prepayments must
be recorded in an assets account until the items are received. In addition, you must set up a separate general
ledger account for each VAT identifier.
IMPORTANT
Depending on your country or region, additional setup may be required. For more information, see the list of related
articles in the See Also section.
To add prepayment accounts to the general posting setup

2. On the General Posting Setup page, for the relevant lines, fill in the following fields:
Sales Prepayments Account
Purch. Prepayments Account
TIP
If you cannot see the fields in the General Posting Setup page, then use the horizontal scroll bar at the bottom of the
If you have not already set up general ledger accounts for prepayments, you can open the G/L Account List
page from the relevant account field.
To set up number series for prepayment documents

2. On the Sales & Receivables Setup page, on the Number Series FastTab, fill in the following fields:
Posted Prepmt. Inv. Nos.
Posted Prepmt. Cr. Memo Nos.
3. Choose the icon, enter Purchases & Payables Setup , and then choose the related link.
4. On the Purchases & Payables Setup page, on the Number Series FastTab, fill in the following fields:
Posted Prepmt. Inv. Nos.
Posted Prepmt. Cr. Memo Nos.
NOTE
You can use the same number series for prepayment invoices and regular invoices, or you can use different number series.
If you use different series, they must not overlap because there must not be any numbers that exist in both series.
To set up prepayment percentages for items, customers, and vendors

For an item, you can set up a default prepayment percentage for all customers, a specific customer, or a
customer price group. If you do not want to apply the same prepayment percentage to all customers, you must
specify which customers or which customer price groups the prepayment percentage applies to.
2. Select an item, and then choose the Prepayment Percentages action.
3. On the Sales Prepayment Percentages page, fill in the fields as necessary. Hover over a field to read a
short description.
For a customer or vendor, you can set up one default prepayment percentage for all items and all types of sales
lines. You enter this on the customer or vendor card. The following procedure shows how to specify a
prepayment percentage for a customer, but similar steps apply to vendors.
2. Open the card for a customer.
3. Fill in the Prepayment % field.
4. Repeat the steps for other customers or for vendors.
TIP
You can also access the Sales Prepayment Percentages page from the customer or vendor card.
To determine which prepayment percentage has first priority

An order may have a prepayment percentage on the sales header, and a different percentage for the items on
the lines. To determine which prepayment percentage applies to each sale line, the system looks for the
prepayment percentage in the following order and will apply the first default that it finds:
1. A prepayment percentage for the item on the line and the customer that the order is for.
2. A prepayment percentage for the item on the line and the customer price group that the customer belongs
to.
3. A prepayment percentage for the item on the line for all customers.
4. The prepayment percentage on the sales or purchase header.
In other words, the prepayment percentage on the customer card will only apply if there is no prepayment
percentage set up for the item. However, if you change the contents of the Prepayment Percentage field on
the sales or purchase header after you create the lines, the prepayment percentage on all of the lines will be
updated. This makes it easy to create an order with a fixed prepayment percentage, regardless of the percentage
set up on items.
To automatically release sales orders when prepayments are applied

You can save time by setting up a job queue entry that will automatically release sales orders that require
prepayment after payments are applied. Automating the process saves you the step of releasing the sales order.
2. In the Prepmt. Auto Update Frequency field, specify how often you want the job queue entry to run.
TIP
While you're here, consider adding a safeguard against shipping or invoicing sales orders that have unpaid premayment
amounts. If you turn on the Check Prepmt. when Posting toggle, Business Central will prevent people from posting
orders with outstanding prepayment amounts.
4. Set up the Upd. Pending Prepmt. Sales job queue entry, for example, by using the settings on the
Recurrence FastTab to schedule how often you want it to run. For more informaiton, see Use Job Queues to
Schedule Tasks.

See also
Calculate Goods and Services Tax on Prepayments in Australia
Calculate Goods and Services Tax on Prepayments in New Zealand
Finance
Create Prepayment Invoices
If you require your customers to submit payment before you ship an order to them, you can use the
prepayment functionality. The same applies if your vendor requires you to submit payment before they ship an
order to you.
You can start the prepayment process when you create a sales or purchase order. If you have a default
prepayment percentage for a given item on the order, or for the customer or vendor, that will be included
automatically in the resulting prepayment invoice. You can also specify a prepayment percentage to the entire
document.
After you create a sales or purchase order, you can create a prepayment invoice. You can use the default
percentages for each sales or purchase line, or you can adjust the amount as necessary. For example, you can
specify a total amount for the entire order.
The following procedure describes how to invoice a prepayment for a sales order. The steps are similar for
purchase orders.

2. Create a new sales order for the relevant customer. For more information, see Sell Products.
On the Prepayment FastTab, the Prepayment % field specifies the percentage to use to calculate the
prepayment amount. If there is a default prepayment percentage on the customer card, the field is filled
in automatically. You can change the percentage.
Choose the Compress Prepayment field if you want to create lines on the prepayment invoice that
combine lines from the sales order if:
They have the same general ledger account for prepayments as determined by the general posting
setup.
They have the same dimensions.
If you want to specify a prepayment invoice with one line for each sales order line that has a prepayment
percentage, then do not choose the Compress Prepayment field.
The due date for the prepayment is calculated automatically based on the value of the Prepmt. Payment
Terms Code .
3. Fill in the sales lines.
If you have specified a default prepayment percentage either for the customer or on the Prepayment
FastTab on this document, this value is copied to each line. You can change the contents of the
Prepayment % field on the line.
TIP
If you do not see the Prepayment % field, you can add it through personalization. For more information, see
Personalize Your Workspace.
4. To view the total prepayment amount, choose the Statistics action.

If you want to adjust the total prepayment amount for the order, you can change the contents of the
Prepayment Amount field on the Sales Order Statistics page.
If the Prices Including VAT field is selected, the Prepayment Amount Incl. VAT field is editable.
If you change the contents of the Prepayment Amount field, the amount will be distributed
proportionately between all lines, except those that have 0 in the Prepayment % field.
5. To print a test report before posting the prepayment invoice, choose the Prepayment action, and then
choose the Prepayment Test Repor t action.
6. To post the prepayment invoice, choose the Prepayment action, and then choose the Post Prepayment
Invoice action.
To post and print the prepayment invoice, choose the Post and Print Prepmt. Invoice action.
You can issue additional prepayment invoices for the order. To do this, increase the prepayment amount on one
or more lines, adjust the document date if necessary, and post the prepayment invoice. A new invoice will be
created for the difference between the prepayment amounts invoiced so far and the new prepayment amount.
NOTE
If you are located in North America, you cannot change the prepayment percentage after the prepayment invoice has
been posted. This is prevented in the North American version of Business Central because the calculation of sales tax will
otherwise be incorrect.
When you are ready to post the rest of the invoice, post it as you would post any invoice, and the prepayment
amount will automatically be deducted from the amount due.

See also
Finance
Correct Prepayments
You can make a correction to an order after you have posted a prepayment invoice for the order. You can add
new lines to an order after issuing a prepayment, and then you can post another prepayment invoice, but you
cannot delete a line from an order after a prepayment has been invoiced for the line.
TIP
If you have posted a prepayment invoice for a sales invoice that you then correct or cancel, you must correct or cancel the
prepayment as well.
To correct a prepayment
The following procedure shows how to issue a prepayment credit memo to cancel all invoiced prepayments for
a sales order.
2. Open the relevant sales order.
3. Choose the Prepayment action, and then choose the Post Prepayment Credit Memo action or the
Post and Print Prepmt. Cr. Memo action.
4. On the Sales Credit Memo page, proceed to correct the relevant entries, as for any sales credit memo.
For more information, see Process Sales Returns or Cancellations.
NOTE
To reduce the amount in the Line Amount field, you must first increase the prepayment percentage on the line
so that the value in the Prepmt. Line Amount field is not decreased below the value in the Prepmt. Amt. Inv.
field.
5. To make a prepayment invoice for any new lines in the sales credit memo, choose the Prepayment
action, and then choose the Post Prepayment Invoice action or the Post and Print Prepmt. Invoice
action.
6. To issue an additional prepayment invoice, increase the prepayment amount on one or more lines and
post the prepayment invoice. A new invoice will be created for the difference between the prepayment
amounts invoiced and the new prepayment amounts.

See also
Finance
Manage and Reconcile Your Bank Accounts
A bank reconciliation should be completed at regular intervals for all your bank accounts to ensure that the
company's cash records are correct. You do this by comparing and matching entries in your internal bank
accounts with bank transactions at your bank, and then posting the balances to your internal bank accounts to
make totals available to finance managers. Bank reconciliation is also a practical way to discover and resolve
missing payments and bookkeeping errors.
You can perform the task on the Bank Acc. Reconciliation page where you match (reconcile) bank statement
lines in the left-hand pane with your internal bank account ledger entries in the right-hand pane. Alternatively,
you can perform this task on the Payment Reconciliation Journal page as part of processing the payments
that are represented on a bank statement. On both pages, you can fill in the bank statement information by
importing a file or feed and you can use automatic matching suggestions.
NOTE
In the North American versions, you can also perform bank reconciliation on the Bank Rec. Worksheet page, which is
better suited for checks and deposits but does not offer import of bank statement files. To use this page instead of the
Bank Acc. Reconciliation page, deselect the Bank Recon. with Auto. Match field on the General Ledger Setup
page. For more information, see Reconcile Bank Accounts under United States Local Functionality.
Before you can manage your bank accounts within Business Central, you must set each bank account up as a
bank account card. In addition, you must set up electronic services that you may use for bank statement import
and payment file export. For more information, see Setting Up Banking.
TO SEE
Reconcile bank accounts as a separate task on the Bank Reconcile Bank Accounts
Acc. Reconciliation page.
Reconcile bank accounts in connection with payment Applying Payments Automatically and Reconciling Bank
processing on the Payment Reconciliation Journal page. Accounts
TIP
Use bank reconciliation to help verify that your books are up-to-date, and do not post the reconciliation until you are
satisfied with the reconciliation.

See Also
Setting Up Banking
Transfer Bank Funds
Managing Payables
You perform bank reconciliation to make sure that your various business transactions and expenses are
reflected correctly in the company books. You do this by comparing and matching entries in your internal bank
accounts with bank transactions at your bank, and then posting the balances to your internal bank accounts to
make totals available to finance managers. Bank reconciliation is also a practical way to discover and resolve
missing payments and bookkeeping errors.
The following describes how to perform bank reconciliation with the Bank Acc. Reconciliation page.
TIP
You can also reconcile bank accounts on the Payment Reconciliation Journal page when you process payments. Any
open bank account ledger entries related to the applied customer or vendor ledger entries will be closed when you
choose the Post Payments and Reconcile Bank Account action. This automatically reconciles the bank account for
the payments that you post with the journal. For more information, see Applying Payments Automatically and Reconciling
Bank Accounts.
NOTE
In the North American versions, you can also perform this work on the Bank Rec. Worksheet page, which is better
suited for checks and deposits but does not offer import of bank statement files. To use this page instead of the Bank
Acc. Reconciliation page, clear the Bank Recon. with Auto. Match field on the General Ledger Setup page. For
more information, see Reconciling Bank Accounts under United States Local Functionality.
The lines on the Bank Acc. Reconciliation page are divided into two panes. The Bank Statement Lines pane
shows either imported bank transactions or ledger entries with outstanding payments. The Bank Account
Ledger Entries pane shows the ledger entries in the internal bank account.
Reconciling bank transactions with internal bank entries is referred to as matching. You can choose to perform
matching automatically by using the Match Automatically function. Alternatively, you can manually select
lines in both panes to link each bank statement line to one or more related bank account ledger entries, and
then use the Match Manually function. The Applied check box is selected on lines where entries match. For
more information, see Set Up Rules for Automatic Application of Payments.
NOTE
If bank statement lines relate to check ledger entries, you cannot use the matching functions. Instead, you must choose
the Apply Entries action, and then select the relevant check ledger entry to match the bank statement line with.
When the value in the Total Balance field in the Bank Statement Lines pane equals the total value of the
Balance To Reconcile field plus the Balance Last Statement field in the Bank Account Ledger Entries
pane, you can choose the Post action. Unmatched bank account ledger entries remain on the page, indicating
discrepancies that you should resolve to reconcile the bank account.
Any lines that cannot be matched, indicated by a value in the Difference field, will remain on the Bank Acc.
Reconciliation page after posting. They represent some kind of discrepancy that you must resolve before you
can complete the bank account reconciliation. Typical business situations that may cause differences:
DIF F EREN C E REA SO N RESO L UT IO N
A transaction in the internal bank The bank transaction did not occur Make the missing money transaction
account is not on the bank statement. although a posting was made in (or prompt a debitor to make it), and
Business Central. then re-import the bank statement file
or enter the transaction manually.
A transaction on the bank statement A bank transaction was made without Create and post the missing entry. For
does not exist as a document or a corresponding posting in Business information on a quick way to initiate
journal line in Business Central. Central, for example a journal line this, see To create missing ledger
posting for an expense. entries to match bank transactions
with.
A transaction in the internal bank Information, such as the amount or Review the information, and then
account corresponds to a bank the customer name, was entered manually match the two. Optionally,
transaction but some information is differently in connection with the bank correct the information mismatch.
too different to give a match. transaction or the internal posting.
You must resolve the differences, for example by creating missing entries and correcting non-matching
information, or by making missing money transactions, until the bank account reconciliation is completed and
posted.
You can fill in the Bank Statement Lines pane on the Bank Acc. Reconciliation page in the following ways:
Automatically, by using the Impor t Bank Statement function to fill in the Bank Statement Lines pane
with bank transactions according to an imported file or stream provided by the bank.
Manually, by using the Suggest Lines function to fill in the Bank Statement Lines pane according to
invoices in Business Central that have outstanding payments.
To fill bank reconciliation lines by importing a bank statement

The Bank Statement Lines pane will be filled with bank transactions according to an imported file or stream
provided by the bank.
To enable import of bank statements as bank feeds, you must first set up and enable the Envestnet Yodlee Bank
Feed service, and then link your bank accounts to the related online bank accounts. For more information, see
Set Up the Envestnet Yodlee Bank Feeds Service.
TIP
1. Choose the icon, enter Bank Account Reconciliation , and then choose the related link.
3. In the Bank Account No. field, select the relevant bank account. The bank account ledger entries that exist
on the bank account appear in the Bank Account Ledger Entries pane.
4. In the Statement Date field, enter the date of the statement from the bank.
5. In the Statement Ending Balance field, enter the balance of the statement from the bank.
6. If you have a bank statement file, choose the Impor t Bank Statement action.
7. Locate the file, and then choose the Open button to import the bank transactions into the Bank Statement
Lines pane on the Bank Acc. Reconciliation page.
To fill bank reconciliation lines with the Suggest Lines function
The Bank Statement Lines pane will be filled according to invoices in Business Central that have outstanding
payments.
1. On the Bank Acc. Reconciliation page, choose the Suggest Lines action.
2. In the Star ting Date field, enter the earliest posting date for the ledger entries to be reconciled.
3. In the Ending Date field, enter the latest posting date for the ledger entries to be reconciled.
NOTE
Typically, the ending date will match the date specified in the Statement Date field. However, if you want to reconcile
transactions for only part of a period, you can enter a different ending date.
1. Select the Include Checks check box to any suggest check ledger entries instead of the corresponding bank
account ledger entries.
To match bank statement lines with bank account ledger entries

automatically
The Bank Acc. Reconciliation page offers automatic matching functionality based on a matching of text on a
bank statement line (left pane) with text on one or more bank account ledger entries (right pane). Note that you
can overwrite the suggested automatic matching, and you can choose to not use automatic matching at all. For
more information, see To match bank statement lines with bank account ledger entries manually.
You can investigate the basis for matches by using the Match Details action. For example, the details will
include the names of the fields that contained matching values.
1. On the Bank Acc. Reconciliation page, choose the Match Automatically . The Match Bank Entries
page opens.
2. In the Transaction Date Tolerance (Days) field, specify the span of days before and after the bank
account ledger entry posting date within which the function will search for matching transaction dates in
the bank statement.
If you enter 0 or leave the field blank, the Match Automatically action will only search for matching
transaction dates on the bank account ledger entry posting date.
All bank statement lines and bank account ledger entries that can be matched change to green font, and
the Applied check box is selected.
4. To remove a match, select the bank statement line, and then choose the Remove Match action.
TIP
You can use a mix of manual and automatic matching. If you have manually matched entries, automatic matching will not
overwrite your selections.
To match bank statement lines with bank account ledger entries

manually
1. On the Bank Acc. Reconciliation page, select a non-applied line in the Bank Statement Lines pane.
2. In the Bank Account Ledger Entries pane, select one or more banks account ledger entries that can be
matched with the selected bank statement line. To choose multiple lines, press and hold the CTRL key.
TIP
You can also manually match multiple bank statement lines with one bank account ledger entry. For example, this
might be useful if your bank deposit contained several payment methods, such as credit cards from different
issuers, and your bank lists those as separate lines.
3. Choose the Match Manually action.

The selected bank statement line and the selected bank account ledger entries change to green font, and
the Applied check box in the right pane is selected.
4. Repeat steps 1 through 3 for all bank statement lines that are not matched.
TIP
To remove a match, select the bank statement line, and then choose the Remove Match action. If you have matched
multiple bank statement lines to a ledger entry, and need to remove one or more of the matched lines, all of the manual
matches are removed for the ledger entry when you choose Remove Match .
To create missing ledger entries to match bank statement lines with

Sometimes a bank statement contain amounts for interest or fees charged. Such bank statement lines cannot be
matched because no related ledger entries exist in Business Central. You must then post a journal line for each
transaction to create a related ledger entry that it can be matched with.
1. On the Bank Acc. Reconciliation page, choose the Transfer to General Journal action.
2. On the Trans. Bank Rec. to Gen. Jnl. page, specify which general journal to use, and then choose the
OK button.
The General Journal page opens containing new journal lines for any banks statement lines with
missing ledger entries.
3. Complete the journal line with relevant information, such as the balancing account. For more information,
see Work with General Journals.
4. To review the result of posting before you post, choose the Test Repor t action. The Bank Account
Statement report opens and shows the same fields as at the header of the Bank Acc. Reconciliation
page.
When the entry is posted, proceed to match the bank statement line to it.
6. Refresh or reopen the Bank Acc. Reconciliation page. The new ledger entry will appear in the Bank
Account Ledger Entries pane.
7. Match the bank statement line with the bank account ledger entry, either manually or automatically.
Undo a bank account reconciliation

If you discover a mistake in a posted bank reconciliation, you can use the Undo action on the Bank Acc.
Statement page to correct the mistake. When you undo a posted bank reconciliation, the entries will be moved
to the Bank Reconciliation page and marked as Open , meaning they are not reconciled. You can then correct
the bank reconciliation and post it again.
NOTE
In the North American version, to use the Undo feature for posted bank reconciliations and bank statements you must
turn on the Bank Recon. with Auto-Match toggle on the General Ledger Setup page. The Undo feature is not
available for bank statements posted from bank reconciliation worksheets.
Reusing the bank statement number

The bank statement number used for the new bank reconciliation is taken from the bank account as is the
Balance Last Statement. You can change these values before you start a new bank reconciliation. However, when
you create a new bank reconciliation, Business Central checks whether the statement number is already
assigned to a posted bank statement. If the number is in use, but you want the new bank statement to use it
instead, you can use the Change Statement No. action on the Bank Acct. Reconciliation page.
Examples
The following are a few examples of how to fix a mistake on a posted bank reconciliation with or without using
the same statement number.
Example 1
You did bank reconciliations for January, February, and March. The bank statement number was 100 for March.
Later, you discover that March only included entries until the 30th, which means entries for the 31st are missing.
So, you need to redo the bank reconciliation for March. In this case, we'll open the Bank Acc. Statement page,
choose the statement for March, and then choose Undo .
The new bank reconciliation is given the statement number 101. To reassign the number 100, choose Change
Statement No. and enter 100 .
TIP
Remember to set the appropriate Statement ending date (in this example, that is March 31), and edit the Balance Last
Statement field.
Example 2
You did bank reconciliations for January, February, June, and July. You discover that February was incorrect. Let's
assume it had statement number 100. As in the Example 1, you use the Undo and Change Statement No. actions
to change the statement number as in example #1 above and you can now redo February bank reconciliation.
After you post the corrected bank reconciliation for February, on the corresponding Bank Account card, the Last
Statement No. field will show 100 , and the Balance Last Statement field will show the ending balance for
the February statement.
If the next bank reconciliation you do is for March, Business Central will assign 101 as the statement number
and give it the correct Balance Last Statement .
If the next bank reconciliation you do is for August, consider changing the values in the Last Statement No.
and Balance Last Statement fields on the Bank Account card before you create the next bank reconciliation,
or use the Change Statement No. action and also change the value in the "Balance Last Statement" field on the
bank reconciliation page.
NOTE
The statement number is important when you do bank reconciliations with imported CAMT files that contain statement
numbers, or when you reconcile based on printed bank statements. If you just download a range of bank transactions
from your online bank, the statement number is usually not important.
The Balance Last Statement is kept on the bank account to minimize mistakes when doing bank reconciliations, but it's
also editable, allowing you to do your bank reconciliations in any order you want. This also means that if you undo a bank
statement, the new ending balance might not be the balance last statement on the next bank statement. There's no
feature that allows you to move a balance forward to all subsequent bank statements, so be aware of this when using
Undo.

See Also
Setting Up Banking
Bank Accounts
TIP
TO SEE
exist.
TO SEE
exist to apply to.

See Also
Sales
Managing Intercompany Transactions
The intercompany transactions capabilities are designed for users who control more than one legal business
entity and have set up multiple companies to separate the accounting functions of each of these entities. This
broad description applies to many users, especially those operating in international markets or regions with
widely disparate business cultures and regulatory environments.
Your organization may consist of several companies, but might not have the equivalent number of accounting
and administrative teams. Intercompany transactions lets you simplify and streamline business processes and
transactions between all of these entities.
Once you start using intercompany transactions, doing business with your subsidiary and internal partner
organizations becomes as simple as engaging with your external vendors and customers. You enter
intercompany transaction information only once in the appropriate documents. You can use the functionality
you are already familiar with, such as receivables and payables management. Mapping facilities for the chart of
accounts and dimensions help ensure that information appears in the right places.
There are four main benefits to the Intercompany functionality:
Increased productivity as a result of time saved and simplified transactions
Minimized error potential with one-time entry of information and system-wide, automated updates
Complete audit trail and full visibility into business activities and transaction histories
Efficient, cost-effective transactions with affiliate and subsidiary companies
Streamlining the Flow of Business Activities

Intercompany transactions lets you distribute sales and purchasing documents, as well as General Journal
entries to all of your satellite offices, sales offices, or subsidiary companies, from within the program. Savings of
time and increased efficiencies result throughout the organization as you eliminate redundant data entry and
the sending, receiving, printing, and archiving of the sales and purchasing documents on paper.
You are in full control of all transaction documents. For example, you can reject a document sent to you and, in
this way, Reverse Journal Postings and Undo Receipts/Shipments that were incorrect. Or, when making a
purchase from a partner or subsidiary company, you can update the purchase order as long as the selling
company has not shipped any goods.
When you enter a transaction, you do not need to specify the accounts for an individual set of books, but simply
give the identification of the partner company. The intercompany functionality creates general journal lines that
result in the balancing of the books of both companies involved in a transaction. In receivables and payables,
you assign an intercompany partner code to any customer or vendor. From that moment on, all orders and
invoices generated pertaining to transactions with these companies will produce corresponding documents in
the partner company, resulting in correct balancing of the accounts.
Intercompany transactions functionality focuses on supporting intercompany transactions with sales and
purchasing documents, and with General Journal lines. Within this area, intercompany transactions allows
intercompany transactions between multiple Business Central databases, for example, in different
countries/regions, as well as multiple currencies, different charts of accounts, different dimensions, and different
item numbering.
Intercompany transactions uses a number of entries and documents in intercompany transactions:
General Journal entries
Purchase and sales orders
Purchase and sales invoices
Credit memos
Return orders
When you set up intercompany transactions, you create a list of intercompany partners, called IC Partners, and
an intercompany chart of accounts. Following these steps, you can perform intercompany general journal
transactions. You set up dimensions – if needed – separately.
NOTE
The general journal by itself does not include currency functionality, but converts all amounts at the applicable rate to the
local currency.
After you set up business partners as customers and vendors in the system, and assign them intercompany
partner codes, it is possible to exchange intercompany purchase and sales documents, including items and item
charges. Business Central supports intercompany transactions between multiple databases, for example, in
different countries/regions, as well as multiple currencies, different charts of accounts, different dimensions, and
different item numbering.
NOTE
Not all types of data can be exchanged between companies in this way. Purchase invoices are not submitted to business
partners through intercompany processes. But sales invoices that are submitted through intercompany processes will be
created as purchase invoices in the receiving company.
Consolidating financial data may especially be relevant for intercompany processes. For more information, see
Consolidating Financial Data from Multiple Companies.
The following table describes a sequence of tasks, with links to the articles that describe them.
TO SEE
Create your intercompany vendors and customers as so- Set Up Intercompany

called intercompany partners, and set up an intercompany
chart of accounts.
Use intercompany documents or journals to post Work with Intercompany Documents and Journals
transactions with your intercompany partners.
Organize and process incoming and outgoing transactions Manage the Intercompany Inbox and Outbox
that you exchange with your intercompany partners.
Use intercompany transactions to distribute costs between Allocate Costs to Intercompany Partners
partner companies.
See Also
Finance
Setting Up Finance
Start a free trial!
Set Up Intercompany Transaction Posting
Intercompany postings make accounting for two or more companies an easier task for a centralized finance
department and bookkeepers in intercompany partner companies. To send a transaction (such as a sales journal
line) from one company and have the corresponding transaction (such as a purchase journal line) automatically
created in the partner company, the companies involved must agree on a common chart of accounts and set of
dimensions to use with intercompany transactions. The intercompany chart of accounts can be, for example, a
simplified version of the parent company's chart of accounts. Each company maps their full chart of accounts to
the shared intercompany chart of accounts, and each company maps their dimensions to the intercompany
dimensions.
You must also set up an intercompany partner code for each Business Central company, which is agreed upon
by all of the companies, and then assign that to customer and vendor cards, respectively.
If you create or receive intercompany lines with items, you can either use your own item numbers, or you can
set up your partner's item numbers for each relevant item, either in the Vendor Item No. field or in the
Common Item No. field on the item card. You can also use the Item Reference function to map your items'
numbers to your intercompany partners descriptions of the items, open the card of each item, and then choose
the Item References action to set up references between your item descriptions and those of the intercompany
partner. For more information, see Use Item References.
If you will make intercompany sales transactions that include resources, you must fill in the IC Par tner Purch.
G/L Acc. No. field on the resource card for each relevant resource. This is the number of the intercompany
general ledger account that the amount for this resource will be posted to in your partner's company. For more
information, see Set Up Resources.
NOTE
Intercompany purchase transactions that include resources, fixed assets, and item charges are not fully supported. In your
intercompany partner's company, the Line Type field will be blank on purchase document lines that include these
entities. You must manually update the field.
To set up a company for intercompany transactions

1. Choose the icon, enter Intercompany Setup , and then choose the related link.
2. On the Intercompany Setup page, fill in the fields. Hover over a field to read a short description.
NOTE
2022 release wave 1 introduces a new Intercompany Setup page so that you can also specify if this company must
automatically create journal lines based on an intercompany partner's posts from the IC General Journal page. If your
organization has used Business Central before this release wave, you must switch on the new experience in the Feature
Management page. For more information, see Auto-accept transactions for intercompany journals.
In versions older than 2022 release wave 1, you must fill in three intercompany-related fields in the Company
Information page instead.
To set up intercompany partners

1. Choose the icon, enter Intercompany Par tners , and then choose the related link.
3. On the Intercompany Par tner page, fill in the fields as necessary. Hover over a field to read a short
description.
4. Repeat steps 2 and 3 for all other companies that are part of this intercompany setup.
NOTE
In Business Central online, you cannot use file locations to transfer transactions to your partners because Business Central
does not have access to your local network. Therefore, if you choose File Location in the Transfer Type field, the
Folder Path field is not available. Instead, the file will be downloaded to the Downloads folder on your computer. You
then send the file to someone in the partner company, for example, by email. For a more direct process, we recommend
that you choose Email instead.
To set up intercompany vendors and intercompany customers

2. Alternatively, access the vendor from the Vendor No. field on the Intercompany Par tner page.
3. Open the card for a vendor that is an intercompany partner. For more information, see Register New
Vendors.
4. In the Intercompany Par tner Code field, select the relevant intercompany partner code.
5. Repeat steps 1 through 4 for customers.
To set up intercompany charts of accounts

In order for a group of companies to make intercompany transactions, they must agree on a chart of accounts
to use as a common reference. You must agree with your partner companies on the account numbers that you'll
all use when you create intercompany transactions. For example, the parent company of the group creates a
simplified version of their own chart of accounts, then exports it to an XML file that it distributes it to each
company in the group.
If the chart of accounts for your company defines the intercompany chart of accounts for your partner
companies, follow the process described in To set up the defining intercompany chart of accounts.
If your company is a subsidiary company and you receive an XML file containing the common intercompany
chart of accounts, follow the To import the intercompany chart of accounts procedure.
To set up the defining intercompany chart of accounts
1. Choose the icon, enter Intercompany Char t of Accounts , and then choose the related link.
2. On the Intercompany Char t of Accounts page, enter each account on a line on the page.
3. If your intercompany chart of accounts will be identical or similar to your regular chart of accounts, you can
fill on the page automatically by choosing the Copy from Char t of Accounts action. You can edit the new
lines as needed.
To export an intercompany chart of accounts
To allow your intercompany partners to import the defining chart of accounts, you must export it to a file.
2. On the Intercompany Char t of Accounts page, choose the Expor t action, and then choose the Save
button.
3. Specify the file name and the location where you want to save the XML file, and then choose the Save
button.
To import the intercompany chart of accounts
When a file exists for defining the intercompany chart of accounts, intercompany partners can import it to make
sure they have the same accounts.
2. On the Intercompany Char t of Accounts page, choose the Impor t action.
3. Select the file name and location of the XML file, and then choose the Open button.
The IC Char t of Accounts page is filled with new or edited G/L account lines according to the intercompany
chart of accounts in the file. Any existing, unrelated lines on the page remain unchanged.
To map the intercompany chart of accounts to your company's chart of accounts
When you've defined or imported the intercompany chart of accounts that you and your intercompany partners
have agreed to use, you must associate each of the intercompany G/L accounts with one of your company's G/L
accounts. On the IC Char t of Accounts page, you specify how intercompany G/L accounts on incoming
transactions will be translated into G/L accounts from your company's chart of accounts.
If the accounts in the intercompany chart of accounts have the same numbers as the corresponding accounts in
the chart of accounts, you can map the accounts automatically.
2. Select the lines that you want to map automatically, and then choose the Map to Acc. with Same No
action.
3. For each intercompany general ledger account that wasn't mapped automatically, fill in the Map-to G/L
Acc. No. field.
To set up default intercompany partner general ledger accounts

When you create an intercompany sales or purchase line to send as an outgoing transaction, you enter an
account from the intercompany chart of accounts as a default for which account in your partner's company the
amount is posted to. On the Char t of Accounts page, for accounts that you regularly use on outgoing
intercompany sales or purchase lines, you can specify a default intercompany partner general ledger account.
For example, for your receivables accounts, you can enter the corresponding payables accounts from the
intercompany chart of accounts.
Then, when you enter a general ledger account in the Bal. Account No. field on an intercompany line with
Intercompany Par tner in the Account Type field, the IC Par tner G/L Account field is automatically filled in.
2. On the line for a G/L account that is used for intercompany transactions, in the Default IC Par tner G/L
Account field, enter the intercompany general ledger account that your partner will post to when you post
to the general ledger account on the line.
3. Repeat step 2 for each account that you often enter in the Bal. Account No. field on a line in an
intercompany journal or document.
To set up intercompany dimensions

If you and your intercompany partners want to to exchange transactions with dimensions linked to them, you
must agree on the dimensions that all of you will use. For example, the parent company of the group creates a
simplified version of their own set of dimensions, exports them to an XML file that it distributes to each
company in the group. Each of the subsidiaries then imports the XML file into the Intercompany Dimensions
page and maps the intercompany dimensions to the dimensions in their own Dimensions page.
NOTE
Each company in Business Central must map dimensions to intercompany dimensions for outgoing documents, and map
intercompany dimensions to their own dimensions for incoming documents. This mapping helps assure consistency
across the companies. For more information, see the To map intercompany dimensions to your company's dimensions
section.
If your company is the parent company and has the defining set of intercompany dimensions that your group
will use as a common reference, follow the To define the intercompany dimensions procedure.
If your company is a subsidiary company and you receive an XML file containing the intercompany dimensions
that your group will use as a common reference, follow the To import intercompany dimensions procedure.
To define the intercompany dimensions
1. Choose the icon, enter Intercompany Dimensions , and then choose the related link.
2. On the Intercompany Dimensions page, enter each dimension on a line on the page.
If your intercompany dimensions will be similar or identical to your company dimensions, you can fill on
the page automatically by using the Copy from Dimensions function, and then you can edit the
resulting lines.
3. To export the intercompany dimensions to an XML file for distribution to your partner companies, choose
the Expor t action.
4. Specify the file name and the location where you want to save the XML file, and then choose the Save
button.
To import the intercompany dimensions
When a file exists for the defining intercompany dimensions, intercompany partners can import it to make sure
they have the same dimensions.
2. On the Intercompany Dimensions page, choose the Impor t action.
3. Specify the file name and location of the XML file, and then choose the Open button.
The lines on the Intercompany Dimensions page and the Intercompany Dimension Values page are
imported.
To map intercompany dimensions to your company's dimensions
When you've defined or imported the dimensions that you and your intercompany partners have agreed to use,
you must associate each of the intercompany dimensions with one of your company's dimensions, and vice
versa. On the Intercompany Dimensions page, you specify how intercompany dimensions on incoming
transactions will be translated into dimensions from your company's list of dimensions. On the Dimensions
page, you specify how your dimensions will be translated into intercompany dimensions on outgoing
transactions.
If any of the intercompany dimensions have the same code as the corresponding dimensions in your company's
list of dimensions, then you can have application automatically map the dimensions, then you can map the
accounts automatically.
In the following steps, you first map intercompany dimensions to dimensions for incoming documents in the
Intercompany Dimensions page. Then, you map dimensions to intercompany dimensions for outgoing
documents in the Dimensions page.
2. On the Intercompany Dimensions page, select the lines that you want to automatically map, and then
choose the Map to Dim. with Same Code action.'
3. For each intercompany dimension that isn't mapped automatically, fill in the Map-to Dimension Code
field.
You may have to add the field to your view. For more information, see Personalize Your Workspace.
4. Choose the Intercompany Dimension Values action.
5. On the Intercompany Dimension Values page, fill in the Map-to Dimension Value Code field.
Proceed to map dimensions to intercompany dimensions by performing similar steps.
6. Choose the icon, enter Dimensions , and then choose the related link.
7. On the Dimensions page, select the lines that you want to automatically map, and then choose the Map
to IC Dim. with Same Code action.
8. For each intercompany dimension that isn't mapped automatically, fill in the Map-to IC Dimension
Value Code field.
9. Choose the Dimension Values action.
10. On the Dimension Values page, fill in the Map-to IC Dimension Value Code field.
See Also
Finance
Setting Up Finance
You use intercompany documents or journals to post transactions with your intercompany partners. When you
post an intercompany document or journal line in your company, a corresponding document or journal line is
created in your intercompany outbox that you can transfer to your partner. Your partner can then post the
corresponding transaction in their company, without having to re-enter the data.
For sales and purchase documents, the intercompany partner code on the involved customer or vendor ensures
that all orders and invoices generated pertaining to transactions with these companies will produce
corresponding documents in the partner company, resulting in correct balancing of the accounts.
For intercompany general journal lines, you do not need to specify the accounts for an individual set of books,
but simply give the identification of the partner company. Corresponding intercompany general journal lines are
then created in the partner company that result in the balancing of the books of both companies involved in a
transaction.
To fill in and send an intercompany sales order

You can send sales and purchase orders and return orders before posting. Invoices and credit memos cannot be
sent until they are posted.
The following procedure describes how to fill in and send an intercompany sales order. The same steps apply to
intercompany purchase orders and return orders, and to posted intercompany invoices and credit memos.
2. Choose New to create a new sales order. For more information, see Sell Products.
4. Make sure the customer is an intercompany partner.
5. To send the sales order before you post it, choose the Send IC Sales Order action.
NOTE
If you do perform step 4, then the sales order will be moved to your intercompany outbox where you can send it later. For
more information, see Manage the Intercompany Inbox and Outbox.
To fill in and post an intercompany journal

When you post an intercompany general journal line in your company, a corresponding journal line is created in
your intercompany outbox that you can transfer to your partner. With 2022 release wave 1, you can also set up
the company for automatic creation of received intercompany transactions from intercompany partners, posted
through the intercompany general journal. Your partner can then post the corresponding transaction in their
company, without having to re-enter the data.
1. Choose the icon, enter Intercompany General Journals , and then choose the related link.
2. Open the relevant journal batch. For more information, see Work with General Journals.
4. In the IC Par tner G/L Acc. No. field, enter the intercompany general ledger account that the amount
will be posted to in your partner's company.
NOTE
This field must be filled in on a line with a bank account or general ledger account in either the Account No. field
or the Bal. Account No. field.

The involved entries are posted in your company and a journal with the corresponding entries are created in
your intercompany outbox that you can send to your partner company. For more information, see Manage the
Intercompany Inbox and Outbox.
See Also
Finance
Setting Up Finance
Manage the Intercompany Inbox and Outbox
All of the intercompany transactions that you receive electronically from your intercompany partners are listed
in the intercompany Inbox.
However, depending on how intercompany is set up for your company, some transactions are automatically
replicated to the relevant intercompany partners. Starting in 2022 release wave 1, you can set up the company
for automatic creation of received intercompany transactions from intercompany partners, posted through the
intercompany general journal. For more information, see To fill in and post an intercompany journal.
Organizing the Inbox

You can use the filter fields at the top of the inbox page to determine which transactions are shown on the page.
For example, if you only want to look at transactions a particular partner created, you can enter filters in the
Transaction Source and Intercompany Par tner Code filters.
Transaction Source
What you can do with a transaction depends whether it was:
Created by your intercompany partner
Rejected by your intercompany partner and returned to you
You can use the Show Transaction Source field to filter the Intercompany Inbox Transactions page so that
it displays only one of these types of transactions. (You can also filter by intercompany partner, or by the
contents of the Line Action field.)
Created by Intercompany Partner
When you receive a new transaction that was created by your partner, you can choose to either:
Accept the transaction
Reject the transaction (Return to partner)
Cancel the transaction (Delete the transaction but do not return it to your partner)
Returned from Intercompany Partner
If the transaction was rejected by your intercompany partner, your only choice is to cancel the transaction in the
inbox. Then you must create correction lines or reverse the journal or document in your company.
Recreating Inbox Entries

If you accepted a transaction in your inbox but then deleted the document or journal instead of posting it, you
can re-create the inbox entry and accept it again.
Getting an Overview of Intercompany Transactions for a Period

You can get an overview of all of the intercompany transactions that you have sent and received in a period. The
Intercompany Transactions report lists all intercompany G/L entries, customer ledger entries, and vendor
ledger entries.
NOTE
If the intercompany partners are in the same database, then transactions are transferred without the need for file or
email. See the Transfer Type field on the Intercompany Par tner page.
In that case, you can set the system up to bypass the inbox and outbox by selecting the Auto. Accept Transactions
check box on the Intercompany Par tner page and the Auto. Send Transactions check box on the Intercompany
Setup page respectively. Incoming intercompany transactions can be automatically accepted only if task scheduler is
enabled. For more information, see Configure Business Central Server - Task Scheduler Settings.
To import intercompany transactions from a file

The following content applies to on-premises deployments only.
If you have an intercompany partner that is not in the same database as your company, you can receive
intercompany transactions from that partner in an .xml file. Then you must import the transactions into your
inbox.
1. Save the file to the location that you specified in the Intercompany Inbox Details field when you set up
intercompany.
2. Choose the icon, enter Intercompany Inbox Transactions , and then choose the related link.
3. On the Intercompany Inbox Transactions page, choose the Impor t Transaction File action.
4. on the page that appears, select the .xml file that contains the transactions, and then choose the Open
button.
The transactions are imported into the inbox and you can now process them.
To process incoming intercompany transactions

When your intercompany partners send you intercompany transactions, the transactions end up in your
intercompany inbox. You must evaluate each transaction in your inbox and act upon it.
1. Choose the icon, enter Intercompany Inbox Transactions , and then choose the related link.
2. On the Intercompany Inbox Transactions page, select a line, and then choose an action, such as Accept ,
to process the line.
3. On the Complete IC Inbox Action page, fill in the fields as necessary. Hover over a field to read a short
description.
For lines that you processed with the Accept action, document or journal lines will be created in your company.
Open each document or journal, make any necessary changes, and then post them.
Lines that you processed with the Return to Par tner action will be moved to the outbox from where you can
then send them to your partner.
For lines that you processed with the Returned by Par tner action, you must now post a correction to the
original transaction that you posted in your company.
To process outgoing intercompany transactions

When you post an intercompany journal or document, or send an intercompany order confirmation, the
transactions are sent to your intercompany outbox. In order for them to be sent on to your intercompany
partners, you must open the outbox and process them.
1. Choose the icon, enter Intercompany Outbox Transactions , and then choose the related link.
2. On the Intercompany Outbox Transactions page, select a line, and then choose an action, such as Return
to Inbox , to process the line.
Lines that you processed with the Send to Intercompany Par tner action will be sent to the relevant partner's
inbox.
Lines that you processed with the Return to Inbox action will be moved to the inbox where you can then
accept them to create documents or journal lines in your company.
For lines that you processed with the Cancel action, you must now post a correction to the original transaction
that you posted in your company.
To recreate intercompany inbox transactions

Occasionally, you may want to re-create a transaction in the inbox or outbox. For example, if you accepted a
transaction in your inbox but then deleted the document or journal instead of posting it, you can re-create the
inbox entry and accept it again.
The following procedure describes to re-create inbox transactions, but the same steps also apply to the outbox.
1. Choose the icon, enter Handled IC Inbox Transactions , and then choose the related link.
2. On the Handled IC Inbox Transactions page, select the line with the transaction that you want to re-
create in the inbox, and then choose the Re-create Inbox Transaction action.
See Also
Finance
Setting Up Finance
Allocate Costs to Intercompany Partners
When you use intercompany postings to transfer documents between partner companies, the VAT-related
settings (primarily the VAT business posting group) assigned to the customer or vendor accounts (associated
with the intercompany Partner) control whether, and how, VAT is calculated and registered. You can also do cost
distributions directly from a purchase order to partner companies. For example, if you register a purchase
invoice from an external vendor and you want to distribute some or all of the costs to one or more
intercompany partners.
You can allocate costs can be to one or more intercompany partners using the following:
Intercompany General Journals - These journals are useful when a service is purchased. For example,
when a parent company hires a service to set up computer systems in two subsidiaries. The invoice is sent to
the parent company, but the costs are allocate to the intercompany partners. For more information, see Work
with Intercompany Documents and Journals.
Purchase orders and invoices - Using purchase documents is useful when the purchasing functions of, for
example, operating expenses, are centralized in one company and then allocated to the intercompany
partners.
To allocate costs using an intercompany general journal

To enter a line in an intercompany general journal, follow these steps.
1. Choose the icon, enter Intercompany General Journal , and then choose the related link.
2. If required, in the External Document No. field, enter the document number on the invoice from the
vendor.
3. In the Document Type field, choose Invoice .
4. In the Account Type field, choose Vendor .
5. In the Account No. field, choose the vendor.
6. In the Amount field, enter a negative amount equal to the amount on the invoice.
7. In the Bal. Account Type field, choose G/L Account .
8. In the Bal. Account No. field, choose the balancing account to use.
9. To allocate costs to intercompany partners, follow these steps:
a. Create a new line.
b. Leave the Document Type field, choose the option that leaves the field blank.
c. In the Document No. field, enter a number that is different than the number in the External
Document No. field. The cost allocation is considered a different transaction.
d. In the Account Type field, choose IC Par tner .
e. In the Account No. field, choose the intercompany partner to allocate the cost to.
f. In the Balance Account Type field, choose G/L Account .
g. In the Balance Account No. field, choose the G/L account to which to post the amount you receive
from the intercompany partner.
h. In the Amount field, enter the amount of the invoice to allocate to the intercompany partner.
i. In the IC Par tner G/L Acc. No. field, choose the G/L account that you want to post the amount to for
the intercompany partner.
j. Fill in the remaining fields as necessary. Hover over a field to read a short description. Repeat these
steps for each intercompany partner who should share in the cost.
10. To post the document and allocate the costs, choose Post .
To allocate costs using a purchase document

The following procedure describes how to allocate costs using a purchase invoice. The steps are the same for
purchase orders.
NOTE
To complete these steps you must personalize the Purchase Invoice page by adding the IC Par tner Code , IC Par tner
Ref. Type , and IC Par tner fields. For more information, see To start personalizing a page through the Personalizing
banner.
1. Choose the icon, enter Purchase Invoice , and then choose the related link.
2. In the Type field, choose G/L Account .
G/L Account is the only option you can use to allocate costs.
3. In the No. field, choose the G/L account to post to.
4. In the IC Par tner Code field, choose the intercompany partner to allocate the cost to.
5. In the IC Par tner Ref. Type choose the G/L account to use for the allocation. This account will map the
expense to an account in the intercomany partner's chart of accounts.
6. In the Quantity field, specify the number of units to charge to the intercompany partner.
7. In the Direct Unit Cost Excl. VAT (or Incl. VAT) field, enter the cost per item to charge to the
intercompany partner.
9. To post the purchase order, choose Post .
To send the allocated costs to intercompany partners

1. Choose the icon, enter IC Outbox Transactions , and then choose the related link.
2. Choose lines to send, and then choose the Send to IC Par tner action.
3. To allocate the costs, choose the Complete Line Actions action.
Calculating VAT for Cost Distributions

When you use a document to distribute costs to intercompany partners, there are two VAT settings to be aware
of:
The settings on the G/L account for expenses:
If the general business or VAT business posting groups are set up on the G/L account, then the
calculation depends on the groups and the product groups from the document line.
If the general business or VAT business posting groups are not specified on the G/L account, the
calculation depends on the following:
The posting group settings on the intercompany partner
Whether the intercompany partner is assigned to a customer number that does not have a general
business or VAT business posting groups specified.
There is no customer number associated with the intercompany partner. Then the general business or
VAT business posting groups are blank, and the line in the VAT posting setup is used, which is usually
a group where 0% VAT is specified.
NOTE
It is important to validate both the intercompany partner setup and the G/L account setup (for the expense account used
for the cost distribution) before you allocate costs to intercompany partners.
See Also
Set Up Intercompany
Finance
Setting Up Finance
Cost accounting is used to help you understand the costs of running a business. To get started with cost
accounting, see the following topics.
TO SEE
Understand the terminology that is used in cost accounting. Terminology in Cost Accounting
Get an overall understanding of cost accounting. About Cost Accounting
Configure the cost accounting system. Setting Up Cost Accounting
Transfer general ledger entries to cost entries. Transferring and Posting Cost Entries
Allocate costs. Defining and Allocating Costs
Learn the processes in creating cost budgets. Creating Cost Budgets
Cancel cost budget entries from the cost budget register. Deleting Cost Budget Entries

See Also
Finance
This topic defines the key terms that are used in cost accounting.
Key Terms
The following table shows definitions of the key terms in cost accounting.
T ERM DEF IN IT IO N
Allocation key The allocation key is the basis that is used to allocate costs.
It is typically a quantity, such as square meters occupied,
number of employees, or man-hours used. For example, two
departments, with 20 and 10 employees respectively, share
canteen costs. The costs are distributed between the
departments by using an allocation key that represents the
number of employees. Two thirds of the costs are allocated
to the first department, and one third of the costs are
allocated to the second department.
Allocation source The allocation source establishes which costs are allocated.
Allocations are defined in allocation source and allocation
target tables. Each allocation consists of an allocation source
and one or more allocation targets. For example, all costs for
the heating cost type, which is an allocation source, can be
allocated to the workshop, production, and sales cost
centers, which are three allocation targets.
Allocation target The allocation targets determine where the costs are
allocated. Allocations are defined in allocation source and
allocation target tables. Each allocation consists of an
allocation source and one or more allocation targets. For
example, all costs for the heating cost type, which is an
allocation source, can be allocated to the workshop,
production, and sales cost centers, which are three allocation
targets.
Cost accounting In cost accounting, actual costs of operations, processes,

departments, or products are recorded. These costs are
allocated to cost centers and cost objects by using different
cost allocation methods. Managers use statistics and
reports, such as cost distribution sheet and profit and loss
analysis to make decisions and reduce costs. Cost
accounting retrieves data from the general ledger, but works
independently. Therefore transactions posted in cost
accounting do not affect the data in the general ledger.
Cost type The chart of cost types has the same function as the chart of
accounts in the general ledger. They are often structured
similarly. Therefore it is possible to transfer the general
ledger chart of accounts to the chart of cost types and then
modify it. The chart of cost types can also be created from
scratch.
Cost center Cost centers are most often departments and profit centers
that are largely responsible for company’s costs and income.
Cost centers can be synchronized with dimensions in the
general ledger. It is also possible to add new cost centers and
define their own sorting with subtotals.
Cost object Cost objects are products, product groups or services of a

company, the finished goods of a company, that in the end
carry the costs. Cost objects can be synchronized with
dimensions in the general ledger. It is also possible to add
new cost objects and define their own sorting with subtotals.
Cost allocation Cost allocation is a process of allocating costs to cost centers

or cost objects. For example, the wage of the truck driver of
the sales department is allocated to the sales department
cost center. It is not necessary to allocate the wage cost to
other cost centers. Another example is that the cost of an
expensive computer system is allocated to the products of
the company that use the system.
Dynamic allocation Dynamic allocations are dependent on changeable allocation

bases, for example, the number of department employees,
or the sales revenue of the project within a certain period of
time. There are nine predefined dynamic allocation bases
that users can define by using five filters.
Direct cost Direct costs are the costs that can be directly allocated to a
cost object, for example, material purchase for a specific
product.
Fixed cost Fixed costs are the costs that are not dependent on the level
of goods or services produced by the company. They tend to
be time-related, such as salary or rent being paid per month.
They are in contrast to variable costs, which are volume-
related, and are paid per quantity produced.
Indirect cost Indirect costs are not directly accountable to a cost object,
such as a particular function or product. Indirect costs may
be either fixed or variable. Indirect costs can be tax,
administration, personnel, and security costs and are also
known as overhead costs.
Level Level is used to define allocation order. Level is defined as a

number between 1 and 99. The allocation posting follows
the order of the levels. For example, level ensures that first
administration is allocated to workshop before workshop is
allocated to vehicle and production.
Static allocation Static allocations are based on a fixed set of values, for
example, the square meters used, or an established
allocation ratio, such as 5:2:4.
Operational cost Operational costs are the recurring expenses which are
related to the operation of a business, a device, and a
component.
Overhead cost Overhead costs refer to ongoing expenses of operating a

business. They are all costs on the income statement except
for direct labor, direct materials, and direct expenses.
Overhead costs include accounting fees, advertising,
depreciation, insurance, interest, legal fees, rent, repairs,
supplies, taxes, telephone bills, travel, and utilities costs.
Step variable cost Step variable costs are costs that change dramatically at
certain points because they involve large purchases that
cannot be spread out over time. For example, one employee
can produce 100 tables in a month. The employee’s wage is
constant over a production range of 1 to 100 tables. If the
company wants to produce 110 tables, the company needs
two employees. So the cost will double.
Share The portion or part that is allocated among cost centers or

cost objects.
Static weighting Costs are allocated according to allocation keys, which can
be modified by using a multiplier.
For example, two departments, with 20 and 10 employees
respectively, share canteen costs. The costs are distributed
between the departments by using an allocation key that
represents the number of employees that eat in the canteen.
In the first department, only 5 employees eat in the canteen,
so this department has a multiplier of 0.25. The basis for
allocation is 20 x 0.25 = 5. The total number of employees
that eat in the canteen is 15. One third of the costs are
allocated to the first department and two thirds of the costs
are allocated to the second department.
Variable cost Variable costs are expenses that change in proportion to the
activity of a business. Variable costs are the sum of marginal
costs over all units produced. Fixed costs and variable costs
make up the two components of total costs.
Variant A variant is used as an optional user-defined label for

allocations. The purpose of the label is to filter groups of
allocation.

See also
Cost accounting can help you understand the costs of running a business. Cost accounting information is
designed to analyze:
What types of costs that you incur when you run a business?
Where do the costs occur?
Who bears the costs?
In cost accounting, you allocate actual and budgeted costs of operations, departments, products, and projects to
analyze the profitability of your company.
Workflow in Cost Accounting

Cost accounting has the following main components:
Cost types, cost centers, and cost objects
Cost entries and cost journals
Cost allocations
Cost budgets
Cost reporting
The following diagram shows the workflow in cost accounting.
Cost Types, Cost Centers, and Cost Objects

You define cost types, cost centers, and cost objects to analyze what the costs are, where the costs come from,
and who should bear the costs.
You define a chart of cost types with a structure and functionality that resembles the general ledger chart of
accounts. You can transfer the general ledger income statement accounts or create your own chart of cost types.
Cost centers are departments and profit centers that are responsible for costs and income. Often, there are more
cost centers set up in cost accounting than in any dimension that is set up in the general ledger. In the general
ledger, usually only the first level cost centers for direct costs and the initial costs are used. In cost accounting,
additional cost centers are created for additional allocation levels.
Cost objects are products, product groups, or services of a company. These are the finished goods of a company
that carry the costs.
You can link cost centers to departments and cost objects to projects in your company. However, you can link
cost centers and cost objects to any dimensions in the general ledger and supplement them with subtotals and
titles.
Cost Entries and Cost Journals

Operational costs can be transferred from the general ledger. You can automatically transfer the cost entries
from the general ledger to cost entries with each posting. You can also use a batch job to transfer the general
ledger entries to cost entries based on daily or monthly summary posting.
In cost journals, you can post cost and activities that do not come from the general ledger or are not generated
by allocations. For example, you can post pure operational costs, internal charges, allocations, and corrective
entries between cost types, cost centers, and cost objects individually or on a recurring basis.
Cost Allocations
Allocations move costs and revenues between cost types, cost centers, and cost objects. Overhead costs are first
posted to cost centers and later charged to cost objects. For example, this might be done in a sales department
that sells several products at the same time. Direct costs can be directly allocated to a cost object, such as a
material purchased for a specific product.
The allocation base that is used and the accuracy of the allocation definition have an influence on the results of
cost allocations. The allocation definition is used to allocate costs first from so-called pre-cost centers to main
cost centers and then from cost centers to cost objects.
Each allocation consists of an allocation source and one or more allocation targets. You can allocate actual values
or budgeted values by using the static allocation method that is based on a definite value, such as square
footage, or an established allocation ratio of 5:2:4. You can also allocate actual values or budgeted values by
using the dynamic allocation method with nine predefined allocation bases and 12 dynamic date ranges.
Cost Budgets
You can create as many cost budgets as you want. You can copy the cost budget to the general ledger budget
and vice versa. You can transfer budgeted costs as actual costs.
Cost Reporting
Most reports and statistics are based on the posted cost entries. You can set the sorting of the results and use
filters to define which data must be displayed. You can create reports for cost distribution analysis. In addition,
you can use the standard account schedules to define how your reports for the chart of cost types are displayed.
See also
Finance
Setting Up Cost Accounting
Before you start working with cost accounting, you must perform setup tasks.
Balances Between Cost Type, Cost Center, and Cost Object

When you set up cost accounting, you must make sure that all entries are assigned to a cost type as well as a
cost center or a cost object. The means that each cost entry must have a cost type assigned and a cost center
code or a cost object assigned. This rule ensures that each cost entry appears in either the cost centers or the
cost objects, but never in both places.
By doing this, you create the following accounting equation:
Cost Type Balance = Cost Center Balance + Cost Object Balance
When you print the chart of cost type, the chart of cost centers, and the chart of cost objects reports, you can
analyze this relationship.
Setting Up Cost Types

The chart of cost types is similar to the chart of accounts in the general ledger. You can set up the chart of cost
types in the following ways:
Structure the chart of cost types similar to the income statement accounts in the general ledger chart of
accounts. Then, you can transfer the general ledger chart of accounts to the chart of cost types. You can make
any necessary adjustments after the transfer.
Create new chart of cost types or add new cost types to existing chart of cost types. You must create each
new cost type individually.
To transfer the general ledger chart of accounts to the chart of cost types
1. Choose the icon, enter Char t of Cost Types , and then choose the related link.
2. Choose the Get Cost Types from Char t of Accounts action. In the dialog box, choose the Yes button
to confirm the transfer. The function uses the chart of accounts to create a chart of cost types.
The chart of cost types now contain all income statement accounts in the general ledger and include
headings and subtotals. You can change the chart of cost types, as necessary. For example, you can delete
duplicate existing cost types.
IMPORTANT
The Register Cost Types in Char t of Accounts function updates the relationship between the chart of
accounts and the chart of cost types. The No. field is filled and verified to make sure that each general ledger
account is related to only one cost type. The function runs automatically before transferring general ledger entries
to cost accounting.
To set up new cost types in the Chart of Cost Types page

1. Open the Char t of Cost Types page in edit mode.
2. Fill in the fields as described as necessary. Hover over a field to read a short description.
NOTE
You can set up and maintain cost types in either the Cost Type Card page or on the Char t of Cost Types
page. In this procedure, you set up cost types on the Char t of Cost Types page.
3. After you have created all cost types, choose the Indent Cost Types action. In the dialog box, choose the
Yes button.
4. Link the new cost type to the corresponding general ledger account.
IMPORTANT
If you have entered definitions in the Totaling fields for the line type of End-Total before you run the Indent
Cost Types function, then you must enter the definitions again because the function overwrites the values in all
End-Total fields.
To update cost types

1. On the Cost Accounting Setup page, select if you want the chart of cost types to be automatically updated
when the chart of accounts is changed.
2. In the Align G/L Account field, you can choose from the following options.
No Alignment - There is no corresponding change in the chart of cost types when you change the chart of
accounts.
Automatic - A corresponding change is made in the chart of cost types when you change the chart of
accounts.
Prompt - A message is displayed asking if you want to make a corresponding change in the chart of cost
types when you change the chart of accounts.
Defining the Relationship Between Cost Types and General Ledger

Accounts
The relationship between the cost type and the general ledger account is created in the cost type and in the
general ledger account.
The G/L Account Range field in the Cost Type table establishes which general ledger accounts belong to a
cost type.
The Cost Type No. field in the chart of accounts establishes which cost type a general ledger account
belongs to.
These two fields are filled automatically when you use the Get Cost Types from Char t of Accounts function.
Relationship Between General Ledger Accounts and Cost Types
There is an n:1 relationship between general ledger accounts and cost types. Several general ledger accounts
can belong to one cost type, but each general ledger account belongs to only one cost type. The following table
describes the details in the relationship.
REL AT IO N SH IP G/ L A C C O UN T RA N GE C O ST T Y P E N O.
One general ledger account for each One general ledger account One cost type
cost type
REL AT IO N SH IP G/ L A C C O UN T RA N GE C O ST T Y P E N O.
Several general ledger accounts for General ledger account range, for For each general ledger account in the
one cost type example, 7110..7193 for each general range, there is only one cost type
ledger account
Cost types without corresponding <Empty>

general ledger accounts
General ledger accounts whose entries <Empty>

will not be transferred
Cost Types Without a Relationship to the General Ledger

A cost type may not have a relationship to general ledger accounts if one of the following conditions is true:
Accounts for operational accounting, such as Calc. Interest and Depreciation, only take costs from the
operational accounting.
Helping cost types, such as cost types 9901, 9902, and 9903 in the Business Central database, are used as
credit and debit accounts for allocations.
The helping account, 9920 in the Business Central database, contains actual accruals that show the difference
between costs and the expense from the general ledger.
Setting Up Cost Centers

Cost centers are departments that are responsible for costs and income. The chart of cost centers is similar to
the dimension information for the general ledger. You can set up the chart of cost centers in the following ways:
Transfer dimension values in the general ledger to the chart of cost centers. You can make any necessary
adjustments after the transfer.
Create a new chart of cost center that is independent of the general ledger or add a new cost center to an
existing chart of cost center. You must create each cost center individually.
To transfer dimension values in the general ledger to the chart of cost centers
1. Set up a dimension to be the cost center dimension on the Update Cost Acctg. Dimensions page.
Only the values from this dimension are transferred.
2. Choose the icon, enter Char t of Cost Centers , and then choose the related link.
3. On the Actions tab, in the Functions group, choose Get Cost Centers from Dimension to transfer
dimension values to the chart of cost centers. The function transfers the dimension values that you
defined in step 1.
NOTE
You can set up the Align Cost Center Dimension field to define a one-way synchronization of dimension
values from the general ledger to the chart of cost centers. You cannot define a synchronization of the chart of
cost centers to dimension values from the general ledger.
The chart of cost centers now contains all specified dimension values from the general ledger and includes titles
and subtotals.
To create new cost centers in the Chart of Cost Centers page
You can set up and maintain cost centers in either the Cost Center Card card or on the Char t of Cost
Centers page. In this procedure, you set up cost centers on the Char t of Cost Centers page.
1. Open the Char t of Cost Centers page in edit mode.
2. In the Code field, enter the cost center code. All cost centers must have a code.
3. In the Name field, enter the cost center name.
4. Choose the drop-down arrow in the Line Type field to specify the purpose of the cost center.
For cost centers of the Total type, you must fill in the Totaling field. Use the or operator, which is a
vertical line (| ) to set ranges of cost centers.
For cost centers of the End-Total line type, this field is filled in automatically when you use the indent
function.
5. Fill in the Sor ting Order and Cost Subtype fields.
6. Choose the next empty line to create a new cost center, and then repeat steps 2 through 5.
7. After you have set up all the cost centers, choose the Indent Cost Centers action. Choose the Yes
button.
IMPORTANT
If you have entered definitions in the Totaling fields for End-Total cost centers before you run the indent function, then
you must enter them again. The function overwrites the values in all End-Total fields.
Setting Up Cost Objects

Cost objects are projects, products, or services of a company. The chart of cost objects is similar to the
dimension information for the general ledger. You can set up the chart of cost objects in the following ways:
Transfer dimension values in the general ledger to the chart of cost objects. You can make any necessary
adjustments after the transfer.
Create a new chart of cost object that is independent of the general ledger or add a new cost object to an
existing chart of cost objects. You must create each cost object individually.
To transfer dimension values from the general ledger to the chart of cost objects
1. Set a dimension to be the cost object dimension on the Update CA Dimensions page. Only the values
from this dimension are transferred.
2. Choose the icon, enter Char t of Cost Objects , and then choose the related link.
3. Choose the Get Cost Objects from Dimension action to transfer dimension values to the chart of cost
objects. The function transfers the dimension values that you defined in step 1.
NOTE
You can set up the Align Cost Object Dimension field to define a one-way synchronization of dimension
values from the general ledger to the chart of cost objects. You cannot define a synchronization of the chart of
cost objects to dimension values from the general ledger.
The chart of cost objects now contains all specified dimension values from the general ledger and includes titles
and subtotals.
To create new cost objects in the Chart of Cost Objects page
You can set up and maintain cost objects in either the Cost Object Card card or on the Char t of Cost
Objects page. In this procedure, you set up cost objects on the Char t of Cost Objects page.
1. Open the Char t of Cost Objects page in edit mode.
2. In the Code field, enter the cost object code. All cost objects must have a code.
3. In the Name field, enter the cost object name.
4. Choose the drop-down arrow in the Line Type field to specify the purpose of the cost object.
For cost objects of the Total line type, fill in the Total From/To field. Use the or operator, which is a
vertical line (| ), to set ranges of cost objects.
For cost objects of the End-Total line type, this field is filled in automatically when you use the indent
function.
5. Fill in the Sor ting Order field.
6. Chose the next empty line to create a new cost object, and then repeat steps 2 through 5.
7. After you have set up all the cost objects, choose the Indent Cost Objects action. Choose the Yes
button.
IMPORTANT
If you have entered definitions in the Total From/To fields for End-Total cost objects before you run the indent function,
then you must enter them again. The function overwrites the values in all End-Total fields.
Defining Cost Centers and Cost Objects for Chart of Accounts

You can automatically transfer the expense and income entries from the general ledger to cost accounting either
for each general ledger posting or with a batch job. When you do the transfer, Business Central only transfers
the entries that are already linked to a cost center or a cost object. To establish a meaningful transfer, you must
ensure that the cost centers and cost objects are correctly defined.
Defining Default Dimension Values for General Ledger Accounts
For each general ledger account, you can define default dimension values in the Default Dimension table. The
following example shows how to define that there should always be a DEPARTMENT cost center, but never be a
PROJECT cost object when posting to a general ledger account.
DIM EN SIO N C O DE VA L UE P O ST IN G
Department Code Mandatory
Project No Code
Defining Dimension Values for Overhead Costs and Direct Costs

You can transfer overhead costs to a cost center and direct costs to a cost object. The following table shows the
optimal combination of the dimension setup values.
T RA N SF ER TO C O ST C EN T ER P O ST IN G C O ST O B JEC T P O ST IN G
Cost Center Code Mandatory No Code
Cost Object No Code Code Mandatory

NOTE
To make sure that the predefined cost center and cost object that you set up in the general ledger are automatically
carried over to cost accounting, select the Check G/L Postings check box in the Cost Accounting Setup page.

See also
Before you define cost allocations, you must understand how cost entries come from the following sources:
Automatic transfer of general ledger entries.
Manual cost posting for pure cost entries, internal charges, and manual allocations.
Automatic allocation postings for actual costs.
Transfer of budget entries to actual.
Criteria for Transferring General Ledger Entries to Cost Entries

It is important to understand the criteria for transferring general ledger entries to cost entries. During the
transfer, the Transfer GL Entries to CA batch job uses the following criteria to determine if and how the
general ledger entries are transferred.
General ledger entries are transferred if:
The entries have dimension values corresponding to either a cost center or a cost object.
The entries have dimension values that correspond to a cost center and a cost object. For these entries, the
cost center takes precedence. This helps avoid a situation where a cost type appears in both a cost object and
a cost center and is therefore counted twice in the statistics.
The document number in the entries is empty, so it will appear with a document number of 0000 in the cost
entries.
The entries are transferred to a cost type that allows for combined entries and these entries are transferred
as a combined entry either monthly or daily.
General ledger entries are not transferred if:
The entries have dimension values that do not correspond to a cost center or a cost object.
The entries have an amount of zero.
The entries have a general ledger account that has been deleted.
The entries have a general ledger account that is not of the type Income Statement .
The entries have a general ledger account that is not assigned a cost type.
The entries have a posting date before the Star ting Date for G/L Transfer .
The entries have been posted with a closing date. These are typically entries that set back the balance of the
income statement at the end of the year.
Transferring General Ledger Entries to Cost Entries

You can transfer general ledger entries to cost entries.
Before you run the process for transferring general ledger entries to cost entries, you must prepare the transfer
to avoid manual correction posting.
To prepare the transfer
1. Choose the icon, enter Cost Accounting Setup , and then choose the related link.
2. On the Cost Accounting Setup page, verify that the Star ting Date for G/L Transfer field is set to the
correct value.
3. Choose the icon, enter Char t of Cost Types , and then choose the related link.
4. On the Cost Type Card page, verify that the G/L Account Range field is linked correctly for each cost type
to take entries from the general ledger.
6. For each relevant general ledger account, on the G/L Account Card page, verify that the Cost Type No.
field is linked correctly to a cost type. For more information, see Setting Up Cost Accounting.
7. Verify that all relevant general ledger entries have dimension values that correspond to a cost center and a
cost object.
To transfer general ledger entries to cost entries
1. Choose the icon, enter Transfer GL Entries to CA , and then choose the related link.
2. Choose the Yes button to start the transfer. The process transfers all general ledger entries that have not
already been transferred.
During the transfer, the process creates connections in the entries in the Cost Entr y table and the Cost
Register table. This makes it possible to trace the source of cost entries.
Automatic Transfer and Combined Entries

In cost accounting, you can transfer general ledger entries to a cost type by using a combined posting. You can
specify if a cost type receives combined entries in the Combine Entries field in the cost type definition. The
following table describes the different options.
C O M B IN E EN T RIES DESC RIP T IO N
None Each general ledger entry is transferred individually to the

corresponding cost type.
Day General ledger entries with the same posting date are
transferred as one entry to the corresponding cost type.
Month All general ledger entries in the same calendar month are
transferred as one entry to the corresponding cost type.
IMPORTANT
If you have selected the Auto Transfer from G/L check box on the Cost Accounting Setup page, Business Central
updates the cost accounting after every posting in the general ledger. Combined entries are not possible.
Results of Transferring General Ledger Entries to Cost Entries

During the transfer of general ledger entries to cost entries, Business Central creates connections in the entries
in the G/L Entr y table, the Cost Entr y table, and the Cost Register table to make it possible to trace the
connections between cost entries and general ledger entries.
For each general ledger entry that is transferred to cost accounting, Business Central fills the cost Entr y No.
field.
Cost Entries
For each cost entry, Business Central saves the entry number of the corresponding general ledger entry in the
G/L Entr y No. field in the Cost Entr y table.
For combined cost entries, Business Central saves the entry number of the last general ledger entry, which is the
entry with the highest entry number.
The G/L Account field in the Cost Entr y table contains the number of the general ledger account that the cost
entry came from.
For single cost entries, Business Central transfers the posting text from the general ledger entry to the
Description text field. For combined entries, the text field shows these entries are transferred as combined
entries. For example, for a combined entry for the month of October in 2013, the text can be Combined
Entries, October 2013 .
Cost Register
In the Cost Register table, Business Central creates an entry with the source transfer from general ledger. The
entry records the first and last entry numbers of the general ledger entries that are transferred, in addition to
the first and last entry numbers of the cost entries that are created.

See also
Cost allocations move costs and revenues between cost types, cost centers, and cost objects. You can define as
many allocations as you need. Each allocation consists of:
An allocation source.
One or more allocation targets.
The allocation source establishes which costs must be allocated, and the allocation targets determine where the
costs must be allocated. For example, an allocation source can be the costs for the Electricity and Heating cost
type. You allocate all electricity and heating costs to three cost centers: Workshop, Production, and Sales. These
cost centers are your allocation targets.
For each allocation source, you define an allocation level, a validity period, and a variant as grouping identifier.
You can use a batch job to set filters to select allocation definitions and then run cost allocations automatically.
For each allocation target, you define an allocation base. The allocation base can be either static or dynamic.
Static allocation bases are based on a definite value, such as square footage or an established allocation ratio,
such as 5:2:4.
Dynamic allocation bases depend on changeable values, such as the number of employees in a cost center or
sales revenue of a cost object throughout a certain time period.
Setting Up Allocation Source and Targets

Each allocation consists of an allocation source and one or more allocation targets. The allocation source defines
which costs will be allocated. The allocation targets determine where the costs will be allocated.
To set up cost allocations
1. Choose the icon, enter Cost Allocation , and then chose the related link.
2. On the Cost Allocation page, choose the Edit action.
3. Enter an ID for the allocation source in the ID field.
4. Define a level as a number between 1 and 99 in the Level field. The allocation posting will follow the order of
the levels.
5. Enter a cost type to define which cost types will be allocated in the Cost Type Range field. If all costs for a
cost type are allocated, no range is defined.
6. Enter a cost center together with costs to be allocated in the Cost Center Code field.
7. Enter a cost object together with costs to be allocated in the Cost Object Code field. Most often, this field
stays empty, because cost objects are rarely allocated to other cost objects.
8. Enter a cost type in the Credit to Cost Type field. The costs that are allocated will be credited to the source
cost type. The credit posting will be posted to the cost type given here.
9. On the Lines FastTab, define the allocation targets. On the first line, enter a cost type in the Target Cost
Type field. It defines which cost type the allocation is debited to.
10. On the first line, enter the first allocation target in the Target Cost Center field or Target Cost Object the
field. These two fields define which cost center or cost object the allocation is debited to. You can only fill in
one of these fields, but not both.
11. Repeat the same steps on the second line to set up additional allocation targets.
12. After you have set up the allocation target and sources, choose the Calculate Allocation Key action to
calculate the total share values.
NOTE
Select the Blocked check box to deactivate the allocation setup.
Setting Filters for Dynamic Allocation Bases

The dynamic allocation method is based on changeable values. For example, the number of employees in a cost
center or the items sold of a cost object in a specific time period. There are nine pre-defined allocation bases and
twelve dynamic date ranges. You set different filters based on the allocation base.
Setting Filters
The following table shows which filters are possible for different allocation bases and which values are valid in
the No. Filter and Group Filter fields. Press F1 in the Date Filter Code field to read detailed descriptions.
DAT E F ILT ER C O ST C EN T ER C O ST O B JEC T

B A SE N O. F ILT ER C O DE F ILT ER F ILT ER GRO UP F ILT ER
G/L Entries G/L Account Yes Yes Yes N/A
G/L Budget G/L Account Yes Yes Yes G/L Budget

Entries Name
Cost Type Entries Cost Type Yes Yes Yes N/A
Cost Budget Cost Type Yes Yes Yes Budget Name

Entries
No of Employees N/A Yes Yes Yes N/A
Items Sold (Qty) Item No. Yes Yes Yes Inventory

Posting Group
Items Purchased Item No. Yes Yes Yes Inventory

(Qty) Posting Group
Items Sold Item No. Yes Yes Yes Inventory

(Amount) Posting Group
Items Purchased Item No. Yes Yes Yes Inventory

(Amount) Posting Group
Scenario 1: Defining Static Allocations Based on Allocation Ratio

Static allocation method is based on a definite value, such as square meters used, or an established allocation
ratio such as 5:2:4.
This topic describes how to define three new allocation target cost objects for the allocation source PROD cost
center using the established allocation ratio 5:2:4. The three target cost objects are ACCESSO, PAINT, and
FITTINGS.
NOTE
The example uses the demo data in the Business Central.
To define the allocation source PROD cost center on the General FastTab
1. Choose the icon, enter Cost Allocation , and then choose the related link.
2. On the Cost Allocation page, choose the New action.
3. In the ID field, press Enter or enter an ID.
4. In the Level field, enter 1 .
5. In the Valid From and Valid To fields, enter appropriate dates.
6. In the Cost Center Code field, enter PROD .
7. In the Credit to Cost Type field, enter the cost type 9903 .
To define the allocation target cost objects on the Lines FastTab
1. On the first line, in the Target Cost Type field, enter 9903 .
2. On the first line, in the Target Cost Object field, select ACCESSO .
3. On the first line, in the Allocation Target Type field, select All Costs to define how all accrued costs are
allocated.
4. On the first line, in the Base field, select Static to use the static allocation method.
5. On the first line, in the Share field, enter the allocation ratio 5 .
6. On the second line, in the Target Cost Type field, enter 9903 .
7. On the second line, in the Target Cost Object field, select PAINT .
8. On the second line, in the Allocation Target Type field, select All Costs to define how all accrued costs are
allocated.
9. On the second line, in the Base field, select Static to use the static allocation method.
10. On the second line, in the Share field, enter the allocation ratio 2 .
11. On the third line, in the Target Cost Type field, enter 9903 .
12. On the third line, in the Target Cost Object field, select FITTINGS .
13. On the third line, in the Allocation Target Type field, select All Costs to define how all accrued costs are
allocated.
14. On the third line, in the Base field, select Static to use the static allocation method.
15. On the third line, in the Share field, enter the allocation ratio 4 .
IMPORTANT
Business Central automatically calculates the Percent field using a percentage rate that is dependent on all three
allocation ratios that are entered in the Share field for all three lines.
Scenario 2: Defining Dynamic Allocations Based on Items Sold

This topic shows an example of how to define allocations by using the dynamic allocation method. In the
example, you change the dynamic allocation of the costs for the SALES cost center to support the new cost
object IT EQUIPMENT. IT EQUIPMENT packages have item numbers in the range from 8904-W to 8924-W. You
use the previous year’s sales figures to calculate the share. The allocation is posted to the helping cost type
9903.
NOTE
The example uses the demo data in the Business Central.
To define dynamic allocations based on items sold in the previous year

1. Choose the icon, enter Cost Allocations , and then choose the related link.
2. On the Cost Allocation page, choose the New action.
3. In the ID field, press Enter or enter an ID.
4. In the Level field, enter 1 .
5. In the Valid From and Valid To fields, enter appropriate dates.
6. In the Cost Center Code field, enter SALES .
7. In the Credit to Cost Type field, enter the cost type 9903 .
8. In the Target Cost Type field, enter the cost type 9903 .
9. In the Target Cost Object field, choose New to create a new cost object IT EQUIPMENT and fill in fields as
necessary. Select IT EQUIPMENT . Leave the Target Cost Center field blank.
10. In the Allocation Target Type field, select All Costs to define how all accumulated costs are allocated.
11. In the Base field, select the allocation base Items Sold (Amount) .
12. In the No. Filter field, enter 8904-W..8924-W .
13. In the Date Filter Code field, enter Last Year .
14. Choose the Calculate Allocation Key action to calculate the share.
IMPORTANT
Business Central uses the previous years’ sales figures to calculate a share of 1596.50 LCY with 100 percent for the IT
EQUIPMENT packages. This means that all of the items sold last year will be allocated to the cost object IT EQUIPMENT.

See also
Budgeting in cost accounting resembles budgeting in the general ledger. A cost budget is created based on cost
types just as a budget for the general ledger is created based on general ledger accounts.
A cost budget is created for a certain period of time, for example, a fiscal year. You can create as many cost
budgets as needed. You can create a new cost budget manually, or by importing a cost budget, or by copying an
existing cost budget as the budget base. For more information, see Create G/L Budgets.
You use the following pages to create and analyze cost budgets. Choose the icon to find a page, and then read
the tooltip for each.
TO SEE
Transfer budgets from the general ledger. Copy G-L Budget to Cost Acctg. batch job
Copy cost budgets. Copy Cost Budget batch job
Allocate budgets. Cost Allocation page
See cost budget registers and cost budget entries. Cost Budget Registers page
Print cost budget comparisons using various reports. Cost Acctg. Balance-Budget report
Cost Acctg. Statement-Budget report
Cost Budget by Cost Center report
Cost Budget by Cost Object report

See also
Create G/L Budgets
Delete Cost Budget Entries
You use the Delete Cost Budget Entries batch job to cancel cost budget entries from the cost budget register.
To prevent any gaps in the cost budget entries and cost register entries, you cannot delete a single entry or a
batch of entries in the middle of the list of register entries.
To delete a cost budget entry

1. Choose the icon, enter Delete Cost Budget Entries , and then choose the related link.
The To Register No. field contains the last register entry number and cannot be changed.
You can use the From Register No. field to select a register entry number from which the deletion
should begin.
2. Choose the OK button to delete the selected cost budget entries.
NOTE
To avoid an accidental deletion of cost budget entries, you can close register entries by marking the lines as Closed in the
Closed field on the Cost Budget Registers page.
See Also
Accounting for Costs Creating Cost Budgets
Cost management, also referred to as “costing”, is concerned with recording and reporting business operating
costs. It includes the reporting of manufacturing costs and inventory costs, that is, the value of items.
Central principles to understand are that costing methods define how items are valued when they leave
inventory, that cost adjustment updates the cost of goods sold with related purchase costs posted after the sale,
and that inventory values must be posted to dedicated G/L accounts at regular intervals.
TO SEE
Read various conceptual information to understand the About Inventory Costing

principles and definitions that govern the inventory costing
accounting functionality in Business Central.
Ensure that you know the cost of shipped items by assigning Use Item Charges to Account for Additional Trade Costs
added item costs, such as freight, physical handling,
insurance, and transportation that you incur after selling.
Learn about all mechanisms in the costing system. Design Details: Inventory Costing
Read how inventory periods help a company to control Work with Inventory Periods
inventory value over time by defining shorter periods that
can be closed for posting as the fiscal year progresses.
Read why standard costs are often used by manufacturing About Calculating Standard Cost
companies as a valuation base for components and end
items.
Set up inventory periods, costing methods, and rounding Setting Up Inventory Valuation and Costing
methods.
Appreciate or depreciate the value of one or more items in Revalue Inventory

inventory by posting their current, calculated value.
Adjust item costs, either automatically or manually, to Adjust Item Costs

forward cost changes from inbound entries to their related
outbound entries.
Use special costing functions for every-day item transactions Handling Inventory and Manufacturing Costs
in the item operations.
Periodically update the standard costs of components, in Update Standard Costs

assembly or production BOMs, and roll the new costs up to
the parent item.
View and manually change certain item application entries Remove and Reapply Item Ledger Entries
that are created automatically during inventory transactions.
TO SEE
Perform period-end control and reporting tasks, such as Reporting Costs and Reconciling with the General Ledger
calculate the value of inventory and post costs to the
general ledger.
Learn how you can use the job queue to move the tasks for Adjust and Reconcile Inventory Cost with General Ledger
adjusting inventory cost or reconciling it with the general with Job Queue
ledger to the background.
See Also
Finance
Inventory
Sales
Purchasing
Managing inventory costs is concerned with recording and reporting business operating costs. It includes the
reporting of manufacturing costs and inventory costs, that is, the value of items.
Central principles to understand are that costing methods define how items are valued when they leave
inventory, that cost adjustment updates the cost of goods sold with related purchase costs posted after the sale,
and that inventory values must be posted to dedicated G/L accounts at regular intervals.
TO SEE
Distinguish the five different costing methods and their Design Details: Costing Methods
effect on cost flows.
Learn how item application entries dynamically link Design Details: Item Application
inventory decreases with increases to keep control of cost
flows.
Learn how an item's unit cost is continuously updated with Design Details: Cost Adjustment
the cost of its latest transaction according to the item's
costing method.
Learn how an item's average cost is dynamically calculated Design Details: Average Cost
according to the selected average cost period.
Distinguish expected cost (not yet invoiced) from actual cost Design Details: Expected Cost Posting
and learn how it is managed in the general ledger.
Understand the cost adjustment mechanism, which ensures Design Details: Cost Adjustment
that costs are brought forward even if inventory
transactions happen in a random manner.
Read why standard costs are often used by manufacturing About Calculating Standard Cost
companies as a valuation base for components and end
items.
Understand how the value of inventory is reflected in the Reconcile Inventory Costs with the General Ledger
general ledger.
Learn how item charges, such as freight and insurance, can Use Item Charges to Account for Additional Trade Costs
assign additional cost components to an item's unit cost.
Read how inventory periods help a company to control Work with Inventory Periods
inventory value over time by defining shorter periods that
can be closed for posting as the fiscal year progresses.
Understand all mechanisms in the costing engine, including Design Details: Inventory Costing
what happens when you post assembly and production
transactions.
See Also
Use Item Charges to Account for Additional Trade
Costs
To ensure correct valuation, your inventory items must carry any added costs, such as freight, physical handling,
insurance, and transportation that you incur when purchasing or selling the items. For purchases, the landed
cost of a purchased item consists of the vendor's purchase price and all additional direct item charges that can
be assigned to individual receipts or return shipments. For sales, knowing the cost of shipping sold items can be
as vital to your company as knowing the landed cost of purchased items.
In addition to recording the added cost in you inventory value, you can use the Item Charges feature for the
following:
Identify the landed cost of an item for making more accurate decisions on how to optimize the distribution
network.
Break down the unit cost or unit price of an item for analysis purposes.
Include purchase allowances into the unit cost and sales allowances into the unit price.
Before you can assign item charges, you must set up item charge numbers for the different types of item
charges, including to which G/L accounts costs related to sales, purchases, and inventory adjustments are
posted to. An item charge number contains a combination of general product posting group, tax group code,
VAT product posting group, and item charge. When you enter the item charge number on a purchase or sales
document, the relevant G/L account is retrieved based on the setup of the item charge number and the
information on the document.
For both purchase and sales documents, you can assign an item charge in two ways:
On the document where the items that the item charge relates to are listed. This you typically do for
documents that are not yet fully posted.
On a separate invoice by linking the item charge to a posted receipt or shipment where the items that the
item charge relate to are listed.
NOTE
You can assign item charges to orders, invoices, and credit memos, for both sales and purchases. The following procedures
describe how to work with item charges for a purchase invoice. The steps are similar for all other purchase and sales
documents.
Example
This video shows how to handle an additional shipping cost as part of inventory costing.
To set up item charge numbers

You use item charge numbers to distinguish between the different kinds of item charges that are used in your
company.
2. On the Item Charges page, choose the New action to create a new line.
To assign an item charge directly to the purchase invoice for the item
If you know the item charge at the time when you post a purchase invoice for the item, follow this procedure.
2. Create a new purchase invoice. For more information, see Record Purchases.
3. Make sure the purchase invoice has one or more lines of type Item.
5. In the Quantity field, enter the units of the item charge that you have been invoiced for.
6. In the Direct Unit Cost field, enter the amount of the item charge.
In the following steps, you will perform the actual assignment. Until the item charge is fully assigned, the
value in the Qty. to Assign field is in red font.
8. On the Lines tab, choose the Item Charge Assignment action.
The Item Charge Assignment page opens showing one line for each line of type Item on the purchase
invoice. To assign the item charge to one or more invoice lines, you can use a function that assigns and
distributes it for you or you can manually fill in the Qty. to Assign field. The following steps describe
how to use the Suggest Item Charge Assignment function.
9. On the Item Charge Assignment page, choose the Suggest Item Charge Assignment action.
10. If there are more than one invoice lines of type Item, choose one of the four distribution options.
It the item charge is fully assigned, the value in the Qty. to Assign field on the purchase invoice is zero.
The item charge is now assigned to the purchase invoice. When you post the receipt of the purchase invoice, the
items' inventory values are updated with the cost of the item charge.
To assign an item charge from a separate invoice to the purchase

invoice for the item
If you received an invoice for the item charge after you posted the original purchase receipt, follow this
procedure.
1. Repeat steps 1 through 8 in To assign an item charge directly to the purchase invoice for the item.
2. On the Item Charge Assignment page, choose the Get Receipt Lines action.
3. On the Purch. Receipt Lines page, select the posted purchase receipt for the item that you want to assign
the item charge to, and then choose the OK button.
4. Choose the Suggest Item Charge Assignment action.
The item charge on the separate purchase invoice is now assigned to the item on the posted purchase receipt,
thereby updating the item's inventory value with the cost of the item charge.

See also
Managing Payables
Record Purchases
Invoice Sales
Many manufacturing companies select a valuation base of standard cost. This also applies to companies that
perform light manufacturing, such as assembly and kitting. A standard cost system determines inventory unit
cost based on some reasonable historical or expected cost. Studies of past and estimated future cost data can
then provide the basis for standard costs. These costs are frozen until a decision is made to change them. The
actual cost to produce a product may differ from the estimated standard costs. For management control, the
actual cost is compared to the standard cost for a specific item and differences, or variances, are identified and
analyzed.
Standard costs can be maintained for items that are replenished through purchase, assembly, and production.
For each replenishment method, standard costs can consist of the following elements.
REP L EN ISH M EN T SY ST EM STA N DA RD C O ST EL EM EN T S
Purchase Direct material cost and overhead material cost if it is

required.
Assembly Direct material cost, direct or fixed labor cost, and overhead
cost.
Prod. Order Direct material cost, labor cost, subcontractor cost, and
overhead cost.
Setting Up Standard Costs

Because the standard cost of a produced or assembled item can consist of multiple cost elements, including
material, capacity (labor) and direct and overhead subcontractor costs, standard costs must be established for
each of these elements.
The accounting task for an item-processing company using standard costing is to:
Estimate a standard cost of the finished item and set it up on the item card.
Record and allocate the actual cost of the key cost elements and to account for variances.
To determine the direct cost of a finished item, all component costs must be totaled. An assembled or produced
item can include subassemblies, which also consist of multiple components.
The following key cost elements make up the total direct cost of a finished processed item:
Material costs.
Capacity cost.
Subcontracting costs for produced items only.
Material Costs
Material costs are costs that are associated with subassemblies and purchased raw material. Material unit cost
can consist of direct and indirect cost elements.
Direct material cost represents an invoiced amount for purchased raw materials or the processing cost of a
subassembly.
Indirect material cost, or overhead, can represent elements such as inventory carrying costs for the finished
item after it is produced.
The setup of the material cost for purchased items that affect direct and indirect cost depends on the costing
method that you have selected for the specified item. You set up cost information for either costing method on
the item card. For more information, see Register New Items.
The cost of scrap (production only) is an additional factor to consider when you calculate the total material cost.
When a certain amount of raw material is scrapped when you assemble or produce an item, it generally causes
an increase in the quantity of components that are required to produce this item. This increases the material cost
of the components that are consumed when producing a parent item. You set up scrap cost for materials on
either the production BOM or routing.
The material cost of a produced item can be represented in two ways that correspond to the following cost
calculation bases.
C O ST C A L C UL AT IO N B A SIS M AT ERIA L C O ST C A L C UL AT IO N
Single level Produced item is equal to the total cost of all purchased or
subassembled items on that item's production BOM.
Rolled-up level or multilevel Produced item is the sum of the material cost for all
subassemblies on that item's BOM and the cost of all
purchased items on that item's production BOM.
Capacity Costs
Capacity costs are the costs that are associated with internal labor and machine costs. You must set up these
costs for each resource (in assembly management) and work or machine center on the routing (in production).
As with materials, you can identify both direct and indirect elements of capacity cost. For example, the direct cost
for a work center may be the established shop rate to perform a specific function. The indirect cost for a work
center may represent some general factory expenses, such as lighting, heating, and so on. As with material costs,
you can express capacity overhead as an indirect cost percentage or a fixed overhead rate.
The setup of the capacity costs of assembled items consists of the following elements:
Direct and indirect unit cost of the resource.
Fixed or direct resource usage type.
The setup of the capacity costs of produced items consists of the following elements:
Direct and indirect unit cost of the machine or work center.
Time and lot size setup.
To calculate standard capacity cost, you have to establish the standard time rates that are required to perform
operations on machine and work centers. The total time to complete an operation typically consists of setup, run
time, and wait and move time.
You set up the rates for each time type for each machine or work center on an individual routing.
NOTE
While run time rates apply for each item unit that is produced, the setup time rates apply for each lot. Therefore, you
must prorate the routing setup time for each operation over the lot size. You specify the lot size in the corresponding field
on the Replenishment FastTab of the Item Card page.
To specify setup time on the routing for planning but not include this expense in the standard cost calculation,
clear the Cost Incl. Setup field on the Manufacturing Setup page.
On a single-level basis, this is the labor cost that is required to produce the finished production item and is
specified on the production item's routing. On a multi-level basis, this is the capacity cost that is specified for
each individually produced item that is included in the parent item's BOM.
Subcontractor Costs
Subcontractor costs are the costs that are associated with services that are provided by a company's outside
vendors or subcontractors. Similar to material and capacity, subcontractor costs can consist of both direct and
overhead amounts. Direct subcontractor cost represents the actual charge for each unit of services that is
provided. For example, overhead subcontractor cost can represent freight and handling costs that are incurred
by the company with a subcontracted order.
Because subcontracting is an outsourced capacity, you set up the cost of both direct and indirect subcontracting
services on the work center card that represents the subcontracting operation.
Updating Standard Costs

To update or calculate the standard cost of assembly items, use the function from the item card.
The process of updating or calculating standard costs typically consists of the following tasks:
1. Updating costs at the component and capacity levels. For more information, see the Suggest Item
Standard Cost and Suggest Capacity Standard Cost batch jobs.
2. Consolidating and rolling up the component and capacity costs to calculate the total assembly or
manufacturing cost of the items. For more information, see For more information, see To calculate the
standard cost of an assembly item.
3. Implementing the standard costs that are entered when you run the previous batch jobs. The standard costs
do not take effect until they are implemented. Use the Implement Standard Cost Changes batch job,
which updates the changes in the standard cost on items with the ones in the Standard Cost Worksheet table.
4. Implementing the changes to update the Unit Cost field on the item card and perform inventory
revaluation. For more information, see Revalue Inventory.
See Also
About Unit Cost Calculation
Each item has a unit cost that is calculated based on the company's costing method and other factors. As a rule,
with the Standard costing method, the Unit Cost field value is based on the standard cost for the item. For all
other costing methods (FIFO, LIFO, Specific, and Average), the unit cost is calculated based on the average unit
cost across a period of time.
For more information, see Managing Inventory Costs.
When is the unit cost field updated

The chosen costing method influences when the Unit Cost field is updated.
When the costing method is set as Standard, the Unit Cost field is updated whenever the standard cost is
changed, and users can't edit the Unit Cost field. For more information, see Updating Standard Costs.
If the costing method is FIFO, LIFO, Specific, or Average, then the Unit Cost is updated in the following cases:
When the item is cost-adjusted, automatically or by an Adjust Cost task.
During the posting of purchase invoices, output, or positive adjustment if one of the following conditions is
true:
The net invoiced quantity of the item changes from negative or zero to positive.
The current unit cost is zero.
If one of these conditions is true, then the Unit Cost field is updated with the value in the Last Direct Cost
field on the item card.
NOTE
The Unit Cost field is not updated if the current unit cost is higher than zero and the new unit cost is zero. A unit cost of
zero is considered an exception from regular business. Therefore, the current unit cost is retained to provide the last
known, relevant value. This exception applies even if the existing inventory has been revalued to zero.
In the Unit Cost field on the item card, you can drill down to view the history of transactions that the average
cost of units on hand is calculated from in the Average Cost Calc. Over view window.
Unit cost calculation for purchases

When you purchase items, the value in the Last Direct Cost field on the item card is copied to the Direct Unit
Cost field on a purchase line or to the Unit Amount line on an item journal line.
What you select in the Costing Method field influences how Business Central calculates the contents of the
Unit Cost field on the lines.
Costing method FIFO, LIFO, Specific, or Average
Business Central calculates the contents of the Unit Cost (LCY) field on the purchase line or the contents of the
Unit Cost field on the item journal line according to the following formula:
Unit Cost (LCY) = (Direct Unit Cost – (Discount Amount / Quantity)) x (1 + Indirect Cost % / 100) + Overhead
Rate
Costing method Standard
The Unit Cost (LCY) field on the purchase line or the Unit Cost field is filled on the item journal line by
copying the value in the Unit Cost field on the item card. By using costing method set as Standard, this value is
always based on the standard cost.
When you post the purchase, Business Central uses the unit cost from the purchase line or item journal line to
the purchase item invoice entry. You can see it on the entry list for the item.
All costing methods
The unit cost from the source document line is used to calculate the contents of the Cost Amount (Actual)
field, or if applicable, the Cost Amount (Expected) field that relates to this item entry, regardless of the costing
method of the item.
Unit cost calculation for sales

When you sell items, the unit cost is copied from the Unit Cost field on the item card to the sales line or the
item journal line.
When you post, the unit cost is copied to the sales invoice item entry, and it can be seen on the entry list for the
item. Business Central uses the unit cost from the source document line to calculate the contents of the Cost
Amount (Actual) field, or if applicable, the Cost Amount (Expected) field in the value entry related to this
item entry.
See also
Registering New Items
Inventory
Sales
Purchasing
Setup Best Practices: Costing Method
Inventory Costing features in Business Central.
Inventory costing, also referred to as cost management, is concerned with recording and reporting business
operating costs.
In This Section
Work with Inventory Periods
Inventory periods define a period of time in which you can post changes to inventory. An inventory period is
defined by the date on which it ends, or the ending date. When you close an inventory period, you cannot post
any changes to inventory, either expected or invoiced, before this ending date. You cannot post any new values
to inventory before the ending date. If you have open item entries in the closed period, meaning positive
quantities that have not yet been applied to outbound transactions, you can still apply outbound quantities to
these entries, even if the period is closed.
The following sections describe how to:
Create inventory periods.
Close inventory periods.
Reopen inventory periods.
To create an inventory period

1. Choose the icon, enter Inventor y Periods , and then choose the related link.
2. Create a new line.
3. In the Ending Date field, enter the last date in the inventory period that you want to define. When the period
is closed, you will not be able to post inventory changes before this date.
4. Enter a descriptive name in the Name field. Choose the OK button.
Closing Inventory Periods

The Closed field indicates whether or not the inventory period is closed to inventory value changes. You cannot
edit this field.
You can close any inventory period, provided that the following is true:
There are no open outbound item ledger entries, meaning negative inventory, in that period.
The cost of all items has been adjusted using the Adjust Cost – Item Entries batch job.
This means that all outbound transaction quantities, such as those from sales orders, outbound transfers, sales
invoices, purchase returns, or purchase credit memos, must be applied to existing quantity in inventory.
To close an inventory period
1. Before closing an inventory period, choose the Adjust Cost – Item Entries action to ensure that all cost
adjustments are posted.
Run the Close Inventor y Period – Test report to determine if there are any open outbound item
entries within the inventory period or any items whose cost has not yet been adjusted.
2. Choose the Close Inventor y Period – Test action.
Run the Post Inventor y Cost to G/L batch job to ensure that all costs are posted to the general ledger.
3. Choose the Post Inventor y to G/L action.
4. On the Inventor y Periods page, select the inventory period you want to close.
5. Choose the Close Period action. After the inventory period has been closed, you cannot post inventory
changes before the ending date. The cost of all items must be adjusted with the Adjust Cost – Item
Entries batch job before you close the inventory period.
6. Choose the Yes button to confirm that you want to close the period, or choose No to cancel the closing.
7. The inventory period is closed and a confirmation message is displayed when it is finished.
Reopening Inventory Periods

After you have closed the inventory period, you cannot delete the inventory period. You can, however, reopen it,
if you would like to allow posting before the ending date of the inventory period. Reopening a period also
reopens all inventory periods with ending dates later than the period you reopen.
To reopen an inventory period
1. Choose the icon, enter Inventor y Periods , and then choose the related link.
2. Select the inventory period you want to reopen.
3. Choose the Reopen Period period action. Confirm that you want to reopen the period.
4. All inventory periods with ending dates later than the period you selected are reopened.
See Also
Finance
Inventory
Work with Financials
Setting Up Inventory Valuation and Costing
To make sure that inventory costs are recorded correctly, you must set up various fields and pages before you
begin to make item transactions. Typically, businesses choose a specific costing method and apply that to
inventory items, for example, to help them track the value of items on stock.
TIP
For an introduction to costing in Business Central, see About Inventory Costing.
TO SEE
Specify a default costing method for the company to govern Set Up General Inventory Information
how incoming cost is used to assess inventory value and the
cost of goods sold.
Specify a costing method on individual items if they require a Register New Items
different costing method.
Ensure that the cost is automatically posted to the general Automatic Cost Posting field on the Inventor y Setup
ledger whenever an inventory transaction is posted. page
Ensure that expected costs are posted to the general ledger Expected Cost Posting to G/L field on the Inventor y
to see from the interim G/L accounts an estimate of the Setup page
amounts due and the cost of the traded items before they
are actually invoiced.
Set the system up to adjust for any cost changes Adjust Item Costs
automatically every time you post inventory transactions.
Define if the average cost is to be calculated per item only or Average Cost Calc. Type field on the Inventor y Setup
per item for each stockkeeping unit and for each variant of page
the item.
Select the period of time you would like application to use Average Cost Period field on the Inventor y Setup page
for calculating the weighted average cost of items that use
the average costing method.
Define inventory periods to control inventory value over Work with Inventory Periods
time by disallowing transaction posting in closed inventory
periods.
Ensure that sales returns are applied to the original Exact Cost Reversing Mandator y field on the Sales &
outbound transaction to preserve inventory value. Receivables page
Ensure that purchase returns are applied to the original Exact Cost Reversing Mandator y field on the
inbound transaction to preserve inventory value. Purchases & Payables page
TO SEE
Set up the rounding rules to apply when adjusting or Rounding Method page
suggesting item prices and when adjusting or suggesting
standard costs.
See Also
Set Up General Inventory Information
Setup Best Practices: Costing Method
Finance
Revalue Inventory
If you want to appreciate or depreciate an item or a specific item ledger entry, you must use the revaluation
journal.
To revalue inventory
1. Choose the icon, enter Revaluation Journal , and then choose the related link.
2. Choose the Calculate Inventor y Value action.
3. On the Calculate Inventor y Value page, fill in the fields as necessary. Hover over a field to read a short
description.
5. On each line on the Revaluation Journal page, in the Unit Cost (Revalued) field, enter the new unit
cost. Alternatively, enter the new total amount in the Inventor y Value (Revalued) field.
The relevant fields are automatically updated. Note that the Amount field shows the actual change in
inventory value for the selected item ledger entry. It calculates the difference between the Inventor y
Value (Calculated) field and the Inventor y Value (Revalued) field.
6. When you have completed all lines in the revaluation journal, choose the Post action.
New value entries are now created to reflect the revaluations that you have posted. You can see the new values
on the respective item cards.
See Also
Inventory
Sales
Purchasing
Adjust Item Costs
The cost of an item (inventory value) that you purchase and later sell may change during its lifetime, for
example because a freight cost is added to its purchase cost after you have sold the item. Cost adjustment is
especially relevant in situations where you sell goods before you invoice the purchase of those goods. To always
know the correct inventory value, item costs must therefore regularly be adjusted. This ensures that sales and
profit statistics are up to date and that financial KPIs are correct. For more information, see Design Details: Cost
Adjustment.
As a rule, the value in the Unit Cost field on the item card is based on the standard cost for items with costing
method standard. For items with all other costing methods, it is based on the calculation of the inventory
available (invoiced costs and expected costs) divided by the quantity on hand. For more information, see
Understanding Unit Cost Calculation.
In Business Central, item costs are automatically adjusted every time that an inventory transaction occurs, such
as when posting a purchase invoice for an item.
You can also use a function to manually adjust the costs of one or more items. This is useful, for example, when
you know that item costs have changed for other reasons than item transactions.
Item costs are adjusted by the FIFO or the Average costing method, depending on your selection in the Set Up
My Company assisted setup guide or in the Costing Method field on the item card. For more information,
see Register New Items.
If you use the FIFO costing method, then an item’s unit cost is the actual value of any receipt of the item.
Inventory is valuated with the assumption that the first items placed in inventory are sold first.
If you use the Average costing method, then an item’s unit cost is calculated as the average unit cost at each
point in time after a purchase. Inventory is valuated with the assumption that all inventories are sold
simultaneously. For items that use this costing method, you can choose the Unit Cost field on the item card to
view the history of transactions that the average cost is calculated from
The cost adjustment function processes only value entries that have not yet been adjusted. If the function
encounters a situation where changed inbound costs need to be forwarded to associated outbound entries, then
new adjustment value entries are created, which are based on the information in the original value entries but
contain the adjustment amount. The cost adjustment function uses the posting date of the original value entry in
the adjustment entry, unless that date is in a closed inventory period. In that case, application uses the starting
date of the next open inventory period. If inventory periods are not used, then the date in the Allow Posting
From field on the General Ledger Setup page will define when the adjustment entry is posted.
To adjust item costs manually

1. Choose the icon, enter Adjust Cost - Item Entries , and then choose the related link.
2. On the Adjust Cost - Item Entries page, specify which items to adjust costs for.
To make general changes in the direct unit cost

If you need to change the direct unit cost for several items, you can use the Adjust Item Costs/Prices batch
job.
The batch job changes the contents in the Unit Price field on the item card. The batch job changes the content
of the field in the same way for all items or selected items. The batch job multiplies the value in the field by an
adjustment factor that you specify.
1. Choose the icon, enter Adjust Item Costs/Prices , and then choose the related link.
2. In the Adjust Field field, specify which item or SKU card field you want to adjust.
3. In the Adjustment Factor field, specify the factor by which the value will be adjusted. For example, enter 1.5
to increase the value by 50%.
4. On the Item FastTab, set filters to specify, for example, which items to process with the batch job.
Understanding Unit Cost Calculation

As a rule, the value in the Unit Cost field on the item card is based on the standard cost for items with costing
method standard. For items with all other costing methods, it is based on the calculation of the inventory
available (invoiced costs and expected costs) divided by the quantity on hand.
How the contents of the Costing Method field influence the unit cost calculation for purchases and sales is
described in more detail in the following sections.
Unit Cost Calculation for Purchases

When you purchase items, the value in the Last Direct Cost field on the item card is copied to the Direct Unit
Cost field on a purchase line or to the Unit Amount line on an item journal line.
What you select in the Costing Method field influences how Business Central calculates the contents of the
Unit Cost field on the lines.
Costing Method FIFO, LIFO, Specific, or Average
Business Central calculates the contents of the Unit Cost (LCY) field on the purchase line or the contents of the
Unit Cost field on the item journal line according to the following formula:
Unit Cost (LCY) = (Direct Unit Cost – (Discount Amount / Quantity)) x (1 + Indirect Cost % / 100) + Overhead
Rate
The Unit Cost (LCY) field on the purchase line or the Unit Cost field is filled on the item journal line by
copying the value in the Unit Cost field on the item card. By using costing method set as Standard, this is
always based on the standard cost.
When you post the purchase, the unit cost from the purchase line or item journal line is copied to the purchase
item invoice entry, and it can be seen on the entry list for the item.
All Costing Methods
The unit cost from the source document line is used to calculate the contents of the Cost Amount (Actual)
field, or if applicable, the Cost Amount (Expected) field that relates to this item entry, regardless of the costing
method of the item.
Unit Cost Calculation for Sales

When you sell items, the unit cost is copied from the Unit Cost field on the item card to the sales line or the item
journal line.
When you post, the unit cost is copied to the sales invoice item entry, and it can be seen on the entry list for the
item. Business Central uses the unit cost from the source document line to calculate the contents of the Cost
Amount (Actual) field, or if applicable, the Cost Amount (Expected) field in the value entry related to this
item entry.
See Also
Inventory
Sales
Purchasing
Handling Inventory and Manufacturing Costs
Although much of the cost accounting functionality is expressed in underlying processes with no user
interaction, such as entry application and automatic cost adjustment, a number of fields, pages, and reports are
aimed at users who directly or indirectly manage the cost of items or operations.
Assigning item charges to purchase documents is an example of an indirect cost accounting task. Updating the
unit cost of assembly or production BOM item is an example of a more direct cost accounting task.
TO SEE
Periodically or automatically update the unit cost of one or Adjust Item Costs
multiple items to forward any cost changes from inbound
entries, such as those for purchases or production output, to
the related outbound entries, such as consumption or
transfers.
Get insight into average cost dynamics to make pricing Register New Items
decisions or to track cost fluctuations caused by data entry
errors.
Create a manufacturing item's standard cost by entering the About Calculating Standard Cost
three cost elements: material cost, capacity cost, and
subcontractor cost.
Calculate the unit cost of a BOM item based on the unit Work with Bills of Material
costs of its underlying components.
Complete the costing life cycle of a produced item by About Finished Production Order Costs
adjusting the costs and reconciling the value entries with the
general ledger.
Change the value of an item in inventory or the value of one Revalue Inventory
item ledger entry, such as a purchase transaction.
Manually undo an item application or reapply item ledger Remove and Reapply Item Ledger Entries
entries created by application.
Use the Applies-from Entr y field in the item journal to Close Open Item Ledger Entries Resulting from Fixed
manually create a fixed application between an inbound Application in the Item Journal
transaction and the original outbound transaction.
See Also
Manage Inventory Costs Design Details: Inventory Costing
You must periodically update the standard costs of components and roll the new costs up to the parent item. The
process typically consists of the following four steps:
1. Update costs at the component and capacity levels. For more information, see the Suggest Item Standard
Cost batch job.
2. Consolidate and roll up the component and capacity costs to calculate the total manufacturing or assembly
cost of the items.
3. Implement the standard costs that are entered when you run the previous batch jobs. The standard costs do
not take effect until they are implemented. Use the Implement Standard Cost Changes batch job, which
updates the changes in the standard cost on items with the ones in the Standard Cost Worksheet table.
4. Implement the changes to update the Unit Cost field on the item card and perform inventory revaluation.
For more information, see Revalue Inventory.
For more information, see About Calculating Standard Cost.
To update standard costs

1. Run the Adjust Cost-Item Entries batch job.
2. Run the Post Inventor y Cost to G/L batch job.
3. Open the Standard Cost Worksheet and use one or more of the following functions:
a. Run the Suggest Item Standard Cost batch job.
b. Review the results and make changes as necessary.
c. Run the Suggest Capacity Standard Cost batch job.
d. Review the results and make changes as necessary.
e. Run the Roll Up Standard Cost batch job.
f. Review the results and make changes as necessary.
g. Run the Implement Standard Cost Changes batch job.
4. Review and post the Revaluation Journal page, which has been populated with entries from the
previous steps in this process.
See Also
Design Details: Costing Methods Finance
On the Application Worksheet page, you can view and manually change certain item application entries that
are created automatically during inventory transactions.
When you post a transaction where items are moved in or out of inventory, an item application is created
between each inventory increase and inventory decrease. These applications determine the flow of costs from
the goods that are received in inventory to the cost of goods going out of inventory. Because of the way the unit
cost is calculated, an incorrect item application could lead to a skewed average cost and a skewed unit cost. For
more information, see Design Details: Item Application.
The following scenarios might require that you undo an application or reapply item ledger entries:
You have forgotten to make a fixed application.
You have made an incorrect fixed application.
You have to return an item to which a sale has already been applied.
If possible, use a document to reapply an item ledger entry. For example, if you must make a purchase return of
an item to which a sale has already been applied, you can reapply by creating and posting the purchase return
document by using the correct application in the Appl.-to Item Entr y field on the purchase return line. You can
use the Get Posted Document Lines to Reverse function or the Copy from Document function in the
purchase return document to make this easier. When you post the document, the item ledger entry is
automatically reapplied. For more information, see Process Purchase Returns or Cancellations.
If you cannot use a document to reapply, such as when you have to correct a fixed application, then use the
Application Worksheet page to correct an application.
WARNING
The following are important considerations to remember when you are working with the application worksheet: - You
should not leave application entries unapplied for long periods of time because other users cannot process the items until
you reapply the application entries or close the Application Worksheet page. Users who try to perform actions that
involve a manually unapplied application entry receive the following error message: “You cannot perform this action
because entries for item XXX are unapplied in the Application Worksheet by user XXX.” - You should only reapply item
ledger entries during nonworking hours to avoid conflicts with other users who are posting transactions with the same
items. - When you close the application worksheet, Business Central performs a check to make sure that all entries are
applied. For example, if you remove a quantity application but do not create a new application, and then you close the
application worksheet, a new application is created. This helps keep the cost intact. However, if you remove a fixed
application, a new fixed application is not automatically created when you close the worksheet. You must do this manually
by creating a new application in the worksheet. - It is possible to remove applications from more than one entry at a time
in the application worksheet. However, because applying entries affects the set of entries that are available for application,
you cannot create an application for more than one entry at a time. - The application worksheet cannot make an
application in the following situation: If there is not enough quantity on stock to apply, the application worksheet cannot
make an application when you are trying to apply an inventory decrease entry without item tracking information to an
inventory increase entry with item tracking information.
To remove an item application by using the Application Worksheet

1. Choose the icon, enter Application Worksheet , and then choose the related link.
2. The Application Worksheet page opens displaying existing item ledger entries for all items.
3. Enter filters on the General FastTab to make it easier to find the item ledger entry for which you want to
change the application.
4. Select the item ledger entry, and then choose the Applied Entries action. The View Applied Entries –
Applied Entries page opens to show the item ledger entry or entries that are currently applied to the
selected entry.
5. Select the item ledger entry for which you want to remove the application.
6. Choose the Remove Application action. This removes the item application entry that links the two item
ledger entries and moves it to the View Applied Entries – Unapplied Entries page.
7. Close the View Applied Entries – Applied Entries page.
The Remaining Quantity field of the two item ledger entries are increased by the quantity that has been
unapplied. The removed item ledger entry is now available for reapplication on the View Applied Entries –
Unapplied Entries page.
IMPORTANT
You should not leave application entries unapplied for longer periods of time because other users cannot process the
affected items until you reapply the application entries or close the Application Worksheet page. The following error
message is displayed if you try to perform actions that involve a manually unapplied application entry:
You cannot perform this action because entries for item <item> are unapplied in the Application
Worksheet by user <user>.
To reapply an item application by using the Application Worksheet

1. Choose the icon, enter Application Worksheet , and then choose the related link.
2. The Application Worksheet page opens displaying existing item ledger entries for all items.
3. To reapply entries that were removed since the worksheet was opened, select the item ledger entry that
you want to reapply, and then choose the Reapply action.
NOTE
This reapplication to the original balance also occurs automatically when you close the Application Worksheet
page.
4. To apply an available open item ledger entry to another entry, select the item ledger entry that you want
to apply. Choose the Unapplied Entries action. The View Applied Entries – Unapplied Entries page
opens.
5. Select one or more item ledger entries that you want to apply to the entry selected on the Application
Worksheet page, and then choose the OK button.
An item application entry is created between the two item ledger entries. The Remaining Quantity
fields of the two entries are reduced by the applied quantity.
NOTE
If you have chosen to make an application that would create an infinite loop in the cost adjustment process, then
the application that you proposed is not made. This can occur when the original entries created negative stock.
The application is not made. Therefore, you must select a different entry for the application.
6. If the Automatic Cost Adjustment field in the Inventor y Setup is set to Always , then the cost
adjustment batch job is automatically run after you make a reapplication. Otherwise, run the Adjust
Cost - Item Entries batch job to make sure that all costs are up to date.
See Also
Close Open Item Ledger Entries Resulting from
Fixed Application in the Item Journal
You can use the Applies-from Entr y field on the Item Journal page to create a fixed application between an
inbound transaction and the original outbound transaction. For example, to correct the outbound transaction or
to process its return.
IMPORTANT
Fixed applications made in this manner only apply the cost, not the quantity. Accordingly, the posted positive item ledger
entry will not close the applied outbound entry and will itself remain open. This also applies when you post a fixed
application for a positive entry to a negative entry that has not been closed by a regular positive entry, then both the
negative and the positive entries will remain open.
This also means that you cannot close an inventory period if such an entry exists.
You can change and reapply application entries under certain conditions by using the Application Worksheet
page.
The following procedure shows how to close such entries by performing two corrective postings in the item
journal.
To close open item ledger entries that result from a fixed application
in the item journal
1. Use the Applies-from Entr y field to post a positive adjustment with the corresponding quantity. This
closes the original negative entry with a fixed application.
The Applies-from Entr y field specifies the number of the outbound item ledger entry whose cost is
forwarded to the inbound item ledger entry when you post an inbound transaction of type Positive
Adjmt. or Purchase with the item journal.
2. Use the Applies-to Entr y field to post a negative adjustment. This closes the original corrective positive
entry with a fixed application.
The Applies-to Entr y field specifies if the quantity in the item journal line should be applied to an
already-posted document. If this is the case, enter the entry number of the item ledger entry to which the
item journal line should be applied.
See Also
Process Sales Returns and Cancellations
Setting Up Inventory Valuation and Costing
When you post inventory transactions, such as sales shipments, purchase invoices, or inventory adjustments,
the changed item costs are recorded in item value entries. To reflect this change of inventory value in your
financial books, the inventory costs are automatically posted to the related inventory accounts in the general
ledger. For each inventory transaction that you post, the appropriate values are posted to the inventory account,
adjustment account, and COGS account in the general ledger.
Automatic cost posting is defined by the Automatic Cost Posting field on the Inventor y Setup page.
Even though inventory costs are automatically posted to the general ledger, it is still necessary to ensure that the
costs of goods are forwarded to the related outbound sales transaction, especially in situations where you sell
goods before you invoice the purchase of those goods. This is referred to as cost adjustment. Item costs are
automatically adjusted when you post item transactions, but you can also adjust item costs manually. For more
information, see Adjust Item Costs.
To post inventory costs manually

1. Choose the icon, enter Post Inventor y Cost to G/L , and then choose the related link.
2. Post inventory costs to the general ledger manually by running the batch job. When you run this batch job,
general ledger entries are created on the basis of value entries. You can post the entries so that they are
summarized per posting group.
NOTE
When you run this batch job, you might encounter errors having to do with missing setup or incompatible dimension
setup. If the batch job encounters errors in the dimension setup, it overrides these errors and uses the dimensions of the
value entry. For any other errors, the batch job skips posting the value entries and lists them at the end of the report in a
section titled “Skipped Entries.” To post these entries, you must fix the errors.
To see a list of errors before running the posting batch job, you can run the Post Invt. Cost to G/L - Test
report. The test report lists all the errors encountered during a test posting. You can then fix the errors, and run
the inventory cost posting batch job without skipping any entries.
If you would like to simply get an overview of what values could be posted to the general ledger without
actually performing the posting, you can run the Post Inventor y Cost to G/L batch job without actually
posting the values to the general ledger. You do this by clearing the check mark from the Post field on the
request page. This way, when you run the batch job, the report is produced showing the values that are ready to
be posted to the general ledger, but they are not posted.
To audit the reconciliation between the inventory ledger and the

general ledger
The Inventor y - G/L Reconciliation page provides the following:
Exposes reconciliation differences by comparing what is recorded in G/L and what is recorded in the
inventory ledger (value entries).
Displays unreconciled cost amounts in the value entries in the inventory ledger as if they were mapped to
corresponding inventory-related accounts in G/L and compares those to the totals actually recorded in the
same accounts in G/L.
Reflects the double entry structure of G/L by visually presenting data as such. For example, a COGS entry has
a corresponding inventory entry.
Lets users drill down and see the entries that make up the cost amounts.
Includes filters to narrow the analysis by date, item, and location.
Explains reasons for reconciliation differences in informative messages.
The Name column on the far left in the grid lists the various G/L account types that are associated with
inventory.
The Inventor y , Inventor y (Interim) , and WIP Inventor y columns show the invoiced, non-invoiced, and WIP
totals of each G/L account type. These are calculated from value entries, that is, they are projected onto the G/L
account types where they will end when they are eventually posted to G/L.
The Total column shows the sum (in bold font) of the value entry amounts in the three inventory columns.
The G/L Total column shows the amounts (in bold font) for each G/L account type that exists in G/L. These are
calculated from G/L entries, that is, they represent inventory costs already posted to G/L.
The Difference column represents the difference between the value in the G/L Total and Total fields.
In the top of the Inventor y - G/L Reconciliation page, you can enter filters to limit, for example, the period of
time for which you want information.
If you select the Show Warning check box and if there are any discrepancies between the inventory totals and
G/L totals, application shows messages in the Warning field of the grid that explain the discrepancy. If you
choose the Warning field, application gives you more information on what the warning means.
When you have entered all relevant filters, choose the Show Matrix action. The data is calculated and the
matrix page appears.
On the far left column in the grid, you see the various general ledger account types that are associated with
inventory. The grid then shows the invoiced, non-invoiced (interim), and WIP inventory totals for each of these
account types. These totals are calculated from the value entries.
The next columns show the totals for the same account types calculated from the general ledger entries.
Choose the amount in any of the total fields to see the inventory report entries that were used to calculate the
totals. For inventory totals, the inventory report entries are the sums of the value entries for the items. For the
G/L totals, the inventory report entries are the sums from the general ledger entries.
Reporting Costs and Reconciling with the General Ledger

Other reports, tracing functions, and a special reconciliation tool are available to the auditor or controller
responsible for reporting a correct and balanced inventory value to the finance department.
The following table describes them.
TO SEE
View the inventory value of selected items, including Inventor y Valuation report
information about the quantities and values of increases and
decreases in inventory over a selected period.
View the inventory value of selected production orders in Inventor y Valuation - WIP report
your WIP (work in process) inventory, such as the quantities
and values of consumption, capacity usage, and output in
ongoing production orders.
TO SEE
View the inventory value of selected items, including their Invt. Valuation - Cost Spec. report
actual and expected cost on the date specified.
Use a report to analyze the reasons for cost variances or to Cost Shares Breakdown report
gain insight into the cost shares of sold items (COGS).
See Also
Purchasing
Sales
As a job progresses, materials, resources, and other expenses are consumed and must be posted to the job.
Work in Process (WIP) is a feature that enables you to estimate the financial value of jobs in the general ledger
while the jobs are ongoing. In many cases, you might post expenses for a job before invoicing a job. When only
expenses have been posted, your financial statement will be inaccurate. For more information, see
Understanding WIP Methods.
To track the value in the general ledger, you can calculate WIP and post the value to the general ledger.
You can calculate WIP based on the following:
Cost Value
Sales Value
Recognizable Cost
Percentage of Completion
Completed Contract
If you want to view the result using a different method, you can change the method and calculate WIP again.
There is no limit to the number of times that you calculate WIP. WIP is only calculated, it does not get posted to
the general ledger. After you have calculated WIP, you can post to the general ledger.
To create a job WIP method

You can create a job WIP method that reflects the needs of your organization. After you have created it, you can
set it as the default job WIP calculation method that will be used in your organization.
NOTE
After you have used your new method to create WIP entries, you cannot delete the method or modify it.
1. Choose the icon, enter Job WIP Methods , and then choose the related link.
2. Choose the New action, and then fill in the fields as necessary. Hover over a field to read a short description.
3. Close the page.
4. To make this new method the default, choose the icon, enter Jobs Setup , and then choose the related link.
5. In the Default WIP Method field, choose the method from the list.
To define a WIP method for a job

When you create a new job, you must specify which job WIP method that applies. In some cases, which Job WIP
method that you can use has been set up for you as a default.
2. Choose the New action. For more information, see Create Jobs.
3. On the Job Card page, in the WIP Method field, select a WIP method from the list. If a default method has
been defined, you can select another option if needed.
To calculate WIP
You can determine the WIP amount that is to be posted to balance sheet accounts for the period end reporting.
You use the Job Calculate WIP batch job to do this.
1. Choose the icon, enter Job Calculate WIP , and then choose the related link.
2. Choose the Calculate WIP action.
3. On the Job Calculate WIP page, fill in the fields as necessary.
NOTE
The batch job only calculates the WIP. It is not posted to the general ledger. To do so, you must run the Post WIP to G/L
batch job when you have calculated the WIP. For more information, see the following procedure.
To post WIP
When you have calculated WIP, you can post it to balance sheet accounts for the period end reporting. You use
the Job Post WIP to G/L batch job to do this.
1. Choose the icon, enter Job Post WIP to G/L , and then choose the related link.
2. On the Job Post WIP to G/L page, fill in the fields as necessary.
To calculate and post job completion entries

When you have completed all activities for a job, including usage posting and invoicing, you must update the
job to have a Status of Completed . Then, you must reverse any WIP that has been posted to the general ledger.
2. Select an open job, and then choose the Edit action.
3. In the Status field, select Completed .
4. Follow the assistance steps to calculate and post WIP. Alternatively, follows steps 5 and 6 to do so
manually.
The job WIP entries created by running the batch job will have the Job Complete check box selected to
show that they are completion entries.
7. Choose the Job Post WIP to G/L action.
The job WIP general ledger entries created by running the batch job will have the Job Complete check
box selected to show they are completion entries.
To view job ledger entries

All job-related entries are recorded in job registers and are numbered sequentially, starting with 1. From the job
register, you can get an overview of all job ledger entries.
1. Choose the icon, enter Job Registers , and then choose the related link.
2. Select a relevant register, and then choose Job Ledger action.
On the Job Ledger Entries page you can review the entries that are associated with any job.

See also
Managing Projects
Finance
Purchasing
Sales
Schedule Jobs for Adjusting and Reconciling
Inventory Cost with the General Ledger
To optimize the experience, automatic cost adjustment and posting to the general ledger are turned on by
default. However, as data accumulates over time, that might impact performance. To reduce the load on the
application, it is often helpful to use job queue entries to move tasks to run in the background.
Move the task of adjusting item costs to the background with the
help of assisted setup
Creating the job queue entries can be tricky, even for an experienced consultant, so we have an assisted setup
guide to make the process easier for adjusting item costs.
1. Choose the icon, enter Inventor y Setup , and then choose the related link.
2. On the Inventor y Setup page, toggle the Automatic Cost Posting field, or specify Never in the
Automatic Cost Adjustment field.
3. In the notification that now displays at the top of the page, choose the Schedule Job Queue Entr y link.
This opens the Schedule Cost Adjustment and Posting assisted setup guide.
4. Specify the task that you want to schedule.
NOTE
You cannot create a new job queue entry if a job queue entry for the specified task already exists.
5. Select the View job queue entries when finished field to review and adjust settings. For more
information, see Use Job Queues to Schedule Tasks.
To create a job queue entry for adjusting and reconciling inventory

cost manually
Alternatively, you can create job queue entries manually. The following procedure shows how to set the Adjust
Cost - Item Entries batch job to automatically run daily, but the same steps apply to the Post Inventor y Cost
to G/L batch job.
3. In the Object Type to Run field, choose Report.
4. In the Object ID to Run field, choose 795, Adjust Cost - Item Entries .
5. In the Next Run Date Formula field, enter 1D.
6. In the Star ting Time field, enter 2 AM.
7. Choose the Set Status to Ready action.
Now, inventory cost will be updated every night.
To schedule a task for reconciling inventory with the general ledger, choose Codeunit 2846 Post Inventor y
Cost to G/L .
TIP
To avoid locking, do not schedule tasks for the Adjust Cost - Item Entries batch job, the Post Inventor y Cost to
G/L codeunit, and tasks for posting sales or purchasing transactions at the same time. Also, make sure that they use
same job queue category.
See Also
Adjust Item Costs
Cash Flow Overview
Understanding cash inflows and outflows is the key to running a successful business. You can use cash flow to
easily create a short-term forecast that predicts how and when you expect money to be received and paid out by
your business. It is important for you to know that your business will have enough cash to pay creditors and
expenses when they fall due.
Definition of Cash Flow

The term cash flow is used to designate cash receipts minus cash payments over a selected period. It is an
estimate of the amount of money that you expect to flow in and out of your business, and it includes all your
forecasted income and expenses.
Work with Cash Flow

The following illustration shows an overview of how you can work with cash flow.
You set up a cash flow forecast.

You get cash flow forecast sources from the following areas:
General ledger – Information about the liquid funds and the budgeted revenues and expenses of your
company.
Purchasing – Information about the current payables and any forecasted debts from open purchase
orders.
Sales – Information about the current receivables and any forecasted receipts from open sales orders.
Service – Information about open service orders.
Fixed assets – Information about planned disposal and budgeted purchases of fixed assets.
Manual revenues and expenses – Manage manual revenues and expenses and include them in the
cash flow forecast.
You use a batch job to transfer information from the areas of general ledger, sales, purchasing, service,
and fixed assets to the worksheet Then, you register worksheet lines to make a cash flow forecast.
You use various windows, reports, and charts to analyze and print a cash flow forecast that relates to
availability and timeline overviews.
Making a Cash Flow Forecast

Based on the registered worksheet lines, you can periodically make a cash flow forecast. The following layout is
a frequently used layout for a cash flow forecast. The layout has three sections:
Cash receipts
Cash disbursements
Net cash flow or cash-in-hand
Cash receipts provide details of the income that the business receives.
total cash receipts = receivables + open sales orders + open service orders + fixed assets disposals + manual
revenues + budgeted revenues
NOTE
Manual revenues can be rental income, interest from financial assets, or new private capital. You can plan manual
revenues for a period of time and use them in the calculation of cash flow forecast.
Cash disbursements provide details of the payments made by the business.

total cash disbursements = payables + open purchase orders + fixed asset investment + manual expenses +
budgeted expenses
NOTE
Manual expenses can be salaries, interest on credit, or private consumptions. You can plan manual expenses for a period
of time and use them in the calculation of cash flow forecast.
Net cash flow or cash-in-hand is calculated as total receipts minus total disbursements at the end of each period.
net cash flow = total cash receipts – total cash disbursements + liquid funds
The forecast can then be used as an internal management decision-making tool that helps you plan ahead and
make important strategic decisions about the operation of the business.
See Also
Setting Up Cash Flow Analysis
Analyze Cash Flow
Forecast your cash flow in Dynamics 365 Business Central (Microsoft Learn)
Set up cash flow forecasts using Azure AI in Dynamics 365 Business Central(Microsoft Learn)
The charts on the Accountant Role Center provide insights that can help you make solid decisions about what to
do with your cash.
TO A N SW ER Q UEST IO N S L IK E T H ESE USE T H IS C H A RT
How long does the sales process tie up my cash? Cash Cycle
Should I increase or reduce inventory levels?
When did cash move in and out of my company? Cash Flow

Are some periods better than others?
Do the numbers seem off for a period? Income & Expense

Should I investigate?
When might a cash surplus or deficit happen? Cash Flow Forecasts

Should I pay down debt, or borrow to meet upcoming
expenses?
On the Accountant Role Center, under Finance Performance , the Cash Cycle , Cash Flow , and Income &
Expense charts offer ways to analyze cash flow:
See figures for a period by using the timeline slider.
Filter the chart by choosing the source in the legend.
Change the length of the period, or go to the previous or next period, by choosing options on the Finance
Performance drop down.
View the entries by choosing a point in the chart. For example, a point on the timeline or a column segment.
If the numbers seem off, this is where you can make adjustments.
Although it's separate, the Cash Flow Forecast chart is similar. You view details, filter results, and change what
is displayed in the same ways. If you change a setting, you can refresh the forecast by choosing Cash Flow
Forecast , and then Recalculate Forecast .
If you want to examine the forecast, in addition to forecast entries, you can also look at the cash flow worksheet.
For example, you can see how the forecast:
Handles confirmed sales and purchases.
Subtracts payables and adds receivables.
Skips duplicate sales orders and purchase orders.
To view a cash flow worksheet

1. Search for Cash Flow Forecasts , and then choose the related link.
2. Choose a cash flow forecast, and then choose the Cash Flow Worksheet action.
3. On the Cash Flow Worksheet page, choose the Suggest Worksheet Lines action.

See Also
Setting Up Finance
Forecast your cash flow in Dynamics 365 Business Central (Microsoft Learn)
Set up cash flow forecasts using Azure AI in Dynamics 365 Business Central(Microsoft Learn)
At the end of a fiscal year, there are a number of administrative tasks that you have to perform, like making sure
all documents and journals are posted, making sure currency data are up-to-date, closing the books, and more.
The actual tasks will depend your company.
The following table provides an overview of tasks that you typically perform to close a year and period.
TO SEE
Define your fiscal year, and divide it into time periods for Work with Accounting Periods and Fiscal Years
which to report financial performance.
Specify system-wide and user-specific posting date ranges. Specify Posting Periods
Depending on your business needs, you may want to restrict
user posting date ranges at the start of the period-end
process or after it.
Get an overview of activities that are commonly performed Closing Periods

at the end of a period, such as posting all documents and
journals, or running account schedules.
Update currency exchange rates and adjust the exchange Update Currency Exchange Rates
rates of posted customer, vendor, and bank account entries.
Allocate costs and income among accounts and dimensions. Allocating Costs and Income
Prepare to report value-added tax amounts that you have Report VAT to Tax Authorities
collected for sales to the tax authorities' web service.
Print reports to verify general ledger, customer, vendor and Preparing Pre-Closing Reports
bank account balances before closing a period.
Close accounting periods and fiscal year, transfer income Closing Books
statement balances to balance sheet accounts and post the
year end closing entry.
Print reports that can assist you in creating financial Preparing Closing Statements
statements.

See Also
Start a free trial!

Accounting periods, which are also known as reporting periods, are periods of time for which a company or
organization reports financial performance, for example, by generating their income statement or balance sheet.
Typically, accounting periods refer to the company's fiscal year, which can contain several accounting periods,
such as months or quarters.
For many companies the fiscal year does not align with the calendar year. For example, the fiscal year might end
on June 30th rather than December 31st. For newly created companies, the fiscal might actually be longer than
12 months.
Business Central only requires accounting periods only if you want to close an income statement, or run data
compression tasks.
You can use accounting periods in reporting. For example, when you are reviewing posted entries on the
Balance/Budget page where the reporting interval can be specified. One of the options you may specify to
report by accounting period. You can also build an account schedule that compares results for different
accounting periods.
Creating a new fiscal year

You can create accounting periods in bulk, by using the Create Fiscal Year batch job, or manually.
How to create accounting periods in-bulk
Use the Create Fiscal Year batch job to divide a fiscal year into periods of equal length.
1. Choose the icon, enter Accounting Periods , and then choose the related link.
2. Choose the Create Year action.
3. In the Star ting Date field, enter the date on which the fiscal year starts.
4. In the No. of Periods field, enter the number of accounting periods to divide the fiscal year into. There can
be up to 365 periods in a year.
5. In the Period Length field, enter a duration for each period. For example, 1M for one month, 1Q for one
quarter, and 1Y for one year.
6. Choose OK .
How to create accounting periods manually
If the accounting periods in your fiscal year have different durations, like the 4-4-5 calendar used in retail, you
can manually set it up.
2. In the Star ting Date field, enter the date on which the fiscal year starts. The Name field will show the name
of the month.
3. Choose the New Fiscal Year check box to indicate that this is the first period in the year. Business Central
will use this period to determine which periods to close at year-end.
4. Repeat steps 2 and 3 for each remaining period.
Closing a Fiscal Year

Closing the fiscal year is one of the tasks for closing the books. After you close a fiscal year, the Closed and
Date Locked check boxes are selected for all periods in the year. You cannot reopen a year or clear the check
boxes.
NOTE
You must always have at least one open fiscal year. When closing a year, ensure that a new year has been created. Also,
note that after you close one year, you cannot change the starting date of the following year.
2. Choose the Close Year action.
Posting Entries to a Closed Fiscal Year

Although a fiscal year is closed, you can still post general ledger entries to it. When you do, the entries are
marked as posted to a closed fiscal year and the Prior Year Entr y check box is selected. By default, the check
box is not displayed on the page, but you can add it. The next steps are to close the income statement accounts
and transfer the year's results to an account in the balance sheet. Repeat these steps each time you post entries
to a closed fiscal year.
See Also
Closing the Books
How to Work with Account Schedules
Use posting periods to specify when users can post to the general ledger.
To specify posting periods

2. On the General Ledger Setup page, define the period by entering dates in the Allow Posting From and
Allow Posting To fields.
NOTE
These posting periods apply to the company and to all users. To allow for exceptions, you can define different posting
periods for specific users on the User Setup page. These posting periods overrule those specified on the General
Ledger Setup page. For more information, see To set up user time constraints.
See Also
Finance
Completing Period-End Processes
Overview of Tasks to Close Accounting Periods
Business Central does not force you to close periods, however, there are many period-end (month-end) activities
that you can do. This topic provides an overview of optional processes and activities for closing periods.
General Ledger
Specify system-wide and user-specific posting periods.
This specifies the dates between which you allow posting. Depending on your business, you may want to
allow posting at the start of the period, or toward the end. For more information, see Specify Posting
Periods.
Make all necessary G/L adjustments.
Update and post Recurring Journals.
Run account schedules as follows:
Open the Account Schedule page, and then choose the Print action.
Sales and Receivables

Post all sales orders, invoices, credit memos, and return orders.
Post all cash receipt journals.
Update and post recurring journals that are related to sales and receivables.
Reconcile accounts receivable to the general ledger.
Run the Delete Invoiced Sales Orders batch job.
Purchases and Payables

Post all purchase orders, invoices, credit memos, and return orders.
Post all payment journals.
Update and post recurring journals that are related to purchases & payables.
Run the Aged Accounts Payable report and reconcile accounts payable to the general ledger.
Run the Delete Invoiced Purchase Orders batch job.
Fixed Assets
Post all maintenance costs have been posted through the fixed asset journals or invoices.
Post adjustments.
Post appreciation.
Post depreciation.
Update and post the recurring fixed asset journal.
Intercompany
Process Intercompany Transactions
Calculate and Process Sales Tax
Complete Tax Statements.

See also
Closing Books
Currencies
TIP
TIP
instead.
LCY
1/1 Invoice 1000 1.123 1123
1/31 Adjustm 1000 1125 1.125 2

ent
2/15 Adjustm 1000 -2

ent
Reversal
on
payment
2/15 Payment 1000 1120 1.120 -3
1.120.
Exchange Rates

NOTE
NOTE

entered.
TIP
adjusted entry.
IMPORTANT

NOTE
short description.
NOTE

rate.

See Also
Set Up Currencies
You can allocate an entry in a general journal to several different accounts when you post the journal. The
allocation can be made by three different methods:
Quantity
Percentage (%)
Amount
The allocation features can be used with recurring general journals and in fixed assets journals.
The following procedures describe how to prepare to allocate costs in a recurring general journal by defining
allocation keys. When allocation keys are defined, you complete and post the journal like any other recurring
general journal. For more information, see Work with General Journals.
To set up allocation keys

You can allocate an entry in a recurring general journal to several different accounts when you post the journal.
The allocation can be made by quantity, percentage, or amount.
1. Choose the icon, enter Recurring General Journal , and then choose the related link.
2. Choose the Batch Name field to open the General Journal Batches page.
3. You can either modify allocations on an existing batch in the list or create a new batch with allocations.
To create a new batch, choose the New action, and go to the next step.
To change the allocations of an existing journal, select the journal and go to step 7.
4. In the Name field, enter a name for the batch, such as CLEANING. In the Description field, enter a
description, such as Cleaning Expenses Journal.
5. When you are done, close the page. A new, empty recurring journal opens.
6. Fill in the fields on the line.
7. Choose the Allocations action.
8. Add a line for each allocation. You must fill in either the Allocation % , Allocation Quantity , or Amount
field. You must also fill in the Account No. field and, if you are allocating the transaction among global
dimensions, the global dimension fields.
9. If you enter a percentage on a line, the amount in the Amount field is calculated automatically. These
amounts have the opposite sign from the total amount in the Amount field in the recurring journal.
10. After entering the allocations lines, choose OK to return to the Recurring General Journal page. The
Allocated Amt. (USD) field is filled in and matches the Amount field.
To change an allocation key that has already been set up

2. On the Recurring General Journal page, select the journal with the allocation.
3. Choose the line with the allocation, and then choose Allocations action.
4. Change the relevant fields, and then choose the OK button.
See Also
This topic describes the reports in Business Central that you can use to submit information about value-added
tax (VAT) amounts for sales and purchases to tax authorities in your region. Depending on the specific country,
the reports may include specific information, or there might be additional reports that you must submit. Check
the articles for your country in the Local Functionality section.
You can use the following built-in reports:
The EC Sales List report
The European Community (EC) Sales List report lists the value added tax (VAT) amounts that you have
collected for sales to VAT-registered customers in the European Union (EU) countries.
The VAT Return report
The VAT Return report includes VAT for sales and purchases to customers and from vendors in all
countries that use VAT.
In both cases, VAT is calculated based on the VAT posting setup and the VAT posting groups that you have set up.
If you want to view a complete history of VAT entries, every posting that involves VAT creates an entry on the
VAT Entries page. These entries are used to calculate your VAT settlement amount, such as your payment and
refund, for a specific period. To view VAT entries, choose the icon, enter VAT Entries , and then choose the
related link.
NOTE
Each Business Central environment is meant to handle regulatory reporting in one single country. For example, the Dutch
version of Business Central handles VAT reporting in The Netherlands but not in other countries. Similarly, the United
States version of Business Central handles 1099 reporting in the United States and does not support claiming VAT
reporting in other countries, unless brought by an extension delivered by our partner ecosystem or a customer-specific
code modification.
About the EC Sales List report

In the European Union (EU) and in the UK, all companies that sell goods and services to VAT-registered
customers, including customers in other European Union (EU) countries, must submit an electronic version of
the European Community (EC) Sales List report to their customs and tax authorities. The EC Sales List report
works only for countries in the EU.
The report includes one line for each type of transaction with the customer, and displays the total amount for
each type of transactions. There are three types of transactions that the report can include:
B2B Goods
B2B Services
B2B Triangulated Goods
B2B goods and services specify whether you sold a good or a service, and are controlled by the EU Ser vice
setting in the VAT posting setup. B2B Triangulated Goods indicate whether you engaged in trade with a 3rd
party, and are controlled by the EU 3-Par ty Trade setting on sales documents, such as sales orders, invoices,
credit memos, and so on.
After the tax authority reviews your report, they will send an email to the contact person for your company. In
Business Central, the contact person is specified on the Company Information page. Before you submit the
report, make sure that a contact person is chosen.
Submit an EC sales list report
To submit an EC sales list report, go to the EC Sales List Reports page, and then choose the New action. In the
EC Sales List Repor t page, specify the period and other required fields. Then choose the Suggest Lines
action. Business Central will check your VAT entries to calculate the suggested lines for the report. Once you are
ready to submit, you must first release the report, and then submit the report.
About the VAT Return report

Use this report to submit VAT for sales and purchase documents, such as purchase and sales orders, invoices,
and credit memos. The information in the report is in the same format as on the declaration form from the
customs and tax authorities.
For the VAT return, you can specify the entries to include:
Submit open transactions only, or open and closed. For example, this is useful when you prepare your final
annual VAT return.
Submit only entries from the specified periods, or also include entries from previous periods. This is useful
for updating a VAT return that you have already submitted, for example, if a vendor sends you a late invoice.
To connect to your tax authority's web service

Business Central provides service connections to tax authority websites. For example, if you are in the UK, you
can enable the GovTalk service connection to submit the EC Sales List and VAT Return reports electronically. If
you want to submit the report manually, for example by entering your data on the tax authority's website, this is
not required.
To report VAT to a tax authority electronically, you need to connect Business Central to the tax authority's web
service. This requires that you set up an account with your tax authority. When you have an account, you can
enable a service connection that we provide in Business Central.
1. Choose the icon, enter Ser vice Connections , and then choose appropriate link.
2. Fill in the required fields. Hover over a field to read a short description.
NOTE
It is a good idea to test your connection. To do this, choose the Test Mode check box, then prepare and submit
your VAT report as described in the To prepare and submit a VAT report section. While in Test Mode, the service
tests whether the tax authority can receive your report, and the status of the report will indicate whether the test
submission was successful. It is important to remember that this is not an actual submission. To submit the report
for real, you must clear the Test Mode check box, and then repeat the submission process.
To set up VAT reports in Business Central

1. Choose the icon, enter VAT Repor t Setup , and then choose the related link.
2. To let users change and resubmit this report, choose the Allow Modification field.
3. If the tax authorities require that you submit VAT reports that also include the net amount that was used
to calculate VAT, choose the Repor t VAT Base field.
4. Choose the number series to use for each report. Hover over a field to read a short description.
5. In supported countries, to set up VAT return periods, fill in the Repor t Version and Period Reminder
Calculation fields in the Return Period section.
In countries where VAT return periods are required by the tax authorities, such as the UK, you must fill in
additional fields as well. Hover over a field to read a short description. However, in the British version, this
section has the name Making Tax Digital .
6. If your company is part of a VAT group, then specify your role. For more information, see The VAT Group
Management Extension
To set up VAT return periods
Optionally, if your business is not located in the UK, use the VAT Returns Periods page to set up scheduled VAT
returns. if your business is located in the UK, see Making Tax Digital in the United Kingdom.
1. Choose the icon, enter VAT Return Periods , and then choose the related link.
2. On the VAT Return Periods page, fill in the fields to set up the first period. Hover over a field to read a short
description..
3. Repeat step 2 for any additional periods that you want to add.
Now, when the time has come to submit a VAT report for a VAT return period, choose the period in the VAT
Return Periods page, and then choose the Create VAR Return action. Then, in the VAT Return card, choose
the Suggest Lines action as described in step 3 in the following procedure.
To prepare and submit a VAT report

1. Choose the icon, enter EC Sales List or VAT Return , and then choose the related link.
2. Choose New , and then fill in the required fields. Hover over a field to read a short description.
3. To generate the content of the report, choose the Suggest Lines action.
NOTE
For the EC Sales List report, you can review the transactions included in the report lines before you submit the
report. To do that, choose the line, and then choose the Show VAT Entries action.
4. To validate and prepare the report for submission, choose the Release action.
NOTE
Business Central validates whether the report is set up correctly. If the validation fails, the errors display under
Errors and Warnings so that you know what to fix. Typically, if the message is about a missing setting in
Business Central, you can click the message to open the page that contains the information to correct.
5. To submit the report, choose the Submit action.

After you submit the report, Business Central monitors the service and keeps a record of your communications.
The Status field indicates where the report is in the process. For example, when the authorities process your
report, the status of the report changes to Succeeded . If the tax authority found mistakes in the report you
submitted, the status of the report will be Failed . You can view the errors under Errors and Warnings , correct
them, and then submit the report again. To view a list of all your EC Sales List reports, go to the EC Sales List
Repor ts page.
Viewing communications with your tax authority
In some countries, you exchange messages with the tax authority when you submit reports. You can view the
first and the last message you sent or received by choosing the Download Submission Message and
Download Response Message actions.
Submitting VAT reports manually

If you use another method to submit the report, for example by exporting the XML and uploading it to a tax
authority website, afterward you can choose Mark as Submitted to close the reporting period. When you
mark the report as released, it becomes non-editable. If you must change the report after you mark it as
released, you must reopen it.
VAT settlement
Periodically, you must remit the net VAT to the tax authorities. If you need to settle VAT frequently, you can run
the Calc. and Post VAT Settlement batch job to close the open VAT entries and transfer purchase and sales
VAT amounts to the VAT settlement account.
When you transfer VAT amounts to the settlement account, the purchase VAT account is credited, and the sales
VAT account is debited with the amounts calculated for the specified period. The net amount is credited or
debited, if the purchase VAT amount is larger, to the VAT settlement account. You can post the settlement
immediately or print a test report first.
NOTE
When you use the Calc. and Post VAT Settlement batch job, if you do not specify a VAT Bus. Posting Group and a
VAT Prod. Posting group , entries with all business posting groups and product posting group codes are included.
Configuring your own VAT reports

You can use the EC Sales List report out-of-the-box. However, you can also create your own reports, if you
have a development license so that you can create codeunits. If you need assistance, contact a Microsoft Partner.
The following table describes the codeunits that you must create for your report.
C O DEUN IT W H AT IT M UST DO
Suggest Lines Fetch information from the VAT Entries table, and display it
in lines on the VAT report.
Content Control the format of the report. For example, whether it is

XML or JSON. The format to use depends on the
requirements of your tax authority's web service.
Submission Control how, and when, you submit the report based on the
requirements of your tax authority.
Response Handler Handle the return from the tax authority. For example, it
might send an email message to your company's contact
person.
Cancel Send a cancellation of a VAT report that was submitted

earlier to your tax authority.
NOTE
When you create codeunits for the report, pay attention to the value in the VAT Repor t Version field. This field must
reflect the version of the report that is, or was, required by the tax authority. For example, you might enter 2021 in the
field to indicate that the report conforms to the requirements that were in place that year. To find the current version,
contact your tax authority.

See also
Set Up Calculations and Posting Methods for Value-Added Tax
Set Up Sales
Invoice Sales
There are many standard reports that you can use to verify the accuracy of the accounts before closing the
books at the end of a year or period. For example, you can use the Customer - Trial Balance report to verify
that the balance for a customer posting group is equal to the balance on the corresponding general ledger
account on a certain date.
The following table describes a number of reports that may be useful in this process.
TO SEE T H IS REP O RT
Print a detailed trial balance report for one or more bank Bank Acc. - Detail Trial Bal.
accounts with additional information about individual
entries.
Print a detail trial balance for selected customers. Customer - Trial Balance
Print a detail trial balance with detailed information about Customer - Detail Trial Bal.
individual entries, for selected customers during a selected
period.
Print a detail trial balance for selected vendors. Vendor - Trial Balance
Print a detail trial balance with detailed information about Vendor - Detail Trial Balance
individual entries, for selected vendors during a selected
period.
Print a trial balance with the current year's and the previous Closing Trial Balance
year's figures.
Print a detailed trial balance report for general ledger Detail Trial Balance
account balances.
Print a trial balance report with balances and net changes for Trial Balance
general ledger accounts.
Print a trial balance for a consolidated company. Consolidated Trial Balance
To see a report, choose the icon, type the name as it appears in the table, and then choose the related link.
See Also
Closing the Books
After you ensure that all your accounts are up-to-date, and you allocate costs and income, then you can close
the books for a fiscal year or period.
You are not required to close a year, but doing so will make working in the system easier for you because you
will be able to take advantage of the convenient filtering options provided. You also do not have to worry about
losing details of transactions when you close because all details are retained, even after you close the year.
Closing Book Process

The process for closing the book includes these main tasks:
1. Closing the accounting period.
A fiscal year is defined as one or more open periods as defined on the Accounting Periods page. A
typical fiscal year contains 12 periods of one month each, but you can also choose another method of
defining a year.
For more information, see Close Accounting Periods.
2. Registering prior-year entries.
When you close a fiscal year, you must enter a number of administrative transactions (such as prepaid
and accrued items). These transactions are called adjusting entries. There are no special rules for posting
these entries, and they (like other entries) contain a check mark in the Prior-Year Entr y field if they are
posted on a date in a closed fiscal year. Even though a fiscal year has been closed, you can still post
general ledger entries to it.
3. Transferring balances from the income statement accounts to the balance sheet.
After a fiscal year has been closed and all prior-year entries have been posted, the income statement
accounts must be closed and the net income for the year must be transferred to an account under
owners' equity on the balance sheet. Use the Close Income Statement batch job for this purpose. The
batch job processes all general ledger accounts of the type Income Statement and creates entries that
reverse their balances. These entries are placed in a journal from which they can be posted. The batch job
does not post them automatically, except when an additional reporting currency is used. When an
additional reporting currency is used, the batch job posts directly to the general ledger.
For more information, see Close Income Statement.
4. Posting the year-end closing entry along with the offsetting equity account entries.
When the Close Income Statement batch job is finished, you post the entries generated by the job. If you
did not specify a retained earnings account in the batch job, then enter one line with a balancing entry
that posts the net income to the correct general ledger account under owners' equity on the balance
sheet. Finally, post the journal.
For more information, see Post Year-End Closing Entry.
What Happens When You Close

When you close at the end of the year, the system moves your earnings from calculated earnings to the Retained
Earnings account. The system also marks the fiscal year as "closed," and marks all subsequent entries for the
closed year as "prior year entries."
The system then generates a closing entry, but it does not post the entry automatically. You are given the
opportunity to make the offsetting equity account entry or entries, which allows you to decide how to allocate
your closing entry. For example, if your company has several divisions, you can let the system generate a single
closing entry for all the divisions, and you can then make an offsetting entry for each division's equity account.
You can post in a previous fiscal year, even after the income statement accounts have been closed, if you run the
Close Income Statement batch job again afterward.
See Also
There are a number of standard reports that you can use to gather the information that you need to prepare
your company's closing statements.
The following table describes a number of reports that may be useful in this process.
TO SEE T H IS REP O RT
Print a trial balance report with balances and net changes for Trial Balance
general ledger accounts.
Get an overview of accounts receivable, with the age of Aged Accounts Receivable
amounts receivable calculated from the due date, posting
date, or document date.
Get an overview of accounts payable, with the age of Aged Accounts Payable
amounts payable calculated from the due date, posting date
or document date.
Compare the trial balance with a budget. Trial Balance/Budget
Print a trial balance report with balances and net changes for Trial Balance by Period
general ledger accounts calculated for a series of periods.
Print an account schedule to analyze figures in general Account Schedule

ledger accounts or compare actual general ledger entries
with general ledger budget entries.
Check whether customer and vendor ledger entries balance Reconcile Cust. and Vend. Accs
with corresponding general ledger entries.
To see a report, choose the icon, type the name as it appears in the table, and then choose the related link.
See Also
When a fiscal year is over, you must close the periods that comprise it.
To close accounting periods

2. On the Accounting Periods page, choose the Close Year action.
If more than one fiscal year is open, the earliest one is automatically selected to be closed. A message
displays identifying the year that will close and the consequences of closing the year.
3. To close the year, choose the Yes button.
The fiscal year is closed, and the Closed and Date Locked fields for all the periods in the year are selected. The
fiscal year cannot be opened again and you cannot remove the check mark from the Closed or Date Locked
fields.
NOTE
You cannot close a fiscal year before you create a new one. Notice that when a fiscal year has been closed, you cannot
change the starting date of the following fiscal year.
Even though a fiscal year has been closed, you can still post general ledger entries to it. When you do this, the
entries will be marked as posted to a closed fiscal year and the Prior-Year Entr y field will be selected.
After a fiscal year is closed, you must close the income statement accounts and transfer the year's results to an
account in the balance sheet. You can repeat this every time that you post to the closed fiscal year.
See Also
Closing Books
Closing Income Statement Accounts
When a fiscal year is over, you must close the periods that comprise it. To do this, you run the Close Income
Statement batch job. This job transfers the year's result to an account in the balance sheet and closes the
income statement accounts. You do this by creating lines in a journal, which you then can post.
To run the Close Income Statement batch job

1. Close the fiscal year. The fiscal year must closed before the batch job can be run. For more information, see
Close Accounting Periods.
2. Choose the icon, enter Close Income Statement , and then choose the related link.
3. Choose the OK button to run the batch job.
About the Close Income Statement Batch Job

The batch job processes all general accounts of the income statement type and creates entries that cancel out
their respective balances. That is, each entry is the sum of all the general ledger entries on the account in the
fiscal year. These new entries are placed in a journal in which you must specify a balancing account and retained
earnings account in the balance sheet before you post. When you post the journal, an entry is posted to each
income statement account so that its balance becomes zero and at the same time the year's result is transferred
to the balance sheet.
You must post the journal yourself. The batch job does not post the entries automatically, except when an
additional reporting currency is being used. When an additional reporting currency is being used, the batch job
posts entries directly to the general ledger.
The date on the lines that the batch job inserts in the journal is always a closing date for the fiscal year. The
closing date is a fictitious date between the last day of the old fiscal year and the first day of the new year. The
advantage of posting on a closing date is that you maintain the correct balances for the ordinary dates of the
fiscal year.
The Close Income Statement batch job can be used several times. You can post in a previous fiscal year, even
after the income statement accounts have been closed, if you run the batch job again.
See Also
Closing Books
Posting the Year-End Closing Entry
After you use the Close Income Statement batch job to generate the year-end closing entry or entries, you
must open the journal you specified in the batch job, and then review and post the entries.
TIP
Depending on your organizations work processes, you can choose to close or not close accounting periods and fiscal
years in Business Central. The following procedure assumes that you have closed the fiscal year using the Accounting
Periods option, generated a year-end closing entry using the Close Income Statement batch job, and are now ready to
post the year-end closing entry along with the offsetting equity account entries. Your organization can choose to work
differently, such as post the year-end closing entry as part of closing the fiscal year.
To post the year end closing entry

1. Choose the icon, enter General Journal , and then choose the related link.
2. On the General Journal page, in the Batch Name field, select the batch that contains the closing entries.
3. Review the entries.
4. To post the journal, choose the Post action.
NOTE
If an error is detected, an error message is displayed. If the posting is successful, the posted entries are removed from the
journal. After posting is complete, an entry is posted to each income statement account so that its balance becomes zero
and the year's result is transferred to the balance sheet.
See Also
Closing Books
Close Income Statement
Consolidating Financial Data from Multiple
Companies
Some organizations use Business Central in multiple business units or legal entities. Others use Business Central
in subsidiaries that must report into parent organizations. In both cases, the accountants use built-in tools to
help consolidate the financial data.
You can consolidate the general ledger entries of two or more separate companies (subsidiaries) into a
consolidated company. Each individual company involved in a consolidation is called a business unit. The
combined company is called the consolidated company.
You can import data into the consolidated company from other companies in the same Business Central tenant,
from tenants, or from files.
If the financial statements of a business unit are in a different currency than those of the consolidated company,
you must set up exchange rates for consolidation.
You can consolidate:
Across companies that have different charts of accounts.
Companies that use different fiscal years and different currencies.
Either the full amount or a percentage of a company's financial information
Using different currency exchange rates in individual G/L accounts
Companies in other accounting and business management programs
You set up the consolidated company in the same way that you set up other companies. The chart of accounts is
independent of the chart of accounts in the other business units, and the chart of accounts in the individual
business units may differ from one another. You set up a list of companies to consolidate, verify the accounting
data before consolidating, import from files or databases, and generate consolidation reports. For more
information, see Set Up Company Consolidation.
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Consolidating financial data may especially be relevant in connection with intercompany processes. For more information,
see Managing Intercompany Transactions.
Trial balance
If you have more than one company in Business Central, the Consolidated Trial Balance report can give you
an overview of the financial health of your overall business.
The report combines general ledger entries from each of your companies in a new company that you create to
contain the consolidated data. This company is typically referred to as the "consolidated company". The
consolidated company is just a container for the consolidated data, and does not have any live business data.
The companies that you include in the consolidated company become Business Units in the report. For more
information, see Set Up Company Consolidation.
Consolidate data
The process of transferring the figures from the business units to the consolidated company is the actual
consolidation. Before you do this, it is a good idea to check whether there are differences between the basic
information in the business units and in the consolidated company. There are two reports that you can use to
test the database and file.
To test the data before you consolidate
You can test your data before you transfer it to the consolidated company. Business Central looks for differences
in the information in the business units and the consolidated company. For example, whether account numbers
or dimension codes are different. You must correct errors before you can run the report. You can test the
database or, if you are importing data from an XML file, you can test the file.
1. Open the consolidated company.
2. Choose the icon, enter Business Units , and then choose the related link.
3. Do one of the following:
To test a file, choose the Test File action, enter the name of the file to test, and then choose Print .
To test the database, choose Test Database .
Run the consolidation
After you have tested the data, you can transfer it to the consolidated company.
1. Sign in to the consolidated company.
2. On the Accountant Role Center , choose the Run Consolidation action.
3. Fill in the required fields.
4. In the Filter section, set a filter for the relevant business unit or company name.
5. Optionally, schedule the report to run at a convenient time.
Eliminate repeated transactions

After you have consolidated all the companies, you must find any transactions that are recorded more than once
across companies and then post elimination entries to remove them.
Processing consolidation eliminations is a manual process.
To eliminate repeated transactions:
1. Find transactions that potentially need to be adjusted and enter general journal lines to eliminate them.
2. Run the G/L Consolidation Eliminations report to help you assess the effect of the general journal lines
before posting.
3. Post the adjusting transactions.
The G/L Consolidation Eliminations report displays a tentative trial balance where you can simulate the
consequences of eliminating entries by comparing the entries in the consolidated company with the
eliminations that have been entered in the general journal.
Before a business unit can be included in the report, it must be set up on the Business Units page and the
Consolidate field must be selected.
Each account appears on a line by itself, following the structure of the chart of accounts. An account is not
shown if all the amounts on the line are 0. The following information is shown for each account:
Account number
Account name.
If you have selected one or more business unit codes in the Business Unit Code field on the request page,
a total is shown for the consolidated company excluding the selected business units and eliminations. If you
have not filled in the Business Unit Code field, a total is shown for the consolidated company excluding
eliminations.
If you have selected a business unit code in the Business Unit Code field on the request page, a total is
shown for the imported entries from the business unit. If you have not filled in the Business Unit Code
field, a total is shown for the posted eliminations in the consolidated company.
The total for the consolidated company with all the business units and all posted eliminations.
The eliminations to be made in the consolidated company, that is, the entries in the general journal that is
selected on the request page.
The posting text copied from the general journal.
The consolidated company's total after the eliminations, if they are posted.
Export and import consolidated data between databases

If data for a business unit is in another database, you must export the data to a file before you can include it in
the consolidation. Each company must be exported separately. For this purpose, use the Expor t Consolidation
batch job.
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Use the same process to export consolidated data that must be submitted to Dynamics 365 Finance, such as if the
current business unit is a subsidiary and the parent company uses Dynamics 365 Finance.
After you run the batch job, all entries in general ledger accounts are processed. For every combination of
selected dimensions and date, the contents of the entries' Amount fields are totaled and exported. The next
combination of selected dimensions and date with the same account number is processed, then the
combinations in the next account number are processed, and so on.
The exported entries contain the following fields: Account No., Posting Date , and Amount . If dimensions
information was also exported, dimension codes and dimension values are also included.
1. For each exported line, if the total of the Amount fields is a debit, the account number that is set up in the
business unit's Consol. Debit Acc. field is exported to the line. If the total is a credit, the corresponding
number in the Consol. Credit Acc. field is exported to the line.
2. The date used for each exported line is either the period's ending date or, if the transfer occurs each day, the
exact date of the calculation.
3. The dimension value exported for the entry will be the consolidated company dimension value that is set up
in the Consolidation Code field for that dimension value. If no consolidated company dimension value has
been entered in the Consolidated Code field for that dimension value, the dimension value itself will be
exported to the line.
4. The XML files also contain the currency exchange rates in the consolidation period. These rates are included
in a separate section at the beginning of the file.
See Also
Before you can consolidate the general ledger entries of two or more separate companies (subsidiaries) into a
consolidated company, you must prepare the charts of accounts and the consolidation company.
Depending on the complexity of your businesses, there are two ways to set up consolidation:
If you do not need advanced settings, such as including a company that you only own part of, you can use
the Company Consolidation assisted setup guide to quickly set up a consolidation. The guide helps you
through the basic steps.
If you do need more advanced settings, you can set up the consolidated company and business units
yourself.
In each business unit, specify which general ledger accounts are to be included in the consolidation,
and specify the consolidation translation method for each account.
In the consolidation company, set up a business unit card for each company to be included in the
consolidation. The business unit card includes information, such as the dates of the business unit's
fiscal year, and the percentage of each account that must be included in the consolidation.
Simple consolidation setup

If your consolidation is straightforward, for example because you wholly-own the business units to consolidate,
the Company Consolidation assisted setup guide will help you through the following steps:
Choose whether to create a new consolidated company, or whether to consolidate the data in a company that
you have already created for the consolidation. The company should not contain transactions.
Preview the results. Business Central verifies that the master data and transactions can be successfully
transferred to the consolidated company.
To use the assisted setup guide, follow these steps:
1. On the Accountant Role Center, choose the Assisted Setup action.
2. Choose Set up consolidation repor ting , and then complete each step in the assisted setup guide.
Advanced consolidation setup

If you need more advanced settings for your consolidation, you can set up consolidation manually. For example,
if you have companies that you own only partially, or you have companies that you do not want to include in the
consolidation.
Set up the consolidated company
First, you must set up the consolidated company. You set up the consolidated company in the same way that you
set up other companies. For more information, see Getting Ready for Doing Business.
The following list illustrates key aspects of the consolidated company.
1. Set up the chart of accounts
For more information, see Setting Up or Changing the Chart of Accounts.
The charts of accounts can be identical across a business unit and the consolidated company, or the
consolidated company can have a different chart of account. If a business unit's chart of accounts is
different from that of the consolidated company, you must specify the mapping between accounts on the
accounts in the business unit. For more information, see the Prepare general ledger accounts for
consolidation section.
2. Add business units
To consolidate several companies' financial data in a consolidated company, you must enter information
about the subsidiary as business units to be included and about how much their figures will be included.
For more information, see the Add business units section.
3. You can specify exchange rates when consolidating the financial statements of business units if the
financial statements are in a foreign currency.
The three exchange rates that are used are Average Rate (Manual) , Closing Rate , and Last Closing
Rate . For more information, see the Specify exchange rates for consolidations section.
4. You can consolidate dimension information and general ledger accounts.
For more information, see the Include or exclude dimensions section.
Add business units
Business Central lets you set up a list of business units to consolidate, verify the accounting data before you
consolidate it, import files, and generate consolidation reports.
1. Sign in to the consolidated company.
IMPORTANT
When you fill in the Star ting Date and Ending Date fields, make sure you comply with GAAP rules concerning
the fiscal periods of the business unit versus the parent company.
4. Repeat step 3 for each additional business unit

If your business unit uses a foreign currency, you must specify the exchange rate to use in the consolidation. You
must also enter consolidation information about the business unit's general ledger accounts. These processes
are described in the following sections.
Prepare general ledger accounts for consolidation
The chart of accounts for a company that will be consolidated must specify accounts for consolidation. For each
posting general ledger account in each company, you must specify the general ledger account in the
consolidated company to which the balance will be transferred on consolidation. This is a mapping that will
allow companies with different chart of accounts to be consolidated together.
If the chart of accounts in the business unit differs from the consolidated company, you must prepare general
ledger accounts for consolidation. You can specify the accounts to post debits and credits to, and the method to
use to translate currencies in the consolidated company. For example, this is useful if you frequently run the
report.
1. In each business unit's Business Central, choose the icon, enter Char t of Accounts , and then choose the
related link.
2. Open the card for the account, and then fill in the fields on the Consolidation FastTab. Hover over a field to
read a short description.
Specify exchange rates for consolidations
If a business unit uses a different currency than the consolidated company, you must specify exchange rate
methods for each account before you consolidate. For each account, the content of the Consol. Translation
Method field determines the exchange rate. In the consolidated company, on each business unit card, in the
Currency Exchange Rate Table field, you specify whether consolidation will use exchange rates from the
business unit or the consolidated company. If you use exchange rates from the consolidated company, you can
change the exchange rates for a business unit. For business units, if the Currency Exchange Rate Table field
on the business unit card contains Local , you can change the exchange rate from the business unit card. The
exchange rates are copied from the Currency Exchange Rate table, but you can change them before
consolidating.
The following table describes the exchange rate methods you can use for accounts.
EXC H A N GE RAT E T Y P IC A L USE
Average Rate (Manual) You manually calculate the average rate for the period to
consolidate. Calculate the average either as an arithmetic
average or as a best estimate, and specify the result for each
business unit. Used for income statement accounts.
Closing Rate Used for balance sheet accounts.
Last Closing Rate The rate that was valid in the foreign exchange market on
the date for which the balance sheet or income statement is
being prepared. You enter this rate for each business unit.
Used for balance sheet accounts.
Historical Rate The exchange rate that was valid when the transaction
occurred.
Composite Rate The current period amounts are translated at the average
rate and added to the previously recorded balance in the
consolidated company. This method is typically used for
retained earnings accounts because they include amounts
from different periods and are therefore a composite of
amounts translated with different exchange rates.
Equity Rate This is similar to Composite . Differences are posted to

separate general ledger accounts.
To specify exchange rates for business units, follow these steps:

2. On the Business Unit List page, choose the business unit, and then choose the Average Rate (Manual)
action.
3. On the Change Exchange Rate page, the contents of the Relational Exch. Rate field have been copied
from the Currency Exchange Rate table, but you can modify them. Close the page.
4. Choose the Closing Rate action.
5. In the Relational Exch. Rate Amount field, enter the exchange rate.
Include or exclude dimensions
You can consolidate dimension information and general ledger accounts.
On the relevant dimensions, specify the Consolidation Code field, or leave it blank
To exclude a dimension in the consolidation, leave the Consolidation Code field blank on the
dimension, and do not choose dimensions in the Copy Dimensions fields in any consolidation
functions or reports.
To include dimension information in the consolidation, leave the Consolidation Code field blank.
However, the consolidation will only work if the dimension values in the business unit are the same as
the consolidated company.
To consolidate the dimension value code in the business unit with a different dimension value code in
the consolidated company, fill in the Consolidation Code field on the relevant dimensions.
Add the relevant dimensions to the relevant general ledger accounts
Exclude a company from consolidation
If you do not want to include a business unit in the consolidation, you can exclude it. To do that, go to the
business unit card, and clear the Consolidate check box.
Include a partially-owned company in consolidation
If you own only part of a company, you can include a percentage of each transaction that corresponds to the
percentage of the company you own. For example, if you own 70% of the company, consolidation will include
$70 of an invoice for $100. To specify the percentage of the company you own, go to the business unit card, and
enter the percentage in the Consolidation % field.
See Also
Consolidating Financial Data from Multiple Companies
Consolidate Balances for a Company that is a
Customer and a Vendor
A company that you do business with might be both a customer and a vendor. When that's the case, you can
avoid making unnecessary payments or receipts, and perhaps save on transaction fees, by consolidating the
company's customer and vendor balances. Consolidation compares the company's balances as a vendor and as
a customer, and then nets the amount so that that either the customer or vendor balance remains, depending on
which amount was higher.
To consolidate the balances, you must first link the customer and vendor companies through a contact that has
the type Company . A customer or vendor can only have one contact of the type Company . For more
information, see Create Contacts.
After you link the companies, the Customer Card page offers the Balance as Vendor field, and the Vendor
Card page includes the Balance as Customer field.
Though it's not a requirement, the customer and vendor companies are typically the same legal entity.
Before you start

Before you consolidate balances, specify a few settings on the Marketing Setup page.
On the Interactions FastTab, you must specify business relation codes in the Customers and Vendors
fields. Business Central uses this information to determine the type of relation to display for contacts.
Optional: On the Duplicates FastTab, turn duplicate search on or off. By default, duplicate search is turned
on. For more information, see Handling duplicates.
Link an existing customer and vendor company thorough a contact

The following steps describe how to link a customer and a vendor through a contact.
2. Choose the customer or vendor, and then choose the Contact action.
3. If the Contact Business Relation field contains a value other than None , you must remove the relation. To
do that, use the Business Relation action, and then delete the relation.
4. Depending on whether you chose Customer or Vendor in step 1, choose the icon, and then enter the
opposite party. That is, if you chose Vendor , you should search for Customer .
5. Choose the vendor or customer, and then choose the Contacts action.
6. Choose the Link with existing action, and then the Customer or Vendor option.
7. Choose the customer or vendor.
Create a vendor from a customer, or vice versa

You can create a new vendor from an existing customer, or a new customer from a vendor. From the Customer
or Vendor pages, open the Contact page. Choose the Create as action, and then either the Customer or
Vendor options.
Create a new customer or vendor and link them through a vendor or

customer contact
1. Create a new customer or vendor. For more information, see Register New Customers or Register New
Customers.
2. After you set up the customer or vendor, choose the Create action, and then choose either the Customer or
Vendor options.
To consolidate the customer and vendor balances for a contact

company
On the Payment Journal page, use the Net Customer/Vendor Balances action to consolidate the customer
and vendor balances into a single net amount. The action creates, but does not post, payment journal lines that
contain the net balances.
NOTE
If the customer or vendor balances contain amounts that are in different currencies, a line is created for the amount in
each currency.
Handling duplicates
If you turn on duplicate search on the Duplicates FastTab on the Marketing Setup page, a warning will display
when you change the values of fields that are part of the setup for duplicate search strings. When a duplicate is
found, you can take the following actions:
Combine the duplicate contacts into a single contact that is the same for both the customer and vendor by
using the Merge With capability on the Contact Card page. Typically, merging contacts is done only when
the customer and vendor are the same legal entity. For more information, see Merge Duplicate Records.
Delete the vendor business relation for the vendor or customer contact, and then use the Link to Existing
action to link to a different contact.
See Also
Sales
Understanding the General Ledger and the Chart of
Accounts
The general ledger stores your financial data, and the chart of accounts shows the accounts that all general
ledger entries are posted to. Business Central includes a standard chart of accounts that is ready to support your
business.
General ledger setup and general posting setup

The setup of the general ledger is at the core of financial processes because it defines how you post data. Two
pages play an important part in configuring your finance processes:
The General Ledger Setup page
On the General Ledger Setup page, you specify how to handle certain accounting issues in your
company, such as:
Invoice rounding details
Address formats
Financial reporting
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The General Ledger Setup page includes generic fields and fields that are particular to your country or region.
If you are not sure of the meaning of a field, we suggest you work with your accountant to determine whether it
is of relevance to your organization. Hover over a field to read a short description.
Open the page here

The General Posting Setup page
Similarly, on the General Posting Setup page, you specify how you want to set up combinations of
general business and general product posting groups. Posting groups map entities like customers,
vendors, items, resources, and sales and purchase documents to general ledger accounts. You fill in a line
for each combination of business posting group and product posting group. But you can also open each
line in its own posting setup card. For more information, see Posting Group Setups.
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If you cannot see the fields that you are looking for in the General Posting Setup page, then use the horizontal
scroll bar at the bottom of the page to scroll to the right.
Open the page here
The chart of accounts

The chart of accounts shows all general ledger accounts. From the chart of accounts, you can do things like:
View reports that show general ledger entries and balances.
Close your income statement.
Open the general ledger (G/L) account card to add or change settings.
See a list of posting groups that post to that account.
View separate debit and credit balances for a single account
You can add, change, or delete general ledger accounts. However, to prevent discrepancies, you can't delete a
general ledger account if its data is used in the chart of accounts. Also, starting with 2022 release wave 2, you
can also block the accidental deletion of accounts in sensitive periods. For more information, see Deleting
accounts.
Account categories
You can personalize the structure of your financial statements by mapping general ledger accounts to account
categories.
The G/L Account Categories page shows your categories and subcategories, and the general ledger accounts
that are assigned to them. You can create new subcategories and assign those categories to existing accounts.
You create a category group by indenting other subcategories under a line on the G/L Account Categories
page. This makes it easy for you to get an overview, because each grouping shows a total balance. For example,
you can create subcategories for different types of assets, and then create category groups for fixed assets
versus current assets.
You can specify whether the accounts in each subcategory must be included in specific types of reports. The
account categories help define the layout of your financial statements.
Example
For example, the default balance statement has a subcategory for Cash under Current Assets. You want the
balance statement consider petty cash and checking, so you take the following steps:
1. Add two new subcategories:
One for petty cash
One for your checking account
2. Specify the another report definition Cash Accounts for these subcategories.
3. Indent them under the Cash subcategory.
The next time you generate account schedules, your balance statement will show a total balance for cash and
two lines with balances for petty cash and the checking account.
Get a quick overview

The Char t of Accounts page displays accounts in a hierarchical list that offers fast access to the key
information for each account. However, the list is static, and if you have many accounts, you might have to do a
bit of scrolling to view information for different accounts. If you just want a quick overview of the basics, such as
net changes and balances, the Char t of Accounts Over view page is a useful alternative. The column layout
on the page is now the same as you’ll find on the Char t of Accounts page (there are just fewer of them), so
you won’t have to reorient yourself, and you can expand or collapse the hierarchical levels to condense the view.
To make it easy to switch between the pages, the Char t of Accounts Over view page is available from the
Char t of Accounts page.
Access to create and edit accounts and account categories

In a small organization, such as the CRONUS demonstration company, most users can edit the chart of accounts,
except users with a TEAM MEMBER license. However, in larger organizations, access to edit the chart of accounts
is limited by roles and permissions. If you are an administrator, or you have the Business manager or Accountant
role, you can check the permissions for all users to make sure the right people have access to the relevant tables.
For more information, see To get an overview of a user's permissions.

See also
Finance
Set Up or Changing the Chart of Accounts
Dimensions are values that categorize entries so you can track and analyze them on documents, such as sales
orders. Dimensions can, for example, indicate the project or department an entry came from.
For example, instead of setting up separate general ledger accounts for each department and project, you can
use dimensions as a basis for analysis and avoid having to create a complicated chart of accounts. For more
information, see Business Intelligence.
Another example is to set up a dimension called Department, and use this dimension when you post sales
documents. This will let you use business intelligence tools to see which department sold which items. The more
dimensions you use, the more detailed reports you can base your business decisions on. For example, a single
sales entry can include information from multiple dimensions, such as:
The account the item sale was posted to
Where the item was sold
Who sold it
The kind of customer who bought it
Analyzing by Dimensions
Dimensions play an important role in business intelligence, such as when defining analysis views. For more
information, see Analyze Data by Dimensions.
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A quick way to analyze transactional data by dimensions is to use the Set Dimension Filter action filter totals by
dimensions in the chart of accounts and on pages for entries.
NOTE
Analysis views often use data from dimensions. If you discover that an incorrect dimension has been used on posted
general ledger entries, you can correct the dimension values and update your analysis views. That will help keep your
financial reports and analyses accurate. For more information, see Troubleshooting and Correcting Dimensions
Dimension Sets
A dimension set is a unique combination of dimension values. It is stored as dimension set entries in the
database. Each dimension set entry represents a single dimension value. The dimension set is identified by a
common dimension set ID that is assigned to each dimension set entry that belongs to the dimension set.
When you create a journal line, document header, or document line, you can specify a combination of dimension
values. Instead of explicitly storing each dimension value in the database, a dimension set ID is assigned to the
journal line, document header, or document line to specify the dimension set.
Setting Up Dimensions
You can define the dimensions and dimension values to categorize journals and documents, such as sales orders
and purchase orders. You set up dimensions on the Dimensions page, where you create one line for each
dimension, such as Project, Department, Area, and Salesperson.
You also set up values for dimensions. For example, values might be departments in your company. Dimension
values can be set up in a hierarchical structure similar to the chart of accounts, so that data can be broken down
into various levels of granularity, and subsets of dimension values can be totaled. You can define as many
dimensions and dimension values as you need, and everyone in your company can use them.
When dimensions and values are set up, you can define global and shortcut dimensions on the General
Ledger Setup page that will always be available to select as fields on journal and document lines, and ledger
entries, without having to open the Dimensions page first. For more information, see To set up global and
shortcut dimensions.
Global Dimensions are used as filters, for example, on reports, batch jobs, and XMLports. You can use only
two global dimensions, so choose dimensions you will use often.
Shor tcut Dimensions are available as fields on journals, document lines, and ledger entries. You can create
up to eight of these.
NOTE
After you use a new dimension in any entry, such as a line or new record, you cannot delete the dimension, even if you do
not post the entry. This is because Business Central immediately creates a dimension set for the line or record. For more
information, see Dimension Sets.
To set up default dimensions for customers, vendors, and other accounts

You can assign a default dimension for a specific account. The dimension will be copied to the journal or
document when you enter the account number on a line, but you can delete or change the code on the line if
appropriate. You can also make a dimension required for posting an entry with a specific type of account.
1. Choose the icon, enter Dimensions , and then choose the related link.
2. On the Dimensions page, select the relevant dimension, and then choose the Account Type Default Dim
action.
3. Fill in a line for each new default dimension that you want to set up. Hover over a field to read a short
description.
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If you want to make a dimension required but you do not want to assign a default value to the dimension, leave the
Dimension Value Code field blank and then select Code Mandator y in the Value Posting field.
WARNING
If an account is used in the Adjust Exchange Rates batch job or the Post Inventor y Cost to G/L batch job, do not
select Code Mandator y or Same Code . These batch jobs cannot use dimension codes.
NOTE
If an account must have a different dimension than the default dimension for the account type, you must set up a default
dimension for this account. The default dimension for the account then replaces the default dimension for the account
type.
To set up default dimension priorities

Different account types, such as a customer account and an item account, can have different default dimensions
set up. As a result, an entry can have more than one default dimension proposed for a dimension. To avoid such
conflicts, you can apply priority rules to the different sources.
1. Choose the icon, enter Default Dimension Priorities , and then choose the related link.
2. On the Default Dimension Priorities page, in the Source Code field, enter the source code for the entry
table to which default dimension priorities will apply.
3. Fill in a line for each default dimension priority that you want for the selected source code.
4. Repeat the procedure for each source code for which you want to set up default dimension priorities.
IMPORTANT
If you set up two tables with the same priority for the same source code, Business Central will always select the table with
the lowest table ID.
To set up dimension combinations

To avoid posting entries with contradictory or irrelevant dimensions, you can block or limit specific
combinations of two dimensions. A blocked dimension combination means that you cannot post both
dimensions on the same entry regardless of what the dimension values are. A limited dimension combination
lets you post both dimensions to the same entry, but only for certain combinations of dimension values.
1. Choose the icon, enter Dimension Combinations , and then choose the related link.
2. On the Dimension Combinations page, choose the field of the dimension combination and select one
of the following options.
No limitation This dimension combination has no restrictions. All

dimensions values are allowed.
Limited This dimension combination has restrictions depending

on which dimension values that you enter. You must
define the limitations on the Dimension Value
Combination page.
Blocked This dimension combination is not allowed.
3. If you selected the Limited option, you must define which combinations of dimension values are
blocked. To do this, choose the field to define the dimension combination.
4. Now select a dimension value combination that is blocked and enter Blocked in the field. A blank field
means that the dimension value combination is allowed. Repeat if multiple combinations are blocked.
NOTE
The same dimensions are displayed in both rows and columns and, therefore, all dimension combinations appear two
times. Business Central automatically displays the setting in both fields. You cannot select anything in the fields from the
upper-left corner and down, because these fields have the same dimension in both rows and columns.
The selected option is not visible before you exit the field.
To show the name of the dimensions instead of the code, select the Show Column Name field.
To set up global and shortcut dimensions

Global and shortcut dimensions can be used as filters in Business Central, including on reports, batch jobs,
ledger entry pages, and analysis views. Global and shortcut dimensions are always available to be inserted
directly without first opening the Dimensions page. On journal and document lines, you can select global and
shortcut dimensions in a field on the line. You can set up two global dimensions and eight shortcut dimensions.
Choose the dimensions that you use most frequently.
IMPORTANT
Changing a global or shortcut dimension requires that all entries posted with the dimension are updated. To change a
global dimension, use the Change Global Dimensions function, but it can be time-consuming and may affect
performance and tables may be locked during the update. Therefore, choose your global and shortcut dimensions
carefully so that you do not have to change them later. To change a shortcut dimension, use the Change Dimensions
action.
For more information, see To change global dimensions.
NOTE
When you add or change a global or shortcut dimension, you are automatically signed out and back in so that the new
value is prepared for use.
2. On the Dimensions FastTab, fill in the fields. Hover over a field to read a short description.
To change global dimensions
When you change a global or shortcut dimension, all entries posted with the dimension in question are updated.
Because this process may be time-consuming and can affect performance, two different modes are provided to
adapt the process to the size of the database.
2. Choose the Change Global Dimensions action.
3. At the top of the page, select one of the following options to define in which mode the batch job is run.
Sequential (Default) The change is done in one transaction that

reverts all entries to the dimensions they had before the
change.
This option is recommended if the company contains

relatively few posted entries where it will take the
shortest time to complete. The process locks multiple
tables and blocks other users until it is done. Note that
on large databases, the process may not be able to
complete in this mode. In that case, use the Parallel
option.
Parallel The dimension change happens in multiple background

sessions and the operation is split into multiple
transactions. To use this option, turn on the Parallel
Processing toggle.
We recommended this option for large databases or

companies with many posted entries because it will take
the shortest time to complete. Note that with this mode,
the update process will not start if there are more than
one active database sessions.
4. In the Global Dimension 1 Code and/or Global Dimension 2 Code fields, enter the new
dimension(s). The current dimensions are displayed in gray behind the fields.
5. Depending on the mode, do one of the following:
In Sequential mode, choose the Star t action.
In Parallel mode, choose the Prepare action.
The Log Entries tab is filled with information about the dimensions that will be changed.
6. Sign out of Business Central, and then sign in again.
7. Choose the Star t action to start the parallel processing of the dimension changes.
Example of Dimension Setup
Let's say that your company wants to track transactions based on organizational structure and geographic
locations. To do that, you can set up two dimensions on the Dimensions page:
AREA
DEPARTMENT
C O DE NAME C O DE C A P T IO N F ILT ER C A P T IO N
AREA Area Area Code Area Filter
DEPARTMENT Department Department Code Department Filter
For AREA , you add the following dimension values:
C O DE NAME DIM EN SIO N VA L UE T Y P E
10 Americas Begin-Total
20 North America Standard
30 Pacific Standard
40 South America Standard
50 Americas, Total End-Total
60 Europe Begin-Total
70 EU Standard
80 Non-EU Standard
90 Europe, Total End-Total
For the two main geographic areas, Americas and Europe, you add subcategories for regions by indenting the
dimension values. This will let you report on sales or expenses in regions, and get totals for the larger
geographic areas. You could also choose to use countries or regions as your dimension values, or counties or
cities, depending on your business.
NOTE
To set up a hierarchy, the codes must be in alphabetical order. This includes the codes of the dimension values that are
provided in Business Central.
For DEPARTMENT , you add the following dimension values:
ADMIN Administration Standard
PROD Production Standard
SALES Sales Standard
With this set up, you can add your two dimensions as the two global dimensions on the General Ledger
Setup page. This means that you can use AREA and DEPARTMENT as filters for general ledger entries, as well as
on all reports and account schedules. Both global dimensions are also automatically available for use on entry
lines and document headers as shortcut dimensions.
Getting an Overview of Dimensions used Multiple Times

The Default Dimensions-Multiple page specifies how a group of accounts use dimensions and dimension
values. You can do this by highlighting multiple accounts and then specifying default dimensions and dimension
values for all the accounts you have highlighted in the account list. When you specify default dimensions for the
highlighted accounts, application will suggest these dimensions and dimension values whenever one of these
accounts is used, for example on a journal line. This makes entry posting easier for the user, as the dimension
fields are filled in automatically. However, the dimension values that are suggested can be changed on, for
example, a journal line.
The Default Dimensions-Multiple page contains the following fields:
Dimension Code Shows all dimensions that have been defined as default
dimensions on one or more of the highlighted accounts. By
choosing the field, you can see a list of all available
dimensions. If you select a dimension, the selected
dimension will be defined as a default dimension for all
highlighted accounts.
Dimension Value Code Shows either a single dimension value or the term (Conflict).
If a dimension value is shown in the field, then all highlighted
accounts have the same default dimension value for a
dimension. If the term (Conflict) is shown in the field, then
not all of the highlighted accounts have the same default
dimension value for a dimension. By choosing the field, you
can see a list of all available dimension values for a
dimension. If you select a dimension value, the selected
dimension value will be defined as a default dimension value
for all highlighted accounts.
Value Posting Shows either a single value posting rule or the term
(Conflict). If a value posting rule is shown in the field, then all
highlighted accounts have the same value posting rule for a
dimension value. If the term (Conflict) is shown in the field,
then not all of the highlighted accounts have the same value
posting rule for a dimension value. By choosing the Value
Posting field, you can see a list of value posting rules. If you
select a value posting rule, it will be applied for all
highlighted accounts.
Use Dimensions
In a document such as a sales order, you can add dimension information for both an individual document line
and the document itself. For example, on the Sales Order page, you can enter dimension values for the first
two shortcut dimensions on the individual sales lines, and you can add more dimension information if you
choose the Dimensions button.
If you work in a journal instead, you can add dimension information to an entry in the same way, if you have set
up shortcut dimensions as fields directly on journal lines.
You can set up default dimensions for accounts or account types, so that dimensions and dimension values are
filled in automatically.
To view global dimensions in ledger entry pages
Global dimensions are always company-defined and company-named. To see the global dimensions for your
company, open the General Ledger Setup page.
In a ledger entry page, you can see whether there are global dimensions for the entries. The two global
dimensions differ from the rest of your dimensions because you can use them as filters anywhere in Business
Central.
2. On the Char t of Accounts page, choose the Ledger Entries action.
3. To see only the entries that are relevant, set one or more filters on the page.
4. To see all the dimensions for an entry, select the entry, and then choose the Dimensions action.
NOTE
The Ledger Entr y Dimensions page displays the dimensions for one ledger entry at a time. As you scroll through the
ledger entries, the content on the Ledger Entr y Dimensions page changes accordingly.

See Also
Finance
Troubleshooting and Correcting Dimensions
Financial reporting and analysis views often rely on data from dimensions. Despite the safeguards that are
available, sometimes a mistake happens that can lead to inaccuracies. This topic describes some of the typical
errors, and explains how to correct dimension assignments on posted transactions so that financial reports are
accurate.
Troubleshooting Dimensions Errors

When you post documents or journal lines that contain dimensions various errors may occur, however, they're
typically related to an incorrect dimension setup or assignment.
NOTE
In the following list of potential error messages, the %X codes are placeholders for the data variables that the actual
message will contain in the UI depending on the context. For example, %1 %2 is blocked. could appear in the UI as
"Dimension Code AREA is blocked.".
ISSUE ERRO R M ESSA GE P O SSIB L E SO L UT IO N
Blocked dimension %1 %2 is blocked. -Find non-posted documents

containing the dimension set with the
blocked dimension and unblock it.
-Remove the dimension set line for the
blocked dimension.
Deleted dimension %1 %2 can't be found. -Restore the missing dimension.

-Find non-posted documents
missing dimension and add it.
missing dimension.
Blocked dimension value %1 %2 - %3 is blocked. -Find non-posted documents

blocked dimension value and unblock
it.
blocked dimension value.
Deleted dimension value %1 for %2 is missing. -Restore the missing dimension value.
-Find non-posted documents
missing dimension value and add it.
missing dimension value.
Disallowed dimension value Dimension Value Type for %1 %2 - %3 -Change the Dimension Value Type
must not be %4. field on the Dimension Values page
to Standard or Begin-Total.
blocked dimension value.
ISSUE ERRO R M ESSA GE P O SSIB L E SO L UT IO N
Blocked dimension combination Dimensions %1 and %2 can't be used -Find non-posted documents
concurrently. containing the dimension set with the
blocked dimension combination and
unblock it.
-Modify one of the conflicting
permission set line for the dimension
combination.
Blocked dimension value Combination Dimension combinations %1 - %2 and -Find non-posted documents
%3 - %4 can't be used concurrently. containing the dimension set with the
blocked dimension value combination
and unblock it.
-Modify one of the conflicting
permission set line for the dimension
value combination.
Blank dimension value code for default -Select a %1 for the %2 %3. -Change the Value Posting field on
dimension where the Value Posting -Select a %1 for the %2 %3 for %4 %5. the Default Dimension page.
field contains Code Mandator y -Enter a non-blank dimension value
for the conflicting dimension in the
dimension set.
Wrong dimension value code for -Select %1 %2 for the %3 %4. -Change the Value Posting field on
default dimension where the Value -Select %1 %2 for the %3 %4 for %5 the Default Dimension page.
Posting field contains Same Code %6 -Enter the required dimension value
for the conflicting dimension in the
dimension set.
Non-blank dimension value code for -%1 %2 must be blank. -Change the Value Posting field on
blank default dimension where the -%1 %2 must be blank for %3 %4. the Default Dimension page.
Value Posting field contains Same -Enter a blank dimension value code
Code for the conflicting dimension in the
dimension set.
Unexpected dimension value for -%1 %2 must not be mentioned. -Change the Value Posting field on
default dimension where the Value -%1 %2 must not be mentioned for the Default Dimension page.
Posting field contains No Code %3 %4 -Remove the conflicting line from the
dimension set.
A dimension correction does not -Choose Reset to revert the

complete correctly. correction to a draft state. This resets
the changes, and you can run the
correction again.
Changing Dimension Assignments After Posting

If you discover that an incorrect dimension has been used on posted general ledger entries, you can correct the
dimension values and update your analysis views. That will help keep your financial reports and analyses
accurate.
IMPORTANT
The features for correcting dimensions are intended only to help make financial reporting accurate. Dimension corrections
apply only to the G/L entries. They do not change the dimensions assigned to the entries in other ledgers for the same
transaction. There will be a mismatch between the dimensions assigned in the general ledger and the sub-ledgers.
Setting Up Dimension Corrections
There are two things to consider when setting up dimension corrections:
Are there dimensions that you do not want to allow people to change? On the Dimension Correction
Settings page, specify the dimensions that you want to block for changes.
Who do you want to allow to change dimensions? To allow people to make changes, assign the D365 DIM
CORRECTION permission to the users. The permissions allow them to create dimension corrections, run
them, and undo them if needed. They'll also be able to specify blocked dimensions. For more information,
see Assign Permissions to Users and Groups.
Correcting a Dimension
You can manually select one or more general ledger entries, or use filters to select sets of entries. If needed, you
can also add or delete dimensions.
1. To start a dimension correction, use one the following pages:
On the GL/Register page, by selecting a register, and then choosing the Correct Dimensions action.
This starts a correction for the entries in the selected register.
On the General Ledger Entries page, by choosing the Dimension Correction action.
2. In the Description field, enter information about the change. Other people might use this information
later to understand what was done.
3. On the Selected Ledger Entries FastTab, choose the relevant entries.
IMPORTANT
When you change a selection, the values on the Dimension Correction Changes FastTab are reset. Therefore,
always select the entries before you specify dimension value changes.
The following table describes the options.
Add Related Entries Add G/L entries that are in the same G/L register.
Add by Filter Use filter criteria when adding G/L entries.
Manual Selection Select specific G/L entries.
Add by Dimensions Filter G/L entries by dimensions.
Remove Entries Deselect G/L entries.
Manage Selection Criteria Keep track of the selection process, and undo selections
if needed.
4. On the Dimension Correction Changes FastTab, choose the dimension that you want to change in the
Dimension Code field, and the new value in the New Dimension Value Code field.
5. To validate that the correction, choose Validate Dimension Changes . For more information, see
Validating Dimension Corrections.
6. Choose Run .
Validating Dimension Corrections
Before you run a correction, it's a good idea to validate it first. Validation checks for restrictions on value posting
for the G/L accounts, restrictions for dimensions, and whether the dimension values are blocked. During
validation, the status of the correction is set to Validation in Process . After you validate a correction, the result
is shown in the Validation Status field. If errors were found, you can use the View Errors action to investigate
them. After you correct an error, you must use the Reopen action to run the correction or a new validation.
You can either run a correction immediately, or schedule it to run a later time. If you are running corrections on a
large data set, we recommend that you schedule it to run outside business hours. For more information, see
Dimension Corrections on Large Data Sets.
Undoing a Correction
After you correct a dimension, if you don't like what you see you can use the Undo action to reset the previous
value. However, you can only undo the most recent correction. Before you undo a correction, you can validate
the changes that the undo will make. For example, this is useful if dimension restrictions have changed after the
correction was made.
If the Undo action is not available, for example because you have made many corrections, you can use the Copy
to Draft action to start a new correction for the same entries.
Dimension Corrections on Large Data Sets
Use caution when correcting large sets of entries, for example, sets that include more than 10,000 entries. If you
can, we recommend that you use the filters to run the corrections on smaller sets of data. It's also a good idea to
run corrections outside the normal business hours.
Use Analysis Views with Dimension Corrections
If Update on Posting is enabled for an analysis view, Business Central can the view when documents and
journals are posted. You can also update views with this setting enabled with results of dimension corrections. To
do so, turn on the Update Analysis Views toggle. Updating analysis views can impact performance, especially
for large data sets, so we recommend that you update analysis views only for small data sets.
Viewing Historical Dimension Corrections
If a general ledger entry has been corrected, you can investigate the change by using the Histor y of
Dimension Corrections action.
Handling Incomplete Corrections
If a correction does not complete, a warning will display on the correction card. If that happens, you can use the
Reset action to revert the correction to a draft status and undo the changes. You can then run the correction
again.
NOTE
Resetting an incomplete correction will not affect updates to analysis views because those happen at the end of the
correction process.
Use Cost Accounting with Corrected G/L Entries

After you correct dimensions your data for cost accounting will be out of sync. Cost accounting uses dimensions
to aggregate amounts for cost centers and cost objects, and to run cost allocations. Changing dimensions for
G/L entries will probably mean that you re-run your cost accounting models. Whether you need to just delete a
few cost registers and re-run allocations, or you need to delete everything and re-run all of your models
depends on the data that has been updated and how your cost accounting capabilities are set up. You must
manually identify where dimension corrections will impact cost accounting and where updates are needed.
Business Central does not currently provide an automated way to do that.
See also
As companies operate in more countries/regions, it becomes essential that they are able to trade and report
financial information in more than one currency. The local currency (LCY) is defined in the General Ledger
Setup page as described in the article Understanding the General Ledger and the Chart of Accounts. Once the
local currency (LCY) has been defined, it will be represented as a blank currency, so when the Currency field is
blank, it means that the currency is LCY.
Next, you must set up currency codes for each currency that you use if you buy or sell in currencies other than
your local currency (LCY). Also bank accounts can be created using currencies. It is possible to record G/L
transactions in different currencies, however, the G/L transaction will always be posted in the local currency
(LCY).
IMPORTANT
Do not create the local currency code both in the General Ledger Setup and in the Currencies page. This will create
confusion between the blank currency and the LCY code in the currency table, and bank accounts, customers or vendors
might accidentally be created, some with the blank currency and some with the LCY code.
Your general ledger is set up to use your local currency (LCY), but you can set it up to also use another currency
with a currency exchange rate assigned. By designating a second currency as a so-called additional reporting
currency, Business Central will automatically record amounts in both LCY and this additional reporting currency
on each G/L entry and other entries, such as VAT entries. For more information, see Set Up an Additional
Reporting Currency. The additional reporting currency is most often used to facilitate financial reporting to
owners that reside in countries/regions using different currencies than the local currency (LCY).
IMPORTANT
If you want to use an additional reporting currency for financial reporting, make sure that you understand the limitations.
For more information, see Set Up an Additional Reporting Currency.
NOTE
When you post to G/L using a currency code, such as to post an expense in a general journal using a currency code, the
transaction is converted to LCY using the currency exchange rate for the posting date. The G/L entry will not contain
information of which currency was used, only its value in LCY. If you want to keep track of the original currency, such as
for an invoice, you must use the sales and purchase documents as well as bank accounts that do store currency code
information for the entries.
Currencies
TIP
TIP
instead.
LCY
1/1 Invoice 1000 1.123 1123
1/31 Adjustm 1000 1125 1.125 2

ent
2/15 Adjustm 1000 -2

ent
Reversal
on
payment
2/15 Payment 1000 1120 1.120 -3
1.120.
Exchange Rates
The exchange rates are the tool to calculate the local currency value (LCY) of each currency transaction. For more
information, see Update Currency Exchange Rates.

See Also
Set Up Currencies
Create G/L Budgets
You can have multiple budgets for identical time periods by creating budgets with separate names. First, you set
up the budget name and enter the budget figures. The budget name is then included on all the budget entries
you create.
When you create a budget, you can define four dimensions for each budget. These budget-specific dimensions
are called budget dimensions. You select the budget dimensions for each budget from among the dimensions
you have already set up. Budget dimensions can be used to set filters on a budget and to add dimension
information to budget entries. For more information, see Work with Dimensions.
Budgets play an important role in business intelligence, such as in financial statement based on account
schedules that include budget entries or when analyzing budgeted versus actual amounts in the chart of
accounts. For more information, see Business Intelligence.
In cost accounting, you work with cost budgets in a similar way. For more information, see Creating Cost
Budgets.
To create a new G/L budget

1. Choose the icon, enter G/L Budgets , and then choose the related link.
2. Choose the Edit List action, and then fill in the fields as necessary. Hover over a field to read a short
description.
3. Choose the Edit Budget action.
4. At the top of the Budget page, fill in the fields as necessary to define what is displayed.
Only entries that contain the budget name that you entered in the budget Name field are shown.
Because the budget name has just been created, there are no entries that match the filter. Therefore, the
page is empty.
5. To enter an amount, choose the relevant cell in the matrix. The G/L Budget Entries page opens.
6. Create a new line and fill in the Amount field. Close the G/L Budget Entries page.
7. Repeat steps 5 and 6 until you have entered all of the budget amounts.
NOTE
On the Filters FastTab, you can filter the budget information by budget dimensions you have set up under the budget
name.
Exporting and Importing G/L Budgets with Excel

As for practically all other pages, you can export data on budget pages to Excel for further processing or
analysis. For more information, see Exporting Your Business Data to Excel.
NOTE
The chart of accounts, that G/L budgets are based on, have lines of account type Heading that contain the total of the
lines below it. When you export a G/L budget, data on all lines is exported regardless of the account type. However, only
data on lines of account type Posting can be imported back in. Accordingly:
When you impor t a G/L budget, any values that existed on Heading lines will be deleted.
This is to avoid wrong totals after importing data that has been created or edited in Excel.
Scenario : You know that the new budgeted salaries cost is going to be LCY 1.200.000. You want to let the Salaries
department budget for the three specific lines (of account type Posting) for Full-time Employees, Part-time Employees,
and Temp Help. The three lines are grouped under a Salaries heading line.
You enter 1.200.000 on the Heading line, export the budget to Excel, and then send it to the Salaries department, telling
them to distribute the LCY 1.200.000.
The Salaries department distributes the amount on the three posting accounts. When you import back into the G/L
budget, the three accounts are filled in with the new Excel data, summing to LCY 1.200.000, and the Heading line is blank.

See Also
Finance
Setting Up Finance
The General Ledger and the Chart of Accounts
such as bank, customer, vendor, and employee accounts.
A typical use of the general journal is to post employees' expenditure of own money during business activities,
for later reimbursement. For more information, see Record and Reimburse Employees' Expenses.
General journals post financial transactions directly to general ledger accounts and other accounts, such as
bank, customer, vendor, and employee accounts. Posting with a general journal always creates entries on general
ledger accounts. This is true even when, for example, you post a journal line to a customer account, because an
entry is posted to a general ledger receivables account through a posting group. You can personalize your
version of a general journal by setting up a journal batch or template. For more information, see Work with
General Journals.
Unlike for entries that are posted with documents, which require a credit memo process, you can correctly
reverse entries that are posted with the general journal. For more information, see Reverse Journal Postings and
Undo Receipts/Shipments.
To post a transaction directly to a general ledger account

2. Open the relevant general journal batch. For more information, see Work with General Journals.
3. On a new journal line, fill in the fields as necessary. Hover over a field to read a short description.
NOTE
The general journal only shows a limited number of fields on the journal line by default. If you want to see
additional fields, such as the Account Type field, choose the Show More Columns action. To hide the
additional fields again, choose the Show Fewer Columns action. When you see fewer columns, then the same
posting date is used for all lines. If you want to have multiple posting dates for the same journal entry, choose the
Show More Columns action.
4. Repeat step 3 for all the separate transactions that you want to post.
TIP
If you want to enter multiple transaction lines above one balance-account line, for example, for one bank account,
then select the Suggest Balancing Amount check box on the line for your batch on the General Journal
Batches page. Then the Amount field on the balance-account line is automatically prefilled with the value that is
required to balance the transactions.
5. Choose the Post action to record the transactions on the specified G/L accounts.
See Also
Finance
Reverse Journal Postings and Undo
Receipts/Shipments
Reverse journal postings are not only used for correcting errors but they can also be used for clearing out an old
accruals entry before entering a new one, for example. You select the entry and create a reverse entry (entries
identical to the original entry but with opposite sign in the amount field) with the same document number and
posting date as the original entry. After reversing an entry, you must make the correct entry.
You can only reverse entries that are posted from a general journal line. An entry can only be reversed once.
To undo a receipt or shipment posting, before they are posted as invoiced, you can use the Undo function on
the posted document. You can undo quantities of type Item and Resource .
If you have made an incorrect negative quantity posting, such as a purchase order with the wrong number of
items, and posted it as received but not invoiced, then you can undo the posting.
If you have made an incorrect positive quantity posting, such as a sales shipment or a purchase return shipment
with the wrong number of items, and posted it as shipped but not invoiced, then you can undo the posting.
To reverse the journal posting of a general ledger entry

You can reverse entries from all Ledger Entries pages. The following procedure is based on the General
1. Choose the icon, enter General Ledger Entries , and then choose the related link.
2. Select the entry that you want to reverse, and then choose the Reverse Transaction action. Note that is
must originate from a journal posting.
3. On the Reverse Transaction Entries page, choose the Reverse action.
4. Choose the Yes button on the confirmation message.
NOTE
You cannot reverse entries that have been posted with information from a job, or which have realized gains and losses
within the same transaction.
To post a negative entry

You can use the Correction field to post a negative debit instead of a credit, or to post a negative credit instead
of a debit on an account. To meet legal requirements, this field is visible by default in all journals. The Debit
Amount and Credit Amount fields include both the original entry, and the corrected entry. These fields have
no effect on the account balance.
1. Choose the icon, enter General Journals , and then choose the related link
2. In the Batch Name field, select the required batch name.
3. Enter information into the relevant fields.
4. In the journal line that you want to activate for negative entries, select the Correction check box.
5. To post the journal, choose the Post action, and then choose the Yes button.
To undo a quantity posting on a posted purchase receipt
The following described how to undo a posted receipt of items or resources. The steps are similar for posted
shipments.
1. Choose the icon, enter Posted Purchase Receipts , and then choose the related link.
2. Open the posted receipt that you want to undo.
3. Select the line or lines that you want to undo.
4. Choose Undo Receipt action.
A corrective line is inserted under the selected receipt line. If the quantity was received in a warehouse receipt,
then a corrective line is inserted on the posted warehouse receipt.
The Quantity Received and Qty. Rcd. Not Invoiced fields on the related purchase order are set to zero.
To undo and then redo a quantity posting on a posted return

shipment
The following describes how to undo a posted return shipment of items or resources and then repost the
purchase return with a new quantity. The steps are similar for posted return receipts.
1. Choose the icon, enter Posted Return Shipments , and then choose the related link.
2. Open the posted return shipment that you want to undo.
3. Select the line or lines you want to undo.
4. Choose the Undo Return Shipment action.
A corrective line is inserted in the posted document, and the Return Qty. Shipped and Return Shpd.
Not Invd. fields on the return order are set to zero.
Now go back to the purchase return order to redo the posting.
5. On the Posted Return Shipment page, take a note of the number in the Return Order No. field.
6. Choose the icon, enter Purchase Return Orders , and then select the related link.
7. Open the return order in question, and then choose the Reopen action.
8. Correct the entry in the Quantity field and post the purchase return order again.
See Also
Finance
You can allocate an entry in a general journal to several different accounts when you post the journal. The
allocation can be made by three different methods:
Quantity
Percentage (%)
Amount
The allocation features can be used with recurring general journals and in fixed assets journals.
The following procedures describe how to prepare to allocate costs in a recurring general journal by defining
allocation keys. When allocation keys are defined, you complete and post the journal like any other recurring
general journal. For more information, see Work with General Journals.
To set up allocation keys

You can allocate an entry in a recurring general journal to several different accounts when you post the journal.
The allocation can be made by quantity, percentage, or amount.
2. Choose the Batch Name field to open the General Journal Batches page.
3. You can either modify allocations on an existing batch in the list or create a new batch with allocations.
To create a new batch, choose the New action, and go to the next step.
To change the allocations of an existing journal, select the journal and go to step 7.
4. In the Name field, enter a name for the batch, such as CLEANING. In the Description field, enter a
description, such as Cleaning Expenses Journal.
5. When you are done, close the page. A new, empty recurring journal opens.
6. Fill in the fields on the line.
7. Choose the Allocations action.
8. Add a line for each allocation. You must fill in either the Allocation % , Allocation Quantity , or Amount
field. You must also fill in the Account No. field and, if you are allocating the transaction among global
dimensions, the global dimension fields.
9. If you enter a percentage on a line, the amount in the Amount field is calculated automatically. These
amounts have the opposite sign from the total amount in the Amount field in the recurring journal.
10. After entering the allocations lines, choose OK to return to the Recurring General Journal page. The
Allocated Amt. (USD) field is filled in and matches the Amount field.
To change an allocation key that has already been set up

2. On the Recurring General Journal page, select the journal with the allocation.
3. Choose the line with the allocation, and then choose Allocations action.
4. Change the relevant fields, and then choose the OK button.
See Also
Business Central supports transactions for employees in a similar way as for vendors. Accordingly, employee
posting groups exist to make sure that employee ledger entries are posted to the relevant accounts in the
general ledger.
NOTE
Employee transactions can be posted in the local currency only. Reimbursement payments to employees do not support
discounts and payment tolerances.
If employees spend their own money during business activities, you can post the expense to the employee's
account. Then you can reimburse the employee by making a payment to the employee's bank account, similarly
to how you pay vendors.
TIP
This article explains how to record the expense in the books and how to reimburse the employee. Your organization may
have a portal or app where employees can submit their expense reports.
Business Central is flexible enough to suit many different practices. The exact account numbers to use depends
on your organization's configuration and processes.
To record an employee's expense

You post employees' expenses on the General Journal page.
2. Open the relevant general journal batch. For more information, see Work with General Journals.
3. On a new journal line, fill in the fields as necessary. Hover over a field to read a short description.
NOTE
The general journal only shows a limited number of fields on the journal line by default. If you want to see
additional fields, such as the Account Type field, choose the Show More Columns action. To hide the
additional fields again, choose the Show Fewer Columns action. When you see fewer columns, then the same
posting date is used for all lines. If you want to have multiple posting dates for the same journal entry, choose the
Show More Columns action.
4. Repeat step 3 for all the expenses that the employee has incurred.
TIP
If you want to enter multiple expense lines above one balance-account line for the employee's bank account, then
select the Suggest Balancing Amount check box on the line for your batch on the General Journal Batches
page. Then the Amount field on the balance-account line is automatically prefilled with the value that is required
to balance the expenses.
5. Choose the Post action to record the expenses on the employee's account.
To reimburse an employee
You reimburse employees by posting payments to their bank account on the Payment Journal page.
2. Open the relevant payment journal batch. For more information, see Work with General Journals.
3. Fill in the fields as necessary. For more information, see Making Payments.
4. Alternatively, choose the Suggest Employee Payment action to automatically insert journal lines for
pending employee reimbursements.
5. Choose the Post action to register the reimbursement.
To reconcile reimbursements with employee ledger entries

You apply employee payments to their related open employee ledger entries in the same way as you do for
vendor payments, for example on the Payment Reconciliation Journal page, based on the related bank
statement entries. For more information, see Applying Payments Automatically and Reconciling Bank Accounts.
Alternatively, you can apply manually on the Employee Ledger Entries page. For more information, see the
related Reconcile Vendor Payments with the Payment Journal or from Vendor Ledger Entries.
See Also
Finance
Defer Revenues and Expenses
To recognize a revenue or an expense in a period other than the period in which the transaction was posted, you
can use functionality to automatically defer revenues and expenses over a specified schedule.
To distribute revenues or expenses on the involved accounting periods, you set up a deferral template for the
resource, item, or G/L account that the revenue or expense will be posted for. When you post the related sales or
purchase document, the revenue or expense are deferred to the involved accounting periods, according to a
deferral schedule that is governed by settings in the deferral template and the posting date.
To set up a G/L account for deferral

3. Fill in the fields as necessary to create a G/L account for deferred revenues. For more information, see The
General Ledger and the Chart of Accounts.
4. Repeat steps 2 and 3 to create a new G/L account for deferred expenses.
For both types of deferral, select Balance Sheet in the Type field, and name the accounts appropriately, such as
"Unearned Income" for deferred revenues and "Unpaid Expenses" for deferred expenses.
To set up a deferral template

1. Choose the icon, enter Deferral Templates , and then choose the related link.
4. In the Calc. Method field, specify how the Amount field for each period on the Deferral Schedule
page is calculated. You can choose between the following options:
Straight-Line : The periodic deferral amounts are calculated according to the number of periods,
distributed according to period length.
Equal Per Period : The periodic deferral amounts are calculated according to the number of periods,
distributed evenly on periods.
Days Per Period : The periodic deferral amounts are calculated according to the number of days in
the period.
User-Defined : The periodic deferral amounts are not calculated. You must manually fill the Amount
field for each period in the Deferral Schedule page. For more information, see the “To change a
deferral schedule from a sales invoice” section.
5. In the Period Desc. field, specify a description that will be shown on entries for the deferral posting. You
can enter the following placeholder codes for typical values, which will be inserted automatically when
the period description is displayed.
%1 = The day number of the period posting date
%2 = The week number of the period posting date
%3 = The month number of the period posting date
%4 = The month name of the period posting date
%5 = The accounting period name of the period posting date
%6 = The fiscal year of the period posting date
Example: The posting date is 02/06/2016. If you enter “Expenses deferred for %4 %6”, then the description
displayed will be "Expenses deferred for February 2016".
To assign a deferral template to an item

NOTE
The steps in this procedure are the same as when you assign a deferral template to a G/L account or a resource.
1. Choose the icon, enter Item , and then choose the related link.
2. Open the card for the item for which revenues or expenses must be deferred to the accounting periods when
the item was sold or purchased.
3. In the Default Deferral Template field, select the relevant deferral template.
To change a deferral schedule from a sales invoice

NOTE
The steps in this procedure are the same as when you change a deferral schedule, for expenses, from a purchase invoice.
2. Create a sales invoice for an item that has a deferral template assigned. For more information, see Invoice
Sales.
Notice that as soon as you enter the item (or resource or G/L account) on the invoice line, the Deferral
Code field is filled with the code of the assigned deferral template.
3. Choose the Deferral Schedule action.
4. On the Deferral Schedule page, change settings on the header or values on the lines, for example to
defer the amount to an additional accounting period.
5. Choose the Calculate Schedule action.
6. Choose the OK button. The deferral schedule is updated for the sales invoice. The related deferral
template is unchanged.
To preview how deferred revenues or expenses will be posted to the

general ledger
NOTE
The steps in this procedure are the same as when you preview how expense deferrals are posted.
1. On the Sales Invoice page, choose the Preview Posting action.

2. On the Posting Preview page, choose the G/L Entr y action, and then choose the Show Related Entries
action.
G/L entries to be posted to the specified deferral account, for example, Unearned Income, are denoted by the
description that you entered in the Period Desc. field in the deferral template, for example, "Expenses deferred
for February 2016".
To review posted deferrals in the Sales Deferral Summary report

NOTE
The steps in this procedure are the same as when you review the Purchasing Deferral Summary report.
1. Choose the icon, enter Sales Deferral Summar y , and then choose the related link.
2. On the Sales Deferral Summar y page, in the Balance as of field, enter the date up to which you want to
see deferred revenues.
3. Choose the Preview button.

See also
Finance
Setting Up Finance
Currencies
TIP
TIP
instead.
LCY
1/1 Invoice 1000 1.123 1123
1/31 Adjustm 1000 1125 1.125 2

ent
2/15 Adjustm 1000 -2

ent
Reversal
on
payment
2/15 Payment 1000 1120 1.120 -3
1.120.
Exchange Rates

NOTE
NOTE

entered.
TIP
adjusted entry.
IMPORTANT

NOTE
short description.
NOTE

rate.

See Also
Set Up Currencies
Importing Payroll Transactions
To account for salary payments and related transactions, you must import and post financial transactions made
by your payroll provider to the general ledger. To do this, you first import a file that you receive from the payroll
provider into the General Journal page. Then you map the external accounts in the payroll file to the relevant
G/L accounts. Lastly, you post the payroll transactions according to the account mapping.
NOTE
To use this functionality, an extension for payroll import must be installed and enabled. The Ceridian Payroll and the
Quickbooks Payroll File Import extensions are pre-installed in Business Central. For more information, see Customizing
Business Central Using Extensions.
To import a payroll file

2. In the relevant general journal batch, choose the Impor t Payroll Transactions action. An assisted setup
guide opens.
3. Follow the steps on the Impor t Payroll Transactions page.
TIP
In the step about mapping the external payroll records to your G/L accounts, the mappings that you make will be
remembered next time the same records are imported. This will save you time as you do not have to manually fill
in the Account No. field in the general journal every time you have imported recurring payroll transactions.
When you choose the OK button in the assisted setup guide, the General Journal page is filled with
lines representing the transactions that the payroll file contains and with the relevant accounts prefilled in
the G/L Account fields according to mappings you made in the guide.
4. Edit or post the journal lines as for any other general ledger transactions. For more information, see Post
Transactions Directly to the General Ledger.
See Also
Finance
If your country or region requires you to calculate and report value-added tax (VAT) on sales and purchase
transactions, you can set up Business Central to calculate VAT. For more information, see Setting Up to
Calculations and Posting Methods for Value-Added Tax.
There are, however, some VAT-related tasks that you can do manually. For example, you might need to correct a
posted amount if you discover that a vendor uses a different rounding method.
TIP
You can let Business Central validate VAT registration numbers and other company information when you create or
update documents. For more information, see Validate VAT Registration Numbers.
Calculating and Displaying VAT Amounts in Sales and Purchase

Documents
When you choose an item number in the No. field on a sales or purchase document, Business Central fills in the
Unit Price and Line Amount fields. The unit price comes from either the Item card or the item prices allowed
for the item and customer. Business Central calculates the line amount when you enter a quantity for the line.
If you want the unit prices and line amounts to include VAT, for example, if you are selling to retail consumers,
choose the Prices Including VAT check box on the document. For more information, see Including or
Excluding VAT in Prices and Line Amounts.
You can calculate and display VAT amounts in sales and purchase documents differently, depending on the type
of customer or vendor you're dealing with. You can also change the calculated VAT amount manually, for
example, so that it matches the VAT amount calculated by your vendor on a given transaction.
Including or Excluding VAT in Prices and Line Amounts
If you choose the Prices Including VAT check box on a sales document, the Unit Price and Line Amount
fields will include VAT. By default, the values in these fields do not include VAT. The names of the fields reflect
whether prices include VAT.
You can set up the default setting of the Prices Including VAT for all sales documents for a customer in the
Prices Including VAT field on the Customer card. You can also set up item prices to include or exclude VAT.
Typically, prices on the Item Card will exclude VAT.
The following table provides an overview of how application calculates the unit price amounts for a sales
document when you have not set up prices on the Sales Prices page:
P RIC E IN C L UDES VAT F IEL D O N IT EM

C A RD P RIC ES IN C L UDIN G VAT F IEL D A C T IO N P ERF O RM ED
Not Enabled Not Enabled The Unit Price on the Item Card is
copied to Unit Price Excl. VAT field
on the sales lines.
P RIC E IN C L UDES VAT F IEL D O N IT EM
C A RD P RIC ES IN C L UDIN G VAT F IEL D A C T IO N P ERF O RM ED
Not Enabled Enabled The application calculates the VAT

amount per unit and adds to the Unit
Price on the Item Card. This total unit
price is then entered in the Unit Price
Incl. VAT field on the sales lines.
Enabled Not Enabled The application calculates the VAT

amount included in the Unit Price
field on the Item Card using the VAT
percentage related to the VAT Bus.
Posting Gr. (Price) and the VAT Prod.
Posting Group combination. The Unit
Price on the Item Card, reduced by
the VAT amount, is then entered in the
Unit Price Excl. VAT field in the sales
lines. For more information, see Using
VAT Business Posting Groups and
Customer Price Groups.
Enabled Enabled The Unit Price on the Item Card is

copied to Unit Price Incl. VAT field
on the sales lines.
Using VAT Business Posting Groups and Customer Price Groups

If you want prices to include VAT, you can use VAT business posting groups to calculate the amount based on the
VAT posting setup for the group. For more information, see Set up VAT business posting groups.
Depending on what you want to do, you can assign a VAT business posting group to customers or sales
documents in the following ways:
To use the same VAT rate for all customers, you can choose a group in the VAT Business Posting Group
(Price) field on the Sales & Receivables Setup page.
To use a VAT rate for a specific customer, you can choose a group in the VAT Business Posting Group
(Price) field on the Customer Card page.
To use a VAT rate for a specific of customers, You can choose a group in the **VAT Business Posting Group
(Price)**field on the Customer Price Group page. For example, this is useful when you want a price to
apply to all customers in a certain geographical region or a specific industry.
On all sales documents in the VAT Business Posting Group field. The VAT amount specified for the group
is used only for the document you're currently working on.
NOTE
If you do not specify a group in the VAT Business Posting Group (Price) field VAT will not be included in prices.
Examples
Factors such as the country or region you're selling in, or the type of industries you sell to, can impact the
amount of VAT that you must account for. For example, a restaurant might charge 6% VAT for meals that are
eaten in-house, and 17% for takeaway. To accomplish that, you create a VAT business posting group (price) for
in-house and one for takeaway.
Correcting VAT Amounts Manually in Sales and Purchase Documents

You can make corrections to posted VAT entries so that you can change the total sales or purchase VAT amounts
without changing the VAT base. For example, if you receive an invoice from a vendor with an incorrect VAT
amount.
Although you may have set up one or more combinations to handle import VAT, you must set up at least one
VAT product posting group. For example, you can name it CORRECT for correction purposes, unless you can
use the same general ledger account in the Purchase VAT Account field on the VAT posting setup line. For
more information, see Setting Up to Calculations and Posting Methods for Value-Added Tax.
If a payment discount has been calculated based on an invoice amount that includes VAT, you revert the
payment discount part of the VAT amount when the payment discount is granted. Note that you must activate
the Adjust for Payments Disc. field in both the general ledger setup in general and the VAT posting setup for
specific combinations of a VAT business posting group and a VAT product posting group.
To set the system up for manual VAT entry in sales documents
The following describes how to enable manual VAT changes on sales documents. The steps are similar on the
Purchases & Payables Setup page.
1. On the General Ledger Setup page, specify a Max. VAT Difference Allowed between the amount
calculated by application and the manual amount.
2. On the Sales & Receivables Setup page, place a check mark in the Allow Vat Difference field.
To adjust VAT for a sales document
1. Open the relevant sales order.
2. Choose the Statistics action.
3. On the Invoicing FastTab, choose the value in the No. of Tax Lines field.
4. Edit the VAT Amount field.
NOTE
The total VAT amount for the invoice, grouped by VAT identifier, is displayed in the lines. You can manually adjust the
amount in the VAT Amount field on the lines for each VAT identifier. When you modify the VAT Amount field,
application checks to ensure that you have not changed the VAT by more than the amount you have specified as the
maximum difference allowed. If the amount is outside the range of the Max. VAT Difference Allowed , a warning will be
displayed stating the maximum allowed difference. You will be unable to proceed until the amount is adjusted to within
the acceptable parameters. Click OK and enter another VAT Amount that is within the allowed range. If the VAT
difference is equal to or lower than the maximum allowed, the VAT will be divided proportionally among the document
lines that have the same VAT identifier.
Calculating VAT Manually Using Journals

You can also adjust VAT amounts in general, sales, and purchase journals. For example, you might need to do
this when you enter a vendor invoice in your journal and there is a difference between the VAT amount that
Business Central calculated and the VAT amount on the vendor's invoice.
To set the system up for manual VAT entry in a general journals
You must perform the following steps before you manually enter VAT in a general journal.
1. On the General Ledger Setup page, specify a Max. VAT Difference Allowed between the amount
calculated by application and the manual amount.
2. On the General Journal Templates page, choose the Allow VAT Difference check box for the relevant
journal.
To set the system up for manual VAT entry in a sales and purchase journals
You must perform the following steps before you manually enter VAT in a sales or purchase journal.
1. On the Purchases & Payables Setup page, choose the Allow VAT Difference check box.
2. Repeat step 1 for the Sales & Receivables Setup page.
3. After you complete the setup described above, you can adjust the VAT Amount field on the general journal
line, or the Bal. VAT Amount field on the sales or purchase journal line. Business Central will check that the
difference is not greater than the specified maximum.
NOTE
If the difference is greater, a warning will be displayed stating the maximum allowed difference. To continue, you must
adjust the amount. Choose OK and then enter an amount that is within the allowed range. If the VAT difference is equal
to or lower than the maximum allowed, Business Central will show the difference in the VAT Difference field.
Posting Import VAT with Purchase Invoices

Instead of using journals to post an import VAT invoice, you can use a purchase invoice.
To set up purchasing for posting import VAT invoices
1. Set up a vendor card for the import authority that sends you the import VAT invoice. The Gen. Bus. Posting
Group and VAT Bus. Posting Group must be set up in the same way as the general ledger account for the
import VAT.
2. Create a Gen. Product Posting Group for the import VAT and set up an import VAT Def. VAT Product
Posting Group for the related Gen. Product Posting Group .
4. Select the import VAT general ledger account, and then choose the Edit action.
5. On the Posting FastTab, select the Gen. Prod. Posting Group setup for import VAT. Business Central
automatically fills in the VAT Prod. Posting Group field.
7. Create a combination of the Gen. Bus. Posting Group for the VAT authority and the Gen. Prod. Posting
Group for import VAT. For this new combination, in the Purchase Account field, choose the import VAT
To create a new invoice for the import authority vendor once you have completed the setup
2. Create a new purchase invoice.
3. In the Buy-from Vendor No. field, choose the import authority vendor, and then choose the OK button.
4. In the purchase line, in the Type field, choose G/L Account , and in the No. field, choose the import VAT
5. In the Quantity field, type 1 .
6. In the Direct Unit Cost Excl. VAT field, specify the VAT amount.
7. Post the invoice.
Processing Certificates of Supply

When you sell goods to a customer in another EU country/region, you must send the customer a certificate of
supply that the customer must sign and return to you. The following procedures are for processing certificates
of supply for sales shipments, but the same steps apply for service shipments of items, and return shipments to
vendors.
To view certificate of supply details
2. Choose the relevant sales shipment to a customer in another EU country/region.
3. Choose Cer tificate of Supply Details .
4. By default, if the Cer tificate of Supply Required check box is selected for VAT Posting Group setup for the
customer, the Status field is set to Required . You can update the field to indicate whether the customer has
returned the certificate.
NOTE
If the VAT Posting Group setup does not have the Cer tificate of Supply Required check box selected, then a record is
created and the Status field is set to Not Applicable . You can update the field to reflect the correct status information.
You can manually change the status from Not Applicable to Required , and from Required to Not Applicable as
needed.
When you update the Status field to Required , Received , or Not Received , a certificate is created.
TIP
You can use the Cer tificates of Supply page to get a view of the status of all posted shipments for which a certificate of
supply has been created.
5. Choose Print Cer tificate of Supply .
NOTE
You can preview or print the document. When you choose Print Cer tificate of Supply and print the document, the
Printed check box is automatically selected. In addition, if not already specified, the status of the certificate is updated to
Required . If needed, you include the printed certificate with the shipment.
To print a certificate of supply

3. Choose the Print Cer tificate of Supply action.
NOTE
Alternatively, you can print a certificate from the Cer tificate of Supply page.
4. To include information from the lines on the shipment document in the certificate, select the Print Line
Details check box.
5. Choose the Create Cer tificates of Supply if Not Already Created check box to have Business Central
create certificates for posted shipments that do not have one at the moment of execution. When you choose
the check box, new certificates will be created for all posted shipments that do not have certificates within the
selected range.
6. By default, the filter settings are for the shipment document that you have selected. Fill in the filter
information to select a specific certificate of supply that you want to print.
7. On the Cer tificate of Supply page, choose the Print action to print the report, or choose the Preview
action to view it on the screen.
NOTE
The Cer tificate of Supply Status field and the Printed field are updated for the shipment on the Cer tificates of
Supply page.
8. Send the printed certificate of supply to the customer for signature.

To update the status of a certificate of supply for a shipment
3. In the Status field, choose the relevant option.
If the customer has returned the signed certificate of supply, choose Received . The Receipt Date field is
updated. By default, the receipt date is set to the current work date.
You can modify the date to reflect the date that you received the customer's signed certificate of supply.
You can also add a link to the signed certificate using standard Business Central linking.
If the customer does not return the signed certificate of supply, choose Not Received . You must then
send the customer a new invoice that includes VAT, because the original invoice will not be accepted by
the tax authority.
To view a group of certificates, you start from the Cer tificates of Supply page, and then update the
information about the status of outstanding certificates as you receive them back from your customers. This can
be useful when you want to search for all certificates that have a certain status, for example, Required , for
which you want to update their status to Not Received .
To update the status of a group of certificates of supply
1. Choose the icon, enter Cer tificates of Supply , and choose the related link.
2. Filter the Status field to the value that you want in order to create the list of certificates that you want to
manage.
3. To update the status information, choose Edit List .
4. In the Status field, choose the relevant option.
If the customer has returned the signed certificate of supply, choose Received . The Receipt Date field is
updated. By default, the receipt date is set to the current work date.
You can modify the date to reflect the date that you received the signed the certificate of supply. You can
also add a link to the signed certificate using standard Business Central document linking.
NOTE
You cannot create a new certificate of supply on the Cer tificate of Supply page when you navigate to it using this
procedure. To create a certificate for a shipment that was not set up to require one, open the posted sales shipment, and
use either of two procedures described above:
To manually create a certificate of supply certificate
To print a certificate of supply.

See Also
Setting Up Calculations and Posting Methods for Value-Added Tax
Report VAT to a Tax Authority
Validate a VAT Registration Number
This topic describes the reports in Business Central that you can use to submit information about value-added
tax (VAT) amounts for sales and purchases to tax authorities in your region. Depending on the specific country,
the reports may include specific information, or there might be additional reports that you must submit. Check
the articles for your country in the Local Functionality section.
You can use the following built-in reports:
The EC Sales List report
The European Community (EC) Sales List report lists the value added tax (VAT) amounts that you have
collected for sales to VAT-registered customers in the European Union (EU) countries.
The VAT Return report
The VAT Return report includes VAT for sales and purchases to customers and from vendors in all
countries that use VAT.
In both cases, VAT is calculated based on the VAT posting setup and the VAT posting groups that you have set up.
If you want to view a complete history of VAT entries, every posting that involves VAT creates an entry on the
VAT Entries page. These entries are used to calculate your VAT settlement amount, such as your payment and
refund, for a specific period. To view VAT entries, choose the icon, enter VAT Entries , and then choose the
related link.
NOTE
Each Business Central environment is meant to handle regulatory reporting in one single country. For example, the Dutch
version of Business Central handles VAT reporting in The Netherlands but not in other countries. Similarly, the United
States version of Business Central handles 1099 reporting in the United States and does not support claiming VAT
reporting in other countries, unless brought by an extension delivered by our partner ecosystem or a customer-specific
code modification.
About the EC Sales List report

In the European Union (EU) and in the UK, all companies that sell goods and services to VAT-registered
customers, including customers in other European Union (EU) countries, must submit an electronic version of
the European Community (EC) Sales List report to their customs and tax authorities. The EC Sales List report
works only for countries in the EU.
The report includes one line for each type of transaction with the customer, and displays the total amount for
each type of transactions. There are three types of transactions that the report can include:
B2B Goods
B2B Services
B2B Triangulated Goods
B2B goods and services specify whether you sold a good or a service, and are controlled by the EU Ser vice
setting in the VAT posting setup. B2B Triangulated Goods indicate whether you engaged in trade with a 3rd
party, and are controlled by the EU 3-Par ty Trade setting on sales documents, such as sales orders, invoices,
credit memos, and so on.
After the tax authority reviews your report, they will send an email to the contact person for your company. In
Business Central, the contact person is specified on the Company Information page. Before you submit the
report, make sure that a contact person is chosen.
Submit an EC sales list report
About the VAT Return report

Use this report to submit VAT for sales and purchase documents, such as purchase and sales orders, invoices,
and credit memos. The information in the report is in the same format as on the declaration form from the
customs and tax authorities.
For the VAT return, you can specify the entries to include:
Submit open transactions only, or open and closed. For example, this is useful when you prepare your final
annual VAT return.
Submit only entries from the specified periods, or also include entries from previous periods. This is useful
for updating a VAT return that you have already submitted, for example, if a vendor sends you a late invoice.
To connect to your tax authority's web service

Business Central provides service connections to tax authority websites. For example, if you are in the UK, you
can enable the GovTalk service connection to submit the EC Sales List and VAT Return reports electronically. If
you want to submit the report manually, for example by entering your data on the tax authority's website, this is
not required.
To report VAT to a tax authority electronically, you need to connect Business Central to the tax authority's web
service. This requires that you set up an account with your tax authority. When you have an account, you can
enable a service connection that we provide in Business Central.
1. Choose the icon, enter Ser vice Connections , and then choose appropriate link.
2. Fill in the required fields. Hover over a field to read a short description.
NOTE
It is a good idea to test your connection. To do this, choose the Test Mode check box, then prepare and submit
your VAT report as described in the To prepare and submit a VAT report section. While in Test Mode, the service
tests whether the tax authority can receive your report, and the status of the report will indicate whether the test
submission was successful. It is important to remember that this is not an actual submission. To submit the report
for real, you must clear the Test Mode check box, and then repeat the submission process.
To set up VAT reports in Business Central

2. To let users change and resubmit this report, choose the Allow Modification field.
3. If the tax authorities require that you submit VAT reports that also include the net amount that was used
to calculate VAT, choose the Repor t VAT Base field.
4. Choose the number series to use for each report. Hover over a field to read a short description.
5. In supported countries, to set up VAT return periods, fill in the Repor t Version and Period Reminder
Calculation fields in the Return Period section.
In countries where VAT return periods are required by the tax authorities, such as the UK, you must fill in
additional fields as well. Hover over a field to read a short description. However, in the British version, this
section has the name Making Tax Digital .
6. If your company is part of a VAT group, then specify your role. For more information, see The VAT Group
Management Extension
To set up VAT return periods
Optionally, if your business is not located in the UK, use the VAT Returns Periods page to set up scheduled VAT
returns. if your business is located in the UK, see Making Tax Digital in the United Kingdom.
1. Choose the icon, enter VAT Return Periods , and then choose the related link.
2. On the VAT Return Periods page, fill in the fields to set up the first period. Hover over a field to read a short
description..
3. Repeat step 2 for any additional periods that you want to add.
Now, when the time has come to submit a VAT report for a VAT return period, choose the period in the VAT
Return Periods page, and then choose the Create VAR Return action. Then, in the VAT Return card, choose
the Suggest Lines action as described in step 3 in the following procedure.
To prepare and submit a VAT report

1. Choose the icon, enter EC Sales List or VAT Return , and then choose the related link.
3. To generate the content of the report, choose the Suggest Lines action.
NOTE
For the EC Sales List report, you can review the transactions included in the report lines before you submit the
report. To do that, choose the line, and then choose the Show VAT Entries action.
4. To validate and prepare the report for submission, choose the Release action.
NOTE
Business Central validates whether the report is set up correctly. If the validation fails, the errors display under
Errors and Warnings so that you know what to fix. Typically, if the message is about a missing setting in
Business Central, you can click the message to open the page that contains the information to correct.
5. To submit the report, choose the Submit action.

After you submit the report, Business Central monitors the service and keeps a record of your communications.
The Status field indicates where the report is in the process. For example, when the authorities process your
report, the status of the report changes to Succeeded . If the tax authority found mistakes in the report you
submitted, the status of the report will be Failed . You can view the errors under Errors and Warnings , correct
them, and then submit the report again. To view a list of all your EC Sales List reports, go to the EC Sales List
Repor ts page.
Viewing communications with your tax authority
In some countries, you exchange messages with the tax authority when you submit reports. You can view the
first and the last message you sent or received by choosing the Download Submission Message and
Download Response Message actions.
Submitting VAT reports manually

If you use another method to submit the report, for example by exporting the XML and uploading it to a tax
authority website, afterward you can choose Mark as Submitted to close the reporting period. When you
mark the report as released, it becomes non-editable. If you must change the report after you mark it as
released, you must reopen it.
VAT settlement
Periodically, you must remit the net VAT to the tax authorities. If you need to settle VAT frequently, you can run
the Calc. and Post VAT Settlement batch job to close the open VAT entries and transfer purchase and sales
VAT amounts to the VAT settlement account.
When you transfer VAT amounts to the settlement account, the purchase VAT account is credited, and the sales
VAT account is debited with the amounts calculated for the specified period. The net amount is credited or
debited, if the purchase VAT amount is larger, to the VAT settlement account. You can post the settlement
immediately or print a test report first.
NOTE
When you use the Calc. and Post VAT Settlement batch job, if you do not specify a VAT Bus. Posting Group and a
VAT Prod. Posting group , entries with all business posting groups and product posting group codes are included.
Configuring your own VAT reports

You can use the EC Sales List report out-of-the-box. However, you can also create your own reports, if you
have a development license so that you can create codeunits. If you need assistance, contact a Microsoft Partner.
The following table describes the codeunits that you must create for your report.
C O DEUN IT W H AT IT M UST DO
Suggest Lines Fetch information from the VAT Entries table, and display it
in lines on the VAT report.
Content Control the format of the report. For example, whether it is

XML or JSON. The format to use depends on the
requirements of your tax authority's web service.
Submission Control how, and when, you submit the report based on the
requirements of your tax authority.
Response Handler Handle the return from the tax authority. For example, it
might send an email message to your company's contact
person.
Cancel Send a cancellation of a VAT report that was submitted

earlier to your tax authority.
NOTE
When you create codeunits for the report, pay attention to the value in the VAT Repor t Version field. This field must
reflect the version of the report that is, or was, required by the tax authority. For example, you might enter 2021 in the
field to indicate that the report conforms to the requirements that were in place that year. To find the current version,
contact your tax authority.

See also
Set Up Sales
Invoice Sales
Convert Service Contracts that Include VAT
Amounts
Because the VAT rate change tool cannot convert service contracts, these contracts must be converted manually.
This topic describes several alternative methods that you can use for service contract conversion.
NOTE
This topic provides a high-level workflow.
The following procedure describes how to correct an invoice for a prepaid service contract that has been created
a year in advance.
NOTE
For this example, you must change your work date to 01.01.2017.
To correct an invoice for a prepaid service contract

1. Choose the icon, enter Contract Management , and then choose the related link.
2. Under Lists , choose Ser vice Contracts .
3. Create a new prepaid service contract. Enter a start date of 01.01.2017 and an invoice period year for
customer 20000 .
4. To sign the contract, choose the Sign Contract action.
5. Create a service invoice.
6. The invoice is listed as an unposted service invoice. To view the service invoice, choose the Ser vice action,
choose the Contract Management action, and then choose the Ser vice Invoices action.
7. Post the service invoice.
NOTE
Do not change the unposted service invoice. Since the service ledger entries are created when the invoice is created, a
change in the unposted invoice will not change the already created service ledger entries. However, the VAT entries are
created when the invoice is posted. This lets you change the general product posting group and the GSP product posting
group on the unposted service invoice.
To create a credit memo for VAT difference

The following procedure describes how to create a credit memo that only includes the VAT difference for the
already invoiced period starting on 01.07.2017 . In this example, the VAT amount is only posted to the Financial
Management module, not to the Service Management module. The VAT entries that are linked to the service
ledger entry will not be corrected.
1. Create a new general ledger account for the VAT difference. This account will be used for direct posting of the
VAT correction.
2. Add a new line to the VAT posting setup.
To create contract expiration dates in contract lines
The following procedure describes how to create new contracts by working with contract expiration dates in
service contract lines.
1. On the Ser vice Contract page, set the contract expiration date to 30.06.2017 .
2. Choose the Create Credit Memo action to automatically create a credit memo for July 2017 to December
2017.
3. Because the contract has expired, you need to create a new contract for the period with the new VAT rate for
July 1, 2017 to December 31, 2017.
To create a new credit memo
The following procedure describes how to create a new credit memo using the Get Prepaid Contract Entries
batch job. Entries that you do not want to correct from January 2017 to June 2017 will be deleted.
1. Run the VAT rate change tool on July 1, 2017. The general product posting group or the VAT product posting
group is changed. For more information, see Work with VAT on Sales and Purchases.
2. After running the VAT rate change tool, enter a contract expiration date for the service contract. You can now
delete the service contract line and create a new line that is identical to the old one.
3. Create a new invoice for the period of January 2017 to December 2012 using the new VAT rate.
4. To create another credit memo, on the Ser vice Credit Memos page, choose the New action to create a new
service credit memo.
5. Choose the Get Prepaid Contract Entries action.
6. After the conversion is complete, VAT and service ledger entries will be correct.
See Also
Finance
Managing VAT Rate Changes
VAT rates can change depending on local legislation. Any change in VAT impacts your data in Business Central
whether or not the VAT rate is lowered, raised, or removed. VAT is connected to many entities in Business
Central, such as customers, vendors, items, resources, item charges, and general ledger accounts. Changes in
VAT rates usually happen at a specific date, from which point you will need to have changed the VAT setup,
posting groups etc. to make sure new sales orders and purchase orders are created with the new VAT rate.
Changing VAT rates

The optimal approach to manage a VAT rate change is to fully post and close open orders and other documents
before the VAT rate switch date, to make sure these are not impacted by the change. This is the cleanest
approach that allows you to start up new orders and documents with the new VAT rate.
The following approach is suggested to manage a VAT rate change
1. Fully post and close open orders, journals and other documents before the switch date. You can wait to after
the switch date as long as you do not add new lines and make sure the effective date will be prior the switch
date.
2. Create the new VAT setup.
3. Make the VAT switch on entities (relevant customers, vendors, items, and so on).
4. At the VAT rate switch date you create new documents that will use the new rate.
NOTE
We are currently updating the VAT Rate Change tool. The functionality mentioned below may not match the functionality
in your environment. The update will take place before July 1st 2020 and will not be a regular monthly update. Instead, all
environments will be updated automatically (hotfix). When this update is complete, this message will no longer appear.
The VAT Rate Change tool

The VAT Rate Change tool can assist with conversion of VAT Rates on master data, journals and orders, to some
extent. This is useful if you want to convert VAT on master data more easily or if you have orders that you
cannot close before the switch date and will be processed over a longer period of time, crossing the VAT rate
switch date. There are certain restrictions and limitations in the VAT Rate Change tool that applies.
Understanding the VAT rate conversion process and limitations

The VAT Rate Change tool performs VAT rate conversions for master data, journals, and orders in different ways.
The selected master data and journals will be updated by the new general product posting group or VAT product
post group. If an order has been fully or partially shipped, the shipped items will keep the current general
product posting group or VAT product posting group. A new order line will be created for the unshipped items
and updated to align current and new VAT or general product posting groups. In addition, item charge
assignments, configuration templates for items, reservations, and item tracking information will be updated
accordingly.
On order lines, the unit price will be updated for all lines of type Item and Resource, if using prices incl. VAT for
the item. For other line types it is possible to decide whether or not the unit price should be updated.
There are a few things that the tool does not convert:
Sales or purchase orders and invoices where shipments have been posted. These documents are posted
using the current VAT rate.
Documents that have posted prepayment invoices. For example, you have made or received prepayments on
invoices that have not been completed before you use the VAT rate change tool. In this case, there will be a
difference between the VAT that is due and the VAT that has been paid in the prepayments when the invoice
is completed. The VAT rate change tool will skip these documents and you will have to manually update
them.
Sales or purchase orders with warehouse integration if they are partially shipped or received.
Drop shipments.
Special orders.
Assembly orders.
Service contracts.
Credit memos.
Return orders.
Prices on Items (master data)
Prices on Sales Prices (master data)
Business Posting Groups on Customers and Vendors.
To prepare VAT rate change conversions
Before you set up the VAT rate change tool, you must make the following preparations.
If you have transactions that use different rates, then they must be separated into different groups either by
creating new general ledger accounts for each rate or by using data filters to group transactions according to
rate.
If you create new general ledger accounts, then you must create new general posting groups.
To reduce the number of documents that get converted, post as many documents as possible and reduce
unposted documents to a minimum.
Back up data.
To set up the VAT rate change tool
1. Choose the icon, enter VAT Rate Change Setup , and then choose the related link.
2. On the Master Data , Journals , and Documents FastTabs, choose a posting group value from the option list
for needed fields. For each group you can choose whether to convert VAT product posting groups or general
product posting groups, or convert both values if they are available in the master data item. For some areas
you can also set a filter to convert only a subset of values, for example, G/L accounts.
3. On the Prices Incl. VAT FastTab, choose which line types on orders for which you want to update unit prices.
Unit prices on lines of type Item and Resource will always be updated.
To set up product posting group conversion
1. Choose the icon, enter VAT Rate Change Setup , and then choose the related link.
2. On the VAT Rate Change Setup page, choose either the VAT Prod. Posting Group Conv. or Gen Prod.
Posting Group Conv. action.
3. In the From Code field, enter the current posting group.
4. In the To Code field, enter the new posting group.
To perform VAT rate change conversion
You use the VAT rate change tool to manage changes in the standard rate of VAT. You perform VAT and general
posting group conversions to change VAT rates and maintain accurate VAT reporting. Depending on your setup,
the following changes are made:
VAT and general posting groups are converted.
Changes are implemented in general ledger accounts, customers, vendors, open documents, journal lines,
and so on.
IMPORTANT
Before you perform VAT rate change conversion, you can test the conversion. To do so, follow the steps below, but make
sure to clear the Perform Conversion and VAT Rate Change Tool Completed check boxes. During test conversion,
the Conver ted field in the VAT Rate Change Log Entr y table is cleared and the Conver ted Date field in the VAT
Rate Change Log Entr y table is blank. After the conversion is complete, choose VAT Rate Change Log Entries to
view the results of the test conversion. Verify each entry before you perform the conversion. In particular, verify
transactions that use an old VAT rate.
1. Choose the icon, enter VAT Rate Change , and then choose the VAT Rate Change Setup link.
2. Verify that you have already set up the VAT product posting group conversion or general product posting
group conversion.
3. Choose the Perform Conversion check box.
IMPORTANT
Clear the VAT Rate Change Tool Completed check box. The check box is automatically selected when the VAT
rate change conversion is completed.
4. Choose the Conver t action.

5. After the conversion is complete, choose the VAT Rate Change Log Entries action to view the results
of the conversion.
IMPORTANT
After the conversion, the Conver ted field in the VAT Rate Change Log Entr y table is chosen and the Conver ted
Date field in the VAT Rate Change Log Entr y table displays the conversion date.

See also
Set Up Value-Added Tax
Setting Up Unrealized Value Added Tax
Report VAT to a Tax Authority
Local functionality in Business Central
Walkthrough: Making Cash Flow Forecasts by Using
Account Schedules
This walkthrough describes how you can use account schedules to make cash flow forecasts. Account schedules
perform calculations that cannot be done directly in the chart of cash flow accounts. In the account schedules,
you can set up subtotals for cash flow receipts and disbursements. These subtotals can be included in new totals
that can then be used in making cash flow forecasts.

This walkthrough describes the following tasks:
Setting up a new cash flow account schedule name.
Setting up account schedule lines.
Setting up a new column layout.
Assigning a column layout to an account schedule.
Viewing and printing the cash flow forecast.
Prerequisites
Business Central
The cash flow worksheet lines are registered
Roles
This walkthrough demonstrates tasks that are performed by the following user role:
Controller
Story
Ken is a controller at CRONUS who makes monthly cash flow forecasts. He includes finance, sales, purchase, and
fixed assets in the forecast, and then he presents it to CFO Sara for business insight.
Setting Up a New Account Schedule Name

An account schedule consists of a cash flow account schedule name with a series of lines and a column layout.
To set up a new account schedule name
2. On the Account Schedule Names page, choose the New to create a new cash flow account schedule
name.
3. In the Name field, enter Forecast .
4. In the Description field, enter Cash Flow Forecast .
5. Leave the Default Column Layout and Analysis View Name fields blank.
Setting Up Account Schedule Lines

After an account schedule name is set up, Ken defines each line that appears in the cash flow account schedule.
Ken defines lines that can be shown in reports in addition to lines that are only for calculation purposes.
To set up account schedule lines
1. On the Account Schedule Names page, select the new Forecast account schedule name that you have
created, and then choose the Edit Account Schedule action.
2. On the Account Schedule page, enter each line as shown in the following table.
TIP
Using the Inser t CF Accounts function, you can quickly mark the cash flow accounts from the chart of cash flow
accounts and copy them to account schedule lines.

R10 Open sales Cash Flow 20 Net Change Net Amount Yes
orders Entry
Accounts
R10 Rentals Cash Flow 30 Net Change Net Amount Yes

Entry
Accounts
R10 Financial Cash Flow 40 Net Change Net Amount Yes

assets Entry
Accounts
R10 Fixed assets Cash Flow 50 Net Change Net Amount Yes
disposal Entry
Accounts

investments Entry
Accounts
R10 Miscellaneou Cash Flow 70 Net Change Net Amount Yes

s receipts Entry
Accounts

service Entry
orders Accounts
Receipts
Receipts
R30 Payables Cash Flow 1010 Net Change Net Amount Yes
Entry
Accounts
purchase Entry
orders Accounts
R30 Personnel Cash Flow 1030 Net Change Net Amount Yes
costs Entry
Accounts
R30 Running Cash Flow 1040 Net Change Net Amount Yes
costs Entry
Accounts
R30 Finance Cash Flow 1050 Net Change Net Amount Yes
costs Entry
Accounts
R30 Investments Cash Flow 1070 Net Change Net Amount Yes
Entry
Accounts
consumptio Entry
ns Accounts
R30 VAT due Cash Flow 1100 Net Change Net Amount Yes
Entry
Accounts
R30 Other Cash Flow 1110 Net Change Net Amount Yes
expenses Entry
Accounts
R40 Total cash Formula R30 Net Change Net Amount Yes
disbursemen
ts
R50 Surplus Formula R20+R40 Net Change Net Amount Yes
R60 Cash Flow Cash Flow 2100 Net Change Net Amount Yes
Funds Entry
Accounts
R70 Total Cash Formula R50+R60 Net Change Net Amount Yes
Flow
NOTE
The row number R10 is used to capture the account totals for receivables. The row number R20 is used to
calculate the sum of all cash receipts. The row number R30 is used to capture the account totals for payables. The
row number R40 is used to calculate the sum of all cash disbursements. The row number R50 is used to capture
the sum of cash surplus. The row number R60 is used to capture the liquid funds. The row number R70 is used to
calculate the forecasted cash flow.
Setting Up a New Column Layout
Before Ken can print the cash flow forecast, he needs to create the column layout for the numerical information.
In the columns, he defines the information that he wants to use from the lines.
The first column has the number C10 with the title Amount and contains the net change.
The second column has the number C20 with the title Balance at Date and contains the transactions for the
period.
The third column has the number C30 with the title Entire Year and contains the net change in the balances
for the entire fiscal year.
Finally, he assigns the column layout as the default column layout for the account schedule Forecast .
To set up a new column layout

1. In the Account Schedule Names window, select the new Forecast account schedule name that you
have created. On the Home tab, in the Process group, choose Edit Column Layout Setup .
TIP
You can find the same action in the Account Schedule page if you are still editing the Forecast account
schedule there.
2. Create a new column layout with the name Cash Flow .

4. Enter each line exactly as shown in the following table.
C O L UM N L EDGER EN T RY
C O L UM N N O. H EA DER C O L UM N T Y P E TYPE A M O UN T T Y P E SH O W
C10 Amount Net Change Entries Net Amount Always
C20 Amount until Balance at Date Entries Net Amount Always

Date
C30 Entire Fiscal Entire Fiscal Entries Net Amount Always

Year Year
Assigning the Column Layout to the Account Schedule Name

Ken is now ready to assign the column layout to the account schedule name.
To assign the column layout to the account schedule name
1. In the Account Schedule page where you're working with the Forecast account schedule, choose the Edit
Column Layout Setup action.
2. In the Column Layout Name field, choose the column layout Cash Flow to assign as the default column
layout.
To view and print the cash flow forecast
1. On the Account Schedule Names page, choose the Over view action to view the cash flow forecast.
2. On the Acc. Schedule Over view page, you can select an amount and then view the cash flow forecast
entries that make up the amount. In addition, you can view the formula that is used to calculate the amount.
You can also filter the amounts by date and dimension.
3. Choose the Print action to print the cash flow forecast.

See also
In Business Central, you can see KPIs and get overviews of the company's financial state. You can also open lists
in Excel and analyze the data there. But you can also export heavy financial statements such as the balance sheet
or the income statement to Excel, analyze the data, and print the reports.
In the Business Manager and Accountant Role Centers, you can choose which financial statements to view in
Excel from a drop-down menu in the Reports section of the ribbon. When you choose a statement, it will be
opened in Excel or Excel Online. An add-in connects the data to Business Central. However, you have to sign in
with the same account that you use with Business Central.
Getting the Overview and the Details in Excel

In the ribbon, choose the relevant Excel report, and let it open so you can get the overview that you were
looking for. In this version of Business Central, we offer the following Excel reports:
Balance Sheet
Income Statement
Cash Flow Statement
Retained Earnings Statement
Aged Accounts Payable
Aged Accounts Receivable
Let's say you want to dig deeper into your cash flow. From the Business Manager or Accountant Role Center, you
can open the Cash Flow Statement report in Excel, but what actually happens is that we export the relevant
data for you and create an Excel workbook based on a predefined template. Depending on your browser, you
might be prompted to open or save the workbook.
In Excel, you see a tab where the data is laid out for you on the first worksheet. All the data that was exported is
also present in other worksheets in case you need it. You can print the report right away, or you can modify it
until you have the overview and the details that you want. Use the Business Central Excel Add-in to further filter
and analyze data.
Understanding the Excel templates
The predefined Excel reports are based on the data in the current company. For example, the demonstration
company has set up the chart of accounts to list three cash accounts under Current Assets: 10100 Checking
account , 10200 Saving account , and 10300 Petty Cash . The accounts have the Account Subcategor y field
set to Cash, and it's their combined amount that shows up as Cash in the Balance Sheet Excel report.
Additional sheets in the Excel workbook show the data behind the report. But to find out what is hiding behind
the groupings in the Excel reports, you might have to go back to Business Central and apply filters to the lists,
for example.
The Business Central Excel add-in

Your Business Central experience includes an add-in for Excel. Depending on your subscription, you are logged
in automatically, or you must specify the same login details that you use for Business Central. For more
information, see Viewing and Editing in Excel From Business Central.
With the add-in, you can get fresh data from Business Central, and you can push changes back into Business
Central. However, the ability to push data back to the database is disabled for the financial Excel reports in the
list above.

See Also
Finance
Setting Up Finance
Transfer Bank Funds
You may sometimes need to transfer an amount from one bank account in Business Central to another. To do
this, you must post the transaction on the General Journal page. The task varies depending on whether the
bank accounts use the same currency or different currencies.
To post a transfer between bank accounts with the same currency

code
2. On a journal line, fill in the Posting Date and Document No. fields.
3. In the Account Type field, select Bank Account .
4. In the Account No. field, select the bank from which you want to transfer the funds.
5. In the Amount field, enter the amount to be transferred.
Next, you must specify the balancing account. If you can't see the relevant fields, then choose the Show
More Columns action to view all available fields.
6. In the Bal. Account Type field, select Bank Account .
7. In the Bal. Account No. field, select the bank account to which you want to transfer the funds.
To post a transfer between bank accounts with different currency

codes
To transfer funds between bank accounts that use different currencies, you must post two general journal lines.
2. Create two journal lines, and fill in the Posting Date and Document No. fields.
3. On the first journal line, in the Type field, select Bank Account .
4. In the Account No. field, select the bank account from which you want to transfer the funds.
5. In the Amount field, enter the amount in the currency of the bank account with or without a minus sign.
TIP
An amount without a sign is a debit, and an amount with a minus sign is a credit.
NOTE
Some companies prefer to transfer between accounts on separate journal lines. Other companies prefer to post
everything on one journal line by using a balancing account. Check with your local expert if you're not sure what
to do.
If your company prefers to use a balancing account, then set the Bal. Account Type field to Bank Account , and
set the Bal. Account No. field to the bank account to which you want to transfer the funds. Then proceed to
step 9 or 10.
If your company prefers to use a separate journal line, then move on to the next step.
6. On the second journal line, in the Type field, select Bank Account .
7. In the Account No. field, select the bank account to which you want to transfer the funds.
8. In the Amount field, enter the amount in the currency of the bank account with or without a minus sign.
TIP
9. If the exchange rates used in the journal are different than the exchange rates on the Currency
Exchange Rates page, enter a new journal line for the exchange rate gain or loss.
a. Enter G/L Account in the Account Type field.
b. Enter the G/L account number for exchange rate gain or loss in the Account No. field.
c. Enter the exchange rate gain or loss in the Amount field with or without a minus sign.
TIP
See Also
Setting Up Banking
Create Bank Deposits
NOTE
The ability to create bank deposits is new in Business Central 2022 release wave 1 for a lot of country versions. If you
were using Business Central in the United States, Canada, or Mexico before that release, you might be using the earlier
capabilities. You can continue, but the new capabilities will replace the old ones in a future release. To start using the new
features described in this article, your administrator can go to the Feature Management page and turn on Feature
Update: Standardized bank reconciliation and deposits .
Use the Bank Deposits page to register deposits as a single document that posts one or more entries to a bank
account. Typically, bank deposits are used to register cash deposits. The Bank Deposits page is available on the
Cash Management menu on the Business Manager Role Center, and other Role Centers that deal with cash
management.
Amounts on bank deposits can come from several sources:
Sales, using a G/L account for revenue.
Customers payments.
Cash refunds from vendors, or cash payments to them.
Bank deposit lines contain information about individual deposits, such as checks from customers. The total of
the amounts on the lines must add up to the total amount of the deposit.
After you fill in the deposit information and lines, you must post it. Posting will update the relevant ledgers.
These ledgers include the general ledger, and the bank, customer, and vendor ledgers. Posted deposits are stored
for future reference on the Posted Bank Deposits page.
The Bank Deposit report displays customer and vendor deposits with the original deposit amount, the amount
of the deposit that remains open, and the amount applied. The report also shows the total posted deposit
amount to reconcile.
Before you start

There are a few things to set up before you can use bank deposits. You must have a number series and general
journal template ready. You should also specify whether to post bank deposit amounts as a lump sum. That is, as
a total of all the amounts on the deposit lines. Otherwise, each line is posted as an individual entry. Posting a
deposit as a single bank ledger entry can make it easier to do bank reconciliation.
Number Series and Lump Sum Deposits
You must set up a number series for bank deposits, and then specify the series in the Bank Deposit Nos. field
on the Sales & Receivables Setup page. For more information, see Create Number Series.
Also on the Sales & Receivables Setup page, if you want to post deposits as lump sums rather than
individual lines, turn on the Post Bank Deposits as Lump Sum toggle. Posting a deposit as a lump sum,
which creates one bank ledger entry for the full amount of the deposit, can make it easier to do bank
reconciliation.
General Journal Templates for Bank Deposits
You must also create a general journal template for deposits. You use general journals to post entries to bank,
customer, vendor, fixed asset, and general ledger accounts. The journal templates design the general journal to
suit the purpose of your work. That is, the fields on the journal template are exactly the ones you need.
The deposits will be cash receipts, so you might want to reuse your number series for cash receipt journals.
Alternatively, if you need to distinguish between bank deposit and cash receipt journal entries, use a different
number series.
You'll also need to create a batch job for the template. To create a batch job, on the General Journal Templates
page, choose the Batches action. For more information, see Using Journal Templates and Batches.
Dimensions on Bank Deposit Lines

The lines on the bank deposit will automatically use the default dimensions you specified in the Depar tment
Code and Customer group Code fields. When you choose Customer or Vendor in the Account Type field,
the dimensions that are specified for the customer or vendor will replace the defaults. You can change the
dimensions on the lines, if needed.
TIP
Dimension on lines are set according to Default Dimension Priorities. Line dimensions prioritized over header dimensions.
To avoid conflicts, you can create rules that prioritize when to use a dimension depending on the source. If you want to
change how dimensions are prioritized, you can change their rankings on the Default Dimension Priorities page. For
more information, see To set up default dimension priorities.
Create a Bank Deposit

1. Choose the icon, enter Bank Deposits , and then choose the related link.
2. Choose New to open the Bank Deposit page.
3. Choose the general journal template that you created for bank deposits.
NOTE
If the general journal template has more than one batch, you will be prompted to choose one.
4. In the Bank Account No. field, choose the bank account in which to make the deposit.
TIP
You can double-check that you're depositing to the correct account by using the Account Card and Account
Ledger Entries actions to look up the ledger entries for the selected bank account. For example, to see whether
similar deposits were made to the account.
5. In the Total Deposit Amount field, enter the total amount of the deposit. This total must be the sum of
the amounts on all lines.
6. Fill in the remaining fields as necessary. Choose a field to read a short description of the field or link to
more information.
The date in the Posting Date field and the dimensions in the Depar tment Code and Customer group
Code fields will be assigned to the lines that you create for the bank deposit. You can change them if
needed.
7. Depending on whether you want to post the bank deposit as lump sum or each line individually to the
bank ledger, turn the Post as Lump Sum toggle on or off. The default setting comes from the same
toggle on the Sales & Receivables Setup page.
NOTE
The Currency Code field shows the currency that is specified for the bank account you chose. You cannot choose
a different currency.
8. On the Lines FastTab, create a new line for each cash payment that you want to deposit.
9. In the Account Type field, specify where the payment originated. For bank deposits, the type is typically
Customer or Vendor .
NOTE
You can also register a cash payment to a vendor. To do that, choose Vendor and then enter the payment
amount as a negative number in the Credit Amount field on the line.
10. In the Document No. field, enter the document number of the invoice from which the credit amount
originated. You can use a document number for each line, or the same number for all lines.
TIP
Typically, you don't need to fill in the Document Type field for financial entries. For example, if you're depositing
cash from a day's sale you leave the field blank. If you're depositing cash from a customer payment, you choose
Payment .
11. If you're depositing a cash payment for a specific customer invoice, choose the Apply Entries action, and
then enter the invoice number in the Applies-to ID field.
12. If you're ready to post the bank deposit, choose the Post action.
TIP
Before you post the deposit you can use the Test Repor t action to review your data. The report will show
whether there are any issues, such as missing data, that will prevent posting.
Finding Posted Bank Deposits

The Posted Bank Deposits page lists your company's previous deposits. In the list, you can review the
comments and dimensions that were specified for the deposits. You can open the bank deposit to view more
details, and from there you can investigate further. For example, you can choose the Find entries action to view
the posted bank ledger entries. From the bank ledger entry, you can find its corresponding posted general
ledger entry.
If you want to look up all general ledger entries for the posted deposit lines, go to the G/L Register page and
use the General Ledger action. There you'll find all of the general ledger entries, including the entries for
customers and vendors.
Reversing a Posted Bank Deposit

To reverse a posted deposit, go to the G/L Registers page, find the register for the deposit, and then choose the
Reverse Register action.
NOTE
You can only reverse a register that contains a single type of entry. That is, the register must contain only customer
entries or vendor entries, but not both. If a register contains both you must manually reverse the deposit.
See Also
Finance
Setting Up Finance
Accountant Experiences in Dynamics 365 Business
Central
Any business must do its books and sign off on the accounting. Some businesses employ an external
accountant, and others have an accountant on staff. No matter which type of accountant you are, you can use
the Accountant Role Center as your Home in Business Central. From here, you can access all pages that you
need in your work.
Accountant Role Center

The Role Center is a dashboard with activity tiles that show you real-time key figures and give you quick access
to data. In the ribbon at the top of the page, you have access to more actions, such as opening the most
commonly used financial reports and statements in Excel. In the navigation bar at the top, you can quickly switch
between the lists you use most often. Here, you will see other areas, such as Posted Documents with the
various types of documents that the company has posted.
If you are new to Business Central, you can launch a list of videos right from your Role Center. You can also
launch a Getting Star ted tour that points out key areas.
Company Hub
If you work in multiple Business Central companies, you might find it useful to use the Company Hub page to
keep track of work. For more information, see Manage Work across Multiple Companies in the Company Hub.
Inviting Your External Accountant to Your Business Central

If you use an external accountant to manage your books and financial reporting, your administrator can invite
them to your Business Central so they can work with you on your fiscal data. Business Central includes three
licenses of type External Accountant. For more information about licensing, see the Microsoft Dynamics 365
Business Central Licensing Guide.
Once your accountant has gained access to your Business Central, they can use the Accountant Role Center
that gives easy access to the most relevant pages for their work. They can also use the company hub in their
own Business Central to manage their work. For more information, see Manage Work across Multiple
Companies in the Company Hub.
We have made it easy for you to invite your external accountant. Simply open the Users page, and then choose
the Invite External Accountant action in the ribbon. An email is made ready for you, just add your
accountant's work email, and send the invitation.
NOTE
This requires that you have set up SMTP email. For more information, see Set Up Email.
IMPORTANT
The accountant's email address must be a work address that is based on Azure Active Directory. If the accountant uses
another type of email, then the invitation cannot be sent.
This task requires access to managing users and licenses in Azure Active Directory. The user who sends this invitation
must be assigned the Global admin role or User admin role in the Microsoft 365 admin center. For more information,
see About admin roles in the Microsoft 365 admin content.
Adding your accountant to your Microsoft 365 in the Azure portal

If your administrator or reselling partner do not want to use the Invite External Accountant guide, they can
add an external user in the Azure portal and assign this user the External Accountant license. For more
information, see Quickstart: Add guest users to your directory in the Azure portal.
To add your accountant as a guest user
1. Open the Azure portal.
2. In the left pane, select Azure Active Director y .
3. Under Manage , select Users .
4. Select New guest user .
5. On the New user page, select Invite user and then add information about your external accountant.
Optionally, include a personal welcome message to the accountant to let them know that you are adding
them to your Business Central.
6. Select Invite to automatically send the invitation. A notification appears in the upper right with the
message Successfully invited user .
7. After you send the invitation, the user account is automatically added to the directory as a guest.
Next, you must assign the new guest user a license to Business Central.
To give your accountant access to your Business Central
1. In the Azure portal, on the newly added user, choose Profile , and then choose Edit
2. Update the Usage Location field to the relevant country, and then choose Save .
3. Choose Licenses , and then open Assignments .
4. Choose the Dynamics 365 Business Central External Accountant license.
If this license is not available, contact your reselling partner to add the license to your subscription.
Specifically for evaluation purposes in a trial tenant, you can use an available Dynamics 365 Business
Central for IWs license instead. However, you cannot use this type of license if you have already
purchased Business Central.
5. Save the assignment.
If successful, the license is assigned to the guest user, and the guest account is created.
Importing the new user into Business Central
The accountant will receive an email that notifies them that they have been given access to your Active
Directory. Next, you must give them access to the right company in Business Central.
To add the accountant to the right company
1. Open the Business Central company that you want to give the accountant access to at
https://businesscentral.dynamics.com.
2. Choose the icon, enter Users , and then chose the related link.
3. Choose the Get New Users from Microsoft 365 action.
This imports the user account that you created in the Azure portal to the company. For more information, see To
add a user in Business Central.
If you want to give access to multiple companies, then you must log into each company and repeat this process.
Alternatively, you can update the permission groups for the accountant's user profile in Business Central, such as
assigning them the D365 Bus Premium user group. For more information, see Assign Permissions to Users and
Groups.
See Also
Finance
Setting Up Finance
Analyzing Financial Statements in Excel
Manage Work across Multiple Companies in the Company Hub
Business Central for Multi-Site and International
Organizations
Organizations that have multiple sites often use a hub-and-spoke business model where a parent company, or
headquarters, manages the overall operations of the business while each site functions as a single, standalone
entity. Sites are often geographically distributed and have different needs for sharing information with the
headquarter company. Additionally, sites typically don't need the same level of complexity, and often lack the
resources to maintain a large system.
Business Central gives small and mid-sized businesses a business management solution that's easy-to-use and
maintain at a low cost of ownership.
This article introduces some of the ways in which Business Central supports a hub-and-spoke business model.
Integrating the Headquarter Company and the Sites

Business Central can integrate with the headquarter company's accounting system while meeting the varying
needs of different sites, regardless of size, location, or type of business.
The following diagram is an example of different sites integrated with a headquarter company.
Meet the Needs of Domestic and International Sites

Business needs at sites often differ based on industry, business methods, or their relationship to the
headquarter company. Business Central can be easily adapted and extended for various types of businesses and
locales. Microsoft AppSource offers a wealth of apps from Microsoft and our partners, and partners can quickly
deploy Business Central with minimal disruption to daily operations.
For multi-national organizations, Business Central supports local legal requirements and business practices.
For online versions, there are more than 40 localized country versions that you can install as extensions from
Microsoft AppSource.
For on-premises versions, country versions are available either as Microsoft-localized versions or partner-led
add-on localizations.
A network of more than 4,000 Microsoft partners world-wide provides local expertise.
H O W B USIN ESS C EN T RA L SUP P O RT S

B USIN ESS REQ UIREM EN T IT L EA RN M O RE
Tailor the system to fit the business. Enjoy a system that was designed from Overview
the start for mid-sized businesses.
Address regulatory and local practices. Comply with local legal requirements Local Functionality
and business practices.
Access multiple companies from a Get quick access to any Business Company Hub
single page. Central company in your organization.
Handle multiple languages and Support for multiple languages and Multi-language capabilities
currencies. currencies helps meet local needs.
Multi-currency capabilities
Consolidate Financial Data

A core facet of the hub-and-spoke business model is the ability for the headquarter company and sites to
exchange financial data, even when the headquarter company and sites use different systems, accounting
structures, languages, and currencies.

Consolidate financial data from sites. Consolidate financial statements for Consolidating Financial Data from
sites, regardless of whether they're Multiple Companies
running Business Central or another
application, into a single business
entity (company).
Integrate accounting structures. Transfer consolidation data from Importing Business Data from Other
different accounting structures to your Finance Systems
own. Built-in file format for F&O
(Available with Wave 2, 2020) Prepare general ledger accounts for
consolidation
Transact in multiple currencies. Help ensure that financial statements Update Currency Exchange Rates
in different currencies are accurate and
use correct exchange rates.
Share Business Insight with Integrated Analytics

Align the organization with your business goals by providing a common understanding of the current reality.
Integrated analytics can help people base their decisions on the same set of facts.
Share insights with sites without Create KPIs and business intelligence Work with Business Central Data in
extensive IT support. dashboards in Power BI based on your Power BI
data.
Develop custom financial reports. Generate parameter-based financial Business Intelligence

reports.
Align on the facts. Generate, view, and share reports with Financial Reports
internal and external stakeholders.
Analyze data in Excel. Fact-find, troubleshoot, and do ad hoc Analyze Financial Statements in Excel
analyses in Microsoft Excel.
Exchange Data Using APIs and XMLports

APIs and XMLports simplify the process of connecting instances of Business Central, including those that have
been customized for each site.

Connect customized versions among API Pages can expose any Enabling APIs for Business Central
sites and the headquarter company. representation of an entity, including
its customizations.
Versioning and security. APIs use ODataV4, which provides Security and protection
versioning, and webhooks and change
tracking.
Post and import XML documents. Codeunits can be exposed as unbound XMLport Objects
actions to support posting and
ingestion of XML documents. For
processing XML documents, XMLports
can be applied. Unbound actions are
also capable of generating an XML or
JSON document.
Make maintenance easier through An electronic data exchange solution Data Exchange Framework
electronic data exchange. can be added to serve as an
integration layer between the
headquarter company and sites.
Exchange data between different Use XMLports to create XML XMLport Overview
systems. documents, which can then be
exchanged between a headquarter
company that uses one system and
sites that use Business Central.
Orchestrate complex data exchanges. Use a combination of XMLports with Work with Reports, Batch Jobs, and
Business Central and Microsoft BizTalk XMLports
Server to meet unique needs at your
sites.
For complex needs, use an electronic
data exchange solution based on
BizTalk Server and Commerce Gateway
in Business Central in combination
with the XMLports.
Connect to 3rd party solutions and APIs establish a point-to-point API v2.0
services. connection between Business Central
and 3rd party solutions and services.
Promote an Efficient Intercompany Supply Chain

Sites often need access to the supply chain, and the ability to manage certain aspects of it. For example, sites
might use the same vendor, but manage their assets and physical locations separately.

Treat inter-divisional transactions as Use inter-company postings to create Managing Inter-company Transactions
normal sales and purchase sales and purchase documents and
transactions. general ledger entries for entire
workflows, and for more than one
company at a time to eliminate
duplicate data entry.
Use paperless processes. Avoid the cost of sending, receiving, Incoming Documents
and printing documents.
Manage Attachments, Links, and
Notes on Cards and Documents
Respond Quickly to New Business Conditions

The headquarter company must be able to react quickly to business changes at each site. Combined with Power
Automate, Business Central can serve as an early warning mechanism.
Automatically generate email alerts. Set up alerts in Power Automate that Business Central and Power BI
will generate emails to inform you of
critical business conditions at sites or
supply chain partners.
Use standard or custom alerts. Use 12 different templates included for Use Business Central in an Automated
Business Central or set up your own Workflow
alerts to suit your business.
See Also
Administration of Business Central Online
Businesses capture a tremendous amount of data through daily activity. This data, which reflects such things as
the organization's sales figures, purchases, operational expenses, employee salaries, and budgets, can become
valuable information, or business intelligence, for decision makers. Business Central contains a number of
features that help you gather, analyze, and share your company data.
The Dimensions functionality plays an important role in business intelligence. A dimension is data that you can
add to an entry as a kind of marker. This data is used to group entries with similar characteristics, such as
customers, regions, products, and salesperson, and easily retrieve these groups for analysis. Among other uses,
you use dimensions when defining analysis views and when creating account schedules for reporting. For more
information, see Work with Dimensions.
TIP
As a quick way to analyze transactional data by dimensions, you can filter totals in the chart of accounts and entries in all
Entries pages by dimensions. Look for the Set Dimension Filter action.
TO SEE
View actual amounts compared to budgeted amounts for all Analyze Actual Amounts Versus Budgeted Amounts
accounts and for several periods.
Create new account schedules to define financial statements Prepare Financial Reporting with Account Schedules and
for reporting or for display as charts. Account Categories
Analyze your financial performance by setting up KPIs based Set Up and Publish KPI Web Services Based on Account
on account schedules, which you then publish as web Schedules
services. The published account-schedule KPIs can be viewed
on a web site or imported to Microsoft Excel using OData
web services.
Set up analysis views to analyze data using dimensions. Analyze Data by Dimensions
Create new analysis reports for sales, purchases, and Create Analysis Reports
inventory, and set up analysis templates.
Enable global financial reporting by to international Create Reports with XBRL

accounting organizations with the eXtensible Business
Reporting Language standard.
Change the database access intent on reports, pages of the Manage Database Access Intent
type API, and queries to reduce load and improve
performance.
See Also
Finance
Use Business Central as a Power BI Data Source
Closing Fiscal Periods
Importing Data from Other Finance Systems
Start a free trial!

Financial Reports and Analytics in Business Central
Financial reporting in Business Central allows financial and business professionals to create, maintain, deploy,
and view financial statements. It moves beyond traditional reporting constraints to help you efficiently design
various types of reports. Business Central includes several reports, tracing functions, and tools that help auditors
or controllers who are responsible for reporting to the finance department. Financial reporting includes support
for dimensions, so account segments or dimensions are immediately available. No other tools or configuration
steps are required.
TIP
If you have a (online) Business Central production environment, you can click on a report id below to open the report
directly in the product. If you want to stay on this page, consider holding down CTRL before clicking. In most browsers,
the report will then open in a new browser tab.
Reports
The following table describes some of the key reports in financial reporting.
Trial Balance Shows the chart of accounts with 6

balances and net changes. You can
period or fiscal year.
Trial Balance by Period Shows the opening balance by general 38

ledger account, the movements in the
selected period of month, quarter, or
year, and the resulting closing balance.
Tip: Can be used to display profit and
loss (P&L) with a total for each month.
Trial Balance/Budget Shows a trial balance in comparison to 9

a budget. You can choose to see a trial
balance for selected dimensions. You
can use the report at the close of an
accounting period or fiscal year.
Detailed Trial Balance Shows a detail trial balance for selected 4

general ledger accounts. You can use
the report at the close of an
accounting period or fiscal year. You
can define which accounts are included
in the report by setting filters.
Trial Balance/Previous Year Shows a trial balance in comparison to 7

the previous year's figures. You can
period or fiscal year. The previous year
means the same period one calendar
year earlier.
Account Schedule Account schedules can be used to 25

display the general ledger accounts in
a different way than in the chart of
accounts. For example, account
schedules can be used for reports on
key figures.
Consolidated Trial Balance Shows a combined overview of general 17

company. Use this report to report on
consolidated financial data from
multiple companies. For more
Consolidation
Consolidated Trial Balance (4) Shows a combined overview of general 18

company. This version of the report
lets you display up to four business
units as columns. For more
Consolidation. Use this report to
report on consolidated financial data
from multiple companies.
Tasks

See also
Setting Up Finance
Finance
As a part of gathering, analyzing, and sharing your company data, you view actual amounts compared to
budgeted amounts for all accounts and for several periods.
To analyze budgeted amounts, you must first create G/L budgets. For more information, see Create G/L Budgets.
To view a G/L budget

In a budget with dimensions, you can filter the entries and see specific budgets.
1. Choose the icon, enter G/L Budgets , and then choose the related link.
2. On the G/L Budgets page, open the budget that you want to view.
3. At the top of the page, fill in the fields as necessary to define what is shown. Hover over a field to read a
short description.
NOTE
If you have selected Period in either the Show as Lines or the Show as Columns field, then you must fill in the View
by field. If you have not selected Period in either the Show as Lines or Show as Columns field, then enter the
appropriate period in Date Filter field.
NOTE
Only entries from the general ledger budget with the filter codes that you enter on the Filters FastTab are included in the
calculation. Budget entries with other filter codes or without any filter codes are not included. As long as the filter remains
on the page, the budget only displays the budget entries with these filter codes.
TIP
If you want to modify the budget, you can modify the budget entries. Choose an amount to view the underlying general
ledger budget entries.
To view actual and budgeted amounts for all accounts

You can view general ledger budgets and compare them with actual figures in several areas of Business Central.
2. On the Char t of Accounts page, choose the G/L Balance/Budget action.
3. At the top of the page, fill in the fields as necessary to define what is shown.
4. To see a specification that makes up the amount shown, choose the field.
NOTE
The filters you set on the page header will be applied to general ledger entries and also budget entries.
The leftmost columns contain the chart of accounts. Of the five columns on the rightmost side, the first four
columns show actual and budgeted debit and credit amounts for each account. The fifth column shows the
proportional relationship between the actual and the budgeted amounts on the general ledger account.
TIP
Use the View by field on the G/L Balance/Budget page to select the period length. Use the View as field to select the
way the amounts will be calculated, Net Change or Balance at Date . Choose the Previous Period or Next Period
action to change the period.
To view actual and budgeted amounts for several periods

Instead of viewing the actual and budgeted amounts for all accounts within a single period, you can view a
number of periods for a single account.
2. On the Char t of Accounts page, select the relevant general ledger account, and then choose the G/L
Account Balance/Budget action.
3. At the top of the page, fill in the fields as necessary to define what is shown.
4. To see a specification of an amount shown, choose the field.

See Also
Finance
Setting Up Finance
Prepare Financial Reporting with Account Schedules
and Account Categories
Use account schedules to get insight into the financial data stored in your chart of accounts. Account schedules
analyze figures in G/L accounts, and compare general ledger entries with general ledger budget entries. The
results display in charts on your Role Center, such as the Cash Flow chart, and in reports, such as the Income
Statement and the Balance Sheet reports.
You access these two reports, for example, with the Financials Statements action on the Business Manager
and Accountant Role Centers.
Business Central provides a few sample account schedules that you can use right away, or you can set up your
own rows and columns to specify the figures to compare. For example, you can create account schedules to
calculate profit margins on dimensions like departments or customer groups. You can create as many
customized financial statements as you want.
Setting up account schedules requires an understanding of the financial data in the chart of accounts. For
example, you can view general ledger entries as percentages of budget entries. This requires that budgets are
created. For more information, see Create G/L Budgets.
Account Schedules
Account schedules are used to arrange accounts listed in the chart of accounts in ways suited for presentation of
information about those accounts. You can set up various layouts to define the information that you want to
extract from the chart of accounts. One of the main functions of account schedules is to provide a place for
calculations that cannot be made directly in the chart of accounts, such as creating subtotals for groups of
accounts, which can be included in new totals and can then be used in other totals. For example, users can create
account schedules to calculate profit margins on such dimensions as departments or customer groups. In
addition, general ledger entries and general ledger budget entries can be filtered, for example, by net change or
debit amount.
You can also compare two or more account schedules and column layouts by using formulas. This kind of
comparison provides the ability to:
Create customized financial reports.
Create as many account schedules as needed, each with a unique name.
Set up various report layouts and print the reports with the current figures.
G/L Account Categories

You can use G/L account categories to change the layout of your financial statements. After you set up your
account categories on the G/L Account Categories page, and you choose the Generate Account Schedules
action, the underlying account schedules for the core financial reports are updated. The next time you run one of
these reports, such as the Balance Statement report, new totals and subentries are added, based on your
changes.
NOTE
The top-level account categories, such as the Liabilities node are fixed and you cannot add your own. However, you can
delete and add account categories at lower levels and change their structure to define how the related account schedule
appears in reports.
It is recommended to create and structure your own lower-level G/L account categories from scratch, in a hierarchy if
needed, rather than try to rearrange the existing ones. For example, you can restructure the Liabilities node to contain a
new Equity node followed by the Current Liabilities and Long Term Liabilities nodes.
To create a new account schedule

You use account schedules to analyze figures in general ledger accounts or to compare general ledger entries
with general ledger budget entries. For example, you can view the general ledger entries as percentages of the
budget entries.
The account schedules in the standard version of Business Central are the basis of the standard financial reports,
which may not suit the needs of your business. To quickly create your own financial reports, you can start by
copying an existing account schedule. See step 3 below.
The Acc. Schedule Over view page is where you preview the financial report that the account schedule
defines. In the following, it is important to understand that what you set up as account schedule rows and
columns can only be seen and validated on the Acc. Schedule Over view page, which you open from an
account schedule by choosing the Over view action. The Account Schedule page itself is only a setup area.
2. On the Account Schedules page, choose the New action to create a new account schedule name.
3. Alternatively, choose the Copy Account Schedule action, fill in the two fields, and then choose the OK
button.
4. Fill in the fields as necessary. In the Default Column Layout field, select an existing layout. You can edit
it later if you want.
You use column layouts to define columns for different parameters by which the financial data on the
rows are shown. For example, you can design a column layout to compare net change and balance for the
same period this year and last year, with four columns. For more information, see To edit a column layout.
5. Choose the Edit Account Schedule action.
6. Create a row for each financial element that you want to appear in the report, such as one row for current
assets and another row for fixed assets. For inspiration, see existing account schedules in the CRONUS
demonstration company.
7. Choose the Over view action to see the resulting financial report.
8. On the Acc. Schedule Over view page, in the Column Layout Name field, select another column
layout to see the financial data by other parameters.
You have now defined the basis of the account schedule, the rows of financial data to be displayed, and an
existing layout of columns to show the data on the rows per different parameters. If the default column layout
that you selected in step 4 does not suit your purpose, follow the next procedure.
To edit a column layout
You use column layouts to define what columns should be included in the resulting report. For example, you can
design a layout to compare net change and balance for the same period this year and last year. You can have up
to 15 columns. This is useful, for example, if you want to view budgets for 12 months and include a column that
shows the total.
NOTE
A printed/previewed/saved version of an account schedule can display a maximum of five columns. If the account
schedule is only meant for analysis on the Acc. Schedule Over view page, you can create as many columns as you
want.
1. On the Account Schedules page, select the relevant account schedule, and then choose the Edit Column
Layout Setup action.
2. On the Column Layouts page, create a row for each column by which financial data is shown in the
financial report. Hover over a field to read a short description.
4. Open the Acc. Schedule Over view page from time to time to verify that the new column layout works as
intended.
NOTE
The columns that you define on each row represent columns 3 and up on the Acc. Schedule Over view page. The first
two columns, Row No. and Description , are fixed.
To create a column that calculates percentages

Sometimes you may want to include a column in an account schedule to calculate percentages of a total. For
example, if you have a number of rows that break down sales by dimension, you may want a column to indicate
the percentage of total sales that each row represents.
2. On the Account Schedule Names page, select an account schedule.
3. Choose the Edit Account Schedule action to set up an account schedule row to calculate the total on which
the percentages will be based.
4. Insert a line immediately above the first row for which you want to display a percentage.
5. Fill in the fields on the line as follows: In the Totaling Type field, enter Set Base for Percent . In the
Totaling field, enter a formula for the total that the percentage will be based on. For example, if row 11
contains the total sales, enter 11 .
6. Choose the Edit Column Layout Setup action to set up a column.
7. Fill in the fields on the line as follows: In the Column Type field, select Formula . In the Formula field, enter
a formula for the amount that you want to calculate a percentage for, followed by %. For example, if column
number N contains the net change, enter N% .
8. Repeat steps 4 through 7 for each group of rows that you want to break down by percentage.
To set up account schedules with overviews

You can use an account schedule to create a statement comparing general ledger figures and general leger
budget figures.
2. On the Account Schedule Names page, select an account schedule.
3. Choose the Edit Account Schedule action
4. On the Account Schedule page, in the Name field, select the default account schedule name.
5. Choose the Inser t G/L Accounts action.
6. Select the accounts that you want to include in your statement, and then choose the OK button.
The accounts are now inserted into your account schedule. If you want you can also change the column
layout.
7. Choose the Over view action.
8. On the Acc. Schedule Over view page, on the Dimension Filters FastTab, set the budget filter to the
desired filter name.
Now you can copy and paste your budget statement into a spreadsheet.
Comparing Accounting Periods using Period Formulas

Your account schedule can compare the results of different accounting periods, such as this month versus same
month last year. To do that, open the Column Layout page, and personalize it by adding the Comparison
Period Formula field as a column. For more information, see Personalize Your Workspace. You can then set
that field to a period formula.
An accounting period does not have to match the calendar, but each fiscal year must have the same number of
accounting periods, even though each period can be different in length.
Business Central uses the period formula to calculate the amount from the comparison period in relation to the
period represented by the date filter on the report request. The comparison period is based on the period of the
start date of the date filter. The abbreviations for period specifications are:
A B B REVIAT IO N DESC RIP T IO N
P Period
LP Last period of a fiscal year, half-year, or quarter.
CP Current period of a fiscal year, half-year, or quarter. Use CP in

formulas to set the period that starts or ends the formula.
For example, FY[1..CP] denotes the time from the beginning
of the current fiscal year to the current period.
FY Fiscal year. For example, FY[1..3] denotes first quarter of the

current fiscal year
Examples of formulas:
F O RM UL A DESC RIP T IO N
<Blank> Current period
-1P Previous period
-1FY[1..LP] Entire previous fiscal year
-1FY Current period in previous fiscal year

F O RM UL A DESC RIP T IO N
-1FY[1..3] First quarter of previous fiscal year
-1FY[1..CP] From the beginning of previous fiscal year to current period

in previous fiscal year, including both periods
-1FY[CP..LP] From current period in previous fiscal year to last period of

previous fiscal year, including both periods
If you want to calculate by regular time periods, you must enter a formula in the Comparison Date Formula
field instead. For example, if the field is set to -1Y, Business Central compares to the same period 1 year earlier.
NOTE
It is not always transparent which periods you are comparing because you can set a date filter on a report that spans
different dates than the accounting periods that are reflected in the data in the chart of accounts. For example, you create
an account schedule where you want to compare this period with the same period last year, so you set the Comparison
Date Formula field to -1FY. Then, you run the report on February 28th and set the date filter to January and February.
As a result, the account schedule compares January and February this year to January last year, which is the only
completed accounting period of the two for last year.
For more information about date formulas, see Work with Calendar Dates and Times.
Import or Export Account Schedules

You can import and export account schedules as RapidStart configuration packages. For example, this is useful
for sharing them with other companies. The package is created in a .rapidstart file, which delivers the package
contents in a compressed format.
To import and export account schedules
2. Choose the account schedule, and then choose the Impor t Account Schedule or Expor t Account
Schedule actions, depending on what you want to do.
NOTE
When you import account schedules, existing records that have the same names as those you are importing will be
deleted.

See Also
Finance
Setting Up Finance
Set Up and Publish KPI Web Services Based on
Account Schedules
On the Account Schedule KPI Web Ser vice Setup page, you set up how to show the account-schedule KPI
data and which specific account schedules to base the KPIs on. When you choose the Publish Web Ser vice
button, the specified account-schedule KPI data is added to the list of published web services on the Web
Ser vices page.
NOTE
When you use this web service, closing dates are not included in your data set. This lets you use filters in Power BI to
analyze various time periods.
To set up and publish a KPI web service that is based on account

schedules
1. Choose the icon, enter Account Schedule KPI Web Ser vice Setup , and then choose the related
link.
2. On the General FastTab, fill in the fields as described in the following table.
Forecasted Values Star t Specify at what point in time forecasted values are
shown on the account-schedule KPI graphic.
The forecasted values are retrieved from the general

ledger budget that you select in the G/L Budget Name
field. Note: To obtain KPIs that show forecasted figures
after a certain date and actual figures before the date,
you can change the Allow Posting From field on the
General Ledger Setup page. For more information,
see Allow Posting From.
G/L Budget Name Specify the name of the general ledger budget that
provides forecasted values to the account-schedule KPI
web service.
Period Specify the period that the account-schedule KPI web

service is based on.
View By Specify which time interval the account-schedule KPI is

shown in.
Web Ser vice Name Specify the name of the account-schedule KPI web
service.
This name will appear in the Ser vice Name field on the
Web Ser vices page.
Specify one or more account schedules that you want to publish as a KPI web service according to the
setup that you made in the previous table.
3. On the Account Schedules FastTab, fill in the fields as described in the following table.
Acc. Schedule Name Specify the account schedule that the KPI web service is
based on.
Acc. Schedule Description Specify the description of the account schedule that the
KPI web service is based on.
4. Repeat step 3 for all the account schedules that you want to base the account-schedule KPI web service
on.
5. To view or edit the selected account schedule, on the Account Schedule FastTab, choose the Edit
Account Schedule action.
6. To view the account-schedule KPI data that you have set up, choose the Account Schedule KPI Web
Ser vice action.
7. To publish the account-schedule KPI web service, choose the Publish Web Ser vice action. The web
service is added to the list of published web services on the Web Ser vices page.
NOTE
You can also publish the KPI web service by pointing to the Account Schedule KPI Web Ser vice Setup page object
from the Web Ser vices page. For more information, see Publish a Web Service.
See Also
Finance
Setting Up Finance
In financial analysis, a dimension is data that you can add to an entry as a kind of marker. This data is used to
group entries with similar characteristics, such as customers, regions, products, and salesperson, and easily
retrieve these groups for analysis. Dimensions can be used on entries in journals, documents, and budgets. The
term dimension describes how analysis occurs. A two-dimensional analysis, for example, would be sales per
area. However, by using more than two dimensions when creating an entry, you can carry out a more complex
analysis, such as sales per sales campaign per customer group per area. For more information, see Work with
Dimensions.
Analyzing data by dimensions gives you greater insight into your business, so you can evaluate information,
such as how well your business is operating, where it is thriving and where it is not, and where more resources
should be allocated.
TIP
As a quick way to analyze transactional data by dimensions, you can filter totals in the chart of accounts and entries in all
Entries pages by dimensions. Look for the Set Dimension Filter action.
NOTE
If you discover that an incorrect dimension has been used on posted general ledger entries, you can correct the
dimension values and update your analysis views. For more information, see Troubleshooting and Correcting Dimensions
To set up an analysis view

An analysis by dimensions displays a selected combination of dimensions. You can store and retrieve each
analysis you have set up. The information for setting up an analysis is stored on an Analysis View card to
simplify future analysis.
1. Choose the icon, enter Analysis Views , and then choose the related link.
2. On the Analysis View List page, choose the New action.
4. To add other dimension codes in addition to the four on the Dimensions FastTab, choose the Filter action,
fill in the fields, and then choose the OK button.
5. To update the view, choose the Update action.
To analyze by dimensions
You can use the Analysis by Dimensions matrix to view the amounts in your general ledger by using the
analysis views that you have already set up. You fill on the Analysis by Dimensions page to define what will
be shown in the matrix, and then you choose the Show Matrix action to view the matrix.
2. Select the relevant analysis view, and then choose the Analysis by Dimensions action.
3. On the Analysis by Dimensions page, fill in the fields to define which data is shown and how.
4. Choose the Show Matrix action to open the respective matrix page for the defined analysis view.
5. To see a specification of an amount shown in the matrix page, choose the amount to drill down.
The leftmost columns contain information based on what you have selected in the Show as Lines field in
the header.
The rightmost columns contain information based on to what you have selected in the Show as Columns
field in the header.
IMPORTANT
You cannot select a period length shorter than the period specified for the date compression on the Analysis View card.
The Next Set and Previous Set commands are inactive if you have selected Period in either the Show as Lines or the
Show as Columns field.
NOTE
You can use the Dimensions - Detail report to display a detailed classification of how dimensions have been used on
entries over a selected period. You can use the Dimensions - Total report to display only the total amounts.
TIP
You can also change the view by changing the contents of the Show as Lines field and Show as Columns field. To
reverse a view setting, choose the Reverse Lines and Columns action.
To update an analysis view

The amounts that are displayed on the Analysis by Dimensions page give you a picture of the company’s
state at the time of the last update. To get a picture of the current state, you must update the analysis view by
running the update function.
The following procedure is for updating an analysis view from the Analysis by Dimensions page. The steps
are similar from the Analysis View Card and the Analysis View List pages.
2. Select the relevant analysis view, and then choose the Analysis by Dimensions action.
3. On the Analysis by Dimensions page, choose the Analysis View Code field.
4. Select the line with the relevant analysis view.
5. On the Analysis Views page, select the analysis view, and then choose the Update action.
TIP
If you select the Update on Posting check box on an analysis view card, the view is automatically updated when an
involved transaction is posted.
NOTE
To update some or all analysis views at the same time, you must use the Update Analysis Views batch job.

See Also
Finance
Setting Up Finance
Sales managers need to analyze turnover, gross profit and other key sales performance indicators on a regular
basis. Purchasers, are more interested in the dynamics of purchase volumes, vendors' performance and
purchase prices. Whereas logistics/inventory managers need information on inventory turnover, analysis of
inventory movement, and statistics on inventory value.
You can use analysis reports to create customized reports based on records of your posted transactions, for
example, sales, purchases, transfers and inventory adjustments. In a customizable report, the source data, which
is derived from the item ledger (with associated value entries), can be combined, compared and presented in
meaningful user-defined ways. In this sense, the analysis report is very similar to a PivotTable report in
Microsoft Excel.
You can create your personalized report that focuses on your key accounts in terms of total turnover both in
amounts and quantities sold, gross profit and gross profit percentage during the current month, and have it
compare those figures with the results from previous months or the same month last year, and calculate
deviations. All this can be done in one and the same view, with the possibility to navigate to the cause of
identified problem areas by choosing the drop-down button to access details on the level of individual
transactions.
The analysis report consists of the objects that you want to analyze, such as customers, customer groups, sales
people and so on, represented as lines, and the analysis parameters, that is, the way you want to analyze the
object, represented as columns, such as profit calculations, periodic comparisons of sales amounts and volumes
or periodic comparisons of actual and budgeted figures.
In addition to analysis reports, you can create and view similar information in analysis views, which are based
on dimensions. For more information, see Analyze Data by Dimensions.
Example
You can set up lines like these:
Computers
Displays
Spare Parts
Then you can set up columns like these:
Sales Current Month
Sales Last Month
Sales in Pct. of last Month
Setting Up Line and Column Layouts

On the Analysis Repor t page, you can view different line and column layouts according to the lines or line
templates that you set up on the Analysis Line Templates page. You can define the name of the report and the
objects you want to show in the lines of your report. You set up your columns on the Analysis Column
Templates page. You can define the name of the column template and the analysis parameters that you want to
show in the report as columns. On the Analysis Column Templates page, each line represents a column in
your report. Note that analysis lines and analysis columns are independent from each other.
Based on the lines and columns you have set up, Business Central will aggregate the result of your report in the
Analysis Repor t page, as shown in the following table.
- SA L ES C URREN T M O N T H SA L ES L A ST M O N T H SA L ES L A ST M O N T H %
Computers
Displays
Spare parts
Total
You can, for example, set up one set of lines and several sets of column layouts to show monthly and annual
reports respectively.
To set up analysis column templates

The following procedure is based on analysis views for sales. The steps are similar for purchase and inventory
analysis views.
In an analysis report, your analysis parameters are shown as columns. You can define the columns that you want
to include in your analysis report by setting up analysis column templates.
A template contains a set of lines each representing the analysis columns that you see in the analysis report. To
define a column you must assign an analysis type code to a line. This analysis type code determines the type of
source data in the item ledger entries that the analysis will be based on. Source data includes cost, sales amount,
or quantity, and their associated value entries. You can set up as many column templates as you like, and then
use them to create new analysis reports.
1. Choose the icon, enter Sales Column Templates , and then choose the related link.
2. Select the first empty line, and then fill in the fields as necessary.
3. Choose the Columns action.
4. On the Analysis Columns page, fill in the fields to specify the columns that you want to include in your
analysis report.
NOTE
To define a column, you must fill in the Analysis Type Codes field for all column types except Formula . Set up
the analysis type codes on the Analysis Types page.
Also, in the Ledger Entr y Type field, if you select Item Entries , the actual figures from the item ledger entry
are copied. If you select Item Budget Entries , the budgeted figures from the budget are copied.
5. Choose the OK button to save your changes.
To set up analysis line templates

The following procedure is based on analysis reports for sales. The steps are similar for purchase and inventory
analysis reports.
In an analysis report your analysis objects are shown on the lines. You can define the lines that you want to
include in your analysis report by setting up analysis line templates.
A template contains a set of lines representing the analysis lines that you see in the analysis report. A line can
specify one or a range of items, customers, vendors, or groups. You can also create a formula in a line to sum up
the other lines. You can set up as many line templates as you like, and then use them to create new analysis
reports.
1. Choose the icon, enter Sales Line Templates , and then choose the related link.
2. Select the first empty line, and then fill in the fields as necessary.
3. Choose the Lines action.
4. On the Analysis Lines page, create lines for the items, customers, vendors, or salespeople you want to view
figures for in your analysis report. You must fill in the Type , Range , and the Description fields.
NOTE
Alternatively, when you want to create many individual lines for each item, customer, and so on, you can select the
appropriate insert option to fill in all the relevant fields on the line. If you need to, you can then edit the lines manually. To
insert lines, choose the Inser t Items action or the Inser t Item Groups action.
To create a new sales analysis report

The following procedure is based on analysis reports for sales. The steps are similar for purchase and inventory
analysis reports.
You use analysis reports to analyze the dynamics of your sales according to key sales performance indicators
that you select, for example, sales turnover in both amounts and quantities, contribution margin, or progress of
actual sales against the budget. You can also use the report to analyze your average sales prices and evaluate
the sales performance of your sales force.
1. Choose the icon, enter Sales Analysis Repor ts , and then choose the related link.
2. On the Analysis Repor t Sale page, choose the New action.
4. Choose the Edit Analysis Repor t action.
5. On the Sales Analysis Repor t page, choose the Show Matrix action
NOTE
Building combinations of line and column templates to create reports and assigning them unique names is optional. If
you do this, selecting a report name means that you will not need to select line and column templates on the Sales
Analysis Repor t page. After you have chosen a report name, you can change line and column templates independently
and then later select the report name again to restore the original combination.
See Also
Finance
Setting Up Finance
NOTE
We're in the process of removing the features for XBRL reporting from Business Central. For more information, see
Changes in 2022 release wave 1.
XBRL, which stands for eXtensible Business Reporting Language, is an XML-based language for tagging financial
data, and enabling businesses to efficiently and accurately process and share their data. The XBRL initiative
enables global financial reporting by numerous ERP software companies and international accounting
organizations. The goal of the initiative is to provide a standard for the uniform reporting of financial
information for banks, investors, and government authorities. Such business reporting can include:
• Financial statements
• Financial information
• Non-financial information
• Regulatory filings, such as annual and quarterly financial statements
NOTE
You can import G/L-related schemas and create XBRL instance documents by mapping G/L data from the chart of
accounts to elements in taxonomies that were designed for financial reports, such as balance sheets, income statements,
and so on.
The XBRL capabilities in Business Central support taxonomies for Specification 2.1, however, taxonomies might contain
unsupported elements such as Formula linkbases, iXBRL, or have other structural differences. We recommend that you
validate the XBRL capability before you use it for reporting.
Full support for taxonomies may require third party XBRL tagging and tools. The XBRL International organization has a
list of tools and services that you can use for XBRL reporting. Depending on the XBRL reporting requirements for a given
taxonomy, you might want to explore those resources. For more information, see Getting Started for Business and Tools
and Services.
eXtensible Business Reporting Language

XBRL (eX tensible B usiness R eporting L anguage) is an XML-based language for financial reporting. XBRL
provides a standard for uniform reporting for all users of the financial information supply chain; such as public
and private companies, the accounting profession, regulators, analysts, the investment community, capital
markets and lenders, as well as key third parties such as software developers and data aggregators.
Taxonomies are maintained by www.xbrl.org. You can download taxonomies or read more detailed information
on the XBRL website.
Someone who wants financial information from you, provides you with a taxonomy (an XML document)
containing one or more schemas, each with one or more lines to fill out. The lines correspond to the individual
financial facts required by the sender. You import this taxonomy and then fill out the schema(s) by entering
which account or accounts correspond to each line and what kind of time frame to use, for example, net change
or balance at date. In some cases you can enter a constant instead, for example, a number of employees. You are
now ready to send the instance document (an XML document) to the requester. The idea is that this might be a
recurring event, so unless changes have been made to the taxonomy, you just export new instance documents
for new periods on request.
XBRL is comprised of the following components

The XBRL Specification explains what XBRL is, and how to build XBRL instance documents and XBRL
taxonomies. The XBRL Specification explains XBRL in technical terms and is intended for a technical audience.
The XBRL Schema are the core low-level components of XBRL. The schema is the physical XSD file that
expresses how instance documents and taxonomies are to be built.
The XBRL Linkbases are the physical XML files that contain various information about the elements defined in
the XBRL Schema, such as labels in one or more languages, how they relate to each other, how to sum up
elements, and so on.
An XBRL Taxonomy is a "vocabulary" or "dictionary" created by a group, compliant with the XBRL Specification,
in order to exchange business information.
An XBRL Instance document is a business report, such as a financial statement prepared to the XBRL
specification. The meaning of the values in the instance document is explained by the taxonomy. An instance
document is somewhat useless unless you know the taxonomy for which it is prepared.
Layered Taxonomies
A taxonomy can consist of a base taxonomy, for example, us-gaap or IAS, and then have one or more extensions.
To reflect this, a taxonomy refers to one or more schemas, each of which are separate taxonomies. When the
additional taxonomies are loaded into the database, the new elements are simply added to the end of the
existing elements.
Linkbases
In XBRL Spec. 2, the taxonomy is described in several XML-files. The primary XML file is the taxonomy schema
file itself (.xsd file) which only contains an unordered list of elements or facts to be reported. In addition to this,
there are usually associated some linkbase files (.xml). The linkbase files contain data which is complementary to
the raw taxonomy (.xsd file). There are six types of linkbases files of which four have relevance for Product Name
XBRL. These are:
Label linkbase: This linkbase contains labels or names for the elements. The file may contain labels in
different languages which are identified with an XML property called 'lang'. The XML language identifier
usually contains a two-letter abbreviation, and although it should be easy to guess what the abbreviation
means, there is no connection to the Windows language code or to the language codes defined in the
demo data. Therefore, when the user looks up the languages for a specific taxonomy, he will see all the
labels for the first element in the taxonomy, meaning that he can then see an example of each language. A
taxonomy can have several label linkbases attached to it as long as these linkbases contain different
languages.
Presentation linkbase: This linkbase contains information about the structure of the elements, or more
precisely; how the issuer of the taxonomy suggests that application presents the taxonomy to the user.
The linkbase contains a series of links that each connect two elements as parent and child. When applying
all these links, the elements can be shown in a hierarchical way. Note that the presentation linkbase deals
with just that: the presentation of elements to the user.
Calculation linkbase: This linkbase contains information about which elements roll up to which. The
structure is quite similar to the presentation linkbase, except that each link or ‘arc’, as they are called, has
a weight property. The weight can be either 1 or –1 indicating whether the element should be added to or
subtracted from its parent. Note that the rollups are not necessarily in keeping with the visual
presentation.
Reference linkbase: This linkbase is an xml file that contains supplementary information about the data
that is required by the taxonomy issuer.
To set up XBRL lines

After you import or update the taxonomy, the lines of the schemas must be supplied with all the information
that is required. This information will include basic company information, the actual financial statements, notes
to the financial statements, supplemental schedules, and other information that is required to satisfy the
particular financial reporting requirements.
You set up the XBRL Lines by mapping the data in the taxonomy to the data in your general ledger.
1. Choose the icon, enter XBRL Taxonomies , and then choose the related link.
2. On the XBRL Taxonomies page, select a taxonomy from the list.
3. Choose the Lines action.
4. Select a line and fill in the fields.
5. To read detailed information about what to fill in, choose the Information action.
6. To set up the mapping of the general ledger accounts in the chart of accounts to the XBRL lines, choose the
G/L Map Lines action.
7. To add notes to the financial statement, choose the Notes action.
TIP
To exclude lines from the export, choose NOT APPLICABLE as the source type.
NOTE
You can only export data that corresponds to the selection in the Source Type field. This includes descriptions and notes.
NOTE
Taxonomies might contain elements that Business Central does not support. If an element is not supported, the Source
Type field will display Not Applicable and the Description field will show an error message, such as Unexpected
type: "specific type not recognized". If you must export the element, choose a matching source type. Typically, this is
a constant or a description. This will allow you to enter and export data, however, such elements might have validation
rules that cannot be checked before exporting.
To import an XBRL taxonomy

The first step in working with the XBRL functionality is to import the taxonomy into your company database. A
taxonomy consists of one or more schemas and some linkbases. After you have completed the import of both
schemas and linkbases and have applied the linkbases to the schema, you can set up the lines and map the
general ledger accounts in the chart of accounts to the appropriate taxonomy lines.
2. On the XBRL Taxonomies page, create a new line and enter the name and description of the taxonomy.
3. Choose the Schemas action, and then insert the description of the schema.
4. To import the schema, on the XBRL Schemas page, choose the Impor t action, and the select a folder and an
XSD file. Choose the Open button.
5. To import the linkbase, on the XBRL Schemas page, choose the Linkbases action, and then select a folder
and an XML file. Choose the Open button..
6. You can now choose to apply the linkbase to the schema. Repeat until you have imported all linkbases.
7. Choose the Apply to Taxonomy action to apply the linkbase to the schema.
IMPORTANT
Instead of individually applying the linkbases after the import, you can wait until you have imported all linkbases and then
apply them at the same time. To do this, choose the NO button when you are prompted to apply the newly imported
linkbase to the schema. Then select the lines with the linkbases that you want to apply.
To update an XBRL taxonomy

When a taxonomy changes you need to update the current taxonomy accordingly. The reason for the update can
be an altered schema, an altered linkbase, or a new linkbase. After updating the taxonomy, you only need to map
the lines for the changed or new lines.
2. On the XBRL Taxonomies page, choose the Schemas action.
3. To update a schema, select the schema you want to update, and then choose the Impor t action.
4. To update or add a new linkbase, choose the Linkbases action.
5. Select the relevant linkbase or press Ctrl+N for a new line, select the type of linkbase, and then insert a
description.
6. To import the linkbase, choose the Impor t action.
7. Choose the Yes button to apply the linkbase to the schema.

See Also
Finance
Managing Database Access Intent
As a super user or administrator, you can change the database access intent on reports, pages of the type API,
and queries to improve performance of the service.
Overview
Business Central can be set up to use read-only replicas of the primary (read-write) database. Using the
database replica reduces the load on the primary database. In some cases, it will also improve the performance
when viewing data in the client. Replicas are beneficial for objects, like reports, queries, and API pages, that are
used for viewing data only, not modifying data.
When objects run, the database access intent determines whether to use a read-only replica, if one is available,
or the primary database. Reports, API pages, and queries are developed with a predefined database access
intent (see DatabaseAccessIntent property).
The Database Access Intent List page lets you override the predefined database access intent for objects
when they're run.
In database terms, this feature is commonly known as read scale-out. For more information about read-scale
out and data access intent in Business Central, see Utilizing Read Scale-Out for Better Performance in the
Business Central Developer and Administration help.
To change the database access intent

1. Choose the icon, enter Database Access Intent List , and then choose the related link.
The page lists all reports, pages, and queries. The Access Intent column includes one of the following
values:
SET T IN G DESC RIP T IO N
Default Indicates that the object uses the predefined database

access intent.
Allow Write Sets the object to use the primary database, allowing the
user to modify data.
Read Only Sets the object to use the database replica, which means
that the user can only view data, not change data.
2. Choose the Edit List action.

3. On the Edit - Database Access Intent List page, change the Access Intent field for the objects.
NOTE
If an object that is editable, like the Customer Card, is set to Read Only , the primary database will still be used,
regardless of the access intent, allowing users to make changes as normal.
See Also
Start a free trial!

Sales
You create a sales invoice or sales order to record your agreement with a customer to sell certain products on
certain delivery and payment terms.
You must use sales orders if your sales process requires that you can ship parts of an order quantity, for
example, because the full quantity is not available at once. If you sell items by delivering directly from your
vendor to your customer, as a drop shipment, then you must also use sales orders. In all other aspects, sales
orders work the same way as sales invoices. With sales orders, you can also use the Order Promising
functionality to communicate certain delivery dates to your customers.
You can negotiate with the customer by first creating a sales quote, which you can convert to a sales invoice or
sales order when you agree on the sale. After the customer has confirmed the agreement, you can send an order
confirmation to record your obligation to deliver the products as agreed.
You can easily correct or cancel a posted sales invoice before it is paid. This is useful if you want to correct a
typing mistake or if the customer requests a change early in the order process. If the posted sales invoice is paid,
then you must create a sales credit memo or a sales return order to reverse the sale.
Good sales and marketing practices are all about how to make the best decisions at the right time. Marketing
functionality in Business Central provides precise and timely overview of your contact information so that you
can serve your prospective customers more efficiently and increase customer satisfaction. For more
information, see Relationship Management.
If you use Dynamics 365 Sales for customer engagement, you can enjoy seamless integration in the lead-to-
cash process by using Business Central for backend activities such as processing orders, managing inventory,
and doing your finances. For more information, see Use Dynamics 365 Sales from Business Central.
In business environments where the customer must pay before products are delivered, such as in retail, you
must wait for the receipt of payment before you deliver the products. In most cases, you process incoming
payments some weeks after delivery by applying the payments to their related posted, unpaid sales invoices.
For more information, see Reconcile Payments Using Automatic Application.
Sales documents can be sent as PDF files attached to email. The email body will contain an extract of the sales
document, such as products, total amount, and a link to the PayPal site. For more information, see Send
Documents by Email.
For all sales processes, you can incorporate an approval workflow, for example, to require that large sales to
certain customers are approved by the accounting manager. For more information, see Use Workflows.
TO SEE
Create a customer card for each customer that you sell to. Register New Customers
Create a sales quote where you offer products on negotiable Make Sales Quotes
terms before converting the quote to a sales invoice.
Create a sales invoice to record your agreement with a Invoice Sales

customer to sell products on certain delivery and payment
terms.
TO SEE
Process a sales order that involves partial shipping or drop Sell Products
shipment.
Understand what happens when you post sales documents. Posting Sales
Prepare to pick items for shipment. Print the Picking List
Set up standard sales or purchase lines that you can quickly Create Recurring Sales and Purchase Lines
insert on documents, for example, for recurring
replenishment orders.
Link a sales order to a purchase order to sell a drop- Make Drop Shipments
shipment item that will be delivered directly from your
vendor to your customer.
Have a catalog item shipped from a vendor to your Create Special Orders
warehouse so that you can ship the item on to your
customer.
Perform an action on an unpaid posted sales invoice to Correct or Cancel Unpaid Sales Invoices
automatically create a credit memo and either cancel the
sales invoice or recreate it so you can make corrections.
Create a sales credit memo to revert a specific posted sales Process Sales Returns or Cancellations
invoice to reflect which products the customer returns and
which payment amount you will refund.
Manage your customer's commitment to purchase large Work with Blanket Sales Orders
quantities delivered in several shipments over time.
Sell assembly items that are not currently available by Sell Items Assembled to Order
creating a linked assembly order to supply the full or partial
sales order quantity.
Invoice a customer once for multiple shipments by Combine Shipments on a Single Invoice
combining the shipments on one invoice.
Inform your customers of order delivery dates by calculating Calculate Order Promising Dates
either the capable-to-promise date or the available-to-
promise date.
Resolve confusion when two or more records exist for the Merge Duplicate Records
same customer.

See Also
Setting Up Sales
Managing Payables
Project Management
Start a free trial!

Sales Reports and Analytics in Business Central
Sales reporting in Business Central allows sales and business professionals to get insights and statistics about
current and past sales activities.
Reports
The following table describes some of the key reports in sales reporting.
Customer - Order Summary Shows the order detail with the 107
quantity not yet shipped for each
customer in three periods of 30 days
each, starting from the specified date.
There are also columns with orders to
be shipped before and after the three
periods and a column with the total
order detail for each customer. Use the
report to analyze a company's
expected sales volume.
Customer - Top 10 list Shows information on customers' 111

purchases and balances for a selected
period. You can choose the number of
customers that will be included in the
report. Only customers that have
either purchases during the period or a
balance at the end of the period will be
included.
The customers are sorted in order of
amount, and you can choose whether
they are sorted by sales amount or
balance. The report gives a quick
overview of the customers that
purchase the most or that owe the
most.
Customer/Item Sales Shows a list of item sales for each 113

customer during a selected time
period. The report contains
information on quantity, sales amount,
profit, and possible discounts. It can be
used, for example, to analyze a
company's customer groups.
Inventory - Customer Sale An overview from the perspective of 713

the warehouse sight. This is a different
view compared to the
Customer/Item sale report, and it
shows the item first and then the
customer who bought this product.
Customer - Sales list Shows customer sales for a period. You 119
use it to report to the customs and tax
authorities. You can choose to include
only customers with total sales that
exceed a minimum amount. You can
also specify whether you want the
report to show address details for each
customer.
The report is based on recorded sales
(LCY) from customer ledger entries. At
the bottom of the report, the total
reported sales are shown in LCY. The
total is based on the customers you
have included in the report, that is the
customers that are within the filters on
the Customer FastTab and that have
total sales greater than the amount
specified in the Amounts (LCY)
Greater Than field on the Options
FastTab.
Customer - Balance to date Shows a detailed balance for selected 121

customers. Use the report at the close
of an accounting period or fiscal year,
for example.
Customer - Trial Balance Shows a detail balance for selected 129

customers. You can use the report to
verify that the balance for a customer
posting group is equal to the balance
on the corresponding G/L account on
a certain date. Use the report at the
close of an accounting period or fiscal
year, for example. If you need a more
detailed version of this type of report,
use the Customer Detail Trial
Balance (104) report.
Sales Statistics Shows amounts for sales, profit, 112

invoice discount, and payment
discount in LCY, and the profit
percentage for each customer. The
costs and profits are given as both the
original and adjusted amounts. The
original costs and profits are those
values that were calculated at the time
of posting, and the adjusted costs and
profits reflect changes to the original
costs of the items in the sales. The cost
adjustment amount shown in the
report is the difference between the
original cost and the adjusted cost.
The figures are divided into three
periods. You can select the length of
the period, starting on a selected date.
There are also columns for amounts
before and after the three periods. Use
the report to analyze earnings from an
individual customer and earnings
trends, for example.
Sales Reservation Avail. Shows the availability of items for 209

shipment on sales documents. You
determine whether the report
indicates the status of each document
or of each sales line. When you print
the report, you can also update the
quantity that is available for shipment
in the Qty. to Ship field on the sales
lines. Then you can use the report to
determine which documents to post.
There is also a capability with which
you could set the amount of goods to
be shipped. Note : This report is not
available for advanced warehouse
functionality.
Warehouse Shipment Status This report can be used for all 7313
locations where the Require
Shipment field is selected. The
Warehouse Shipment Status report
shows you all unposted warehouse
shipment documents, including the
locations, bin codes, document status,
quantities, and so on. This report is
perfect to get an overview.
Inventory Picking List Displays a list of the sales orders in 813

which an item is included. The
following information is shown for
each item: Sales order line with the
name of the customer, variant code,
location code, bin code, shipment date,
quantity to be shipped, and unit of
measure. The quantity to be shipped is
totaled for each item. The report can
be used when items will be collected
from the inventory.
Note : This report is not available for
advanced warehouse functionality.
Inventory Sales Back Orders Shows a list with the order lines whose 718
shipment date has been exceeded. The
following information is shown for the
individual orders for each item:
number, customer name, customer's
telephone number, shipment date,
order quantity and quantity on back
order. The report also shows whether
there are other items for the customer
on back order.
Inventory Order Details Displays a list of the orders that have 708
not yet been shipped and the items in
the orders. It shows the order number,
customer's name, shipment date, order
quantity, delayed quantity, outstanding
quantity, and unit price, as well as any
potential discount percentage and
amount. The quantity on back order
and outstanding quantity and amount
are totaled for each item. Use the
report to find out whether there are
currently shipment problems or any
can be expected.
Tasks
See also
Setting Up Sales
Sales
Reserve Items
Walkthrough Conducting a Sales Campaign
A campaign is any kind of activity that involves several contacts. An important part of setting up a campaign
involves selecting the target audience for your campaign. For this purpose, in Business Central, you create a
segment, or a group of contacts using filters.
You use these features in Sales & Marketing to carefully plan your marketing activities and to manage your
interactions with contacts and customers. You can create campaigns and set up segments of your contacts for
mailings and other types of interactions with your contacts and prospective customers.
The Campaign and Segment features with their automated processes enable you to plan, organize, and keep
track of your marketing activities. This will increase the chances of winning new customers and retaining
existing customers.

This walkthrough demonstrates the process for following up on a trade show and targeting potential customers
(contacts) in a follow-up campaign.
The walkthrough introduces the campaign and segment management feature in the Sales & Marketing
department. This walkthrough illustrates the following tasks:
Preparing the data.
Setting up a campaign.
Selecting the target audience.
Mining data.
Sending letters to contacts.
Registering campaign responses.
Roles
Marketing Manager or Sales Manager
Marketing Staffer
Prerequisites
Before you can perform the tasks in the walkthrough, you must install the Business Central.
Story
The marketing manager in the Sales department of CRONUS is responsible for planning campaigns and for
executing them. He also makes decisions about which trade shows to participate in and he evaluates campaign
progress.
The marketing staffer in the Marketing department handles producing, distributing, and placing marketing
material.
The company has just launched a new product called the Rome Guest Chair. The product was recently promoted
at a trade show, Office Futurus. Many customers expressed great interest in the product, and as part of a
promotional effort, customers who bought Rome Guest Chair during a campaign period were offered a special
campaign price.
One of the marketing staffer’s tasks after the trade show is to enter all the potential customers as contacts.
The marketing manager sets up a campaign, creates a segment that contains all the new contacts and then
mines the contact data to select the target audience for the campaign.
The staffer helps send out thank you letters to all the contacts who left their cards with the staff at the stand, and
finally, the manager records all the responses they receive from the prospective customers.
Setting Up a Campaign
As soon as the staffer has entered the business cards received at the trade show, the marketing manager sets up
a campaign card to manage the activities involved in the campaign.
To set up a campaign
1. Choose the icon, enter Campaigns , and then choose the related link.
2. Choose the New action to create a new campaign. On the campaign card, press Enter to have a campaign
3. In the Description field, enter a description for the campaign, for example, Office Futurus trade show .
4. Choose the Status Code field, and select the status code "1-PLAN".
5. Fill in the Star ting Date and Ending Date fields of the campaign as appropriate.
Selecting the Target Audience

The marketing manager creates a segment to select the contacts that they want to interact with.
When you create a segment, you can use a variety of criteria to select the contacts that must be targets for the
segment. For example, you can select contact persons who work at a customer site or a prospective customer
site who are responsible for purchases at their company. You use filters to add contacts according to the criteria
that best fit your purposes. For example, you can choose to filter by the job responsibility of the contact person
or the business relation or industry of the contact company. For this walkthrough, we'll choose the Job
Responsibility filter to select contacts.
To create a segment with the relevant contacts
1. Choose the Navigate action, and then choose Segments .
2. Choose the New action to create a new segment. On the segment card, select Enter to have a segment
3. On the General FastTab, in the Description field, enter, for example, Visitors at the Office Futurus trade
show .
4. Choose the Add Contacts action to open the Add Contacts filter.
5. Scroll down to the Contact Job Responsibility FastTab, select the Purchase filter as the Job
Responsibility Code and choose the OK button.
The Segment page now contains a list of contacts based on the filter you entered. On the General FastTab, in
the No. of Lines field, you can see at a glance the number of contacts that meet these criteria.
NOTE
You can save your segmentation criteria to be reused at a later stage.
To save your segmentation criteria

2. Choose Functions , then Segment , and then choose the Save Criteria action.
3. On the Save Segment Criteria page, enter a code for the segment. In the Description field, enter a
description of the segment criteria.
Mining the Data

The marketing manager takes a closer look at the segmented list of contacts and realizes that the list is much
too big. He decides to reduce the list based on actual, prospective customers to make sure he focuses on the
correct target group. This process of refining and reducing the data is also referred to as data mining.
To remove contacts from the segment
2. In the menu bar below, choose Functions , choose Contacts , and the choose Reduce Contacts .
This opens the Remove Contacts – Reduce dialog.
4. On the Contact Business Relation FastTab, select the CUST filter as the Business Relation Code , and
The Segment page now contains a reduced list of contacts, and in the No. of Lines field, you can see the
number of contacts that now meet these new criteria.
NOTE
If you have to reverse this removal of a group of contacts, you can do this using the Go Back function. In other words,
you can undo your last segmentation.
To bring back the removed contacts

1. On the Segment page, choose the Segment action.
2. Choose the Go Back action.
The contacts that you just removed are added back to the list of contacts.
Linking a Segment to a Campaign

The marketing manager decides that the reduced list is the final list of contacts that they want to be part of the
campaign. They therefore link this segment to the campaign FUTURUS trade show.
To link a segment to the campaign
1. On the Segment page, on the Campaign FastTab, choose the Campaign No. field to select the campaign
that you want the segment to be attached to, for example, CP0001 .
2. Select Yes .
3. Since this segment is the target of the campaign, select the Campaign Target check box and choose Yes .
Sending Letters and Email Messages to Contacts

The marketing staffer helps the marketing manager send out correspondence to the prospective customers, in
which they thank them for visiting the trade show.
To use a segment to send a letter to a contact
NOTE
In this procedure you have to attach a Word document. You can add attachments in any language.
NOTE
If needed click on the Edit Pencil icon to open the page in edit mode.
1. Open the Segment card for the Visitors at the FUTURUS trade show .
2. On the Interaction FastTab, in the Interaction Template Code field, select the Business Letter template
code BUS and select Yes .
3. Choose the Language Code (Default) field to open the Segment Interaction Languages page. Select a
Language Code and then choose the OK button.
4. Make sure that the Correspondence Type (Default) is set to Hard Copy .
5. In the Attachment field select the Ellipsis box. This opens the Import Attachment dialog.
a. Select the Choose button to choose your file.
b. Find the file and select the Open button to attach it.
Press the Tab key to leave the field, and select the Yes button.
7. Slide the Send Word Docs as Attmt to on and select the Yes button.
8. Choose the action Log . In the Log Segment pop-up window enable: Create Follow-up Segment
9. Choose the OK button to start the Log Segment batch job .
The attachments are sent. When the process is done, choose the OK button for the message that states that the
segment has been logged.
The letters are automatically printed and the segment is logged. Because the segment has been logged, it is no
longer in the list of segments but is moved to the list of logged segments. To see that list, Choose the icon,
After the segment is logged, each letter that is sent is recorded as an interaction, which you can view in the log.
Choose the icon, enter Interaction Log Entries , and then choose the related link. There is an entry for each
sent letter.
To send an email message to a contact
1. On the Interaction FastTab, in the Interaction Template Code field, select the Business Letter template,
code BUS .
3. In the Correspondence Type field, choose E-Mail .
4. Specify language settings, and attach a Word document, as in the previous procedure.
5. Choose the Log action. The Log Segment page opens.
6. Select the Send Attachments check box to have the attachments sent by email.
7. Select the Create Follow-up Segment check box.
The letters are automatically sent by email, and the segment is logged. Because the segment has been logged, it
is no longer in the list of segments but is saved in the list of logged segments. To see that list, Choose the icon,
Registering Campaign Responses
During the next couple of weeks, the prospective customers respond to the letter. The marketing manager wants
to keep track of the responses and record these interactions.
For this purpose, set up a segment for the contacts who have responded to the letter.
To register campaign responses
1. On the Segment page, on the Interaction FastTab, choose the Interaction Template Code field.
There is no interaction template for recording responses to campaigns. Therefore, create a new template.
2. On the Interaction Templates dropdown, choose the New action.
3. In the Code field, enter RESP , and in the Description field, enter Campaign Responses .
5. Choose Yes to confirm that you want to apply this interaction template code to all segment lines.
6. On the Campaign FastTab, select the Campaign Response field. Choose Yes to confirm the message You
have modified Campaign Response.
7. On the Segment page, choose the Log action.
8. On the Log Segment page, clear the Send Attachments check box. Then choose the OK button to confirm
the message that the segment has been logged.
See Also
Walkthrough: Setting Up and Invoicing Sales
Prepayments
This walkthrough takes you through the process of setting up and using prepayments in Business Central.
the same invoice.
For example, you can send additional prepayment invoices if additional items are added to the order.

This walkthrough will take you through the following scenarios:
Setting up prepayments
Creating an order that requires a prepayment
Creating a prepayment invoice
Correcting the prepayment requirements on an order
Applying prepayments to an order
Invoicing the final amount on an order with prepayment
Roles
Accounting Manager (Phyllis)
Order Processor (Susan)
Accounts Receivable Administrator (Arnie)
Story
Phyllis is an accounting manager. She makes decisions about which customers are required to pay a deposit
before items are manufactured or shipped. Phyllis sets up Business Central to calculate prepayments
automatically.
Susan is a sales order processor. When a customer calls to place an order, she enters the order into the system
while the customer is on the telephone. This way, she can verify prices and payment terms with the customer
immediately, and she can make adjustments to the order while she negotiates with the customer.
Arnie works in the Accounts Receivable department, where he posts invoices and payments.
In this scenario, Phyllis sets up prepayment requirements for the customer Selangorian, based on their credit
history, and gives Susan instructions for how to handle their orders.
When the customer calls, Susan negotiates with the customer until they reach an agreement. She can then
choose to calculate the prepayment in several different ways.
After Susan sends the prepayment invoice, the customer orders an extra item. Susan updates the order and
creates a second prepayment invoice.
Arnie registers the customer's payment and applies it to the invoices, and then sends the final invoice.
Setting Up Prepayments
Phyllis sets up the system to handle prepayments for customers.
Phyllis decides to have the same number series for prepayments as the one used for sales invoicing.
Phyllis sets application to check if prepayments are required before final invoicing on an order.
Phyllis sets up default values for a required prepayment percentage for particular items and customers.
The following procedures describe how to complete Phyllis' tasks:
To set up number series for prepayments
2. On the Sales & Receivables Setup page, expand the Number Series FastTab.
3. Verify that the number series for posted prepayment invoices in the Posted Prepmt. Inv. Nos. field is the
same as for posted sales invoices (Posted Invoice Nos.) and the number series for posted prepayment
credit memos (Posted Prepmt. Cr. Memo Nos.) is the same as for posted credit memos (Posted Credit
Memo Nos.).
To block shipments for unpaid prepayment
1. On the Sales & Receivables Setup page, on the General FastTab, select the Check Prepayment when
Posting check box.
Now you cannot ship or invoice an order that has an unpaid prepayment amount.
By default, Phyllis requires customer 20000 to be invoiced for a 30% down payment on all orders. Therefore,
she will enter a default prepayment percentage on the customer card.
Phyllis requires all customers to be invoiced a 20% deposit for item 1896-S. Customer 20000 has a poor
payment history. Therefore, she requires a 40% prepayment from customer 20000 for item 1896-S. The
following procedure illustrates how to set up default prepayment percentages.
To assign default prepayment percentages to customers and items
2. Open the card for customer 20000 (Trey Research).
3. On the Payments FastTab, in the Prepayment % field, enter 30 .
4. Choose the Related action, select the Sales menu item, and then choose the Prepayment Percentages
menu item.
5. Fill in two lines on the Sales Prepayment Percentages page as follows.
SA L ES T Y P E SA L ES C O DE IT EM N O. P REPAY M EN T %
Customer 20000 1896-S 40
Customer 20000 1900-S 30

TIP
Depending on your country/region, you must also specify a tax group code on the Costs & Posting FastTab for
item 1896-S. When you use the demonstration company, this field is already set.
6. Close all pages.

To specify an account for sales prepayments in general posting setup
2. Select the line where the Gen. Bus. Posting Group field is set to DOMESTIC , and the Gen. Prod. Posting
Group field is set to RETAIL .
3. In the Sales Prepayments Account field, specify the relevant account. Your selection is automatically
saved.
TIP
If you cannot see the field in the General Posting Setup page, then use the horizontal scroll bar at the bottom of the
Creating an Order that Requires a Prepayment

In the following scenario, Susan, the order processor, creates an order when talking to a customer. The items that
the customer orders require a prepayment, and the customer has made some late payments in the past.
Therefore, Susan has been instructed to require a fixed amount of 800 as a prepayment on the order.
The customer requests to be able to pay 35%, to which Susan can agree. Therefore, she changes the order.
Susan creates the prepayment invoice and sends it to the customer.
To create a sales order with a prepayment
3. In the Customer Name field, choose Trey Research .
4. Close the overdue balance warning that is displayed.
5. Fill in two sales lines with the following information.
TYPE N O. Q UA N T IT Y
Item 1896-S 1
Item 1900-S 1
By default, the prepayment fields on the sales line are hidden, so you must display them. To do this you
need to personalize the page. For more information, see To start personalizing a page through the
6. Verify that the Prepayment % field on the line with item 1900-S contains 30 . The default value was
taken from the sales header, which was populated from the customer card.
The Prepayment % field on the line with item 1896-S contains 40 . This is the percentage you entered
on the Sales Prepayment Percentages page for item 1896-S and customer 20000 .
For more information, see Set Up Prepayments.
7. In the Order action, choose Statistics .
8. On the Prepayment FastTab, the Prepayment Amount Excl. VAT field contains 458.16 . If you create a
prepayment invoice for the order now, then this is the amount that is displayed on the invoice.
In this scenario, Susan has been instructed to suggest a total prepayment of 800 for the order.
IMPORTANT
Depending on your country/region, the following step might not apply.
9. Change the amount in the Prepmt. Amount Excl. Tax field to 800 and then close the page.
10. Verify the Prepayment % field on the sales lines, and you will see that it has been recalculated to
67.02438 and 67.02282 .
The recalculation includes all lines that have a prepayment percentage that is greater than 0.
Now the customer asks if the prepayment percent can be set to 35%. Susan's supervisor approves the
change.
11. On the Sales Order page, on the Prepayment FastTab in the Prepayment % field, enter 35 .
12. In the warning that appears, choose the Yes button. A rate of 35% will be applied as the payment
percentage for the whole order.
13. Verify that the lines have been updated accordingly.
Creating a Prepayment Invoice

After entering the correct prepayment values on the order, Susan creates the prepayment invoice and sends it to
the customer.
1. On the Sales Order page, choose Actions , then Posting , then Prepayment and then select Post and
Print Prepayment Invoice
NOTE
Susan would now send the invoice to the customer.
Creating an Additional Prepayment Invoice

The following day, the customer calls Susan and makes changes to the order. The customer wants two of item
1896-S. Susan reopens and updates the order, and then she creates a second prepayment invoice on the order
and sends it to the customer.
To create an additional prepayment invoice
1. On the Sales Order page, choose the Release action, and then Reopen .
2. On the line for item 1896-S , in the Quantity field, enter 2 .
In the Order action, choose Statistics . The Prepayment Amount Excl. VAT field now contains 768.04 ,
and the Prepmt. Amt. Inv. Excl. VAT field contains 417.76 . This shows that there is an additional
prepayment amount that has not been invoiced yet.
3. To post an invoice for the additional prepayment amount, choose Actions , then Posting , then
Prepayment and then select Post and Print Prepayment Invoice
Applying the Prepayments

The customer pays the prepayments amount and Arnie, who works in the accounts department, registers the
payment and applies it to the prepayment invoices.
To apply a payment to the prepayment invoices
2. Fill in a journal line with the following information.
F IEL D N A M E EN T ER
Document Type Payment
Account Type Customer
Account No. 20000
3. Choose the Process action, and then Apply Entries .

4. On the Apply Customer Entries page, select the first prepayment invoice, and then choose the
Process action, and then choose the Set Applies-to ID action.
5. Repeat the previous step for the second prepayment.
The Amount fields have now been filled in with the sum of the two prepayment invoices.
7. To post the journal, choose the Post/Print action, then select Post .
Invoicing the Remaining Amount

Now Arnie has been informed that the items on the order have been shipped and that the order is ready for
invoicing. Arnie creates the invoice for the order.
To invoice the remaining amount
1. Open the sales order.
2. Choose the Posting action, then Post .
3. Select Ship and Invoice , and then choose the OK button.
4. If you want to preview the invoice, choose the Yes button.
NOTE
Normally, the shipping department would have already posted the shipment.
Arnie can view the history to verify that the sales invoice was created as intended.
Next Steps
This walkthrough has taken you through steps to set up Business Central to handle prepayments. You have set
up default prepayment percentages on customers and items, and you have also used different methods to
calculate the prepayments on an order. You have tried to assign one total prepayment amount to the order, and
you have had the prepayment amount calculated as a percentage of the whole order.
You have also posted a prepayment invoice, created a second prepayment invoice when the order has changed,
and posted the final invoice for the remaining amount.
The prepayments functionality in Business Central makes it easy to set up and enforce prepayment rules for
customers and items, and it enables you to post every payment against an invoice.

See also
Finance
Customers are the source of your income. You must register each customer you sell to as a customer card.
Customer cards hold the information that is required to sell products to the customer. For more information, see
Invoice Sales and Register New Items.
Before you can register new customers, you must set up various sales codes that you can select from when you
fill in customer cards. For more information, see Setting Up Sales.
Adding new customers

You can add new customers manually, by filling out the fields on the Customer Card page, or you can use
templates that contain predefined information. For example, you can create a templates for different types of
customer profiles. Using templates saves time when adding new customers, and helps ensure that the
information is correct each time. If you create templates for more than one type of customer, you can choose the
template to use when you add a customer. If you create only one template it will be used for all new customers.
After you create a template, you can use the Apply Template action to apply it to one or more selected
customers. To create a template, you fill in the information that you want to reuse on the Customer Card page,
and then save it as a template. For more information, see To save the customer card as a template
TIP
It can be helpful to personalize the Customer Template page when you create a template. For example, you might want
to add the Credit Limit field to a template. For more information, see Personalize Your Workspace.
You can also create a customer from a contact. For more information, see To create a customer, vendor,
employee, or bank account from a contact.
To create a new customer card
2. On the Customers page, choose the New action.
If only one customer template exists, then a new customer card opens with some fields filled with
information from the template.
If more than one customer template exists, then a page opens from which you can select a customer
template. In that case, follow the next two steps.
3. On the Select a template for a new customer page, choose the template that you want to use for the
new customer card.
4. Choose the OK button. A new customer card opens with some fields filled with information from the
template.
5. Proceed to fill or change fields on the customer card as necessary. Hover over a field to read a short
description.
The Prices & Discounts action provides options for managing special prices or discounts for the customer
when an order meets certain criteria. For example, the criteria might be when they're purchasing a certain item,
ordering a minimum quantity, or buying before a date, such as when a campaign ends. For more information,
see Record Sales Price, Discount, and Payment Agreements.
The customer is now registered, and the customer card is ready to be used on sales documents.
If you want to use this customer card as a template when you create new customer cards, you can save it as a
template. For more information, see the following section.
To save the customer card as a template
1. On the Customer Card page, choose the Save as Template action. The Customer Template page opens
showing the customer card as a template.
3. To reuse dimensions in templates, choose the Dimensions action. The Dimension Templates page opens
showing any dimension codes that are set up for the customer.
4. Edit or enter dimension codes that will apply to new customer cards created by using the template.
5. When you have completed the new customer template, choose the OK button.
The customer template is added to the list of customer templates, so that you can use it to create new customer
cards.
Deleting customer cards

If you have posted a transaction for a customer, you cannot delete the card because the ledger entries may be
needed for auditing. To delete customer cards with ledger entries, contact your Microsoft partner to do so
through code.
Managing credit limits

Credit limits, balance amounts, and payment terms make it possible for Business Central to issue a credit and an
overdue balance warning when you enter a sales order. Furthermore, reminder term and finance charge term
facilities allow you to invoice interest and/or additional fees.
The Credit Limit field on a customer card specifies the maximum amount that you allow the customer to
exceed the payment balance before warnings are issued. Then, when you enter information in journals, quotes,
orders, and invoices, Business Central tests the sales header and individual sales lines to see if the credit limit
has been exceeded.
You can post even though the credit limit has been exceeded. If the field is left blank, there will be no credit limit
for this customer.
You can choose not to have warnings telling you that the customer's credit limit has been exceeded, and you can
specify which types of warning you want to see.
To specify credit limit warnings
2. On the General FastTab, in the Credit Warnings field, choose the relevant option as described in the
following table:
Both Warnings Both the Credit Limit and the Balance Due fields on
the customer's card are checked, and a warning is shown
if the customer has exceeded its credit limit or if the
customer has an overdue balance.
Credit Limit The value in the Credit Limit field on the customer's
card is compared with the customer's balance, and a
warning is shown if the customer's balance exceeds this
amount.
Overdue Balance The Balance Due field on the customer's card is

checked, and a warning is shown if the customer has an
overdue balance.
No Warning No warnings are shown about the customer's status.

See also
Defining Payment Methods
Sales
Setting Up Sales
Make Sales Quotes
You create a sales quote to record your offer to a customer or a prospect to sell certain products on certain
delivery and payment terms. You can send the sales quote to the customer to communicate the offer. You can
email the document as a PDF attachment. You can also have the email body prefilled with a summary of the
quote. For more information, see Send Documents by Email.
While you negotiate with the customer or prospect, you can change and resend the sales quote as much as
needed. When the customer accepts the quote, you convert the sales quote to a sales invoice or a sales order in
which you process the sale. For more information, see Invoice Sales or Sell Products.
In most cases, you send sales quotes to prospective customers. You often have a contact person that you
negotiate with. If they then accept your offer, you turn the sales quote into an order and register the prospect as
a customer in Business Central. In the following procedure, we focus on contacts, but you can also send quotes
to existing customers.
To create a sales quote

1. Choose the icon, enter Sales Quotes , and then choose the related link.
2. Specify the contact or customer that you want to send the sales quote to.
If the sales quote is for an existing contact, then specify the name in the Contact No. field.
If the sales quote is for an existing customer, specify the customer in the Customer field.
If the contact is not registered, follow these steps:
a. In the Contact No. field, choose the edit button .

b. In the dialog box about selecting the contact, choose the New action, and then fill in the
relevant fields. Hover over a field to read a short description. For more information, see Create
Contacts.
c. When you have completed the contact card, select the newly created contact in the list of
contacts, and then choose the OK button to return to the sales quote.
Several fields on the sales quote are now filled with information that you specified on the new
contact card.
NOTE
To correctly calculate taxes and prices for a quote, you must choose the relevant customer template in the
Customer Template Code field. The template will be used to convert the contact to a customer once
the quote is converted to a sales order or invoice.
If the quote is for new customer, you must add the customer. For more information, see Register
New Customers.
3. Fill in the remaining fields on the Sales Quote page as necessary. Hover over a field to read a short
description.
You are now ready to fill in the sales lines for products that you are selling or for any transaction with the
customer or prospect that you want to record in a G/L account.
If you have set up recurring sales lines for the customer, such as a monthly replenishment order, then you
can insert these lines on the order by choosing the Get Recurring Sales Lines action.
You leave the No. field empty in the following cases:
If the line is for a comment. Write the comment in the Description field.
If the line is for a catalog item. Choose the Select Catalog Items action. For more information, see
Work With Catalog Items.
for the customer.
NOTE
If the item is of type Ser vice , or the Type field contains Resource , then the quantity is a time unit, such as hours,
as indicated in the Unit of Measure Code field on the line. For more information, see Set Up Item Units of
Measure
The value in the Line Amount field is calculated as Unit Price x Quantity.
The price and line amounts are with or without sales tax, depending on what you selected in the Prices
Including Tax field on the customer card.
If special item prices are set up on the Sales Prices and Sales Line Discounts FastTab on the customer
or item card, the price and amount on the sales line automatically update if the price criteria is met. For
more information, see Record Sales Price, Discount, and Payment Agreements.
8. Repeat steps 4 through 7 for every product you want to offer the contact.
The totals under the lines are automatically calculated as you create or modify lines.
If you have set up invoice discounts for the customer, then the specified percentage value is automatically
inserted in the Invoice Discount % field if the criteria are met, and the related amount is inserted in the
Inv. Discount Amount Excl. Tax field. For more information, see Record Sales Price, Discount, and
Payment Agreements.
TIP
To have the Quote Valid Until Date filled in automatically with a certain number of days after quote creation,
you can fill in the Quote Validity Calculation field on the Sales & Receivables page.
10. When the sales quote lines are completed, choose the Send by Email action.
11. On the Send Email page, fill in any remaining fields and review the embedded sales quote. For more
information, see Send Documents by Email.
12. If the contact accepts the quote, choose the Make Order action.
Alternatively, if your organization prefers that process, choose the Make Invoice action.
NOTE
If you added a customer in step 2, you'll be asked to confirm the conversion of the quote to an order.
If you added a contact from a prospective customer in step 2, you'll be asked to take the following steps:
Convert the contact or prospect to a customer by choosing one of contact conversion templates. For more
information, see To create a customer, vendor, employee, or bank account from a contact.
Confirm the conversion of the quote to an order.
The conversion removes the sales quote from the database. A sales invoice or a sales order is created based on
the information in the sales quote so that you can process the sale. In the Quote No. field on the sales invoice
or sales order, you can see the number of the sales quote that it was made from. For more information, see
Invoice Sales or Sell Products.
External document number

On sales documents and journals, you can specify a document number that refers to the customer's numbering
system. Use this field to record the number that the customer assigned to the order, invoice, or credit memo. You
can then use the number later if, for some reason, you need to search for the posted entry using this number.
The Ext. Doc. No. Mandator y field on the Sales & Receivables Setup page specifies whether it is
mandatory to enter an external document number in the External Document No. field on a sales header and
the External Document No. field on a general journal line.
If you select this field, it will not be possible to post an invoice or a general journal line without an external
document number.
The external document number is included in posted documents where you can search by the relevant number.
You can also search using the external document number when navigating on customer ledger entries.
A different way to handle external document numbers is to use the Your Reference field. If you use the Your
Reference field, the number will be included in posted documents, and you can search by it in the same way as
for values from External Document No. fields. But the field is not available on journal lines.

See also
Sales
Setting Up Sales
Archive Documents
Invoice Sales
You create a sales invoice or sales order to record your agreement with a customer to sell certain products on
certain delivery and payment terms.
There are a couple of scenarios where you must use a sales order instead of a sales invoice:
If you need to ship only part of an order quantity, for example, because the full quantity is not on hand.
If you ship products after you post the corresponding sales invoices.
If you sell items that your vendor delivers directly to your customer, known as drop shipment. For more
information, see Make Drop Shipments.
In all other aspects, sales orders and sales invoices work in the same way. For more information about how to
use sales orders, see Sell Products.
You can negotiate with the customer by first creating a sales quote, which you can convert to a sales invoice
when you agree on the sale. For more information, see Make Sales Quotes.
Create sales invoices

If the customer decides to buy, you post the sales invoice to create the related quantity and value entries. When
you post the sales invoice, you can also email the document as a PDF attachment. You can have the email body
prefilled with a summary of the invoice and payment information, such as a link to PayPal. For more
information, see Send Documents by Email. When the customer then pays the invoice, you can register that
payment in different ways, depending on the size and preferred workflows of your organization. For more
information, see the Registering Payments section.
Items cards can be of type Inventor y , Ser vice , and Non-Inventor y to specify if the item is a physical
inventory unit, a labor time unit, or a physical unit that is not kept on inventory. For more information, see
Register New Items. The sales invoice process is the same for all three item types.
You can fill customer fields on the sales invoice in two ways depending on whether the customer is already
registered. See step 2 in the following procedure.
To create a sales invoice
Other fields on the Sales Invoice page contain standard information about the selected customer. If the
customer is not registered, follow these steps:
a. In the Customer field, enter the name of the new customer.
b. In the dialog box about registering the new customer, choose the Yes button.
c. On the Select a template for a new customer page, choose a template to base the new customer
card on, and then choose the OK button.
d. A new customer card displays the information on the selected customer template. Fill in the remaining
fields. For more information, see Register New Customers.
e. When you have completed the customer card, choose the OK button to return to the Sales Invoice
page.
Several fields on the sales invoice are now filled with information that you specified on the new customer
card.
3. Fill in the remaining fields on the Sales Invoice page as necessary. Hover over a field to read a short
description.
NOTE
If you allow the customer to pay immediately, for example, by cash or by PayPal, then fill in the Payment
Method Code field. The payment is then recorded as soon as you post the sales invoice. If you select CASH, then
the payment is recorded in a specified balancing account.
You are now ready to fill in the sales invoice lines for products that you are selling to the customer or for
any transaction with the customer that you want to record in a G/L account.
for the customer.
NOTE
If the item is of type Ser vice , or the Type field contains Resource , then the quantity is a time unit, such as hours,
as indicated in the Unit of Measure Code field on the line. For more information, see Set Up Item Units of
Measure
The value in the Line Amount field is calculated as Unit Price x Quantity.
The price and line amounts are with or without sales tax, depending on what you selected in the Prices
Including Tax field on the customer card.
If special item prices are set up on the Sales Prices and Sales Line Discounts FastTab on the customer
or item card, the price and amount on the sales line automatically update if the price criteria is met. For
more information, see Record Sales Price, Discount, and Payment Agreements.
8. Repeat steps 9 through 12 for every product or charge that you want to invoice the customer for.
The totals fields under the lines are automatically updated as you create or modify lines to display the
amounts that will be posted to the ledgers.
NOTE
In very rare cases, the posted amounts may deviate from what is displayed in the totals fields. This is typically due
to rounding calculations in relation to VAT or sales tax.
To check the amounts that will actually be posted, you can use the Statistics page, which takes into account the
rounding calculations. Also, if you choose the Release action, the totals fields will be updated to include rounding
calculations.
Payment Agreements.
10. When the sales invoice lines are completed, choose the Post and Send action.
The Post and Send Confirmation dialog box displays the customer's preferred method of receiving
documents. You can change the sending method by choosing the lookup button for the Send Document to
field. For more information, see Set Up Document Sending Profiles.
The related item and customer ledger entries are now created in your system, and the sales invoice is output as
a PDF document. The sales invoice is removed from the list of sales invoices and replaced with a new document
in the list of posted sales invoices.
Calculating invoice discounts on sales
When all the items have been entered as lines, you can calculate the invoice discount for the entire sales
document by choosing the Calculate Invoice Discount action.
The discount is calculated based on all the lines in the sales document for items where the Allow Invoice Disc.
field on the sales order line contains Yes . This is the default setting for items. Lines with item charges, for
example, are not included in the calculation of the invoice discount. If you want to apply a discount to such lines,
you must set the Line Discount % field on the relevant lines.
TIP
If the Calc. Inv. Discount field is selected in the Sales and Receivables Setup page, then the invoice discount is
calculated automatically when you do either of the following on a sales document:
View statistics
View a test report
Print
Post
The invoice discount terms for a customer are defined in the Cust. Invoice Discounts page for the customer.
The currency code on the sales document is used to find the invoice discount terms in the corresponding
currency.
If invoice discounts have not been defined for foreign currencies, then the invoice discount terms defined in the
Cust. Invoice Discounts page with amounts in your local currency and the exchange rate on the posting date
on the sales document are used to calculate the invoice discount in the foreign currency.
Posted invoices
Once the invoice has been posted, you can find it in the list of posted invoices. Both the Posted Sales Invoices
list and the Posted Purchase Invoices list show the posted invoices with the final invoice numbers. From the
list, you can look up each posted invoice, and you can correct or cancel a posted invoice.
For each posted invoice, you can look up statistics, dimensions, and the ledger entries that are the result of the
posted invoice. You can also print or send the posted invoice.
You can easily correct or cancel a posted sales invoice before it is paid. For example, this is useful if you want to
correct a typing mistake or if the customer requests a change early in the order process. For more information,
see Correct or Cancel Unpaid Sales Invoices. If the posted sales invoice is paid, then you must create a sales
credit memo to reverse the sale. For more information, see Process Sales Returns or Cancellations.
Open the Posted Sales Invoices list in Business Central.
Registering payments
Depending on your business needs, you can get paid and register that payment in different ways: manually,
automatically, and through payment services.
You can process the payments straight from the customer card. Use the Register Customer Payments action
to get an overview of unpaid invoices for that customer. Then, mark the invoice as paid partially or in full. This
payment reconciliation processes your customer payments by matching amounts received on your bank
account with the related unpaid sales invoices, and then posts the payments. For more information, see To
reconcile payments individually.
In business environments where the customer pays some time after delivery, according to the payment term, a
posted sales invoice remains open (unpaid) until the Accounts Receivable department verifies that payment is
received and applies the payment to the posted sales invoice. This can be done manually or automatically. For
more information, see Reconcile Customer Payments with the Cash Receipt Journal or from Customer Ledger
Entries and Reconcile Payments Using Automatic Application.
In business environments where the customer pays immediately, for example by PayPal or cash, payment is
recorded immediately when you post the sales invoice, that is, the posted sales invoice is closed as fully applied.
You select the relevant method in the Payment Method Code field on the sales order. See under step 8. For
electronic payments, such as PayPal, you must also fill in the Payment Ser vice field. For more information, see
Enable Customer Payments Through Payment Services.
You can even create directly-paid invoices for non-registered customers by first setting up a "cash customer"
card, which you point to on the sales invoice. For more information, see Set Up Cash Customers.
TIP
If you want to send your customers reminders of overdue payments, you must set up reminder levels and terms. For
more information, see Set Up Reminder Terms and Levels.
External document numbers

document number.

See Also
Sales
Setting Up Sales
Inventory
Bulk Invoicing from Microsoft Bookings in Business Central
Sell Products with a Customer Sales Order
This article provides guidance to users on when to use a customer sales order rather than just an invoice. If your
sales process requires that you can only ship parts of an order quantity, for example, because the full quantity is
not available at once, then sell those products by making a customer sales order.
If you sell items by delivering directly from your vendor to your customer, as a drop shipment, then you must
also use sales orders. For more information, see Make Drop Shipments. In all other aspects, sales orders work
the same way as sales invoices. For more information, see Invoice Sales.
When you deliver the products, either fully or partially, you post the sales order as shipped or as shipped and
invoiced to create the related item and customer ledger entries in your system. When you post the sales order,
you can also email the document as a PDF attachment. You can have the email body prefilled with a summary of
the order and payment information, such as a link to PayPal. For more information, see Send Documents by
Email.
In business environments where the customer pays immediately, for example by PayPal or cash, payment is
recorded immediately when you post the sales order as invoiced, that is, the posted sales invoice is closed as
fully applied. You select the relevant method in the Payment Method Code field on the sales order. See under
step 8. For electronic payments, such as PayPal, you must also fill in the Payment Ser vice field. For more
information, see Enable Customer Payments Through Payment Services.
You can even create directly-paid orders for non-registered customers by first setting up a "cash customer" card,
which you point to on the sales order. For more information, see Set Up Cash Customers.
To create a sales order

NOTE
The following procedure assumes that the customer is already set up. For instructions on how to do this, please see
Register New Customers.
Other fields on the Sales Order page are now filled with the standard information of the selected
customer.
4. Fill in the remaining fields on the Sales Order page as necessary. Hover over a field to read a short
description.
NOTE
If you allow the customer to pay immediately, for example, by credit card or PayPal, then fill in the Payment
Method Code field. The payment is then recorded as soon as you post the sales order as invoiced. If you select
CASH, then the payment is recorded in a specified balancing account.
You are now ready to fill in the sales order lines with inventory items or services that you want to sell to
the customer.
6. In the No. field, enter the number of an inventory item or service.
7. In the Quantity field, enter the number of items to be sold.
NOTE
For items of type Resource or Service, the quantity is a time unit, such as hours, as indicated in the Unit of
Measure Code field on the line. For more information, see Set Up Item Units of Measure.
The Line Amount field is updated to show the value in the Unit Price field multiplied by the value in the
Quantity field.
The price and line amounts are shown with or without sales tax depending on what you selected in the
Prices Including Tax field on the customer card.
8. In the Line Discount % field, enter a percentage if you want to grant the customer a discount on the
product. The value in the Line Amount field is updated accordingly.
If you have set up special item prices on the Sales Prices and Sales Line Discounts FastTab on the
customer or item card, then the price and amount on the quote line are automatically updated if the
agreed price criteria are met. For more information, see Record Sales Price, Discount, and Payment
Agreements.
9. To add a comment about the order line that the customer can see on the printed sales order, write a
comment in the Description field on an empty line.
10. Repeat steps 5 through 9 for every item that you want to sell to the customer.
NOTE
In very rare cases, the posted amounts may deviate from what is displayed in the totals fields. This is typically due
to rounding calculations in relation to VAT or sales tax.
To check the amounts that will actually be posted, use the Statistics page, which takes into account the rounding
calculations. Also, if you choose the Release action, the totals fields will be updated to include rounding
calculations.
11. Optionally, in the Invoice Discount Amount field, enter an amount that should be deducted from the
value shown in the Total Incl. Tax field.
Payment Agreements.
12. To only ship a part of the order quantity, enter that quantity in the Qty. to Ship field. The value is copied
to the Qty. to Invoice field.
13. To only invoice a part of the shipped quantity, enter that quantity in the Qty. to Invoice field. The
quantity must be lower than the value in the Qty. to Ship field.
14. When the sales order lines are completed, choose the Post and Send action.
IMPORTANT
When you post an order, you create a shipment and an invoice. These documents can be done at the same time or
independently. You can also create a partial shipment and a partial invoice by filling in the Qty. to Ship and Qty. to
Invoice fields on the individual sales order lines before you post. Note that you cannot create an invoice for something
that is not shipped. That is, before you can invoice, you must have recorded a shipment, or you must choose to ship and
invoice at the same time.
The Post and Send Confirmation dialog box displays the customer's preferred method of receiving
documents. You can change the sending method by choosing the lookup button for the Send Document to
field. For more information, see Set Up Document Sending Profiles.
The related item and customer ledger entries are now created in your system, and the sales order is output as a
PDF document. When the sales order is fully posted, it is removed from the list of sales orders and replaced with
new documents in the list of posted sales invoices and the list of posted sales shipments.

document number.

See also
Sales
Setting Up Sales
Inventory
You can print an inventory picking list directly from a sales order and other documents that initiate the shipment
of items.
This report is typically used in companies without dedicated functionality for warehouse management, so that
an inventory worker can simply view or print the picking list from the related sales document. In companies
with higher volume or more complex processes, picking is planned and performed in dedicated warehouse
documents. For more information, see Pick Items.
To print a picking list from a sales order

The following procedure is based on a sales order. The steps are similar for all other documents that can be used
to initiate shipment of items, such as a transfer order.
2. Open the sales order that you want to pick items for.
3. Choose the Repor t action, and then choose the Picking List by Order action.
4. Choose the Print button to print the picking list or choose the Preview button to view it on the screen.
You can also save the picking list as a document, for example, to send to someone or to add as an attachment to
the sales order. For more information, see Manage Attachments, Links, and Notes on Cards and Documents.
NOTE
If you used the Explode BOM function on the sales order, then only the components of the related assembly item are
shown in the report. For more information, see Work with Bills of Material.
See Also
Inventory
Pick Items
Posting Sales
Under the Posting menu in a sales document, you can choose between the following posting functions:
Post
Post and New
Post and Send
Preview Posting
Post Batch
Test Repor t
NOTE
For sales orders, you can also see options related to the prepayments functionality. For more information, see Invoicing
Prepayments.
When you have completed all the lines and entered all the information on the sales order, you can post it. This
creates a shipment and an invoice.
When a sales order is posted, the customer's account, the general ledger, and the item ledger entries are
updated.
For each sales order, a sales entry is created in the G/L Entr y table. An entry is also created in the customer's
account in the Cust. Ledger Entr y table and a general ledger entry is created in the relevant receivables
account. In addition, posting the order may result in a VAT entry and a general ledger entry for the discount
amount. Whether an entry for the discount is posted depends on the contents of the Discount Posting field on
the Sales & Receivables Setup page.
For each sales order line, an item ledger entry will be created in the Item Ledger Entr y table (if the sales lines
contain item numbers) or a general ledger entry will be created in the G/L Entr y table (if the sales lines contain
a general ledger account). In addition to this, sales orders are always recorded in the Sales Shipment Header
and Sales Invoice Header tables.
IMPORTANT
When you post an order, you create a shipment and an invoice. These documents can be done at the same time or
independently. You can also create a partial shipment and a partial invoice by filling in the Qty. to Ship and Qty. to
Invoice fields on the individual sales order lines before you post. Note that you cannot create an invoice for something
that is not shipped. That is, before you can invoice, you must have recorded a shipment, or you must choose to ship and
invoice at the same time.
You can either post, or post and send. If you choose to post and send, a PDF file is generated that you can then
send. You can also choose the Post Batch function, which lets you post several orders at the same time. For
more information, see Post Multiple Documents at the Same Time.
Viewing Ledger Entries

When the posting is completed, the posted sales lines are removed from the order. A message tells you when
the posting is completed. After this, you will be able to see the posted entries in the various pages that contain
posted entries, such as the Cust. Ledger Entries , G/L Entries , Item Ledger Entries , Posted Sales
Shipments , and Posted Sales Invoices pages.
In most cases, you can open ledger entries from the affected card or document. For example, on the Customer
Card page, choose the Ledger Entries action.
Editing Ledger Entries

You can edit certain fields on posted purchase documents, such as the Package Tracking No. field. For more
information, see Edit Posted Documents. For more critical fields that affect the auditing trail, you must reverse or
undo posting. For more information, see Reverse Journal Postings and Undo Receipts/Shipments.

See Also
Sales
If you often need to create sales and purchase lines with similar information, you can set up standard lines that
you can then insert on recurring sales and purchase documents, for example, for recurring replenishment
orders.
The following procedures show how to work with standard sales lines on a sales invoice. It works in a similar
way for all other sales documents and for all purchase documents.
To set up recurring sales lines

1. Choose the icon, enter Recurring Sales Lines , and then choose the related link.
2. On the Recurring Sales Lines page, choose the New action.
3. On the General FastTab, fill the fields as necessary. Hover over a field to read a short description.
4. On the Lines FastTab, enter information in the fields to prepare sales lines that reflect the standard lines that
you expect to use as recurring lines on sales documents.
NOTE
You cannot define prices on recurring sales lines because prices, discounts, etc. are calculated on the actual sales
documents after you insert the recurring sales lines.
TIP
In the default version of Business Central, line numbers are hidden. If you want to see the line numbers, you must
personalize the current page and add the Line No. field. For more information, see Personalize Your Workspace.
To assign recurring sales lines to a customer

Assign one or more recurring sales lines to a customer so that they are available to insert on sales documents
for that customer.
2. Open the card for a relevant customer.
3. Choose the Recurring Sales Lines action.
4. On the Recurring Sales Lines page, select codes for the recurring sales lines that you want to be able to
insert on sales documents for the customer.
5. Fill in the additional fields to define when, how, and where the recurring sales lines are to be used.
If you plan to use the recurring sales lines set together with the Create Recurring Sales Invoices batch
job, use the Valid From Date and Valid To Date fields to restrict when the recurring sales lines are
used for creation of invoices. For more information, see To create multiple sales invoices based on
standard sales lines.
You can also specify a direct-debit payment method and a direct-debit mandate. The sales invoices that
are created with the Create Recurring Sales Invoices batch job will then include the information
required to collect payment with SEPA direct debit. For more information, see Collect Payments with SEPA
Direct Debit.
6. In the four fields where you select how the lines are inserted on four document types, select one of the
following options:
Manual You must manually look up and insert a recurring sales line
that exists for the customer.
Automatic If multiple recurring sales lines exist for the customer, you
will get a notification from where you can pick which one to
insert. If only one recurring sales line exists, it will be inserted
automatically.
Note that this only works if the new document was created
from a document list, for example by choosing the New
action on the Sales Orders page. It does not work if the
document was created from a customer card, for example.
Always Ask A notification appears and all existing recurring sales lines
are shown so that you can select one.
To insert recurring sales lines on a sales invoice

If recurring sales lines exist for the customer, you can insert them, or have them inserted, on all types of sales
documents, such as a sales invoice. If you have activated the Always Ask options, you will be informed if
recurring sales lines exist.
1. Choose the icon, enter Invoices , and then choose the related link.
2. Open the sales invoice that you want to insert one or more standard sales lines on.
3. Choose the Get Recurring Sales Lines action.
4. On the Recurring Sales Lines page, choose the lookup button in the Code field, and then select a set of
standard sales lines.
5. Choose the OK button to insert the standard sales lines on the invoice where you can reuse them as is or edit
the information.
To create multiple sales invoices based on recurring sales lines

You can use the Create Recurring Sales Invoices batch job to create sales invoices according to standard
sales lines that are assigned to the customers and with posting dates within the valid-from and valid-to dates
that you specify on the standard sales lines.
1. Choose the icon, enter Create Recurring Sales Invoices , and then choose the related link.
2. On the Create Recurring Sales Invoices page, fill in the fields as necessary.
3. In the Code filter field, enter the code for standard sales lines that are assigned to a customer that you want
to create sales invoices for.
Sales invoices are created for the customers with the specified standard customer sales code, and any specified
direct-debit information, for posting on the specified date.

See also
Sales
Make Drop Shipments
A drop shipment is the shipment of items from one of your vendors directly to one of your customers.
When a sales order is marked for drop shipment, and you create a purchase order specifying the customer in
the Ship-to field, Customer Address , you can link the two documents to instruct the vendor to ship directly to
the customer.
To create a sales order for drop shipment

To prepare a drop shipment, you create a sales order for an item and indicate on the sales line that the sale
requires drop shipment.
1. Create a sales order for an item. For more information, see Sell Products.
2. On the sales order line for the drop shipment, select the Drop Shipment check box.
TIP
By default, the Drop Shipment check box isn't available on the lines. If it isn't, you can add it by personalizing the section
of page that contains the lines. For more information, see Personalize Your Workspace.
To create the purchase order for drop shipment

To prepare a drop shipment, you indicate on the purchase order that it must be shipped to your customer, not to
yourself.
1. Create a purchase order. Don't fill any fields on the lines. For more information, see Record Purchases.
2. In the Ship-to field, select Customer Address .
3. In the Customer field, select the customer that you're selling to.
4. Choose the Drop Shipments action, and then choose the Get Sales Order action.
5. On the Sales List page, select the sales order that you prepared in To create a sales order for drop shipment.
The line information from the sales order is inserted on the purchase order line(s).
You can now tell your vendor to ship the items directly to the customer. For example, you might send them the
order by email.
If your vendor provides a tracking number or similar information, you can add that information in a purchase
order line of type Comment.
To create multiple purchase orders for drop shipments

You can also use the requisition worksheet to create the purchase order for the vendor.
The advantage of using the requisition worksheet is that it can create purchase orders for all outstanding drop
shipments. That means you won't have to create each one individually.
1. Choose the icon, enter Requisition Worksheets , and then choose the related link.
2. Choose the Drop Shipments action, and then choose the Get Sales Order action.
4. Review the purchase order lines, and in the Vendor No. field, select vendor that supplies required goods.
5. Choose the Carr y Out Action Message action to convert reviewed lines to a purchase order.
To view the linked purchase order from the sales order

Select the drop-shipment sales order line, choose the Order action, choose the Drop Shipment action, and
then choose the Purchase Order action.
To post a drop shipment

After the vendor ships the items, you can post the sales order as shipped. You can also post the purchase order,
but only with the Receive option until the sales order has been invoiced.
2. Open the sales order that you created in To create a sales order for drop shipment.
3. In the Qty. to Ship field, specify how many of the order quantity to ship, the full or a partial order quantity.
4. Choose the Post or Post and Send action.
5. Choose either the Ship option to invoice later, or the Ship and Invoice option to invoice immediately.

See also
Sell Products
Record Purchases
Sales
Inventory
You can create a special order for a specific catalog item to be shipped to a specific customer. Your vendor ships
the item to your warehouse and you can then ship the item on to your customer either independently or
together with other items on another order.
Special orders imply that the purchase and sales order are linked to ensure that the specific catalog item is
picked and delivered to the customer.
Before you can use this feature, you must first set up the customer, vendor, and item cards necessary for the
order.
To create a special order

1. Choose the icon, enter Sales Order , and then choose the related link.
2. Choose the New action. Create and fill in a sales order for the item. For more information, see Sell
Products.
3. On the Lines FastTab, fill in the sales line. In the Purchasing Code field, select a purchasing code that
has the Special Order field selected.
You must now create a purchase order from a requisition worksheet.
4. Choose the icon, enter Requisition Worksheet , and then choose the related link.
5. Choose the Special Order action, and then choose the Get Sales Orders action.
6. On the Get Sales Orders page, show results where the Document No. is the sales order number.
Choose the OK button. A requisition worksheet line is created for the item.
7. On the requisition worksheet line, in the Action Message field, select New .
8. On the Req. Worksheet page, choose the Carr y Out Action Message action. The Carr y Out Action
Msg. - Req. page opens. Choose the OK button.
A message appears telling you that the purchase orders have been created. Choost the OK button.
A purchase order created as a special order for a sales order is respected by the planning system as it balances
demand and supply. That is, the purchase order (supply) remains linked to the sales order (demand), even if that
purchase order could supply another earlier demand. For more information, see Design Details: Reordering
Policies.
NOTE
You cannot use the special order functionality if the item is already reserved. Therefore, for items that are sold on special
orders, make sure the Reser ve field on the item card is not set to Always .

See also
Sales
Make Drop Shipments
Design Details: Reordering Policies
If a customer wants to return items or be reimbursed for items or services that you have sold and received
payment for, you must create and post a sales credit memo that specifies the requested change. To include the
correct sales invoice information, you can do the following:
Create the sales credit memo directly from the posted sales invoice.
Create a new sales credit memo with copied invoice information.
If you need more control of the sales return process, such as warehouse documents for the item handling, or a
better overview when receiving items from multiple sales documents with one sales return, then you can create
sales return orders. A sales return order automatically issues the related sales credit memo and other return-
related documents, such as a replacement sales order, if needed. For more information, see Process sales return
orders.
NOTE
If a posted sales invoice has not yet been paid, then you can use the Correct or Cancel functions on the posted sales
invoice to reverse transactions. These functions only work for unpaid invoices, and they do not support partial returns or
cancellations. For more information, see Correct or Cancel Unpaid Sales Invoices.
A return or reimbursement may relate to only some of the items or services on the original sales invoice. In that
case, you must edit information on the lines on the sales credit memo or sales return order. When you post the
sales credit memo or sales return order, the sales documents that are affected by the change are reversed and a
refund payment can be created for the customer. For more information, see Making Payments.
The credit memo posting will also revert any item charges that were assigned to the posted document, so that
the item's value entries are the same as before the item charge was assigned.
NOTE
The bookkeeping aspects of sales returns, such as the payments to customers as reimbursement, is considered
bookkeeping work and not described here. For more information, see Managing Payables.
To create a sales credit memo from a posted sales invoice

2. On the Posted Sales Invoices page, select the posted sales invoice that you want to reverse, choose the
Cancel action, and then choose the Create Corrective Credit Memo action.
The sales credit memo header contains some information from the posted sales invoice. You can edit this,
for example, with new information that reflects the return agreement.
3. Edit information on the lines according to the agreement, such as the number of returned items or the
amount to reimburse.
4. Choose the Prepare action, amd then choose the Apply Entries action.
5. On the Apply Customer Entries page, select the line with the posted sales document that you want to
apply the sales credit memo to, and then choose the Applies-to ID action.
The identifier of the sales credit memo displays in the Applies-to ID field.
6. In the Amount to Apply field, enter the amount that you want to apply if it's smaller than the original
amount.
At the bottom of the Apply Customer Entries page, you can see the total amount to apply to reverse all
involved entries, namely when the value in the Balance field is zero.
7. Choose the OK button. When you post the sales credit memo, it is applied to the posted sales documents.
After you create or edit sales credit memo lines, and the single or multiple applications are specified, you
can post the sales credit memo.
8. Choose the Posting action, then choose the Post and Send action.
The Post and Send Confirmation dialog box opens showing the preferred sending method for the customer.
You can change the sending method by choosing the lookup button for the Send Document to field. For more
information, see Set Up Document Sending Profiles.
The posted sales documents that you applied the credit memo to are now reversed, and a refund payment can
be created for the customer. The sales credit memo is removed and replaced with a new document in the list of
posted sales credit memos.
To create a sales credit memo by copying a posted sales invoice

2. Choose the New action to open a new empty sales credit memo.
3. In the Customer Name field, enter the name of an existing customer.
4. Choose the Prepare action, then choose the Copy Document action.
5. On the Copy Sales Document page, in the Document Type field, select Posted Invoice .
6. Choose the Document No. field to open the Posted Sales Invoices page, and then select the posted sales
invoice record that contains lines that you want to reverse.
7. Select the Recalculate Lines check box if you want the copied posted sales invoice lines to be updated with
any changes in item price and unit cost since the invoice was posted.
8. Choose the OK button. The copied invoice lines are inserted in the sales credit memo.
9. Complete the sales credit memo as explained in To create a sales credit memo from a posted sales invoice.
To create a sales allowance

You can send a customer a credit memo with a price reduction if the customer has received slightly damaged
items or received the items late.
You can post this reduced price as an item charge in a credit memo or a return order and assign it to the posted
shipment. The following describes it for a sales credit memo, but the same steps apply to a sales return order.
2. Choose the New action to open a new empty sales credit memo.
3. Fill in the credit memo header with relevant information about the customer that you want to give the sales
allowance to.
4. On the Lines FastTab, in the Type field, select Charge (Item) .
5. In the No. field, select the appropriate item charge value.
You may want to create a special item charge number to cover sales allowances.
6. In the Quantity field, enter 1 .
7. In the Unit Price Excl. Tax field, enter the amount of the sales allowance.
8. Assign the sales allowance as an item charge to the items in the posted shipment. For more information, see
Use Item Charges to Account for Additional Trade Costs. When you have assigned the allowance, return to
the Sales Credit Memo page.
When you post the sales return order, the sales allowance is added to the relevant sales entry amount. In this
way, you can maintain accurate inventory valuation.
To combine return receipts

You can combine return receipts if your customer returns several items that are covered by different sales return
orders.
When you receive the items into your warehouse, post the relevant sales return orders as received. This creates
posted return receipts.
When you are ready to invoice this customer, instead of invoicing each sales return order separately, you can
create a sales credit memo and automatically copy the posted return receipt lines to this document. Then you
can post the sales credit memo and conveniently invoice all the open sales return orders at once.
To combine return receipts, the Combine Shipments check box must be selected on the Customer Card
page.
To manually combine return receipts
4. Choose the Get Return Receipt Lines action.
5. Select the return receipt lines that you want to include in the credit memo:
To insert all lines, select all lines, and then choose the OK button.
To insert specific lines, select the lines, and then choose the OK button.
6. If an incorrect shipment line was selected or you want to start over, you can simply delete the lines on the
credit memo and re-run the Get Return Receipt Lines function.
To automatically combine return receipts
You can automatically combine return receipts and have the option of automatically posting the credit memos
using the Combine Return Receipts function.
1. Choose the icon, enter Combine Return Receipts , and then choose the related link.
2. On the Combine Return Receipts page, fill in the fields to select the relevant return receipts.
3. Select the Post Credit Memos check box. If not, you must manually post the resulting purchase credit
memos.
To remove a received and invoiced return order
When you invoice return receipts in this way, the return orders from which the return receipts were posted still
exist, even if they have been fully received and invoiced.
When return receipts are combined on a credit memo and posted, a posted sales credit memo is created for the
credited lines. The Quantity Invoiced field on the originating sales return order is updated based on the
invoiced quantity.
1. Choose the icon, enter Delete Invoiced Sales Return Orders , and then choose the related link.
2. Specify in the No. filter field which return orders to delete.
Alternatively, delete individual sales return orders manually.
Inventory Costing
To preserve correct inventory valuation, you typically want to put returned items back in inventory at the unit
cost that they were sold at, not at their current unit cost. This is referred to as exact cost reversing.
Two functions exist to assign exact cost reversing automatically:
F UN C T IO N DESC RIP T IO N
Get Posted Document Lines to Reverse function on the Copies lines of one or more posted documents to be
Sales Return Order page reversed into the sales return order. For more information,
see Create a sales return order based on one or more
posted sales documents.
Copy Document function in the Sales Credit Memo and Copies both the header and lines of one posted document
Sales Return Order pages to be reversed.
Requires that the Exact Cost Reversing Mandator y

check box is selected on the Sales & Receivables Setup
page.
To assign exact cost reversing manually, you must choose the Appl.-from Item Entr y field on any type of
return document line, and then select the number of the original sales entry. This links the sales credit memo or
sales return order to the original sales entry and ensures that the item is valued at the original unit cost.
For more information, see Design Details: Inventory Costing.

See Also
Sales
Setting Up Sales
Managing Payables
Process Sales Return Orders
If you need more control of the sales return process, such as warehouse documents for the item handling, or a
better overview when receiving items from multiple sales documents with one sales return, then you can create
sales return orders. A sales return order automatically issues the related sales credit memo and other return-
related documents, such as a replacement sales order, if needed.
In addition to the original posted sales invoice, you can apply the sales credit memo or sales return order to
other sales documents, for example another posted sales invoice because the customer is also returning items
delivered with that invoice.
Create a sales return order based on one or more posted sales

documents
1. Choose the icon, enter Sales Return Orders , and then choose the related link.
3. Fill in the fields on the General FastTab as necessary.
4. On the Lines FastTab, fill the lines manually, or copy information from other documents to fill the lines
automatically:
Use the Get Posted Document Lines to Reverse function to copy one or more posted document
lines from one or more posted documents. This function always exactly reverses the costs from the
posted document line. This function is described in the following steps.
Use the Copy from Document function to copy an existing document to the return order. Use this
function to copy the entire document. It can be either a posted document or a document that is not yet
posted. This function only enables exact cost reversing when the Exact Cost Reversing Mandator y
check box is selected on the Sales and Receivables Setup page.
5. Choose the Process action, then choose the Get Posted Document Lines to Reverse action.
6. At the top of the Posted Sales Document Lines page, select the Show Reversible Lines Only check
box if you want to see only lines that have quantities that have not yet been returned. For example, if a
posted sales invoice quantity has already been returned, you may not want to return that quantity on a
new sales return document.
NOTE
This field only works for posted shipments and posted invoice lines, not for posted return or posted credit memo
lines.
At the left side of the page, the different document types are listed, and the number in brackets shows the
number of documents available of each document type.
7. In the Document Type Filter field, select the type of posted document lines you would like to use.
8. Select the lines that you would like to copy to the new document.
NOTE
If you use Ctrl+A to select all lines, all lines within the filter you have set are copied, but the Show Reversible
Quantity Only filter is ignored. For example, suppose you have filtered the lines to a particular document
number with two lines, one of which has already been returned. Even if the Show Reversible Quantity Only
field is selected, if you press Ctrl+A to copy all lines, both lines are copied, instead of only the one that has not yet
been reversed.
9. Choose the OK button to copy the lines to the new document.

The following processes occur:
For posted document lines of the type Item , a new document line is created that is a copy of the
posted document line, with the quantity that has not yet been reversed. The Appl.-from Item
Entr y field is filled in as appropriate with the number of the item ledger entry of the posted
document line.
For posted document lines that are not of the type Item , such as item charges, a new document
line is created that is a copy of the original posted document line.
Calculates the Unit Cost (LCY) field on the new line from the costs on the corresponding item
ledger entries.
If the copied document is a posted shipment, posted receipt, posted return receipt, or posted
return shipment, the unit price is calculated automatically from the item card.
If the copied document is a posted invoice or credit memo, the unit price, invoice discounts, and
line discounts from the posted document line are copied.
If the posted document line contains item tracking lines, the Appl.-from Item Entr y field on the
item tracking lines is filled with the appropriate item ledger entry numbers from the posted item
tracking lines.
When you copy from a posted invoice or posted credit memo, application copies any relevant invoice
discounts and line discounts as valid at the time of posting that document from the posted document line
to the new document line. Be aware, however, that if the Calc. Inv. Discount option is activated on the
Sales & Receivables Setup page, then the invoice discount will be newly calculated when you post the
new document line. The line amount for the new line may therefore be different than the line amount for
the posted document line, depending on the new calculation of the invoice discount.
NOTE
If part of the quantity of the posted document line has already been reversed or sold or consumed, a line is
created for only the quantity that remains in inventory or that has not been returned. If the full quantity of the
posted document line has already been reversed, a new document line is not created.
If the flow of goods in the posted document is the same as the flow of goods in the new document, a copy of the
original posted document line in the new document is created. The Appl.-from Item Entr y field is not filled in
because, in this case, exact cost reversing is not possible. For example, if you use the Get Posted Document
Lines to Reverse function to get a posted sales credit memo line for a new sales credit memo, only the original
posted credit memo line is copied to the new credit memo.
10. On the Sales Return Order page, in the Return Reason Code field on each line, select the reason for
the return.
To create a replacement sales order from a sales return order
You may decide to compensate a customer for an item that you have sold them by replacing the item. You can
make a replacement with the same item or a different item. This situation could occur if you mistakenly shipped
the wrong item to the customer, for example.
1. On the Sales Return Order page for an active return process, on an empty line, make a negative entry for
the replacement item by inserting a negative amount in the Quantity field.
2. Choose the Move Negative Lines action.
3. On the Move Negative Sales Lines page, fill in the fields as necessary.
4. Choose the OK button. The negative line for the replacement item is deleted from the sales return order and
inserted in a new Sales Order page. For more information, see Sell Products.
To create return-related documents from a sales return order

You can have replacement sales orders, purchase return orders, and replacement purchase orders created
automatically during the sales return process. This is useful, for example, in situations where you want to handle
items with warranties provided by vendors.
1. On the Sales Return Order page for an active return process, choose the Create Return-Related
Documents action.
2. In the Vendor No. field, enter the number of a vendor if you want to create vendor documents
automatically.
3. If a returned item must be returned to the vendor, select the Create Purch. Ret. Order check box.
4. If a returned item must be ordered from the vendor, select the Create Purchase Order check box.
5. If a replacement sales order must be created, select the Create Sales Order check box.
To create a restock charge

You may decide to charge your customer a restock fee to cover the physical handling costs of returning an item.
This could occur if the customer mistakenly ordered the wrong item or changed their mind after receiving the
item you sold them, for example.
You can post this increased cost as an item charge in a credit memo or a return order and assign it to the posted
shipment. The following describes this for a sales return order, but the same steps apply to a sales credit memo.
1. Open the Sales Return Order page for an active return process.
3. Fill in the fields as for any item charge line. For more information, see Use Item Charges to Account for
Additional Trade Costs.
When you post the sales return order, the restock charge is added to the relevant sales entry amount. In this
way, you can maintain accurate inventory valuation.

See Also
Sales
Setting Up Sales
Managing Payables
You can correct or cancel an unpaid posted sales invoice, provided that it has not been fully shipped. This is
useful if you make a mistake or if the customer requests a change before the shipment is complete. In all other
scenarios, we recommend that you create a corrective sales credit memo directly. For more information, see To
create a sales credit memo from a posted sales invoice.
NOTE
After a posted sales invoice has been partially or fully paid, you cannot correct or cancel it from the posted sales invoice
itself. Instead, you must manually create a sales credit memo to void the sale and reimburse the customer, optionally
managed with a sales return order. For more information, see Process Sales Returns or Cancellations.
The difference between canceling or correcting a posted sales invoice that has not been paid or shipped is
Cancel The posted sales invoice is canceled. A corrective sales credit

memo is automatically created and posted to void the initial
posted sales invoice. On the initial posted sales invoice, the
Canceled and Paid check boxes are selected.
Correct The posted sales invoice is canceled. A new sales invoice with
the same information is created, unless the posted sales
order was posted from a sales order. In that case, we suggest
you cancel the posted sales invoice instead and then make
the correction and continue the sales process from the
original sales order.
The new sales invoice has a different number than the initial
sales invoice. A corrective sales credit memo is automatically
created and posted to void the initial posted sales invoice.
On the initial posted sales invoice, the Canceled and Paid
check boxes are selected.
When you correct or cancel a posted sales invoice, the corrective sales credit memo is applied to all general
ledger and inventory ledger entries that were created when the initial sales invoice was posted. This reverses the
posted sales invoice in your financial records and leaves the corrective posted sales credit memo for your audit
trail.
TIP
If you have posted a prepayment invoice for a sales invoice that you then correct or cancel, you must correct or cancel the
prepayment as well. For more information, see Correct Prepayments.
To cancel a posted sales invoice

2. Select the posted sales invoice that you want to cancel.
NOTE
If the Canceled check box is selected, then you cannot cancel the posted sales invoice because it has already
been canceled or corrected.
3. On the Posted Sales Invoice page, choose the Cancel action.

A sales credit memo is automatically created and posted to void the initial posted sales invoice. The
Canceled field on the initial posted sales invoice is changed to Yes .
4. Choose Show Corrective Credit Memo to view the posted sales credit memo that voids the initial
posted sales invoice.
Partial invoice posting also supported
If the cancellation is related to a partial invoice posting, then the originating sales order line is updated to reflect
the canceled invoiced quantity. The Qty. to Invoice and Qty. Invoiced fields on the related sales order line are
reset to the values before the partial posting.
To correct a posted sales invoice

2. Select the posted sales invoice that you want to correct.
NOTE
If the Canceled check box is selected, then you cannot correct the posted sales invoice because it has already
been corrected or canceled.
3. On the Posted Sales Invoice page, choose the Correct action.
NOTE
If the sales invoice was posted from a sales order, we recommend that you cancel this sales invoice and then
process the correction from the original sales order. If the original sales order has been deleted, such as if it has
been fully shipped, you can create a new sales order by using the Copy Document action. For more information,
see To create a sales credit memo by copying a posted sales invoice.
4. A new sales invoice with the same information is created where you can make the correction. The
Canceled field on the initial posted sales invoice is changed to Yes .
A sales credit memo is automatically created and posted to void the initial posted sales invoice.
5. Choose the Show Corrective Credit Memo action to view the posted sales credit memo that voids the
initial posted sales invoice.

See also
Sales
Setting Up Sales
Work with Blanket Sales Orders or Blanket Purchase
Orders
A blanket sales order represents a framework for a long-term agreement between you and your customer.
Similarly, you use blanket purchase orders to manage long-term agreements between you and your vendor.
A blanket order is typically made when a customer has committed to purchasing large quantities that are to be
delivered in several smaller shipments over a certain period of time. Often blanket orders cover only one item
with predetermined delivery dates. The main reason for using a blanket order rather than a sales order is that
quantities entered on a blanket order do not affect item availability and thus can be used as a worksheet for
monitoring, forecasting, and planning purposes.
On the blanket order, each separate shipment can be set up as an order line, which can then be converted into a
sales order at the time of shipping.
An example of when a blanket sales order could be used is if a customer calls and places an order of 1000 units
of an item and they want the items to be delivered in 250 units every week over the next month.
NOTE
Blanket purchase orders work in a similar way as blanket sales orders. This documentation covers blanket sales orders
only.
To create a blanket sales order

1. Choose the icon, enter Blanket Sales Orders , and then choose the related link.
4. Leave the Order Date field blank. When the separate sales orders are created from the blanket order, the
order date of the sales order is set to equal the actual work date.
5. On the Lines FastTab, create separate lines for each shipment. For instance, if your customer wants 1000
units split out equally between four weeks, you would enter four separate lines of 250 units each.
To create a sales order from a blanket sales order

1. To create an order for any of the lines in the blanket sales order, remove the quantity in the Qty. to Ship field
on all the lines that you do not wish to ship at this time.
2. When you are ready to create orders, choose the Make Order action, and then choose Yes . A message
appears informing you that the blanket order has been assigned an order number. Note that the blanket
order has not been deleted.
4. To see the results of the preceding steps, choose the Line action, choose the Unposted Lines action, and
then choose the Orders action.
5. On the Sales Lines page, select the appropriate sales order, choose the Line action, and then choose the
Show Document action.
The following applies to sales orders after they have been created from blanket sales orders:
After the blanket order is converted into a sales order, the sales order contains all the lines from the blanket
order. The lines where the quantity in the Qty. to Ship field was deleted appear, but with blank Quantity
fields. You may choose to leave, edit, or delete the lines.
It is important to remember that the sales order line quantity must not exceed the quantity of the associated
blanket order line. Otherwise, posting of the sales order will not be possible.
When the sales order is posted as shipped and/or invoiced, the Quantity Shipped and Quantity Invoiced
fields are updated on the related blanket order.
The blanket order number and line number are recorded as properties of the sales lines when created from a
blanket order.
When sales orders are not created directly from the blanket order but still relate to it, a link between a sales
order and a blanket order can be established by entering the associated blanket order number in the
Blanket Order No. field on the sales order line.
After the sales order has been created for the total quantity of a blanket order line, no other sales order can
be created for the same line. Users are prevented from entering a quantity in the Qty. to Ship field. If,
however, additional quantities need to be added to a blanket order, the value in the Quantity field can be
increased and additional orders can then be created.
The invoiced blanket sales order remains in the system until it is deleted, either by deleting individual blanket
orders or by running the Delete Invoiced Blanket Sales Orders batch job.
If a customer is also recorded as a contact in the Marketing application area, and if you have specified an
interaction template code for blanket sales order on the Marketing Setup page, an interaction is recorded
in the Interaction Log Entry table when you select Print to print the blanket sales order.
To view the status of a blanket sales order

You can see the status of a blanket sales order on the Blanket Sales Order Statistics page. This may be
relevant when you start to invoice the order that is created from the blanket sales order.
2. Select a blanket sales order, and then choose the Statistics action.
3. On the Blanket Sales Order Statistics page, on the General FastTab, you can see summary information
about the entire order based on the total quantity in the various Quantity fields on the blanket sales order
lines.
On the Invoicing FastTab, you can see summary information based on the total quantity in the Qty. to
Invoice fields on the sales blanket order lines.
On the Shipping FastTab, you can see summary information based on the total quantity in the Qty. to
Receive fields on the sales blanket order lines.
On the Prepayment FastTab, you can see summary information about any prepaid amounts.
On the Vendor FastTab, you can see certain basic information about the vendor.
To view unposted and posted blanket sales order lines

The link between the blanket sales order and the originating sales order, and any other sales document, is
retained after posting as a list of posted and unposted sales order invoice lines.
1. Choose the icon enter Blanket Sales Orders , and then choose the related link.
2. Open the blanket sales order you want to view.
3. To view unposted entries, select the line in question, choose the Line action, and then choose the Unposted
Lines action. Choose one of the following options.
Orders Specifies open orders associated with the selected line.
Invoices Specifies open invoices that have been associated with the
selected line. Open invoices are manually associated with a
blanket order by entering the blanket order number on the
sales invoice line.
Return Orders Specifies open return orders that have been associated with
the selected line.
Credit Memos Specifies open credit memos that have been associated with
the selected line.
4. To view posted entries, select the line in question, choose the Line action, and then choose the Posted Lines
action. Choose one of the following options.
Shipments Posted shipments associated with the selected line.
Invoices Posted invoices associated with the selected line.
Return Receipts Posted return receipts that have been associated with the
selected line.
Credit Memos Posted credit memos that have been associated with the
selected line.
5. On the Sales Lines page, choose the Show Document action to view the entry.

See also
Sales
Setting Up Sales
Combine Shipments on a Single Invoice
If you want to invoice more than one shipment at a time, you can use the combined shipments feature.
Before you can create a combined shipment, more than one sales shipment for the same customer in the same
currency must be posted. In other words, you must have create two or more sales orders and post them as
shipped, but not invoiced.
To manually combine shipments on a single invoice

2. Choose the New action. For more information, see Invoice Sales.
3. In the Sell-to Customer No. field, enter the customer who will receive the invoice for the shipped items.
4. On the Lines FastTab, choose the Get Shipment Lines action.
5. Select the shipment line that you want to include in the invoice:
To insert all lines, select all lines and choose the OK button.
To insert specific lines, select the lines and choose the OK button. You can use the Ctrl key to select
multiple nonsequential lines.
If an incorrect shipment line was selected or you want to start over, you can simply delete the lines on the
invoice and re-run the Get Shipment Lines function.
6. To post the invoice, choose the Post action.
TIP
If you have shipped orders where the Sell-to Customer No. is different from the Bill-to Customer No. , those lines
are not displayed in the Get Shipment Lines report. Use personalization to add the Sell-to Customer field to the
page and remove the filter. Now you can add shipment lines to the invoice regardless of the value in the Sell-to
Customer No. field, as long as the Bill-to Customer No. field on the shipment lines matches the value on the sales
invoice.
To automatically combine shipments on a single invoice

Business Central will select only sales orders where Combine Shipments is chosen.
1. Choose the icon, enter Combine Shipments , and then choose the related link. The batch job request
page opens.
3. Choose the Post Invoices check box.
NOTE
You will need to manually post the invoices if the Post Invoices check box was not selected on the batch job.
To remove open sales orders after combined shipment posting
When shipments are combined on an invoice and posted, a posted sales invoice is created for the invoiced lines.
The Quantity Invoiced field on the originating blanket sales order or sales order is updated based on the
invoiced quantity.
When you invoice shipments in this way, the orders from which the shipments were posted still exist, even if
they have been fully shipped and invoiced.
1. Choose the icon, enter Delete Invoiced Sales Orders , and then select the link.
2. Specify in the No. filter field which sales orders to delete.
Alternatively, delete individual sales orders manually.
Repeat steps 1 through 3 for any other affected documents, such as blanket sales orders.

See also
Sales
A company must be able to inform their customers of order delivery dates. The Order Promising Lines page
enables you to do this from a sales order.
Business Central calculates shipment and delivery dates based on an item’s known and expected availability
dates, which you can promise to customers.
If you specify a requested delivery date on a sales order line, then that date is used as the starting point for the
following calculations:
requested delivery date - shipping time = planned shipment date
planned shipment date - outbound whse. handling time = shipment date
If the items are available to pick on the shipment date, then the sales process can continue. If the items are not
available to be picked on the shipment date, then a stock-out warning is displayed.
If you do not specify a requested delivery date on a sales order line, or if the requested delivery date cannot be
met, then the earliest date on which that the items are available is calculated. That date is then entered in the
Shipment Date field on the line, and the date on which you plan to ship the items as well as the date on which
they will be delivered to the customer are calculated using the following calculations:
shipment date + outbound whse. handling time = planned shipment date
planned shipment date + shipping time = planned delivery date
About Order Promising

The Order Promising functionality enables you to promise an order to be shipped or delivered on a specific date.
The date that an item is available to promise or capable to promise is calculated, and order lines are created for
those dates that you accept. The functionality calculates the earliest possible date that an item is available for
shipment or delivery. It also creates requisition lines, in case the items must first be purchased or produced, for
those dates that you accept.
Business Central uses two fundamental concepts:
Available to Promise (ATP)
Capable to Promise (CTP)
Available to Promise
Available to promise (ATP) calculates dates based on the reservation system. It performs an availability check of
the unreserved quantities in inventory with regard to planned production, purchases, transfers, and sales
returns. Based on this information, Business Central calculates the delivery date of the customer’s order because
the items are available, either in inventory or on planned receipts.
Capable to Promise
Capable to promise (CTP) assumes a “what if” scenario, which only applies to item quantities that are not in
inventory or on scheduled orders. Based on this scenario, Business Central calculates the earliest date that the
item can be available if it is to be produced, purchased, or transferred.
Example
If there is an order for 10 pieces, and 6 pieces are available in inventory or on scheduled orders, then the
capable to promise calculation will be based on 4 pieces.
Calculations
When Business Central calculates the customer’s delivery date, it performs two tasks:
Calculates the earliest delivery date when the customer has not requested a specific delivery date.
Verifies if the delivery date requested by the customer or promised to the customer is realistic.
If the customer does not request a specific delivery date, the shipment date is set to equal the work date, and
availability is then based on that date. If the item is in inventory, Business Central calculates forward in time to
determine when the order can be delivered. This is accomplished by the following formulas:
Shipment Date + Outbound Warehouse Handling Time = Planned Shipment Date
Planned Shipment Date + Shipping Time = Planned Delivery Date
Business Central then verifies if the calculated delivery date is realistic by calculating backward in time to
determine when the item must be available to meet the promised date. This is accomplished by the following
formulas:
Planned Delivery Date - Shipping Time = Planned Shipment Date
Planned Shipment Date - Outbound Warehouse Handling = Shipment Date
The shipment date is used to make the availability check. If the item is available on this date, Business Central
confirms that the requested/promised delivery can be met by setting the planned delivery date to equal the
requested/promised delivery date. If the item is unavailable, it returns a blank date and the order processor can
then use the CTP functionality.
Based on new dates and times, all related dates are calculated according to the formulas listed earlier in this
section. The CTP calculation takes longer but it gives an accurate date when the customer can expect to have the
item delivered. The dates that are calculated from CTP are presented in the Planned Deliver y Date and
Earliest Shipment Date fields on the Order Promising Lines page.
The order processor finishes the CTP process by accepting the dates. This means that a planning line and a
reservation entry are created for the item before the calculated dates to ensure that the order is fulfilled.
In addition to the external order promising that you can perform on the Order Promising Lines page, you can
also promise internal or external delivery dates for bill-of-material items. For more information, see View the
Availability of Items.
To set up order promising

1. Choose the icon, enter Order Promising Setup , and then choose the related link.
2. Enter a number and time unit code in the Offset(Time) field. Select one of the following codes.
C O DE DESC RIP T IO N
d Calendar day
w Week
m Month
q Quarter
y Year
For example, "3w" indicates that the offset time is three weeks. To indicate the current period, prefix to
any of these codes with the letter “c”. For example, if you want the offset time to be the current month,
enter cm .
3. Enter a number series in the Order Promising Nos. field by selecting a line from the list on the No.
Series page.
4. Enter an order promising template in the Order Promising Template field by selecting a line from the
list on the Req. Worksheet Template List page.
5. Enter a requisition worksheet in the Order Promising Worksheet field by selecting a line from the list
on the Req. Wksh. Names page.
Inbound and Outbound Warehouse Handling Times in Order Promising
If you want to include warehouse handling time in the order promising calculation on the purchase line, on the
Inventor y Setup page you can specify a default handling time to use on sales and purchase documents. You
can also enter specific times for each of your locations on the Location Card page.
To enter default inbound and outbound warehouse handling times for sales and purchase documents
2. On the General FastTab, in the Inbound Whse. Handling Time and Outbound Whse. Handling Time
fields, enter the number of days that you want to include in the order promising calculations.
To enter inbound and outbound warehouse handling times on locations
1. Choose the icon, enter Location , and then choose the related link.
2. Open the relevant location card.
3. On the Warehouse FastTab, in the Inbound Whse. Handling Time and Outbound Whse. Handling
Time fields, enter the number of days that you want to be included in the order promising calculations.
NOTE
When you are creating a purchase order, if you choose Location in the Ship-to field on the Shipping and Payment
FastTab, and then choose a location in the Location Code field, the Outbound Whse. Handling Time and Inbound
Whse. Handling Time fields will use the handling time specified for the location. For sales orders, the same is true if you
choose a location in the Location Code field. If no handling time is specified for the location, the Outbound Whse.
Handling Time and Inbound Whse. Handling Time fields will be blank. If you leave the Location Code field blank
on sales and purchase documents, the calculation uses the handling time specified on the Inventor y Setup page.
To make an item critical

Before an item can be included in the order promising calculation, it must be marked as critical. This setup
ensures that non-critical items do not cause irrelevant order promising calculations.
2. Open the relevant item card.
3. On the Planning FastTab, select the Critical field.
To calculate an order promising date

1. Choose the icon, enter Sales Order , and then choose the related link.
2. Open the relevant sales order and select the sales order lines that you want application to calculate.
3. Choose the Order Promising action, and then choose the Order Promising Lines action.
4. Select a line, and then select one of the following options:
Select Available-to-Promise if you want to calculate the earliest date that the item will be available
with respect to inventory, scheduled receipts, and gross requirements.
Select Capable-to-Promise if you know that the item is presently out of stock and you want to
calculate the earliest date that the item can be available by issuing new replenishment requisitions.
5. Choose the Accept button to accept the earliest shipment date available.

See also
Sales
Track Packages
Most shipping agents provide a web service that let you track the status of your packages while they're en route.
That information can be useful in many business processes, for example, when providing customer service. If
you use one or more shipping agents, you can enter some basic information about them, and then use their
package tracking service directly from the Posted Sales Shipments, Posted Sales Invoices, Posted Sales Credit
Memos, and Posted Return Receipt pages. For more information, see Set Up Shipping Agents.
The following procedure shows how to track a package from a posted sales shipment, but the same steps apply
to enable package tracking from the Posted Sales Invoice, Posted Sales Credit Memo, and Posted Return Receipt
pages.
To track a package
NOTE
The following procedure uses the Posted Sales Shipment page as an example. The steps to track a package are the same
on the Posted Sales Invoices, Posted Sales Credit Memos, and Posted Return Receipt pages.
1. Choose the icon, enter Posted Sales Shipment , and then choose the related link.
2. Open the shipment you want to track, and then choose the Update Document action.
3. In the Package Tracking No. field, enter the package number you received from the shipping agent.
4. Make sure that the correct shipping agent and the level of service are correct, and then close the page.
5. Choose the Track Package action to open the shipping agent's package tracking service.
See Also
Set Up Shipping Agents
Sales
Setting Up Sales
Business Central automatically calculates the earliest possible date that an item on a sales order line can be
shipped.
If the customer has requested a specific delivery date, then the date on which the items must be available to pick
to meet that delivery date is calculated.
If the customer does not request a specific delivery date, then the date on which the items can be delivered is
calculated, starting from the date on which the items are available for picking.
Calculating a Requested Delivery Date

If you specify a requested delivery date on the sales order line, that date becomes the starting point for the
following calculations.
requested delivery date - shipping time = planned shipment date
planned shipment date - outbound whse. handling time = shipment date
If the items are available to pick on the shipment date, then the sales process can continue. Otherwise, a stock-
out warning is displayed.
NOTE
If your process is based on backward calculation, for example, if you use the requested delivery date to get the planned
shipment date, we recommend that you use date formulas that have fixed durations, such as "5D" for five days or "1W"
for one week. Date formulas without fixed durations, such as "CW" for current week or CM for current month, can result
in incorrect date calculations. For more information about date formulas, see Work with Calendar Dates and Times.
Calculating the Earliest Possible Delivery Date

If you do not specify a requested delivery date on the sales order line, or if the requested delivery date cannot
be met, then the earliest date on which that the items are available is calculated. That date is then entered in the
Shipment Date field on the line, and the date on which you plan to ship the items as well as the date on which
they will be delivered to the customer are calculated using the following formulas.
shipment date + outbound whse. handling time = planned shipment date
planned shipment date + shipping time = planned delivery date

See also
As different users create new customer, vendor, or contact cards over time, or the new records are created
automatically during migration, a customer, vendor, or contact may be represented in the system with more than
one record. In this case, you can use the Merge Duplicate page from the card of the record that you want to
keep. The page gives you an overview of duplicated field values and provides functions to select which values to
keep or discard when merging two records into one.
NOTE
Only users with the MERGE DUPLICATES permission set can use this functionality.
TIP
The Merge Duplicate page shows all fields where the values are different for the two records being compared.
Therefore, a duplicate is indicated by the page showing very few fields. Whereas, if the page shows many fields, then the
suspected record is probably not a duplicate.
The following procedure is based on a customer card. The steps are similar for a vendor and contact cards.
2. Select the customer that you know or suspect that a duplicate record exists for, and then choose the Edit
action.
3. On the Customer Card page, choose the Merge With action.
4. On the Merge Duplicate page, in the Merge With field, select the customer that you believe is a
duplicate of the one you have opened, indicated in the Current field.
The Fields FastTab lists fields where the values are different for the two customers. This means that if the
selected customer is really a duplicate, then only very few fields should be listed, such as typing errors
and other data entry mistakes.
The Related Tables FastTab lists tables where there are fields with a relation to both customers. The
Current Count and Duplicate Count fields show the number of fields in related tables where the No.
value of both the current and the duplicate customer is used. On the Merge Duplicate page, this section
is informational only, however, if merge conflicts exist, you will resolve them on the Merge Duplicate
Conflicts page. See steps 8 through 12.
5. For each field where you want to use another value than the current one, select the Override check box.
The value in the Alternate Value field will then be transferred to the current record when you complete
the process.
6. When you have finished selecting which values to keep or override, choose the Merge action.
The system checks if the merge of values for the duplicate customer into the current customer causes any
conflicts. A conflicts exists if a value in at least one primary-key field is the same for both customers while
the value in the No field is different for the two customers.
7. If no conflicts are found, choose the Yes button in the confirmation message box.
The duplicate customer is renamed so that all usage of its No. value in all fields with relations to the
customer table will be replaced with the No. value of the current customer.
8. If conflicts exist, choose the Resolve (xx) conflicts before merge. action on the Conflicts FastTab,
which will appear if conflicts exist.
9. On the Merge Duplicate Conflicts page, select the line for a related table with a conflict, and then
choose the View Details action.
The Merge Duplicate page now shows the fields in the selected table that cause a merge conflict
between the two customer records. Notice in both the summarized values in the Current and Conflicts
With fields and on the lines that at least one primary-key field is the same for both customers and the
value of the No. field is different for the two customers.
10. If you do not want to keep the duplicate customer record, choose the Remove Duplicate action, and
then choose the Close button.
Identical field values, other than the value in the No. field, are removed from the duplicate record and
inserted on the current record.
11. If you want to keep the duplicate customer record after the merge, choose the Rename Duplicate .
12. On lines, not for the No. field, where the field has the same value on both records, change the value in
the Alternate Value field, and then choose the Close button.
The conflicting field value is updated on the duplicate record so that it can be merged with the current
record. The duplicate record continues to exist after the merge.
13. Repeat steps 8 through 12 until all conflicts are resolved. The Conflicts FastTab disappears.
14. On the Merge Duplicate page, choose the Merge action again, and then select the Yes button in the
confirmation message box.
NOTE
For contacts, you can use functionality to find duplicate contacts before you use the Merge Duplicate page. For more
information, see Searching for Duplicate Contacts.

See also
Sales
Set Up Contacts
Work with recurring revenue in Business Central
Many companies are moving from a business revenue model where revenue is made from a customer's one-
time purchase to a subscription model where revenue is made on a recurring basis in return for consistent
access to the delivery of a good or service. Business Central has the following options for automating how you
send subscription invoices to your customers and register recurring revenue.
Register revenue with a recurring general journal

with few or no changes, such as rent, subscriptions, electricity, or heat. Using these fields for recurring
transactions, you can post both fixed and variable amounts. With a recurring journal, entries that will be posted
regularly need to be typed in only once. That is, the accounts, dimensions and dimension values and so on that
you enter will be remain in the journal after posting. If any adjustments are necessary, you can make them with
each posting.
Why use this option
With this option, you define flexible invoicing periods with Date Formulas.
However, with this option, you cannot print and send invoices in the default version of Business Central.
For more information, see Work with Recurring Journals.
Create multiple invoices based on a recurring job journal

The recurring job journal is a more advanced alternative to the general journal. You define Items, Resources and
G/L Accounts, that must be repeated for each job, and you specify the frequency of recurrence.
After posting a recurring job journal, you can create multiple invoices with the Create Job Sales Invoice task.
You can review and post created invoices in the Sales Invoices page.
Why use this option
With this option, you follow the standard invoicing procedure with all the benefits of that, including standard
and customer layouts for communication preferences. You can also define prices for each job individually.
However, for each new customer, you must create a new job and add lines to the recurring journal.
For more information, see Create job journal lines and Create multiple job sales invoices.
Create multiple invoices based on recurring sales lines

If you often need to create sales and purchase lines with similar information, you can set up recurring sales lines
that you can then insert on recurring sales and purchase documents, for example, for recurring replenishment
orders. Use the Create Recurring Sales Invoices batch job to create sales invoices according to recurring
sales lines that are assigned to the customers and with posting dates within the valid-from and valid-to dates
that you specify on the recurring sales lines.
Why use this option
With this option, you can assign the same recurring lines to multiple customers. You can define period of validity
for the recurring sales lines for specific customer. You can assign multiple recurring lines to the same customer
and all of them will be included in the invoice.
However, there is no way to set fixed prices for items because Business Central will use the actual prices and
discount valid on document date, trying to find best combination that gives the lowest price.
For more information, see Create Recurring Sales and Purchase Lines.
Recurring invoices with service contract

A service contract contains the service contract agreements between your customers and your company. A
service contract includes service level agreements and the service items that you service as a part of the
contract.
You can define the starting date of the contract, the invoice period, whether or not the contract is prepaid, price
update specifications if you plan to change prices while contract is active. You can use both service items or
items in service contract lines. You can create contract templates to define how to create certain types of
contracts.
Why use this option
With this option, you use a part of the advanced service management functionality that not limited to issuing of
recurring invoices but support repair shop and field service operations.
However, this option requires the Premium license. Setting up service management and maintaining it might
not give huge advantages in simpler subscription scenarios.
For more information, see Work with Service Contracts and Service Contract Quotes and Invoice several service
contracts.
Related features
There are several related capabilities in Business Central.
Blanket sales orders
A blanket sales order represents a framework for a long-term agreement between your company and your
customer. A blanket order is typically made when a customer has committed to purchasing large quantities that
are to be delivered in several smaller shipments over a certain period of time. Often blanket orders cover only
one item with predetermined delivery dates. The main reason for using a blanket order rather than a sales order
is that quantities entered on a blanket order do not affect item availability, however it can be used for planning
purposes.
Why use this option
With this option, you use the anticipated demand, so the information is considered during the normal planning
routines. For more information, see Demand Forecasts and Blanket Orders.
However, the default version does not offer an out-of-the-box possibility to process multiple blanket orders in
bulk.
For more information, see Work with Blanket Sales Orders.
Recurring Orders (Norway)
You can use recurring orders to create blanket order templates so that sales orders can be created based on date
intervals that you define. For example, if you deliver the same sales order every two weeks, you can use a
blanket sales order and create recurring orders. You can use recurring groups to define a range of parameters
that show how you make the orders. These groups are assigned to blanket orders that have to be created
regularly. To create the recurring orders, you will have to periodically run the create recurring orders process.
Why use this option
With this option, you can choose between fixed and "best" prices.
However, this is only available in Norway. Validity period can be defined on the recurring group level.
For more information, see Recurring Orders.
Recurring revenue and subscription billing by other providers
At AppSource.microsoft.com, you can get extensions for Business Central. Some extensions are provided by
Microsoft, and other extensions are provided by other companies. The list of the extensions by other companies
grows each month. So keep an eye out for AppSource.microsoft.com and get apps to help you in your work in
Business Central.
See also
Date Formulas
Create job journal lines
Create multiple job sales invoices
Invoice several service contracts
Demand Forecasts and Blanket Orders
Recurring Orders (Norway)
You can enter external document numbers for customers and vendors in all sales and purchase orders, invoices,
and credit memos. You can use these numbers to search for posted sales and purchase lines later.
NOTE
Specify the document number that your customer or vendor has specified. Business Central does not check if these
external document numbers are unique or duplicates.
The following procedure explains how to specify an external document number on a sales order, but similar
steps apply to other sales and purchase documents.
To enter external document numbers in a sales order

2. Select the relevant sales order, and then choose the Edit action.
3. On the General FastTab, in the External Document No. field, enter the invoice number.
On purchase documents, the relevant field is the Vendor Invoice No. field.
4. Fill in any other required fields.
See Also
External Document Numbers on Sales Documents
Sell Products
Purchasing
Purchasing
You create a purchase invoice or purchase order to record the cost of purchases and to track accounts payable. If
you need to control an inventory, purchase invoices are also used to dynamically update inventory levels so that
you can minimize your inventory costs and provide better customer service. The purchasing costs, including
service expenses, and inventory values that result from posting purchase invoices contribute to profit figures
and other financial KPIs on your Role Center.
You must use purchase orders if your purchasing process requires that you record partial receipts of an order
quantity, for example, because the full quantity was not available at the vendor. If you sell items by delivering
directly from your vendor to your customer, as a drop shipment, then you must also use purchase orders. For
more information, see Make Drop Shipments. In all other aspects, purchase orders work the same way as
purchase invoices.
You can have purchase invoices created automatically by using the OCR (Optical Character Recognition) service
to convert PDF invoices from your vendors to electronic documents, which are then converted to purchase
invoices by a workflow. To use this functionality, you must first sign up for the OCR service, and then perform
various setup. For more information, see Incoming Documents.
Products can be both inventory items and services. For more information, see Register New Items.
For all purchase processes, you can incorporate an approval workflow, for example, to require that large
purchases are approved by the accounting manager. For more information, see Use Approval Workflows.
TO SEE
Create a purchase invoice to record your agreement with a Record Purchases

vendor to purchase products on certain delivery and
payment terms.
Create a purchase quote to reflect a request for quote from Request Quotes
your vendor, which you can later convert to a purchase
order.
Create a purchase invoice for all or selected lines on a sales Purchase Items for a Sale
invoice.
Understand what happens when you post purchase Posting Purchases

documents.
Perform an action on an unpaid posted purchase invoice to Correct or Cancel Unpaid Sales Invoices
automatically create a credit memo and either cancel the
purchase invoice or recreate it so you can make corrections.
Create a purchase credit memo to revert a specific posted Process Purchase Returns or Cancellations
purchase invoice to reflect which products you are returning
to the vendor and which payment amount you will collect.
Prepare to invoice multiple receipts from the same vendor Combine Receipts on a Single Invoice
once by combining the receipts on one invoice.
TO SEE
Convert, for example, electronic invoices from your vendors Receive and Convert Electronic Documents
to purchase invoices inside Business Central.
Learn how Business Central calculates when you must order Date Calculation for Purchases
an item to receive it on a certain date.
same vendor.
Manage your commitment to a vendor to purchase large Work With Blanket Purchase Orders
quantities delivered in several shipments over time.
External document numbers

On purchase documents and journals, you can specify a document number that refers to the vendor's
numbering system. Use this field to record the number that the vendor assigned to the order, invoice, or credit
memo. You can then use the number later if, for some reason, you need to search for the posted entry using this
number.
The Ext. Doc. No. Mandator y field in the Purchases & Payables Setup page specifies whether it is
mandatory to enter an external document number in the following situations:
In the Vendor Invoice No. field, Vendor Order No. field, or the Vendor Cr. Memo No. field on a
purchase header
In the External Document No. field on a general journal line, where the Document Type field is set to
Invoice, Credit Memo, or Finance Charge Memo, and the Account Type field is set to Vendor.
If you select this field, it will not be possible to post an invoice, a credit memo, or the type of general journal line
described above without an external document number.
You can also search using the external document number when navigating on vendor ledger entries.

See also
Setting Up Purchasing
Managing Payables
Managing Projects
Start a free trial!

Purchase Reports and Analytics in Business Central
Purchase reporting in Business Central allows procurement and business professionals to get insights and
statistics about current and past purchase activities.
Reports
The following table describes some of the key reports in purchase reporting.
Purchase statistics Shows purchase statistics for each 312

vendor. This includes information for
five periods, starting on the date that
you specify.
The report includes the total
purchases, payments, finance charges,
and discount information including the
payment discounts taken and lost.
Statistics are calculated for purchases
before the date entered, at three one-
month intervals from the date entered,
and for a period including all purchases
made after the third one-month
interval.
Vendor - Top 10 list Shows information on purchases from 311

vendors for a selected period. You can
choose the number of vendors that
are included in the report.
The vendors are sorted in order of
amount, and you can choose whether
they are sorted by purchase amount
or balance. The report gives a quick
overview of the vendors from which
you purchase the most or to which
you owe the most.
Vendor Item catalog Displays a list of the vendors for the 320
selected items or items for selected
vendors. For each combination of item
and vendor, it shows direct unit cost,
lead time calculation and the vendor's
item number.
In the US, Canada, and Mexico, this
report is not available. Instead, use the
Item/Vendor Catalog (10164)
report.
Item/vendor catalog Displays a list of the vendors for the 720

selected items or items for selected
vendors. For each combination of item
and vendor, it shows direct unit cost,
lead time calculation and the vendor's
item number.
Item/Vendor Catalog (10164)
report.
Vendor/Item Purchases Shows a list of item entries for each 313

vendor in a selected period. The report
contains information on invoiced
quantity, amount and possible
discounts. It can be used, for example,
to analyze a company's item purchases
and to show whether there is a
relationship between discounts and
item purchases.
Inventory Cost and price list Displays a list of price information for 716
the selected items or stockkeeping
units: direct unit cost, last direct cost,
unit price, profit percentage, and profit.
Inventory Availability Plan If you would like to have an overview 707

about specific items/stockkeeping units
and their availability. This report will
show you cumulated values such as
gross requirements, scheduled and
planned receipts, the inventory, and so
on.
Inventory Vendor Purchases Displays a list of the vendors that your 714
company has purchased items from
within a selected period. It shows
invoiced quantity, amount and
discount. The report can be used to
analyze a company's item purchases.
Inventory Purchase Orders Displays a list of items on order from 709

vendors. It also shows the expected
receipt date and the quantity and
amount on back orders. For example,
use the report to see when items
should be received, and whether a
reminder of a back order should be
issued
Purchase Reservation Availability Shows the availability of items for 409

shipment on purchase documents, for
example return orders. You determine
whether the report indicates the status
of each document or of each purchase
line.
When you print the report, you can
also update the quantity that is
available for shipment in the Qty. to
Receive field on the purchase lines.
On purchase credit memos and
negative purchase order lines, the Qty.
to Receive field contains the quantity
to ship.. Then you can use the report
to determine which documents to ship.
Note : This report is not available for
advanced warehouse functionality.
Tasks
See also
Setting Up Purchase
Purchasing
Walkthrough: Setting Up and Using a Purchase
Approval Workflow
You can automate the process of approving new or changed records, such as documents, journal lines, and
customer cards, by creating workflows with steps for the approvals in question. Before you create approval
workflows, you must set up an approver and substitute approver for each approval user. You can also set
approvers' amount limits to define which sales and purchase records they are qualified to approve. Approval
requests and other notifications can be sent as email or internal note. For each approval user setup, you can also
set up when they receive notifications.
NOTE
In addition to the Workflow functionality within Business Central, you can use Power Automate to define workflows for
events in Business Central. Note that although they are two separate workflow systems, any flow template that you
create with Power Automate is added to the list of workflow templates within Business Central. For more information, see
Use Business Central in an Automated Workflow.
Requesting and granting approval to create new records are typical workflow steps. For more information, see
Workflow.

Setting up approval users
Setting up notifications for approval users
Modifying and enabling an approval workflow
Requesting approval of a purchase order, as Alicia
Receiving a notification and then approving the request, as Sean
Story
Sean is a super user at CRONUS. He creates two approval users. One is Alicia who represents a purchasing
agent. The other is himself representing Alicia's approver. Sean then gives himself unlimited purchase approval
rights and specifies that he will receive notifications by internal note as soon as a relevant event occurs. Last,
Sean creates the required approval workflow as a copy of the existing Purchase Order Approval Workflow
workflow template, leaves all existing event conditions and response options unchanged, and then enables the
workflow.
To test the approval workflow, Sean first signs in to Business Central as Alicia, and then requests approval of a
purchase order. Sean then signs in as himself, sees the note on his Role Center, follows the link to the approval
request for the purchase order, and approves the request.
Users
Before you can set up approval users and their notification method, you must make sure that two users exist in
Business Central: One user will represent Alicia. The other user, yourself, will represent Sean. For more
information, see Create Users According to Licenses.
Setting Up Approval Users
When signed in as yourself, set Alicia up as an approval user whose approver is yourself. Set up your approval
rights and specify how and when you are notified of approval requests.
To set up yourself and Alicia as approval users
1. Choose the icon, enter Approval User Setup , and then choose the related link.
2. On the Approval User Setup page, choose the New action.
NOTE
You must set up an approver before you can set up users who require that approver's approval. Therefore, you
must set up yourself before you set up Alicia.
3. Set up the two approval users by filling the fields as described in the following table.
USER ID A P P RO VER ID UN L IM IT ED P URC H A SE A P P RO VA L
YOU Selected
ALICIA YOU
Setting Up Notifications
In this walkthrough, the user is notified by internal note about requests to approve. Approval notification can
also be by email, and you can add a workflow response step that notifies the sender when a request is approved
or rejected. For more information, see Specify When and How to Receive Notifications.
To set up how and when you are notified
1. On the Approval User Setup page, select the line for yourself, and then choose the Notification Setup
action.
2. On the Notification Setup page, in the Notification Type field, choose Approval .
3. In the Notification Method field, choose Note .
4. On the Notification Setup page, choose the Notification Schedule action.
5. On the Notification Schedule page, in the Recurrence field, select Instantly .
Creating the Approval Workflow

Create the purchase order approval workflow by copying the steps from the Purchase Order Approval
Workflow workflow template. Leave the existing workflow steps unchanged, and then enable the workflow.
TIP
Optionally, add a workflow response step to notify the sender when their request is approved or rejected. For more
information, see Specify When and How to Receive Notifications.
To create and enable a purchase order approval workflow

2. On the Workflows page, select Actions , then select New , and then choose the New Workflow from
Template action.
3. On the Workflow Templates page, select the workflow template named Purchase Order Approval
Workflow .
The Workflow page opens for a new workflow containing all the information of the selected template.
The value in the Code field is extended with -01 to indicate that this is the first workflow that is created
from the Purchase Order Approval Workflow workflow template.
4. On the header of the Workflow page, select the Enabled check box.
Use the Approval Workflow

Use the new Purchase Order Approval Workflow workflow by first signing in to Business Central as Alicia to
request approval of a purchase order. Then sign in as yourself, view the note on the Role Center, follow the link
to the approval request, and then approve the request.
To request approval of a purchase order, as Alicia
1. Sign in as Alicia.
3. Select the line to open Purchase Order 106001.
4. On the Purchase Order page, choose Actions , then Request Approval , and then choose the Send
Approval Request action.
Notice that the value in the Status field has changed to Pending Approval .
To approve the purchase order, as Sean
1. Sign in as Sean.
2. On the Role Center, in the Self Ser vice area, choose the Requests to Approve tile.
3. On the Requests to Approve page, select the line about the purchase order by Alicia, and then choose the
Approve action.
The value in the Status field on Alicia's purchase order changes to Released .
You have now set up and tested a simple approval workflow based on the first two steps of the Purchase Order
Approval Workflow workflow. You can easily extend this workflow to automatically post Alicia's purchase order
when Sean approves it. To do this, you must enable the Purchase Invoice Workflow workflow, in which the
response to a released purchase invoice is to post it. First you must change the event condition on the first
workflow step from (purchase) Invoice to Order .
The generic version of Business Central includes a number of workflow templates for scenarios that are
supported by the application code. Most of these are for approval workflows.
You define variations of workflows by filling fields on workflow lines from fixed lists of event and response
values representing scenarios that are supported by the application code. For more information, see Create
Workflows.
If a business scenario requires a workflow event or response that is not supported, a Microsoft partner must
implement them through code, or you can set up a workflow using Power Automate. For more information, see
Use Business Central in an Automated Workflow or Events in AL in the developer help, respectively.

See also
Create Workflows
Workflow
Use Business Central in an Automated Workflow
Record Purchases with Purchase Invoices
You create a purchase invoice or purchase order to record the cost of purchases and to track accounts payable. If
you need to control an inventory, purchase invoices and purchase orders are also used to dynamically update
inventory levels so that you can minimize your inventory costs and provide better customer service. The
purchasing costs, including service expenses, and inventory values that result from posting purchase invoices or
orders contribute to profit figures and other financial KPIs on your Role Center.
Create purchase invoices

In addition to buying physical items (Inventor y item type), which affect inventory valuation, you can purchase
services represented by time units. You can do this either with the Ser vice item type or with the Resource line
type.
When you receive the inventory items or when the purchased service is completed, you post the purchase
invoice or order to update inventory and financial records and to activate payment to the vendor according to
the payment terms. For more information, see Posting Purchases and Making Payments.
Cau t i on
Do not post a purchase invoice for physical items until you receive the items and know the final cost of the
purchase, including any additional charges. Otherwise, your inventory value and profit figures may be skewed.
To create a purchase invoice
The following describes how to create a purchase invoice. The steps are similar for a purchase order. The main
difference is that purchase orders have additional fields and actions for physical handling of items.
Other fields on the Purchase Invoice page are now filled with the standard information of the selected
vendor. If the vendor is not registered, then follow these steps:
a. In the Vendor field, enter the name of the new vendor.
b. In the dialog box about registering the new vendor, choose the Yes button.
c. For more on how to fill in the vendor card, see Register New Vendors.
d. When you have completed the vendor card, choose the OK button to return to the Purchase Invoice
page.
3. Fill in the remaining fields on the Purchase Invoice page as necessary. Hover over a field to read a short
description.
You are now ready to fill in the purchase invoice lines with items or resources that you have purchased
from the vendor.
NOTE
If you have set up recurring purchase lines for the vendor, such as a monthly replenishment order, then you can
insert these lines on the invoice by choosing the Get Recurring Purchase Lines action.
The price and line amount are shown with or without sales tax depending on what you selected in the
Prices Including Tax field on the vendor card.
in the Total Incl. Tax field at the bottom of the invoice.
NOTE
If you have set up invoice discounts for the vendor, then the specified percentage value is automatically inserted
in the Vendor Invoice Discount % field if the criteria are met, and the related amount is inserted in the
Invoice Discount Amount field.

The purchase is now reflected in inventory, resource ledgers, and financial records, and the vendor payment is
activated. The purchase invoice is removed from the list of purchase invoices and replaced with a new document
in the list of posted purchase invoices.
NOTE
In rare cases, the posted amounts may deviate from what is displayed in the totals fields. This is typically due to rounding
calculations in relation to VAT or sales tax.
To check the amounts that will actually be posted, you can use the Statistics page, which takes into account the
rounding calculations. Also, if you choose the Release action, the totals fields will be updated to include rounding
calculations.
When to use purchase orders

You must use purchase orders if your purchasing process requires that you record partial receipts of an order
quantity, for example, because the full quantity was not available at the vendor. If you sell items by delivering
directly from your vendor to your customer, as a drop shipment, then you must also use purchase orders. For
more information, see Make Drop Shipments. In all other aspects, purchase orders work the same way as
purchase invoices. The following procedure is based on a purchase invoice. The steps are similar for a purchase
order.
Selling non-inventory items

The items on a purchase invoice can be of type Inventor y , Ser vice , Resource and Non-Inventor y to specify
if the item is a physical inventory unit, a labor time unit, or a physical unit that is not kept on inventory. For more
information, see Register New Items. The purchase invoice process is the same for all three item types.
NOTE
With the Resource purchase line type, you can also purchase external resources, for example, to invoice a vendor for
work delivered. For more information, see Set Up Resources.
To use a purchased resource, you may need to set the resource's capacity and manually assign it to a job. Purchasing a
resource will create a resource ledger entry, however, resource ledger entries are not tracked for quantity and value as, for
example, items are. If quantity and value tracking is required, then consider using other line item types.
Posted invoices
Once the invoice has been posted, you can find it in the list of posted invoices. Both the Posted Sales Invoices
list and the Posted Purchase Invoices list show the posted invoices with the final invoice numbers. From the
list, you can look up each posted invoice, and you can correct or cancel a posted invoice.
For each posted invoice, you can look up statistics, dimensions, and the ledger entries that are the result of the
posted invoice. You can also print or send the posted invoice.
You can easily correct or cancel a posted purchase invoice before you pay the vendor. This is useful if you want
to correct a typing mistake or if you want to change the purchase early in the order process. For more
information, see Correct or Cancel Unpaid Purchase Invoices. If you have already paid for items or services on
the posted purchase invoice, then you must create a purchase credit memo to reverse the purchase. For more
information, see Process Purchase Returns or Cancellations.
Open the Posted Purchase Invoices list in Business Central.

number.
purchase header

See Also
Purchasing
Set Up Resources
Posting Purchases
Request Quotes
Prepare Drop Shipments
Request Quotes
A purchase quote can be used as a preliminary draft for a purchase order, and the order can then be converted
to a purchase invoice or an order.
To create a purchase quote

1. Choose the icon, enter Purchase Quotes , and then choose the related link.
2. Create a new document, in the same way as you make a purchase order. For more information, see Record
Purchases.
To convert a purchase quote to a purchase order

When you have accepted the vendor's quote, you can convert it to a purchase invoice or order to process the
purchase.
1. Open a purchase quote that is ready to convert, and then choose the Make Order action.
The purchase quote is removed from the database. A purchase invoice or a purchase order is created based on
the information in the purchase quote in which you can process the purchase. In the Quote No. field on the
purchase invoice or purchase order, you can see the number of the purchase quote that it was made from.

See also
Purchasing
Purchase Items for a Sale by Creating Purchase
Invoices
From sales orders and sales invoices, you can use functions to quickly create purchase documents for missing
item quantities that are required by the sale. You can use two different functions depending on the document
type.
NOTE
This functionality is for replenishing sales items into your own inventory. To purchase items for direct delivery from your
vendor to your customer, you must create a drop shipment. For more information, see Make Drop Shipments.
Create Purchase Orders From a sales order, this function creates a purchase order for
each vendor of items on the sales order. You can edit the
purchase quantity before you create the purchase orders.
Only unavailable sales quantities are suggested.
Create Purchase Invoice From a sales order and from a sales invoice, this function
creates a purchase invoice for a selected vendor for all lines
or selected lines on the sales document. The full sales
quantity is suggested.
To create one or more purchase orders from a sales order

To create a purchase order for each unavailable item quantity on the sales order, you use the Create Purchase
Orders function.
2. Open a sales order that you want to purchase items for.
3. Choose the Create Purchase Orders action.
The Create Purchase Orders page opens showing a line for each different item on the sales order.
Lines for both fully available sales quantities and unavailable sales quantities (grayed) are shown by
default. You can choose the Show Unavailable action to only see lines for unavailable sales quantities.
The Quantity to Purchase field contains the unavailable sales quantity by default.
4. To purchase another quantity than the unavailable sales quantity, edit the value in the Quantity to
Purchase field.
NOTE
You can also change the Quantity to Purchase field on grayed lines even though they represent fully available
sales quantities.

A purchase order is created for each vendor of items on the sales order, including any quantity changes
that you made on the Create Purchase Orders page.
6. Proceed to process the purchase order or orders, for example, by editing or adding purchase order lines.
For more information, see Record Purchases.
To create a purchase invoice from a sales order or sales invoice

To create a single purchase invoice for one or more lines on a sales document by first selecting which vendor to
buy from, you use the Create Purchase Invoice function.
NOTE
This function creates a purchase invoice for the exact item quantity on the selected sales document. To change the
purchase quantity, you must edit the purchase invoice after it is created.
2. Open a sales invoice that you want to purchase items for.
3. Select one or more sales invoice lines that you want to use on the purchase invoice. To use all the sales
invoice lines, select either all of them or do not select any lines.
4. Choose the Create Purchase Invoice action.
5. Select either All Lines or Selected Lines , and then choose the OK button.
6. In the list of vendors that appears, select the vendor that you want to buy all the items from, and then
A purchase invoice is created that contains one, more than one, or all the lines on the sales invoice.
7. Proceed to process the purchase invoice, for example, by editing or adding purchase invoice lines. For
more information, see Record Purchases.
See Also
Purchasing
Record Purchases
Invoice Sales
Posting Purchases
On a purchase document, you can choose between the following posting actions:
Post
Preview Posting
Post and Print
Test Repor t
Post Batch
When a purchase document is posted, the vendor's account, the general ledger, the item ledger entries, and the
resource ledger entries are updated.
For each purchase document, a purchase entry is created in the G/L Entr y table. An entry is also created in the
vendor's account in the Vendor Ledger Entr y table and a G/L entry is created in the relevant payables account.
In addition, posting the purchase may result in a VAT entry and a G/L entry for the discount amount. Whether an
entry for the discount is posted depends on the contents of the Discount Posting field on the Purchases &
Payables Setup page.
For each purchase line, the following entries will be created:
An entry in the Item Ledger Entr y table if the purchase line is of type Item .
An entry in the G/L Entr y table if the purchase lines is of type G/L Account
An entry in the Resource Ledger Entr y table if the purchase line is of type Resource .
In addition, purchase documents are always recorded in the Purch. Recpt. Header and Purch. Inv. Header
tables.
Before you start to post, you can print a test report that contains all the information in the purchase order and
indicates any errors there. To print the report, choose Posting , and then choose Test Repor t .
IMPORTANT
When you post a purchase order for items, you can create both a receipt and an invoice. These can be done
simultaneously or independently. You can also create a partial receipt and a partial invoice by completing the Qty. to
Receive and Qty. to Invoice fields on the individual purchase order lines before you post. Note that you cannot create
an invoice for something that has not been received. That is, before you can invoice, you must have recorded a receipt, or
you must choose to receive and invoice at the same time.
You can either post or post and print. If you choose to post and print, a report is printed when the order is
posted. You can also choose the Post Batch function, which lets you post several orders at the same time. For
more information, see Post Multiple Documents at the Same Time.
Viewing Ledger Entries

When the posting is completed, the posted purchase lines are removed from the order. A message tells you
when the posting is completed. After this, you will be able to see the posted entries in the various pages that
contain posted entries, such as the Vendor Ledger Entries , G/L Entries , Item Ledger Entries , resource
ledger entries , Purchase Receipts , and Posted Purchase Invoices pages.
In most cases, you can open ledger entries from the affected card or document. For example, on the Vendor
Card page, choose the Entries action.
Editing Ledger Entries

You can edit certain fields on posted purchase documents, such as the Payment Reference field. For more
information, see Edit Posted Documents. For more critical fields that affect the auditing trail, you must reverse or
undo posting. For more information, see Reverse Journal Postings and Undo Receipts/Shipments.

See Also
Purchasing
You can correct or cancel a posted purchase invoice. This is useful if you want to correct a typing mistake, or if
you want to change the purchase early in the order process.
If you have already paid for products on the posted purchase invoice, you cannot correct or cancel it from the
posted purchase invoice itself. Instead, you must manually create a purchase credit memo to reverse the
purchase, optionally managed with a purchase return order. The same applies if you want to modify a posted
purchase invoice that was based on combined purchase receipts. For more information, see Process Purchase
Returns or Cancellations.
On the Posted Purchase Invoice page, you can choose the Correct button or the Cancel button. When you
correct or cancel a posted purchase invoice, the corrective purchase credit memo is applied to all general ledger
and inventory ledger entries that were created when the initial purchase invoice was posted. This reverses the
posted purchase invoice in your financial records and leaves the corrective posted purchase credit memo for
your audit trail. In the following the use of Correct and Cancel is described.
To correct a posted purchase invoice

1. Choose the icon, enter Posted Purchase Invoices , and then choose the related link.
2. Select the posted purchase invoice that you want to correct.
NOTE
If the Canceled check box is selected, then you cannot correct the posted purchase invoice because it has already
been corrected or canceled.
3. On the Posted Purchase Invoice page, choose Correct .

A new purchase invoice with the same information is created where you can make the correction. For
more information, see Record Purchases. The Canceled field on the initial posted purchase invoice is
changed to Yes .
A purchase credit memo is automatically created and posted to void the initial posted purchase invoice.
4. Choose Show Corrective Credit Memo to view the posted purchase credit memo that voids the initial
posted purchase invoice.
To cancel a posted purchase invoice

2. Select the posted purchase invoice that you want to cancel.
NOTE
If the Canceled check box is selected, then you cannot cancel the posted purchase invoice because it has already
been canceled or corrected.
3. On the Posted Purchase Invoice page, choose Cancel .

A purchase credit memo is automatically created and posted to void the initial posted purchase invoice.
The Canceled field on the initial posted purchase invoice is changed to Yes .
4. Choose Show Corrective Credit Memo to view the posted purchase credit memo that voids the initial
posted purchase invoice.
Partial Invoice Posting also Supported
If the cancellation is related to a partial invoice posting, then the originating purchase order line is updated to
reflect the canceled invoiced quantity. The Qty. to Invoice and Qty. Invoiced fields on the related purchase
order line are reset to the values before the partial posting.

See also
Purchasing
Record Purchases
Combine Receipts on a Single Invoice
If you want to invoice more than one purchase receipt at a time, you can use the Combine Receipts function.
Before you can create a combined purchase receipt, more than one receipt from the same vendor in the same
currency must be posted. In other words, you must have filled in two or more purchase orders and posted them
as received, but not invoiced.
When purchase receipts are combined on an invoice and posted, then a posted purchase invoice is created for
the invoiced lines. The Quantity Invoiced field on the originating purchase order, or blanket purchase order, is
updated based on the invoiced quantity. However, this original purchase document is not deleted, even if it has
been fully received and invoiced, and you must therefore delete the purchase document.
NOTE
The resulting purchase invoice cannot later be corrected or canceled. If you want to modify a purchase invoice that is
created in this way, you must use purchase credit memos. For more information, see Correct or Cancel Unpaid Purchase
Invoices.
To combine receipts
2. Choose the New action. For more information, see Record Purchases.
3. On the Lines FastTab, choose the Get Receipt Lines action.
4. Select multiple receipt lines that you want to include in the invoice.
If an incorrect receipt line was selected or you want to start over, you can just delete the lines on the
purchase invoice and then use the Get Receipt Lines function again.
5. To post the invoice, choose the Post action.
To remove open purchase orders after combined receipt posting

1. Choose the icon, enter Delete Invoiced Purchase Orders , and select the related link.
2. Fill in the fields as necessary. Hover over a field to read a short description..
Alternatively, delete the individual orders manually.
Repeat steps 1 through 3 for any other affected documents, such as blanket purchase orders.

See also
Purchasing
If you want to return items to your vendor or cancel services that you have purchased, then you can create and
post a purchase credit memo that specifies the requested change with regard to the original purchase invoice. To
include the correct purchase invoice information, you can create the purchase credit memo directly from the
posted purchase invoice or you can create a new purchase credit memo with copied invoice information.
If you need more control of the purchase return process, such as warehouse documents for the item handling or
better overview when shipping back items from multiple purchase documents with one purchase return, then
you can create purchase return orders. A purchase return order automatically issues the related purchase credit
memo. For more information, see To create a purchase return order based on one or more a posted purchase
documents.
NOTE
If a posted purchase invoice has not yet been paid, then you can use the Correct or Cancel functions on the posted
purchase invoice to automatically reverse the involved transactions. These functions only work for unpaid invoices, and
they do not support partial returns or cancellations. You can also not correct or cancel purchase invoices that were posted
with with receipts from more than one purchase order. For more information, see Correct or Cancel Unpaid Purchase
Invoices.
Typically, you create a purchase credit memo or purchase return order in reaction to a credit memo sent to you
by a vendor. The purchase credit memo or purchase return order functions as your internal documentation of
the credit memo process for accounting purposes or to control the shipping of the involved items.
The change may relate to all the products on the original purchase invoice or only to some of the products.
Accordingly, you can partially return received items or demand partial reimbursement of received services. In
that case, you must edit the information on the purchase credit memo or purchase return order.
In addition to the original posted purchase invoice, you can apply the purchase credit memo or purchase return
order to other purchase documents, for example another posted purchase invoice because you are also
returning items delivered with that invoice.
The credit memo posting will also revert any item charges that were assigned to the posted document, so that
the item's value entries are the same as before the item charge was assigned.
Inventory Costing
To preserve correct inventory valuation, you typically want to pick return items from inventory at the unit cost
that they were purchased at, not at their current unit cost. This is referred to as exact cost reversing.
Two functions exist to assign exact cost reversing automatically.
Get Posted Document Lines to Reverse function on the Copies lines of one or more posted documents to be
Purchase Return Order page reversed into the purchase return order. For more
information, see To create a purchase return order based on
one or more posted purchase documents.
Copy from Document function in the Purchase Credit Copies both the header and lines of one posted document
Memo and Purchase Return Order pages to be reversed.
Requires that the Exact Cost Reversing Mandator y

check box is selected on the Purchases & Payables Setup
page.
To assign exact cost reversing manually, you must choose the Appl.-from Item Entr y field on any type of
return document line, and then select the number of the original purchase entry. This links the purchase credit
memo or purchase return order to the original purchase sales entry and ensures that the item is valued at the
original unit cost.
For more information, see Design Details: Inventory Costing.
To create a purchase credit memo from a posted purchase invoice

2. On the Posted Purchase Invoices page, select the posted purchase invoice that you want to reverse,
and then choose the Create Corrective Credit Memo action.
Most fields on the purchase credit memo header are filled with the information from the posted purchase
invoice. You can edit all the fields, for example with new information that reflects the return agreement.
3. Edit information on the lines according to the agreement, such as the number of items returned or the
amount to be reimbursement.
5. On the Apply Vendor Entries page, select the line with the posted purchase document that you want to
apply the purchase credit memo to, and then choose the Applies-to ID action. The number of the
purchase credit memo is inserted in the Applies-to ID field.
6. In the Amount to Apply field, enter the amount that you want to apply if smaller than the original
amount.
At the bottom of the Apply Vendor Entries page, you can see the total amount to apply to reverse all
involved entries, namely when the value in the Balance field is zero.
7. Choose the OK button. When you post the purchase credit memo, it will be applied to the specified
posted purchase documents.
When you have created or edited the needed purchase credit memo lines and the single or multiple
applications are specified, you can proceed to post the purchase credit memo.
The posted purchase invoices that you apply the credit memo to are now reversed. If you have already paid the
original invoice, the vendor should now refund the payment to you. If the credit memo is only for part of the
product on the original invoice, you may only pay the remaining amount on the original purchase invoice to
close it.
The purchase credit memo is removed and replaced with a new document in the list of posted purchase credit
memos.
To create a purchase credit memo by copying a posted purchase

invoice
1. Choose the icon, enter Purchase Credit Memos , and then choose the related link.
2. Choose the New action to open a new empty purchase credit memo.
4. Choose the Copy from Document action.
5. On the Copy Purchase Document page, in the Document Type field, select Posted Invoice .
6. Choose the Document No. field to open the Posted Purchase Invoices page, and then select the posted
purchase invoice that contains lines that you want to reverse.
7. Select the Recalculate Lines check box if you want the copied posted purchase invoice lines to be updated
with any changes in item price and unit cost since the invoice was posted.
8. Choose the OK button. The copied invoice lines are inserted in the purchase credit memo.
9. Complete the purchase credit memo as explained in To create a purchase credit memo from a posted
purchase invoice.
To create a purchase return order based on one or more posted

purchase documents
1. Choose the icon, enter Purchase Return Orders , and then choose the related link.
3. Fill in the fields on the General FastTab as necessary.
4. On the Lines FastTab, fill the lines manually, or copy information from other documents to fill the lines
automatically:
Use the Get Posted Document Lines to Reverse function to copy one or more posted document
lines from one or more posted documents. This function always exactly reverses the costs from the
posted document line. This function is described in the following steps.
Use the Copy from Document function to copy an existing document to the return order. Use this
function to copy the entire document. It can be either a posted document or a document that is not yet
posted. This function only enables exact cost reversing when the Exact Cost Reversing Mandator y
check box is selected on the Sales and Receivables Setup page.
5. Choose the Get Posted Document Lines to Reverse action.
6. At the top of the Posted Purchase Document Lines page, select the Show Reversible Lines Only
check box if you want to see only lines that have quantities that have not yet been returned. For example,
if a posted purchase invoice quantity has already been returned, you may not want to include that
quantity on a new purchase return document.
NOTE
This field only works for posted receipts and posted invoice lines, not for posted return or posted credit memo
lines.
At the left side of the page, the different document types are listed, and the number in brackets shows the
number of documents available of each document type.
7. In the Document Type Filter field, select the type of posted document lines you would like to use.
8. Select the lines that you would like to copy to the new document.
NOTE
If you use Ctrl+A to select all lines, all lines within the filter you have set are copied, but the Show Reversible
Quantity Only filter is ignored. For example, suppose you have filtered the lines to a particular document
number with two lines, one of which has already been returned. Even if the Show Reversible Quantity Only
field is selected, if you press Ctrl+A to copy all lines, both lines are copied, instead of only the one that has not yet
been reversed.
9. Choose the OK button to copy the lines to the new document.

The following processes occur:
For posted document lines of the type Item , a new document line is created that is a copy of the
posted document line, with the quantity that has not yet been reversed. The Appl.-to Item Entr y
field is filled in as appropriate with the number of the item ledger entry of the posted document
line.
For posted document lines that are not of the type Item , such as item charges, a new document
line is created that is a copy of the original posted document line.
Calculates the Unit Cost (LCY) field on the new line from the costs on the corresponding item
ledger entries.
If the copied document is a posted shipment, posted receipt, posted return receipt, or posted
return shipment, the unit price is calculated automatically from the item card.
If the copied document is a posted invoice or credit memo, the unit price, invoice discounts, and
line discounts from the posted document line are copied.
If the posted document line contains item tracking lines, the Appl.-to Item Entr y field on the
item tracking lines is filled with the appropriate item ledger entry numbers from the posted item
tracking lines.
When you copy from a posted invoice or posted credit memo, application copies any relevant invoice
discounts and line discounts as valid at the time of posting that document from the posted document line
to the new document line. Be aware, however, that if the Calc. Inv. Discount option is activated on the
Purchases & Payables Setup page, then the invoice discount will be newly calculated when you post
the new document line. The line amount for the new line may therefore be different than the line amount
for the posted document line, depending on the new calculation of the invoice discount.
NOTE
If part of the quantity of the posted document line has already been reversed or sold or consumed, a line is
created for only the quantity that remains in inventory or that has not been returned. If the full quantity of the
posted document line has already been reversed, a new document line is not created.
If the flow of goods in the posted document is the same as the flow of goods in the new document, a copy of the
original posted document line in the new document is created. The Appl.-from Item Entr y field is not filled in
because, in this case, exact cost reversing is not possible. For example, if you use the Get Posted Document
Lines to Reverse function to get a posted purchase credit memo line for a new purchase credit memo, only the
original posted credit memo line is copied to the new credit memo.
10. On the Purchase Return Order page, in the Return Reason Code field on each line, select the reason
for the return.
To create a replacement purchase order from a purchase return order
You may agree with your vendor that they compensate you for a purchased item by replacing the item. The
replacement item can be the same or it can be different. This situation could occur if the vendor mistakenly
shipped the wrong item.
1. On the Purchase Return Order page for an active return process, on an empty line, make a negative entry
for the replacement item by inserting a negative amount in the Quantity field.
2. Choose the Move Negative Lines action.
3. On the Move Negative Purchase Lines page, fill in the fields as necessary.
4. Choose the OK button. The negative line is deleted from the purchase return order, and a new purchase
order is created. For more information, see Record Purchases.
To create a purchase allowance

If you receive items from your vendor that are not what you wanted, for example, if they are slightly damaged,
the wrong color or the wrong size, the vendor may offer you a purchase allowance.
You can post this reduced purchase cost as an item charge on a credit memo or return order and link it to the
posted receipt. The following describes it for a purchase return order, but the same steps apply to a purchase
credit memo.
2. Choose the New action to open a new empty purchase credit memo.
3. Fill in the credit memo header with information about the vendor who sent you the purchase allowance.
4. On the Lines FastTab, in the Type field, select Charge (Item) .
5. In the No. field, select the appropriate item charge value.
You may want to create a special item charge number to cover purchase allowances.
6. In the Quantity field, enter 1 .
7. In the Direct Unit Cost field, enter the amount of the purchase allowance.
8. Assign the purchase allowance as an item charge to the items in the posted receipt. For more
information, see Use Item Charges to Account for Additional Trade Costs. When you have assigned the
allowance, return to the Purchase Credit Memo page.
When you post the purchase return order, the purchase allowance is added to the relevant purchase entry
amount. In this way, you can maintain accurate inventory valuation.
To combine return shipments

If you want to return items covered by different purchase return orders to the same vendor, then you can use
the Combine Return Shipments function.
When you ship the items, you post the related purchase return orders as shipped and this creates posted
purchase return shipments.
When you are ready to invoice these items, instead of invoicing each purchase return order separately, you can
create a purchase credit memo and automatically copy the posted purchase return shipment lines to this
document. Then you can post the purchase credit memo and conveniently invoice all the open purchase return
orders at the same time.
When return shipments are combined on a credit memo and posted, then a posted purchase credit memo is
created for the invoiced lines. The Quantity Invoiced field on the originating purchase return order is updated
based on the invoiced quantity. However, this original purchase return order is not deleted, even if it has been
fully received and invoiced, and you must therefore delete the purchase return order manually.
NOTE
The following procedure assumes that there are several purchase return orders for the vendor, and that they have been
posted as shipped.
4. Choose the Get Return Shipment Lines action.
5. Select multiple return shipment lines that you want to include in the invoice.
If an incorrect return shipment line was selected or you want to start over, you can just delete the lines on
the purchase credit memo and then use the Get Return Shipment Lines function again.
To remove open purchase return orders after combined return shipment posting
1. Choose the icon, enter Delete Invoiced Purchase Return Orders , and then choose the related link.
2. Fill in the fields as necessary, and then choose the OK button.
3. Alternatively, delete the individual purchase return orders manually.

See Also
Purchasing
Record Purchases
The generic version of Business Central supports receiving electronic invoices and credit memos in the PEPPOL
format, which is supported by the largest providers of document exchange services. To receive an invoice from a
vendor as an electronic PEPPOL document, you process the document in the Incoming Documents page to
convert it to a purchase invoice or general journal line in Business Central.
In addition to receiving electronic documents directly from trading partners, you can receive electronic
documents from an OCR service that has turned your PDF or image files into electronic documents.
Before you can receive electronic documents through the document exchange service, you must set up various
master data, such as company information, vendors, items, and units of measure. These are used to identify the
Business Central. For more information, see Set Up a Document Exchange Service.
Before you can receive electronic documents through the OCR service, you must set up and enable the
preconfigured service connection. For more information, see Set Up Incoming Documents.
The traffic of electronic documents in and out of Business Central is managed by the Job Queue feature. Before
you can receive electronic documents, the relevant job queue must be started.
You can either start the conversion of electronic documents manually, as described in this procedure, or you can
enable a workflow to convert electronic documents automatically when they are received. The generic version of
Business Central includes a workflow template, From Incoming Electronic through OCR to Open Purchase
Invoice Workflow , which is ready to be copied to a workflow and enabled. For more information, see Workflow.
NOTE
When you convert electronic documents received from the OCR service to documents or journal lines in Business Central,
multiple lines on the source document will be summed on one line. The single line will be of type G/L Account and the
Description and (G/L account) No. fields will be empty. The value in the Amount field will equal the total amount
excluding VAT of all lines in the source document.
To make sure that the Description and No. fields are filled, you can choose the Map Text to Account button on the
Incoming Documents page to define that a certain invoice text is always mapped to a certain debit or credit account in
the general ledger. Going forward, the Description field on document or journal lines created from an electronic
document for that vendor or customer will be filled with the text in question and the (G/L account) No. field with the
account in question.
Instead of mapping to a G/L account, you can also map to a bank account. This is practical, for example, for electronic
documents for expenses that are already paid where you want to create a general journal line that is ready to post to a
bank account.
The following procedure describes how to receive a vendor invoice and convert it to a purchase invoice in
Business Central. The procedure is the same when you convert a vendor invoice to a general journal line.
To receive and convert an electronic invoice to a purchase invoice
2. Select the line for the incoming document record that represents a new incoming electronic invoice, and
On the Incoming Document Card page, the related XML file is attached, and most of the fields are
prefilled with information from the electronic invoice. For more information, see Create Incoming
Document Records.
3. In the Data Exchange Type field, choose PEPPOL - Invoice or OCR – Invoice depending on the
source of the electronic document.
4. To map text on the vendor invoice to a specific debit account, on the Actions tab, in the General group,
choose Map Text to Account , and then fill the Text-to-Account Mapping Worksheet page.
5. Choose the Create Document action.
A purchase invoice will be created in Business Central based on the information in the electronic
document.
Any validation errors, typically related to wrong or missing master data in Business Central will be shown
on the Error Messages FastTab.

See Also
Managing Payables
Incoming Documents
Calculate Dates for Purchases
If you want to have items in inventory on a certain date, Business Central can automatically calculate the date on
which you must order them.
The result is the date on which you can pick the items that you ordered.
If you specify a requested receipt date on a purchase order line, the calculated order date is the date on which
you must place the order. The date on which the items will be available for picking displays in the Expected
Receipt Date field.
If you don't specify a requested receipt date, the date you expect to receive the items is based on order date on
the line.
The receipt date is also the date when the items will be available for picking.
TIP
By default, many of the date fields this article mentions are hidden on purchase order lines. If a field isn't available, you
can add it by personalizing the page. For more information, see Personalize Your Workspace.
Calculating with a requested receipt date

If there's a requested receipt date on the purchase order line, that date is the basis for the following calculations:
requested receipt date - lead time calculation = order date
requested receipt date + inbound whse. handling time + safety lead time = expected receipt date
If you specify a requested receipt date on a purchase order line, that date is assigned to new lines as you create
them. You can change or remove the date on the lines.
NOTE
If your process is based on backward calculation, for example, if you use the requested receipt date to get the order date,
we recommend that you use date formulas that have fixed durations, such as "5D" for five days or "1W" for one week.
Date formulas without fixed durations, such as "CW" for current week or CM for current month, can result in incorrect
date calculations. For more information about date formulas, see Work with Calendar Dates and Times.
Calculating without a requested delivery date

If you enter a purchase order line without a requested delivery date, the Order Date field on the line shows the
date in the Order Date field on the purchase order header. This date is either the date you entered or the work
date. The dates are then calculated for the purchase order line, with the order date as the starting point, as
follows:
order date + lead time calculation = planned receipt date
planned receipt date + inbound whse. handling time + safety lead time = expected receipt date
If you change the order date on the line, Business Central recalculates the other dates.
Default values for lead time calculation
Business Central uses the date formula in the Lead Time Calculation field on the purchase order line to
calculate the order and expected receipt dates.
You can manually specify the date formula on lines. Otherwise, Business Central will use the formulas that are
defined on the following pages in this order of priority:
1. Item/Vendor Catalog
2. Item Card
3. Stockkeeping Unit Card
4. Vendor Card

See also
NOTE
TIP
action.
the process.
NOTE

See also
Sales
Set Up Contacts
Work with Blanket Sales Orders or Blanket Purchase
Orders
A blanket sales order represents a framework for a long-term agreement between you and your customer.
Similarly, you use blanket purchase orders to manage long-term agreements between you and your vendor.
A blanket order is typically made when a customer has committed to purchasing large quantities that are to be
delivered in several smaller shipments over a certain period of time. Often blanket orders cover only one item
with predetermined delivery dates. The main reason for using a blanket order rather than a sales order is that
quantities entered on a blanket order do not affect item availability and thus can be used as a worksheet for
monitoring, forecasting, and planning purposes.
On the blanket order, each separate shipment can be set up as an order line, which can then be converted into a
sales order at the time of shipping.
An example of when a blanket sales order could be used is if a customer calls and places an order of 1000 units
of an item and they want the items to be delivered in 250 units every week over the next month.
NOTE
Blanket purchase orders work in a similar way as blanket sales orders. This documentation covers blanket sales orders
only.
To create a blanket sales order

4. Leave the Order Date field blank. When the separate sales orders are created from the blanket order, the
order date of the sales order is set to equal the actual work date.
5. On the Lines FastTab, create separate lines for each shipment. For instance, if your customer wants 1000
units split out equally between four weeks, you would enter four separate lines of 250 units each.
To create a sales order from a blanket sales order

1. To create an order for any of the lines in the blanket sales order, remove the quantity in the Qty. to Ship field
on all the lines that you do not wish to ship at this time.
2. When you are ready to create orders, choose the Make Order action, and then choose Yes . A message
appears informing you that the blanket order has been assigned an order number. Note that the blanket
order has not been deleted.
4. To see the results of the preceding steps, choose the Line action, choose the Unposted Lines action, and
then choose the Orders action.
5. On the Sales Lines page, select the appropriate sales order, choose the Line action, and then choose the
Show Document action.
The following applies to sales orders after they have been created from blanket sales orders:
After the blanket order is converted into a sales order, the sales order contains all the lines from the blanket
order. The lines where the quantity in the Qty. to Ship field was deleted appear, but with blank Quantity
fields. You may choose to leave, edit, or delete the lines.
It is important to remember that the sales order line quantity must not exceed the quantity of the associated
blanket order line. Otherwise, posting of the sales order will not be possible.
When the sales order is posted as shipped and/or invoiced, the Quantity Shipped and Quantity Invoiced
fields are updated on the related blanket order.
The blanket order number and line number are recorded as properties of the sales lines when created from a
blanket order.
When sales orders are not created directly from the blanket order but still relate to it, a link between a sales
order and a blanket order can be established by entering the associated blanket order number in the
Blanket Order No. field on the sales order line.
After the sales order has been created for the total quantity of a blanket order line, no other sales order can
be created for the same line. Users are prevented from entering a quantity in the Qty. to Ship field. If,
however, additional quantities need to be added to a blanket order, the value in the Quantity field can be
increased and additional orders can then be created.
The invoiced blanket sales order remains in the system until it is deleted, either by deleting individual blanket
orders or by running the Delete Invoiced Blanket Sales Orders batch job.
If a customer is also recorded as a contact in the Marketing application area, and if you have specified an
interaction template code for blanket sales order on the Marketing Setup page, an interaction is recorded
in the Interaction Log Entry table when you select Print to print the blanket sales order.
To view the status of a blanket sales order

You can see the status of a blanket sales order on the Blanket Sales Order Statistics page. This may be
relevant when you start to invoice the order that is created from the blanket sales order.
2. Select a blanket sales order, and then choose the Statistics action.
3. On the Blanket Sales Order Statistics page, on the General FastTab, you can see summary information
about the entire order based on the total quantity in the various Quantity fields on the blanket sales order
lines.
On the Invoicing FastTab, you can see summary information based on the total quantity in the Qty. to
Invoice fields on the sales blanket order lines.
On the Shipping FastTab, you can see summary information based on the total quantity in the Qty. to
Receive fields on the sales blanket order lines.
On the Prepayment FastTab, you can see summary information about any prepaid amounts.
On the Vendor FastTab, you can see certain basic information about the vendor.
To view unposted and posted blanket sales order lines

The link between the blanket sales order and the originating sales order, and any other sales document, is
retained after posting as a list of posted and unposted sales order invoice lines.
1. Choose the icon enter Blanket Sales Orders , and then choose the related link.
2. Open the blanket sales order you want to view.
3. To view unposted entries, select the line in question, choose the Line action, and then choose the Unposted
Lines action. Choose one of the following options.
Orders Specifies open orders associated with the selected line.
Invoices Specifies open invoices that have been associated with the
selected line. Open invoices are manually associated with a
blanket order by entering the blanket order number on the
sales invoice line.
Return Orders Specifies open return orders that have been associated with
the selected line.
Credit Memos Specifies open credit memos that have been associated with
the selected line.
4. To view posted entries, select the line in question, choose the Line action, and then choose the Posted Lines
action. Choose one of the following options.
Shipments Posted shipments associated with the selected line.
Invoices Posted invoices associated with the selected line.
Return Receipts Posted return receipts that have been associated with the
selected line.
Credit Memos Posted credit memos that have been associated with the
selected line.
5. On the Sales Lines page, choose the Show Document action to view the entry.

See also
Sales
Setting Up Sales
External Document Numbers on Purchase
Documents
number.
purchase header
You can also specify external document numbers on sales documents. For more information, see External
Document Numbers
See Also
Purchasing
You can enter external document numbers for customers and vendors in all sales and purchase orders, invoices,
and credit memos. You can use these numbers to search for posted sales and purchase lines later.
NOTE
Specify the document number that your customer or vendor has specified. Business Central does not check if these
external document numbers are unique or duplicates.
The following procedure explains how to specify an external document number on a sales order, but similar
steps apply to other sales and purchase documents.
To enter external document numbers in a sales order

2. Select the relevant sales order, and then choose the Edit action.
3. On the General FastTab, in the External Document No. field, enter the invoice number.
On purchase documents, the relevant field is the Vendor Invoice No. field.
4. Fill in any other required fields.
See Also
Sell Products
Purchasing
Manage Inventory
For each physical product that you trade in, you must create an item card of type Inventor y . Items that you
offer to customers but do not keep in inventory you can register as catalog items, which you can convert to
inventory items when necessary. You can increase or decrease the quantity of an item in inventory by posting
directly to the item ledger entries, for example, after a physical count or if you do not record purchases.
Inventory increases and decreases are naturally also recorded when you post purchase and sales documents
respectively. For more information, see Record Purchases, Sell Products, and Invoice Sales. Transfers between
locations changes inventory quantities across your company's warehouses.
To increase your overview of items and to help you find them, you can categorize items and give them attributes
to search and sort by.
NOTE
The physical handling of items is referred to as warehouse activities. For more information, see Warehouse Management.
Planning for items to fulfill demand is covered as part of supply planning functionality. For more information,
see Planning.
Inventory Reconciliation
When you post inventory transactions, such as sales shipments, purchase invoices, or inventory adjustments,
the changed item costs are recorded in item value entries. To reflect this change of inventory value in your
financial books, the inventory costs are automatically posted to the related inventory accounts in the general
ledger. For each inventory transaction that you post, the appropriate values are posted to the inventory account,
adjustment account, and COGS account in the general ledger. For more information, see Reconcile Inventory
Costs with the General Ledger.
Even though inventory costs are automatically posted to the general ledger, it is still necessary to ensure that the
costs of goods are forwarded to the related outbound sales transaction, especially in situations where you sell
goods before you invoice the purchase of those goods. This is referred to as cost adjustment. Item costs are
automatically adjusted when you post item transactions, but you can also adjust item costs manually. For more
information, see Adjust Item Costs.
Related Tasks
The following table outlines related tasks.
TO SEE
Create item cards for inventory items that you trade in. Register New Items
Structure parent items that you sell as kits consisting of the Work with Bills of Material
parent's components or that you assemble to order or to
stock.
TO SEE
Maintain an overview of items and help you find and sort Categorize Items
items by organizing them in categories.
Assign item attributes of different value types to your items Work with Item Attributes
to help you sort and find items.
Create special item cards for items that you offer to Work with Catalog Items
customers but do not maintain inventory for.
Perform physical counting of your inventory with the Count Inventory Using Documents
Physical Inventor y Order and Physical Inventor y
Recording pages.
Perform physical counting, make negative or positive Count, Adjust, and Reclassify Inventory Using Journals
adjustments, and change information, such as location or lot
number, on item ledger entries.
View the availability of items per location, by period, by sales View the Availability of Items
or purchase event, or by their use on assembly or
production BOMs.
Transfer inventory items between locations with transfer Transfer Inventory Between Locations
orders, to manage warehouse activities, or with the item
reclassification journal.
Reserve inventory or inbound items for sales orders, Reserve Items

purchase orders, service orders, assembly orders, or
production orders.
Set up item tracking so that you can track items serial Set Up Item Tracking with Serial, Lot, and Package Numbers
numbers, for example to track items in case of recalls.
Assign serial numbers or lot numbers to any outbound or Work with Serial and Lot Numbers
inbound document or journal line.
Find where any serial or lot number was used in its supply Trace Item-Tracked Items
chain, for example in recall situations.
Set up a vendor's or customer's own item description on Use Item References

your item card so that you can quickly insert their item
description on trade documents.
Block items from being entered on sales or purchase lines or Block Items
from being posted in any transaction.
Manage business operations in sales offices, a purchasing Work with Responsibility Centers
departments, or plant planning offices across multiple
locations.
Use resources with specific skills for various services and Set Up Resource Allocation
service items.

See also
Purchasing
Sales
Start a free trial!

Inventory and Warehouse Reports and Analytics in
Business Central
Inventory and warehouse reporting in Business Central allows inventory and business professionals to get
insights and statistics about current and past inventory and warehouse activities.
Reports
The following table describes some of the key reports in inventory and warehouse reporting.

and their availability. This report shows
cumulated values like gross
requirements, scheduled and planned
receipts, the inventory, and so on.
Inventory Valuation Displays inventory valuation for 1001

selected items in your inventory. The
report also shows information about
the value of increases and decreases in
inventory over time.
Item Expiration - Quantity Shows an overview of the quantities of 5809

selected items in your inventory whose
expiration dates fall within a certain
period. The list shows the number of
units of the selected item that will
expire in a given time period. For each
of the items that you specify when
setting up the report, the printed
document shows the number of units
that will expire during each of three
periods of equal length and the total
inventory quantity of the selected
item.
You can specify what is included in the
report by setting filters. If you do not
set any filters, the report will include all
your records. The quantities in the
report reflect only the quantities of the
item for which expiration dates have
been defined.
Item Age Composition - Quantity Shows an overview of the current age 5807
composition of selected items in your
inventory. The list shows the number
of units or value of the selected item
that were added to or removed from
inventory and at which point in time.
Items can be added to or removed
from inventory as a result of
purchases, sales, and positive and
negative adjustments.
Item Age Composition - Value Shows an overview of the current age 5808
Warehouse Bin List Shows an overview of warehouse bins, 7319

their setup, and the quantity of items
within the bins. This report can be
used for all locations, which have “bin”
as mandatory field.
Warehouse Shipment Status Shows an overview of open source 7313

documents with items shipped or due
for shipping per location. This report
can be used for all locations, were
Required Shipments is enabled.
Warehouse Shipment Status shows
quantities.

each item: sales order line with
customer's name, variant code,
from the inventory.
NOTE: this functionality is not available
for advanced warehouse functionality.
Warehouse Adjustment Bin This special report is meant only for an 7320
advanced warehouse and shows the
remaining quantities that are still
stored in the adjustment bin itself.
Normally this specific bin should be
empty. The only reason when this bin
will be filled is as result of physical
counting process or if quantities of
items had been removed or added to
the warehouse
Tasks
See also
Inventory
Setting Up Warehouse Management
Register New Items
Items, among other products, are the basis of your business, the goods or services that you trade in. Each item
must be registered as an item card.
Item cards hold the information that is required to buy, store, sell, deliver, and account for items.
The item card can be of type Inventor y , Ser vice , or Non-Inventor y to specify if the item is a physical
inventory unit, a labor time unit, or a physical unit that is not tracked in inventory. For more information, see
About Item Types.
An item can be structured as a parent item with underlying child items in a bill of materials (BOM). In Business
Central, a bill of material can be either an assembly BOM or a production BOM, depending on its use. For more
information, see Work with Bills of Material.
If you purchase the same item from more than one vendor, you can connect those vendors to the item card. The
vendors will then appear on the Item Vendor Catalog page, so that you can easily select an alternate vendor.
Items that you offer to your customers but you do not want manage in your system until you start selling them
can be set up as catalog items. Catalog items are not to be mistaken with regular items of type Non-Inventor y .
For more information, see Work with Catalog Items.
NOTE
If item templates exist for different item types, then a page appears when you create a new item card from where you can
select an appropriate template. If only one item template exists, then new item cards always use that template.
The following procedure explains how to create an item card from scratch. You can also create new item cards
by copying existing ones. For more information, see Copy Existing Items to Create New Items.
To create a new item card

2. On the Items page, choose the New action.
If only one item template exists, then a new item card opens with some fields filled with information from
the template.
3. On the Select a template for a new item page, choose the template that you want to use for the new
item card.
4. Choose the OK button. A new item card opens with some fields filled with information from the template.
5. Proceed to fill or change fields on the item card as necessary. Hover over a field to read a short
description.
NOTE
In the Costing Method field, you set up how the item's unit cost is calculated by making assumptions about the flow of
physical items through your company. Five costing methods are available, depending on the type of item. For more
information, see Design Details: Costing Methods.
If you select Average , then the item's unit cost is calculated as the average unit cost at each point in time after a
purchase. Inventory is valuated with the assumption that all inventories are sold simultaneously. With this setting, you
can choose the Unit Cost field to view, on the Average Cost Calc. Over view page, the history of transactions that
the average cost is calculated from.
You can view or edit special prices or discounts that you grant, or that your vendor grants you, for the item if
certain criteria are met, such as customer, minimum order quantity, or ending date. You do this by choosing the
Set Special Prices or Set Special Discounts actions. Each row on, for example, the Sales Prices page
represents a special price. Each column represents a criterion that must apply to grant a customer the special
price that you enter in the Unit Price field on the Sales Prices page. For more information, see Record Sales
Price, Discount, and Payment Agreements or Record Special Purchase Prices and Discounts.
The item is now registered, and the item card is ready to be used on purchase and sales documents.
If you want to use this item card as a template when you create new item cards, you can save it as a template.
For more information, see the following section.
To save the item card as a template
1. On the Item Card page, choose the Save as Template action. The Item Template page opens showing the
item card as a template.
3. To reuse dimensions in templates, choose the Dimensions action. The Dimension Templates page opens
showing any dimension codes that are set up for the item.
4. Edit or enter dimension codes that will apply to new item cards created by using the template.
5. When you have completed the new item template, choose the OK button.
The item template is added to the list of item templates, so that you can use it to create new item cards.
Items used in production orders
If you want to register items that are then used in production orders, you specify the replenishment system as
Prod. order on the Replenishment FastTab. For more information, see About Production Orders.
To set up multiple vendors for an item

If you purchase the same item from more than one vendor, you must enter information about each vendor of
the item, such as prices, lead time, discounts, and so on.
2. Select the relevant item, and then choose the Edit action.
3. Choose the Vendors action.
4. Choose the Vendor No. field, and then select the vendor that you want to set up for the item.
5. Optionally, fill in the remaining fields.
6. Repeat steps 2 through 5 for each vendor that you want to buy the item from.
The vendors will now appear on the Item Vendor Catalog page, which you open from the item card, so that
you can easily select an alternate vendor.
Set up item substitutions
You can set up items to have substitutes, such as other items that can be used in place of the original item.
To make an item substitution
2. Find the relevant item, and then click on the Item No. to open the Item Card.
3. Choose the Related action, then choose Item , and then Substitutions to open the the Item Substitution
Entry page.
4. Choose the Substitute No. field, and then select the replacement item from the list.
5. Proceed to fill in or change other fields on the page as necessary.
When the quantity requested, such as on a sales line, exceeds the quantity that is available in inventory, then a
message appears to inform you that substitute items exist.
NOTE
Be aware that item substitutions will not automatically cause an item to be replaced by another item, for example when
creating a sales order or in a BOM. Instead, you will be alerted to the fact that a substitution is available to you.
Categories, attributes, and variants

Categories and attributes are two different ways of grouping inventory items. Item variant is a way to indicate
that a specific item is available in different colors or sizes, for example. Depending on how you set up your
inventory, you can use categories to group chairs versus desks, and then use attributes to group green items
versus blue items, for example. You can then supplement this setup by adding variants to each type of chair and
desk. By adding variants, you can run reports such as Item Availability by Variant to identify differences
between the blue chairs versus the green chairs, for example.
Deleting item cards

If you have posted a transaction for an item, you cannot delete the card because the ledger entries may be
needed for inventory valuation or auditing. To delete item cards with ledger entries, contact to Microsoft partner
to do so through code.
Manage inventory in warehouses

When you register a new item, you will see fields that are related to warehouse management, especially on the
Warehouse FastTab. If your organization does not use the warehouse management capabilities in Business
Central, then you can ignore those fields.
If your organization later sets up warehouse management, in most cases, you must then go back to each
existing item to make sure that it has the right information in the various fields, so that the warehouse processes
can run as expected. This information can includes fields such as Warehouse Class Code or Put-away
Template Code . For more information, see Design Details: Warehouse Setup.
Planning
When your company uses the supply planning processes in Business Central, you must fill in the relevant fields
on the Planning FastTab. For an introduction to the planning area, see Design Details: Central Concepts of the
Planning System.
For examples of how you can use the fields on the Planning FastTab, see Setup Best Practices: Planning
Parameters.

See also
Inventory
Set Up Units of Measure
Tariff numbers
Purchasing
Sales
Setup Best Practices: Planning Parameters
You use bills of materials (BOMs) to structure parent items that must be assembled or produced by resources or
machine centers from components. An assembly BOM can also be used to sell a parent item as a kit consisting
of its components.
Assembly BOMs or Production BOMs

You use assembly orders for making end items from components in a simple process that can be performed by
one or more basic resources, which are not machine or work centers, or without any resources. For example, an
assembly process could be to pick two wine bottles and one coffee sack and then pack them as a gift item.
An assembly BOM is the master data that defines which component items go into an assembled end item and
which resources are used to assemble the assembly item. When you enter an assembly item and a quantity in
the header of a new assembly order, then the assembly order lines are automatically filled according to the
assembly BOM with one assembly order line per component or resource. For more information, see Assembly
Management.
Assembly BOMs are described in this topic.
You use production orders for making end items from components in a complex process that requires a
production routing and work or machine centers, which represent production capacities. For example, a
production process could be to cut steel plates in one operation, weld them in the next operation, and paint the
end item in the last operation. For more information, see Manufacturing.
A production BOM is the master data that defines a production item and the components that go into it. for
assembly items, the production BOM must be certified and assigned to the production item before it can be
used in a production order. When you enter the production item on a production order line, either manually or
by refreshing the order, then the production BOM content becomes the production order components. For more
information, see Create Production BOMs.
The concept of resources in production is much more advanced than in assembly management. Work centers
and machine centers function as resources, and production steps are represented by operations that are
assigned to resources in production routings. For more information, see Create Routings.
Both assembly orders and production orders may be linked directly to sales orders. However, you can only use
assembly orders to customize the end item directly for a customer request with the sales order.
To create an assembly BOM

To define a parent item that consists of other items, and potentially of resources required to put the parent
together, you must create an assembly BOM.
Assembly BOMs usually contain items but can also contain one or more resources that are required to put the
assembly item together.
Assembly BOMs can have multiple levels, which means that a component on the assembly BOM can be an
assembly item itself. In that case, the Assembly BOM field on the assembly BOM line contains Yes .
Special requirements apply to items on assembly BOMs with regards to availability. For more information, see
To see the availability of an item by its use in assembly BOMs.
There are two parts to creating an assembly BOM:
Setting up a new item
Defining the BOM structure of the assembly item.
1. Set up a new item. For more information, see Register New Items.
Proceed to enter components or resources on the assembly BOM.
2. On the Item Card page for an assembly item, choose the Assembly action, and then choose the
Assembly BOM action.
3. On the Assembly BOM page, fill in the fields as necessary. Hover over a field to read a short description.
To edit assembly BOMs

You can edit the lines on an assembly BOM at any time. But be aware that the BOM may be in use on ongoing
sales or assemblies of the parent, which may be affected by the change. Choose the Where-Used action to see
in which items it is being used and then whether sales or assembly orders may be affected.
2. Choose the Yes value in the Assembly BOM column.
3. On the Assembly BOM page, choose the Edit List action, and then change any field as needed.
To view components and resources indented according to the BOM

structure
From the Assembly BOM page, you can open a separate page that shows the components and any resources
indented according to their BOM position under the assembly item.
2. Open the card for an assembly item. (The Assembly BOM field on the Items page contains Yes .)
3. On the Item Card page, choose the Assembly action, and then choose the Assembly BOM action.
4. On the Assembly BOM page, choose the Show BOM action.
To replace the assembly item with its components on document lines

From any sales and purchase document that contains an assembly item, you can use a special function to
replace the line for the assembly item with new lines for its components. This function is useful, for example, if
you want to sell the components as a kit that represents the assembly item.
The Explode BOM action is also available on the Assembly BOM page as a way to view sub-assembly items
on an assembly BOM.
Cau t i on
When you have used the Explode BOM function, you cannot easily undo it. You must delete the sales order
lines representing the components and then reenter a sales order line for the assembly item.
The following procedure is based on a sales invoice. The same steps apply to other sales documents and to all
purchase documents.
2. Open a sales invoice that contains a line for an assembly item.
3. Choose the line for an assembly item, and then Explode BOM line action.
All fields on the sales invoice line for the assembly item are cleared except for the Item and Description fields.
Complete sales invoice lines are inserted for the components and possible resources that comprise the
assembly item.
NOTE
The Picking List by Order report is also changed to show the components only. This means that a warehouse worker
picking the parent item, the assembly item, will not see it in the picking list. For more information, see Print the Picking
List.
To calculate the standard cost of an assembly item

You calculate the unit cost of an assembly item by rolling up the unit cost of each component and resource in
the item's assembly BOM.
You can also calculate and update the standard cost for one or many items on the Standard Cost Worksheet
page. For more information, see Update Standard Costs.
The unit cost of an assembly BOM always equals the total of the unit costs of its components, including other
assembly BOMs, and any resources.
NOTE
To calculate the unit cost of an assembly or production BOM, the parent item and its component items must use the
Standard costing method. Any resources in the BOM are rolled up if they have a unit cost that is defined on the resource
card.
1. In the top right corner, choose the Search for Page or Repor t icon, enter Items , and then choose the
related link.
4. On the Assembly BOM page, choose the Calc. Standard Cost action.
5. Select one of the following options, and then choose the OK button.
Top Level Calculates the assembly item's standard cost as the total
cost of all purchased or assembled items on that assembly
BOM regardless of any underlying assembly BOMs.
All Levels Calculates the assembly's item standard cost as the sum of:
1) The calculated cost of all underlying assembly BOMs on
the assembly BOM. 2) The cost of all purchased items on the
assembly BOM.
The costs of the items that make up the assembly BOM are copied from the component item cards. The cost of
each item is multiplied by the quantity, and the total cost is shown in the Unit Cost field on the item card.

See also
Register New Items
Inventory
Categorize Items
To maintain an overview of your items and to help you sort and find items, it is useful to organize your items in
item categories.
To find items by characteristics, you can assign item attributes to items and also to item categories. For more
information, see Work with Item Attributes.
To create an item category

1. Choose the icon, enter Item Categories , and then choose the related link.
2. On the Item Categories page, choose the New action.
3. On the Item Categor y Card page, on the General FastTab, fill in the fields as necessary. Hover over a field
to read a short description.
4. On the Attributes FastTab, specify any item attributes for the item category. For more information, see To
assign item attributes to item categories.
NOTE
If the item category has a parent item category, as indicated by the Parent Categor y field, then any item attributes that
are assigned to that parent item category are prefilled on the Attributes FastTab.
NOTE
Item attributes that you assign to an item category will automatically apply to the item that the item category is assigned
to.
If you change your mind about an item category, you can delete it. However, if it has already been assigned to an
item, you must remove that assignment before you can delete the item category.
To assign an item category to an item

2. Open the card for the item that you want to assign to an item category.
3. Choose the lookup button in the Item Categor y Code field and select an existing item category.
Alternatively, choose the New action to first create a new item category as explained in To create an item
category.
Categories, attributes, and variants

Categories and attributes are two different ways of grouping inventory items. Item variant is a way to indicate
that a specific item is available in different colors or sizes, for example. Depending on how you set up your
inventory, you can use categories to group chairs versus desks, and then use attributes to group green items
versus blue items, for example. You can then supplement this setup by adding variants to each type of chair and
desk. By adding variants, you can run reports such as Item Availability by Variant to identify differences
between the blue chairs versus the green chairs, for example.

See also
Register New Items
Inventory
When customers inquire about an item, either in correspondence or in an integrated web shop, they may ask or
search according to characteristics, such as height and model year. To provide this customer service, you can
assign item attribute values of different types to your items, which can then be used when searching for items.
You can also assign item attributes to item categories, which then apply to the items that use the item categories.
For more information, see Categorize Item.
TIP
If you attach pictures to items, the Image Analyzer extension can detect attributes in the image, and suggest the
attributes so you can decide whether to assign them. The extension is ready to go. You just need to enable it. For more
information, see The Image Analyzer Extension.
To create item attributes

1. Choose the icon, enter Item Attributes , and then choose the related link.
2. On the Item Attributes page, choose the New action.
3. On the Item Attribute page, fill in the fields as necessary. Hover over a field to read a short description.
NOTE
If you select Option in the Type field you can choose the Item Attribute Values action to create values for the item
attribute. For more information, see To create values for item attributes of type Option.
To create values for item attributes of type Option

1. Choose the icon, enter Item Attributes , and then choose the related link.
2. On the Item Attributes page, select an item attribute of type Option that you want to create values for, and
then choose the Item Attribute Values action.
3. On the Item Attribute Values page, fill in the fields as necessary. Hover over a field to read a short
description.
To assign item attributes to items

2. On the Items page, select the item that you want to assign item attributes to, and then choose the
Attributes action.
3. On the Item Attribute Values page, choose the New action.
4. Choose the lookup button in the Attribute field and select an existing item attribute. Alternatively, choose
the New action to first create a new item attribute as explained in To create item attributes.
5. In the Value field, enter the item attribute value, such as "2010" for the Model Year attribute.
6. For item attributes of type Option , choose the lookup button in the Value field and select an item attribute
value. Alternatively, choose the New action to first create a new item attribute value as explained in To create
values for item attributes of type Option.
7. Repeat steps 4 through 6 for all item attributes that you want to assign to the item.
To assign item attributes to item categories

1. Choose the icon, enter Item Categories , and then choose the related link.
2. On the Item Categories page, select the item category that you want to assign item attributes to, and then
choose the Edit action.
3. On the Item Categor y Card page, on the Attributes FastTab, choose the New action.
4. Choose the lookup button in the Attribute field and select an existing item attribute. Alternatively, choose
the New action to first create a new item attribute as explained in To create item attributes.
5. In the Default Value field, choose the lookup button and select an item attribute value.
6. Repeat steps 4 and 5 for all item attributes that you want to assign to the item category.
NOTE
Item attributes for parent item categories will be inherited to child item categories. This is indicated by the Inherited
From field on the Attributes FastTab. For more information, see Categorize Items.
To filter by item attributes

2. On the Items page, choose the Filter by Attributes action.
3. On the Filter Items by Attribute page, choose the lookup button in the Attribute field and select an
item attribute.
4. In the Value field, choose the lookup button and select an attribute value to filter items by.
NOTE
You can only select values directly for item attributes that have fixed values, such as Color. For item attributes that
have variable values, such as Width, you must specify the item attribute value by first selecting a condition. See
step 5.
5. In the Value field for a variable item attribute, choose the lookup button.
6. On the Specify Filter Value page, in the Condition field, choose the drop-down arrow and select a
condition.
7. In the Value field, enter an attribute value to filter items by.
Example : To filter on items where the material description begins with "blue", fill in the fields as follows:
Attribute field: Material Description, Condition field: Begins With, Value field: blue.
The items on the Items page are filtered by the specified item attribute values.

See also
Categorize Items
Register New Items
Inventory
Catalog items are items that you don't manage in Business Central until you sell them. When you use the Select
Catalog Item action to add a catalog item to a line on a sales order or quote, the catalog item is converted to a
regular item.
NOTE
You cannot select a catalog item from the Sales Invoice page.
A catalog item typically has the item number of the vendor who supplies it. Before you can convert a catalog
item to a normal item, you must specify how to convert vendor item numbers to your item numbering. For
more information, see Specify how catalog item numbers are converted to your own numbering.
IMPORTANT
Catalog items are not to be mistaken with non-inventory items, which are regular items that are given the type Non-
Inventor y to keep them out of availability and costing calculations, for example, because they are only used internally
and have a low cost. For more information, see About Item Types.
Create a catalog item

Catalog item cards have much less information than normal item cards because you only use them to offer on
quotes and in other ways. For that reason, they must be converted to normal item cards before you can post
sales transactions for them.
1. Choose the icon, enter Catalog Items , and then choose the related link.
Specify how catalog item numbers are converted to your own

numbering
Before you can convert a catalog item to a normal item, you must specify how to convert vendor item numbers
to your item numbering.
1. Choose the icon, enter Catalog Item Setup , and then choose the related link.
Convert a catalog item to a normal item

1. Choose the icon, enter Catalog Items , and then choose the related link.
2. Open the card for a catalog item that you want to convert to a normal item.
3. On the Catalog Item Card page, choose the Create Item action.
A new item card pre-filled with information from the catalog item and a relevant item template is created. You
can then fill or edit fields on the new item card as necessary. For more information, see Register New Items.
To sell a catalog item, and convert it to a normal item
2. Choose the New action. Fill in the fields on the General FastTab as for any sales order. For more
information, see Sell Products.
3. On a new sales line, in the Type field, select Item , but leave the No. field empty.
4. Choose the Line action, and then choose the Select Catalog Items action.
The catalog item is converted to a normal item. A new item card prefilled with information from the
catalog item and a relevant item template is created.
5. On the Catalog Items page, select the catalog item that you want to sell, and then choose the OK
button.
6. When the sales order is complete, choose the Post action.
You can then fill or edit fields on the new item card as necessary. For more information, see Register New Items.
NOTE
An item reference is automatically item between the vendor's item number and your new item number. For more
information, see Use Item References.

See also
Register New Items
Inventory
Count and Adjust Inventory Using Documents
You can take a physical inventory of your items by using physical inventory order and physical inventory
recording documents. The Physical Inventor y Order page is used to organize the complete inventory
counting project, for example one per location. The Physical Inventor y Recording page is used to
communicate and capture the actual count of items. You can create multiple recordings for one order, for
example to distribute groups of items to different employees.
The Physical Inventor y Recording report can be printed from each recording and contains empty quantity
fields for entering the counted inventory. When a user is done counting, and the quantities are entered on the
Physical Inventor y Recording page, you choose the Finish action. This transfers the quantities to the related
lines on the Physical Inventor y Order page. Functionality ensures that no item count can be recorded twice.
NOTE
Using documents to perform a physical inventory provides more control and supports distributing the counting to
multiple employees. You can also perform the task by using journals, such as the Phys. Inventor y Journals and Whse.
Phys. Inventor y Journals pages. For more information, see Count, Adjust, and Reclassify Inventory Using Journals. This
article describes how to perform a physical inventory using documents.
If you are using zones, then you cannot use physical inventory orders. Instead, use the Whse. Phys. Inventor y
Journal page to count your warehouse entries before synchronizing them with item ledger entries.
Counting inventory by using documents consist of the following overall steps:

1. Create a physical inventory order with expected item quantities prefilled.
2. Generate one or more physical inventory recordings from the order.
3. Enter the counted item quantities on the recordings, as captured on print-outs, for example, and set it to
Finished .
4. Complete and post the physical inventory order.
To create a physical inventory order

A physical inventory order is a complete document that consists of a physical inventory order header and some
physical inventory order lines. The information on a physical inventory header describes how to take the
physical inventory. The physical inventory order lines contain the information about the items and their
locations.
To create the physical inventory order lines, you typically use the Calculate Lines function to reflect the current
inventory as lines on the order. Alternatively, you can use the Copy from Document function to fill the lines
with the content of another open or posted physical inventory order. The following procedure only describes
how to use the Calculate Lines function.
1. Choose the icon, enter Physical Inventor y Orders , and then choose the related link.
3. Fill in the required fields on the General FastTab. Hover over a field to read a short description.
4. Choose the Calculate Lines action.
5. Select options as necessary.
6. Set filters, for example, to only include a subset of items to be counted with the first recording.
TIP
To plan for multiple employees to count the inventory, it is advisable to set different filters each time you use the
Calculate Lines action to only fill the order with the subset of inventory items that one user will be recording.
Then as you generate multiple physical inventory recordings for multiple employees, you minimize the risk of
counting items twice. For more information, see the To create a physical inventory recording section.

A line for each item that exists on the chosen location and per the set filters and options is inserted on the order.
For items that are set up for item tracking, the Use Item Tracking check box is selected, and information about
the expected quantity of serial and lot numbers is available by choosing the Lines action and then Item
Tracking Lines . For more information, see the Handling Item Tracking when Counting Inventory section.
You can now proceed to create one or more recordings, which are instructions to the employees who perform
the actual counting.
To create a physical inventory recording

For each physical inventory order, you can create one or more physical inventory recording documents on
which employees enter the counted quantities, either manually or through an integrated scanning device.
By default, a recording is created for all the lines on the related physical inventory order. To avoid that two
employees count the same items in case of distributed counting, it is advisable to gradually fill the physical
inventory order by setting filters on the Calculate Lines batch job (see the "To create a physical inventory
order" section) and then create the physical inventory recording while selecting the Only Lines Not in
Recordings check box. This settings makes sure that each new recording that you create only contains different
items than the ones on other recordings.
In case of manual counting, you can print a list, the Phys. Invt. Recording report, which has an empty column
to write the counted quantities in. When counting is completed, you enter the recorded quantities on the related
lines on the Phys. Inventor y Recording page. Lastly, you transfer the recorded quantities to the related
physical inventory order by setting the status to Finished .
1. On a Physical Inventor y Order page that contains lines for the items to be counted in one recording,
choose the Make New Recording action.
2. Select options and set filters as necessary.
A physical inventory recording document is created.
4. For every set of items to be counted, load them on the related physical inventory order and repeat steps
1 through 3 with the Only Lines Not in Recordings check box selected.
5. Choose the Recordings action to open the Phys. Inventor y Recording List page.
6. Open the relevant recording.
8. For items that use item tracking, create an additional line for each lot number or serial number code by
choosing the Functions action, and then the Copy Line action. For more information, see the Handling
Item Tracking when Counting Inventory section.
9. Choose the Print action to prepare the physical document that employees will use to write down the
counted quantities.
To finish a physical inventory recording

When employees have counted the inventory quantities, you must prepare to record them in the system.
1. From the Phys. Inventor y Recording List page, select the physical inventory recording that you want to
finish, and then choose the Edit action.
2. On the Lines FastTab, fill the actual counted quantity in the Quantity field for each line.
3. For items with serial or lot numbers (the Use Item Tracking check box is selected), enter the counted
quantities on the dedicated lines for the item's serial and lot numbers respectively question. For more
information, see the Handling Item Tracking when Counting Inventory section.
4. Select the Recorded check box on each line.
5. When you have entered all data for a physical inventory recording, choose the Finish action. Note that all
lines must have the Recorded checkbox selected.
NOTE
When you finish a physical inventory recording, each line is transferred to the line on the related physical inventory order
that matches it exactly. To match, the values in the Item No. , Variant Code , Location Code , and Bin Code fields must
be the same on the recording and the order lines.
If no matching physical inventory order line exists, and if the Allow Recording Without Order checkbox is selected,
then a new line is inserted automatically and the Recorded Without Order checkbox on the related physical inventory
order line is selected. Otherwise, an error message is displayed and the process is canceled.
If more than one physical inventory recording lines match a physical inventory order line, then a message is displayed and
the process is canceled. If, for some reason, two identical physical inventory lines end up on the physical inventory order,
you can use a function to resolve it. For more information, see the To find duplicate physical inventory order lines section.
To complete a physical inventory order

When you have finished a physical inventory recording, the Qty. Recorder (Base) field on the related physical
inventory order is updated with the counted (recorded) values, and the On Recording check box is selected. If a
counted value is different from the expected, then that difference is shown in the Pos Qty. (Base) and Neg
Qty. (Base) field respectively.
To see expected quantities and any recorded differences for items with item tracking, choose the Lines action,
and then choose the Item Tracking Lines action to select various views for serial and lot numbers involved in
the physical inventory count.
You can also choose the Phys. Inventor y Order Diff. action to view any differences between the expected
quantity and the counted quantity.
To find duplicate physical inventory order lines
2. Open the physical inventory order that you want to view duplicate lines for.
3. Choose the Show Duplicate Lines action.
Any duplicate physical inventory order lines are displayed so that you can delete them and keep only one line
with a unique set of values in the Item No., Variant Code , Location Code , and Bin Code fields.
To post a physical inventory order
After completing a physical inventory order and changing its status to Finished , you can post it. You can only
set the status of a physical inventory order to Finished if the following are true:
All related physical inventory recordings have a status of Finished .
Each physical inventory order line has been counted by at least one inventory recording line.
The In Recording Lines and the Qty. Exp. Calculated check boxes have been selected for all of the
physical inventory order lines.
2. Select the physical inventory order that you want to complete, and then choose the Edit action.
On the Physical Inventor y Order page, you view the quantity recorded in the Qty. Recorded (Base)
field.
3. Choose the Finish action.
The value in the Status field is changed to Finished , and you can now only change the order by first
choosing the Reopen action.
4. To post the order, choose the Post action, and then choose the OK button.
The involved item ledger entries are updated along with any related item tracking entries.
To view posted physical inventory orders
After posting, the physical inventory order will be deleted and you can view and evaluate the document as a
posted physical inventory order including its physical inventory recordings and any comments made.
1. Choose the icon, enter Posted Phys. Invt. Orders , and then choose the related link.
2. On the Posted Phys. Invt. Orders page, select the posted inventory order that you want to view, and then
choose the View action.
3. To view a list of related physical inventory recordings, choose the Recordings action.
Handling Item Tracking when Counting Inventory

Item tracking pertains to the serial or lot numbers that are assigned to items. When counting an item that is
stored in inventory as, for example, 10 different lot numbers, the employee must be able to record which and
how many units of each lot number are on inventory. For more information about item tracking functionality,
see Work with Serial and Lot Numbers.
The Use Item Tracking check box on physical inventory order lines is automatically selected if an item tracking
code is set up for the item, but you can also select or deselect it manually.
Example - Prepare a Physical Inventory Recording for an Item-Tracked Item
Consider a physical inventory for Item A, which is stored in inventory as ten different serial numbers.
1. On the recording line for the item, select the Use Item Tracking check box.
2. Choose the Serial No. field, select the first serial number that exists in inventory for the item, and then
Proceed to copy the line for the first item-tracked item to insert additional lines corresponding to the
number of serial numbers that are stored in inventory.
3. Choose the Functions action, and then the Copy Line action.
4. On the Copy Phys. Invt. Rec. Line page, enter 9 in the No. of Copies field, and then choose the OK
button.
5. On the first of the copy lines, select the Serial No. field and select the next serial number for the item.
6. Repeat step 5 for the remaining eight serial numbers, taking care to not select the same one twice.
7. Choose the Print action to prepare the print-out that employees will use to write down the counted items
and serial/lot numbers.
Notice that the Phys. Invt. Recording report contains ten lines for Item A, one for each serial number.
Example - Record and Post Counted Lot Number Differences
A lot-tracked item is stored in inventory with the "LOT" number series.
Expected Inventor y :
LOT N O. Q UA N T IT Y
LOT1001 80
LOT1003 30
LOT1006 10
Total 120
Recorded Quantities :
LOT N O. Q UA N T IT Y
LOT1001 80
LOT0002 12
LOT1003 20
LOT1006 10
Total 112
Quantities to Post :
LOT N O. EXP EC T ED Q UA N T IT Y REC O RDED Q UA N T IT Y Q UA N T IT Y TO P O ST
LOT1001 80 80 0
LOT1002 0 12 +12
LOT1003 30 20 -10
LOT1006 10 0 -10
Total 120 112 -8
On the Physical Inventor y Order page, the Neg. Qty. (Base) field will contain 8. For the order line in
question, the Phys. Invt. Item Track . List page will contain the positive or negative quantities for the
individual lot numbers.
Inventory Documents
The following types of documents are useful for managing your warehouse:
Use Inventor y receipts to register positive adjustments of items based on the quality, quantity, and cost.
Use Inventor y shipments to write off missing or damaged goods.
You can print these documents at any stage, release and reopen them, and assign common values, including
dimensions, in the header. If you want to reprint the documents after they have been posted, you can do that on
the Posted Inventor y Receipt and Posted Inventor y Shipment pages.
NOTE
Before you can use these documents you must specify a number series to create their identifiers. For more information,
see the next section.
To set up numbering for inventory documents

The following procedure shows how to set up numbering for inventory documents.
2. On the Numbering FastTab, specify in the following fields the series of numbers for documents:
Inventor y Receipt Nos.
Posted Inventor y Receipt Nos.
Inventor y Shipment Nos.
Posted Inventor y Shipment Nos.
To create and post an inventory document
The following procedure shows how to create, print, and post an inventory receipt. The steps are similar for
inventory shipments.
1. Choose the icon, enter Inventor y Receipts , and then choose the related link.
2. In the header of the Inventor y Receipt page, choose the location in the Location Code field, and then fill
in the remaining fields as necessary.
3. On the Lines FastTab, in the Item field, choose the inventory item. In the Quantity field, enter the number of
items to add.
4. To print an Inventor y Receipt report from the Inventor y Receipt page, choose the Print action.
The following functions are available on the Inventor y Receipt page:
Choose the Release or Reopen actions to set the status for the next processing stage
Choose the Post action to post the inventory receipt, or choose Post and Print to post the receipt and print
the test report
Printing Inventory Documents

You can specify the reports that must be printed at different stages by choosing one of the following options in
Usage field the Repor t Selection - Inventor y page:
Inventory Receipt
Inventory Shipment
Posted Inventory Receipt
Posted Inventory Shipment
NOTE
The available reports may vary based on your country's localization. The base application doesn't include any layouts.

See also
Work with Serial and Lot Numbers
Inventory
Sales
Purchasing
Count, Adjust, and Reclassify Inventory Using
Journals
At least once every fiscal year you must take a physical inventory, that is, count all the items on inventory, to see
if the quantity registered in the database is the same as the actual physical quantity in the warehouses. When
the actual physical quantity is known, it must be posted to the general ledger as a part of period-end valuation
of inventory.
Although you count all items in inventory at least once a year, you may have decided to count some items more
often, perhaps because they are more valuable, or because they are very fast movers and a large part of your
business. For this purpose, you can assign special counting periods to those items. For more information, see To
perform cycle counting.
If you need to adjust recorded inventory quantities, in connection with counting or for other purposes, you can
use an item journal to change the inventory ledger entries directly without posting business transactions.
Alternatively, you can adjust for a single item on the item card.
If you need to change attributes on item ledger entries, you can use the item reclassification journal. Typical
attributes to reclassify include dimensions and sales campaign codes, but you also perform "system transfers"
by reclassifying bin and location codes. Special steps apply when you want to reclassify serial or lot numbers
and their expiration dates. For more information, see Work with Serial and Lot Numbers.
NOTE
In advanced warehouse configurations, items are registered in bins as warehouse entries, not as item ledger entries.
Therefore, you perform counting, adjusting, and reclassifying in special warehouse journals that support bins. Then, you
use special functions to synchronize the new or changed warehouse entries with their related item ledger entries to reflect
the changes in inventory quantities and values. This is described in specific procedures below where relevant.
To perform a physical inventory

You must take a physical inventory, that is, count the actual items on hand, to check if the quantity registered is
the same as the physical quantity in stock at the end of a fiscal year, if not more often. If there are differences,
you must post them to the item accounts before you do the inventory valuation.
NOTE
This procedure describes how to perform a physical inventory using a journal, the Phys. Inventor y Journal page. You
can also perform the task using documents, the Physical Inventor y Order and Physical Inventor y Recording
pages, which provide more control and support distributing the counting to multiple employees. For more information,
see Count Inventory Using Documents.
Note that the document-based functionality cannot be used to count items in bins, warehouse entries.
Apart from the physical counting task, the complete process involves the following three tasks:
Calculate the expected inventory.
Print the report to be used when counting.
Enter and post the actual counted inventory.
You can perform the physical inventory in either of the following ways depending on your warehouse setup. For
more information, see Setting Up Warehouse Management.
If your location is not using directed put-away and pick (basic warehouse configuration), you use the Phys.
Inventor y Journal page in the Inventor y menu, and the procedure is much the same as when you conduct
a physical inventory without cycle counting.
If your location is using directed put-away and pick (advanced warehouse configuration), you first use the
Whse. Phys. Invt. Journal page, and then you use the Item Journal page to run the Calculate Whse.
Adjustment function.
To calculate the expected inventory in basic warehouse configurations
1. Choose the icon, enter Phys. Inventor y Journals , and then choose the related link.
2. Choose the Calculate Inventor y action.
3. On the Calculate Inventor y page, specify the conditions to use to create the journal lines, such as whether
to include items that have zero recorded inventory.
4. Set filters if you only want to calculate inventory for certain items, bins, locations, or dimensions.
NOTE
The item entries are processed according to the information that you specified, and lines are created in the physical
inventory journal. Notice that the Qty. (Phys. Inventor y) field is automatically filled in with the same quantity as the
Qty. (Calculated) field. With this feature, it is not necessary for you to enter the counted inventory on hand for items
that are the same as the calculated quantity. However, if the quantity counted differs from what is entered in the Qty.
(Calculated) field, you must overwrite it with the quantity actually counted.
To print the report to be used when counting

1. On the Phys. Inventor y Journal page containing the calculated expected inventory, Choose the Print
action.
2. On the Phys. Inventor y List page, specify if the report should show the calculated quantity and if the
report should list inventory items by serial/lot numbers.
3. Set filters if you only want to print the report for certain items, bins, locations, or dimensions.
4. Choose the Print button.
Employees can now proceed to count inventory and record any discrepancies on the printed report.
NOTE
It can take several days before printed reports come back for final processing and posting. When you specify and post
actual counted inventory, the system adjusts inventory to reflect the difference between the expected and the actual
counted inventory. You must keep the originally calculated journal lines and not recalculate the expected inventory,
because the expected inventory may change and lead to wrong inventory levels. If you need to issue multiple reports,
such as for different locations or group of items, you must create and keep separate journal batches.
To enter and post the actual counted inventory in basic warehouse configurations
1. On each line on the Phys. Inventor y Journal page where the actual inventory on hand, as determined
by the physical count, differs from the calculated quantity, enter the actual inventory on hand in the Qty.
(Phys. Inventor y) field.
The related fields are updated accordingly.
NOTE
If the physical count reveals differences that are caused by items posted with incorrect location codes, do not
enter the differences in the physical inventory journal. Instead, use the reclassification journal or a transfer order
to redirect the items to the correct locations. For more information, see Item Reclass. Journal or Create Transfer
Orders.
2. To adjust the calculated quantities to the actual counted quantities, choose the Post action.
Both item ledger entries and physical inventory ledger entries are created. Open the item card to view the
resulting physical inventory ledger entries.
4. To verify the inventory counting, open the item card in question, and then, choose the Phys. Inventor y
ledger Entries action.
To calculate the expected inventory in advanced warehouse configurations
Synchronize item ledger and warehouse before you perform the warehouse physical inventory, otherwise the
results you post to the physical inventory journal and item ledger in the final part of the process will be the
physical inventory results combined with other warehouse adjustments for the items that were counted. For
more information, see synchronize quantities in the item ledger and warehouse
1. Choose the icon, enter Whse. Phys. Invt. Journal , and choose the related link.
2. Choose the Calculate Inventor y action. The Whse. Calculate Inventor y batch job request page
opens.
3. Set the filters to limit the items that will be counted in the journal, and then choose the OK button.
The application creates a line for each bin that fulfills the filter requirements. You can at this point still
delete some of the lines, but if you want to post the results as a physical inventory, you must count the
item in all the bins that contain it.
If you only have time to count the item in some bins and not others, you can discover discrepancies,
register them, and later post them in the item journal using the Calculate Whse. Adjustment function.
To print the report to be used when counting
1. Choose the icon, enter Warehouse Physical Inventor y List , and choose the related link.
2. Open the report request page and print the lists on which you want employees to record the quantity of
items that they count in each bin.
Employees can now proceed to count inventory and record any discrepancies on the printed report.
To enter and post the actual counted inventory in advanced warehouse configurations
1. When the counting is done, enter the counted quantities in the Qty. (Phys. Inventor y) field in the
warehouse physical inventory journal.
NOTE
In the warehouse physical inventory journal, Qty. (Calculated) field is filled in automatically on the basis of
warehouse bin records and copies these quantities are copied to the Qty. (Physical) field on each line. If the
quantity counted by the warehouse employee differs from what application has entered in the Qty. (Physical) field,
you must enter the quantity actually counted.
2. When you have entered all the counted quantities, choose the Register action.
When you register the journal, application creates two warehouse entries in the warehouse register for
every line that was counted and registered:
If the calculated and the physical quantities differ, a negative or positive quantity is registered for the
bin, and a balancing quantity is posted to the adjustment bin of the location.
If the quantity calculated is equal to the physical quantity, application registers an entry of 0 for both
the bin and the adjustment bin. The entries are the record that on the registering date, a warehouse
physical inventory was performed, and there was no discrepancy in inventory for the item.
When you register the warehouse physical inventory, you are not posting to the item ledger, the physical
inventory ledger, or the value ledger, but the records are there for immediate reconciliation whenever necessary.
If you like to keep precise records of what is happening in the warehouse, however, and you counted all of the
bins where the items were registered, you should immediately post the warehouse results as an inventory
physical inventory. For more information, see synchronize quantities in the item ledger and warehouse.
To perform cycle counting

Although you count all items in inventory at least once a year, you may have decided to count some items more
often, perhaps because they are more valuable, or because they are very fast movers and a large part of your
business. For this purpose, you can assign special counting periods to those items.
You can perform the cycle counting in either of the following ways depending on your warehouse setup. For
If your location is not using directed put-away and pick (basic warehouse configuration), you use the Phys.
Inventor y Journal page in the Inventor y menu, and the procedure is much the same as when you conduct
a physical inventory without cycle counting.
If your location is using directed put-away and pick (advanced warehouse configuration), you first use the
Whse. Phys. Invt. Journal page, and then you use the Item Journal page to run the Calculate Whse.
Adjustment function.
To set up counting periods
A physical inventory is typically taken at some recurring interval, for example monthly, quarterly, or annually.
You can set up whatever inventory counting periods necessary.
You set up the inventory counting periods that you want to use and then assign one to each item. When you
perform a physical inventory and use the Calculate Counting Period in the physical inventory journal, lines
for the items are created automatically.
1. Choose the icon, enter Phys. Invt. Counting Periods , and then choose the related link.
To assign a counting period to an item
2. Select the item to which you want to assign a counting period.
3. In the Phys Invt Counting Period Code field, select the appropriate counting period.
4. Choose the Yes button to change the code and calculate the first counting period for the item. The next time
you choose to calculate a counting period in the physical inventory journal, the item appears as a line on the
Phys. Invt. Item Selection page. You can then begin to count the item on a periodic basis.
To initiate a count based on counting periods in basic warehouse configurations
1. Choose the icon, enter Phys. Inventor y Journal , and then choose the related link.
2. Choose the Calculate Counting Period action.
The Phys. Invt. Item Selection page opens showing the items that have counting periods assigned and
need to be counted according to their counting periods.
3. Perform the physical inventory. For more information, see To perform a physical inventory.
To initiate a count based on counting periods in advanced warehouse configurations
1. Choose the icon, enter Whse. Phys. Invt. Journal , and choose the related link.
2. Choose the Calculate Counting Period action.
The Phys. Invt. Item Selection page opens showing the items that have counting periods assigned and
need to be counted according to their counting periods.
3. Perform the physical inventory. For more information, see To perform a physical inventory.
NOTE
You must count the item in all the bins that contain the particular item. If you delete some of the bin lines that
application has retrieved for counting on the Whse. Phys. Inventor y page, then you will not be counting all the
items in the warehouse. If you later post such incomplete results in the Phys. Inventory Journal, the amounts
posted will be incorrect.
To adjust the inventory of one item

After you have made a physical count of an item in your inventory area, you can use the Adjust Inventor y
function to record the actual inventory quantity.
2. Select the item for which you want to adjust inventory, and then choose the Adjust Inventor y action.
3. In the New Inventor y field, enter the inventory quantity that you want to record for the item.
The item’s inventory is now adjusted. The new quantity is shown in the **Quantity on Hand ** field on the Item
Card page.
You can also use the Adjust Inventor y function as a simple way to place purchased items on inventory if you
do not use purchase invoices or orders to record your purchases. For more information, Record Purchases.
NOTE
After you have adjusted inventory, you must update it with the current, calculated value. For more information, see
Revalue Inventory.
To adjust the inventory quantity of multiple items in basic warehouse configurations

On the Item Journal page, you can post item transaction directly to adjust inventory in connection with
purchases, sales, and positive or negative adjustments without using documents.
If you often use the item journal to post the same or similar journal lines, for example, in connection with
material consumption, you can use the Standard Item Journal page to make this recurring work easier. For
more information, see Work with Standard Journals.
3. Choose the Post action to make the inventory adjustments.
To adjust bin quantities in advanced warehouse configurations
If your location uses directed put-away and pick, use the Whse. Item Journal to post, outside the context of the
physical inventory, all positive and negative adjustments in item quantity that you know are real gains, such as
items previously posted as missing that show up unexpectedly, or real losses, such as breakage.
Unlike posting adjustments in the inventory item journal, using the warehouse item journal gives you an
additional level of adjustment that makes your quantity records even more precise at all times. The warehouse
thus always has a complete record of how many items are on hand and where they are stored, but each
adjustment registration is not posted immediately to the item ledger. In the registering process, credits or debits
are made to the real bin with the quantity adjustment and a counterbalancing entry is made in an adjustment
bin, a virtual bin with no real items. This bin is defined in the Invt. Adjustment Bin Code on the location card.
1. Choose the icon, enter Whse. Item Journal , and then choose the related link.
2. Fill in the header information.
3. Fill in the Item No. field on the line.
4. Enter the bin in which you are putting the extra items or where you have found items to be missing.
5. Fill in the quantity that you observe as a discrepancy in the Quantity field. If you have found extra items,
enter a positive quantity. If items are missing, enter a negative quantity.
6. Choose the Register action.
To synchronize the adjusted warehouse entries with the related item

ledger entries
At appropriate intervals as defined by company policy, you must post the warehouse adjustment bin records in
the item ledger. Some companies find it appropriate to post adjustments to the item ledger every day, while
others may find it adequate to reconcile less frequently.
1. Choose the icon, enter Item Journal , and then choose the related link.
2. Fill in the fields on each journal line.
3. Choose the Calculate Whse. Adjustment action, and fill in the filters as appropriate in the batch job
request page. The adjustments are calculated only for the entries in the adjustment bin that meet filter
requirements.
4. On the Options FastTab, fill in the Document No. field with a number that you enter manually. Because no
number series has been set up for this batch job, use the number scheme set up by the warehouse, or enter
the date followed by your initials.
5. Choose the OK button. The positive and negative adjustments are totaled for each item and lines are created
in the item journal for any items where the sum is a positive or negative quantity.
6. Post the journal lines to enter the quantity differences in the item ledger. The inventory in the warehouse bins
now corresponds precisely to the inventory in the item ledger.
To reclassify an item's lot number

If you need to change attributes on item ledger entries, you can use the item reclassification journal. Typical
attributes to reclassify include dimensions and sales campaign codes, but you also perform "system transfers"
by reclassifying bin and location codes.
Special steps apply when you want to reclassify serial or lot numbers and their expiration dates. For more
information, see Work with Serial and Lot Numbers.
The following example is based on a location code. The steps are similar for other types of item attributes.
1. Choose the icon, enter Item Reclass. Journals , and then choose the related link.
2. On the Item Reclass. Journal page, fill in the fields as necessary.
3. In the Location Code field, enter the item's current location code.
4. In the New Location Code field, enter the item's new location code.
For information about transferring items with full control of quantities shipped and received, see Transfer
Inventory Between Locations.

See also
CountInventory Using Documents
Inventory
Sales
Purchasing
From the context of a business task, you can get advanced information about when and where an item is
available, such as when talking to a customer about a delivery date.
You can view the availability of all items per location, and you can view the availability of each item by event or
by period as well. An event is any scheduled item transaction, such as a sales shipment or an inbound transfer
receipt.
NOTE
Availability views by location require that you maintain inventory at more than one location. For more information, see
Set Up Locations.
If you use warehousing functionality, availability varies depending on allocations at the bin level when
warehouse activities such as picks and movements occur and when the inventory reservation system imposes
restrictions to comply with. A rather complex algorithm verifies that all conditions are met before allocating
quantities to picks for outbound flows. For more information see Design Details: Availability in the Warehouse.
In Business Central, availability figures are typically shown in two different fields, each with a different definition:
The Quantity on Hand field, in some places named Inventor y , shows the actual quantity today according
to posted item ledger entries.
The Projected Available Balance field is calculated and shows the quantity on hand plus scheduled
receipts minus gross requirements. (In Business Central, scheduled receipts include quantities on purchase
orders and inbound transfer orders. Gross requirements include quantities on sales orders and outbound
transfer orders.)
TIP
The projected available balance is especially relevant to view in the Item Availability by Periods and Item Availability
by Event pages because they contain the date dimension.
NOTE
The following procedures describe how to view advanced availability information from the items list and item card. You
can also access the information from sales document lines for the item on the line. For more information, see Sell
Products.
To view the availability of an item according to when it will be received

or shipped
You view the availability of an item according to scheduled item transactions on the Availability by Event
page.
2. Open the card of an item that you want to view availability for.
3. Choose the Item Availability by action, and then choose the Event action.
The Item Availability by Event page shows how the inventory quantity of the item will develop over
time according scheduled shipment and receipt events. The page gives a condensed view that shows one
line of accumulated information per time interval in which inventory quantities change. Time intervals
where no events occurred are not shown. You can expand each line to show details about the event or
events that caused the accumulated quantity on the line.
4. Choose the value in the Projected Available Balance field to view the item ledger entries or open
documents that make up the value.
To view the availability of an item in different periods

You view the availability of an item over time for specified time periods on the Item Availability by Periods
page.
3. Choose the Item Availability by action, and then choose the Period action.
The Item Availability by Periods page shows how the inventory quantity of the item will develop over
time, shown for a period that you select, such as Day, Week, or Quarter.
To view the availability of an item at the locations where it is stored

You view the availability of an item at the different places where it is stored on the Item Availability by
Location page.
3. Choose the Item Availability by action, and then choose the Location action.
The Item Availability by Location page shows how the inventory quantity of the item will develop in
the future, shown for each location where it is stored.
4. Choose the value in the Qty. on Hand field to view the item ledger entries that make up the value.
To view the availability of all items by the location where they are
stored
You view the availability of all your items across all your locations on the Items by Location page.
2. Choose the Items by Location action.
The Items by Location page shows for all your items how many are available at each location.
3. Choose the value in the Qty. on Hand field to view the item ledger entries that make up the value.
To view the availability of an item by its use in assembly or production
BOMs
If an item is part of assembly or production BOMs as either a parent item or a component, you can view how
many units of it are required on the Item Availability by BOM Level page. The page shows how many units
of a parent item you can make based on the availability of child items on underlying lines. Any item that has an
assembly or production BOM is shown on the page as a collapsible line. You can expand this line to see the
underlying components and lower-level subassemblies with their own BOMs.
For example, you can use the page to determine whether you can fulfill a sales order for an item on a specified
date by looking at its current availability and the quantities that can be supplied by its components. You can also
use the page to identify bottlenecks in related BOMs.
On each line on the page for both parent items and child items, the following key fields specify the availability
figures. You can use these figures to promise how many units of a parent you can supply if you start the related
assembly process.
Able to Make Parent Shows how many units of any subassembly in the top item
you can make. The field specifies how many immediate
parent units you can assemble. The value is based on
availability of the item on the line.
Able to Make Top Item Shows how many units of the top item you can make. The
field specifies how many units of the top-line BOM item you
can assemble. The value is based on availability of the item
on the line.
To view the availability of an item according to demand for its parent

The Item Availability by BOM Level page shows information for the item on the card or document line that
the page is opened for. The item is always shown on the top line. You can view information for other items or for
all items by changing the value in the Item Filter field.
NOTE
By default, availability figures on the lines show the total availability of all items under the top item. These figures are
displayed in the Available Quantity field, and the focus is on the top item. However, information about how many
subassemblies you can make may be skewed. To get a true indication of how many of the shown subassemblies you can
make, you must clear the Show Total Availability check box and then see the figure in the Able to Make Parent field.
The Bottleneck field specifies which item in the BOM structure restricts you from making a larger quantity than
the quantity that is shown in the Able to Make Top Item field. For example, the bottleneck item can be a
purchased component with an expected receipt date that is too late to make additional units of the top item by
the date in the Needed by Date field.
To view the availability of an item by its units of measure

The Item Availability by Unit of Measure page shows the availability of an item in the units of measure that
it is stored in.
NOTE
To keep this information accurate, you must convert item units of measure. For example, if you purchase an item in one
unit of measure, such as boxes, and you sell items in another unit of measure, such as pieces, you must use an item
journal to convert the units of measure, or "unbox" items. You can use a negative adjustment item journal line to reduce
inventory in the purchase unit of measure, for example boxes, and a positive adjustment to increase inventory in the sales
unit of measure, for example pieces.
Assembly Availability Page

The Assembly Availability page shows detailed availability information for the assembly item. It opens:
Automatically from a sales order line in assemble-to-order scenarios when you enter a quantity that causes a
component availability issue.
Automatically from an assembly order header when you enter a value in the Quantity field that causes a
component availability issue.
Manually when you open it from an assembly order. On the Actions tab, in the Functions group, click Show
Availability.
The Details FastTab shows detailed availability information for the assembly item, including how many of the
assembly order quantity can be assembled by the due date based on availability of the required components.
This is shown in the Able to Assemble field on the Details FastTab.
The value in the Able to Assemble field is shown in red font if the quantity is lower than the quantity in the
Remaining Quantity field, indicating that there are not enough components available to assemble the full
quantity.
The Lines FastTab shows detailed availability information for the assembly components.
If one or more assembly components are not available, then this is reflected in the Able to Assemble field on
the line in question as a quantity less than the quantity in the Remaining Quantity field on the Details
FastTab.
See Also
Manage Inventory
Assembly Management
Work with Bills of Materials
Set Up Locations
Sell Products
You can transfer inventory items between locations by creating transfer orders. Alternatively, you can use the
item reclassification journal.
With transfer orders, you ship the outbound transfer from one location and receive the inbound transfer at the
other location. This allows you to manage the involved warehouse activities and provides more certainty that
inventory quantities are updated correctly.
With the reclassification journal, you simply fill in the Location Code and the New Location Code fields.
When you post the journal, the item ledger entries are adjusted at the locations in question. With this method,
warehouse activities are not managed.
NOTE
If you have items recorded in your inventory without a location code, for example from a time when you only had one
warehouse, then you cannot transfer those items using transfer orders. Instead, you must use the reclassification journal
to reclassify the items from a blank location code to an actual location code. For more information, see step 3 in To
transfer items with the item reclassification journal.
To transfer items, locations and transfer routes must be set up. For more information, see Set Up Locations.
To transfer items with a transfer order

1. Choose the icon, enter Transfer orders , and then choose the related link.
2. On the Transfer Order page, fill in the fields as necessary. Hover over a field to read a short description.
NOTE
If you have filled in the In-Transit Code , Shipping Agent Code , and Shipping Agent Ser vice fields on the
Trans. Route Spec. page when you set up the transfer route, then the corresponding fields on the transfer order
are filled in automatically.
When you fill in the Shipping Agent Ser vice field, the receipt date at the transfer-to location is
calculated by adding the shipping time of the shipping agent service to the shipment date.
3. To fill in the lines, either enter them manually or choose one of the following options on the under the
Functions action:
Choose the Get Bin Content action to select existing items from a specific bin at the location.
Choose the Get Receipt Lines to select items that have just arrived at the transfer-from location.
As a warehouse worker at the transfer-from location, proceed to ship the items.
4. Choose the Post action, choose the Ship option, and then choose the OK button.
The items are now in transit between the specified locations, according to the specifies transfer route.
As a warehouse worker at the transfer-from location, proceed to receive the items. The transfer order
lines are the same as when shipped and cannot be edited.
5. Choose the Post action, choose the Receive option, and then choose the OK button.
To transfer items with the item reclassification journal

1. Choose the icon, enter Item Reclass. Journals , and then choose the related link.
2. On the Item Reclass. Journal page, fill in the fields as necessary. Hover over a field to read a short
description.
3. In the Location Code field, enter the location where the items are currently stored.
NOTE
To transfer items that have no location code, leave the Location Code field blank.
4. In the New Location Code field, enter the location that you want to transfer the items to.

See also
Manage Inventory
Set Up Locations
Reserve Items
You can reserve items for sales orders, purchase orders, service orders, assembly orders, and production orders.
You can reserve items on inventory or inbound on open document or journal lines. You perform the work on the
Reser vation page.
Each line on the Reser vation page, which you open to reserve items, displays information about one type of
line (sales, purchase, journal) or inventory entry. The lines describe how many items are available to be reserved
from each type of line or entry.
To reserve items for sales

The following describes how to reserve items from a sales order. The steps are similar for purchase, service, and
assembly orders.
2. On a sales order, on the Lines FastTab, choose the Reser ve action. The Reser vation page opens.
3. Select the line that you want to reserve the items from.
4. Choose one of the following actions.
Auto Reser ve To automatically reserve items on the Reser vation

page.
Reser ve from Current Line To reserve the items from the document on the line you
have selected.
Cancel Reser vation from Current Line To cancel reservation of the items from the document on
the line you have selected.
NOTE
If item tracking lines exist for the sales order, the reservation system will take you through special steps. For more
information, see To reserve a specific serial or lot number.
To reserve an item for a production order line

You can reserve items for production orders. You have to distinguish between production order lines, meaning
the parent item, and production order components.
In the following procedure, a firm planned production order is used.
1. Choose the icon, enter Firm Planned Prod. Order , and then choose the related link.
2. Open the firm planned production order you want to reserve parent items for.
3. Select the relevant production order line.
4. On the Lines FastTab, choose the Reser ve action.
5. On the Reser vation page, select the Sales Line, Order line, and then choose the Reser ve from Current
Line action.
The quantity you entered in the firm planned production order line is now reserved.
To reserve items for production order components

You can reserve items for production orders. You have to distinguish between production order lines, meaning
the parent item, and production order components.
In the following procedure, a firm planned production order is used.
2. Open the firm planned production order you want to reserve component items for.
3. Select the relevant production order line.
4. On the Lines FastTab, choose Line , and then choose Components .
5. Select the relevant component line.
6. Choose On the Lines FastTab, choose the Reser ve action.
7. On the Reser vation page, select a line, and then choose the Reser ve from Current Line action.
The quantity you entered in the firm planned production component line is now reserved.
To change a reservation
Sometimes, you may want to change an item reservation.
1. From the document line that you have reserved from, on the Lines FastTab, choose the Reser ve action.
2. On the Reser vation page, choose the Reser vation Entries action.
3. The Reser vation Entries page, update the Quantity field on the line you want to change.
4. Confirm the subsequent message, by choosing the OK button.
To cancel a reservation
Sometimes, you may want to cancel an item reservation.
1. From the document line that you want to cancel a reservation from, on the Lines FastTab, choose the
Reser ve action.
2. On the Reser vation page, choose Reser vation Entries action.
3. On the Reser vation Entries page, choose the Cancel Reser vation action.
4. Confirm the subsequent message, by choosing the OK button.
To reserve a specific serial or lot number

From outbound documents for item-tracked items, such as sales orders or production component lists, you can
reserve specific serial or lot numbers. This may be relevant, for example, if you need production components
from a specific lot to ensure consistency with earlier production batches, or because a customer has requested a
specific serial number. For more information, see Work with Serial and Lot Numbers.
This is referred to as a specific reservation, because you reserve from the quantity of Item X that belongs to Lot
X. If you simply reserve from quantities of Item X, then it is a normal, non-specific, reservation. For more
information, see Design Details - Item Tracking and Reservations.
The following procedure is based on a sales order.
1. Choose the icon, enter Sales Orders , and then select the related link.
2. Create a sales order line for an item-tracked item.
3. Assign serial and lot numbers to the sales order line. For more information, see Work with Serial and Lot
Numbers.
4. On the sales order line, choose the Reser ve action.
5. Choose the Yes button to reserve specific serial or lot numbers.
6. In the Item Tracking List page, select the serial and lot number combination that you have just assigned.
7. Choose the OK button to open the Reser vation page showing only supply with the specified item tracking
number. If there are any non-specific reservations on any of the item tracking numbers that you have
specified for this line, you are informed of the quantity that has already been reserved.
8. Choose either the Auto Reser ve or the Reser ve from Current Line action to create the reservation on
the specific item tracking numbers.

See also
Inventory
Design Details - Item Tracking and Reservations
Set Up Item Tracking with Serial, Lot, and Package
Numbers
Keep track of inventory items even in complex warehouse configurations with numbers that are specific to each
item, either as an individual object, as a lot, or as a package. With item tracking, you can trace items across
internal warehouse movements, and outbound and inbound documents.
Items with serial and lot numbers can be traced both backwards and forward in the supply chain. This is useful
for general quality assurance and for product recalls. For more information, see Trace Item-Tracked Items.
TIP
In 2021 release wave 1 and later, switch on the Use tracking by package number in reservation and tracking system
feature update if you want to work with package numbers as well as serial and lot numbers. For more information, see
Enabling Upcoming Features Ahead of Time. Once the feature is switched on, you can assign package numbers to
outbound and inbound documents similar to how you can work with lot numbers.
Numbers and item tracking

As part of your warehouse processes, you can bundle your stock in packages, boxes, containers, and so on. But
in order to keep track of the items, you assign unique numbers as identification. For example, you manufacture
and sell a chair that has the item number 1900-S . Each individual chair has a serial number, 1001, but you also
bundle four chairs into a lot, LOT0001, and you ship the chairs in a container with the package number
CONTAINER010 that also includes other items, such as LOT0100 with side tables, and LOT200 with lamps.
Depending on your configuration, you use these different numbers to keep track of inventory in Business
Central at the various stages of purchasing, sales, warehouse operations, and so on.
To set up item tracking codes

An item tracking code reflects the different considerations a company has regarding the use of serial and lot
numbers for items moving through the inventory.
1. Choose the icon, enter Item Tracking Codes , and then choose the related link.
4. On the Serial No., Lot No., and the Package No. FastTabs, define policies of item tracking by serial, lot, and
package numbers respectively.
NOTE
If you want to track specific items or specific lots throughout their lifetime, you must choose the SN Specific Tracking
and Lot Specific Tracking fields, respectively. As a result, when handling an outbound unit of an item with this item
tracking code, you must always specify which existing serial number or which existing lot number to handle. This means
that when selling a unit of the item, it must be applied against a specific pool of serial numbers or a specific lot number in
inventory. Or in other words, a serial number or lot number assigned to the item when entering into inventory must
follow that item type out of inventory.
As this particular setup field covers all possible transactions with the item, the individual inbound/outbound
fields will also be selected. However, the individual inbound/outbound fields have nothing to do with application
across inventory - they merely define your company's work flow concerning when to assign item tracking
numbers.
NOTE
To assign item tracking numbers in warehouse activities, the SN Warehouse Tracking and Lot Warehouse Tracking
fields must be selected on the item's item tracking code card.
To set up expiration rules for serial or lot numbers

For some items you might want to set up specific expiration dates and rules in the item tracking code. This
functionality allows you to keep track of when specific serial numbers and lot numbers expire.
2. Select an existing item tracking code, and then choose the Edit action.
3. On the Misc. FastTab, select the following fields:
Strict Expiration Posting Specifies that an expiration date assigned to the item
tracking number as it entered inventory must be
respected when it exits inventory.
Require Expir. Date Entr y Specifies that you must enter an expiration date on the
item tracking line.
Use Expiration Dates Specifies that you want to calculate expiration dates.
To set up warranties for serial or lot numbers

For some items, you might want to set up specific warranties in the item tracking code. This functionality allows
you to keep track of when the warranties on specific serial or lot numbers in your inventory will run out.
2. Select an existing item tracking code, and then choose the Edit action.
3. On the Misc. FastTab, fill in the Warranty Date Formula field, and then select the fields as follows:
Warranty Date Formula Specifies the last day of warranty for the item.
Require Warranty Date Entr y Specifies that you must manually enter a warranty date
on the item tracking line.
To set up items for tracking with the correct item tracking codes
To enable item tracking you first have to assign the item tracking codes to an item. There are two ways to add
item tracking codes, by selecting the code from a predefined list or by assigning a new unique code. Hover over
the fields to read a short description.
2. Select an existing item from the list, and open the Item Card page.
3. On the Item Tracking FastTab, assign the appropriate item tracking codes and choose the Item Tracking
Code , the Serial Nos., and the Lot Nos..
a. Alternatively you can also create a new item tracking code by selecting the New action.

See also
Inventory
Reserve Items
You can assign serial numbers, lot numbers, and package numbers to any outbound or inbound document, and
its posted item tracking entries are displayed in the related item ledger entries. You perform the work on the
Item Tracking Lines page, which you can open from an inbound or outbound document.
The matrix of quantity fields at the top of the Item Tracking Lines page displays the quantities and sums of
item tracking numbers being defined on the lines. The quantities must correspond to those of the document
line, which is indicated by 0 in the Undefined fields.
As a performance measure, application collects the availability information on the Item Tracking Lines page
only once, when you open the page. This means that application does not update the availability information
during the time that you have the page open, even if changes occur in inventory or on other documents during
that time.
NOTE
In order for the features described in this article to work you need to first set up item tracking. For more information, see
Set Up Item Tracking with Serial, Lot, and Package Numbers.
Item tracking availability

When you work with serial, lot, and package numbers, Business Central calculates availability information and
shows it in the various item tracking pages. This lets you see how much of a lot, package, or serial number is
currently being used on other documents. This reduces errors and uncertainty caused by double allocations.
On the Item Tracking Lines page, a warning icon is shown in the Availability, Lot No. or Availability,
Serial No. field if some or all of the quantity you have selected is already being used in other documents or if
the lot or serial number is not available.
On the Lot No./Serial No.-List page, the Lot No./Serial No.-Availability page, and the Item Tracking -
Select Entries page, information is displayed about how much quantity of an item is being used. This includes
the following information.
Total Quantity The total number of item currently in inventory
Total Requested Quantity The total number of items that are requested that will be
used in this and other documents
Current Pending Quantity The number of items that are requested that will be used on
the current document but that is not yet committed to the
database
Current Requested Quantity The number of items that are requested that will be used on
the current document
Total Available Quantity The total number of items in inventory, minus the quantity
of the item that are requested on this and other documents
(total requested quantity), and minus the quantity that is
requested but not yet committed on this document (current
pending quantity)
If you work on the Item Tracking Lines page for a long period of time or if there is a great deal of activity with
the item you are working with, then you can choose the Refresh Availability action. In addition, the availability
of the item is automatically rechecked when you close the page to confirm that there are no availability
problems.
To assign serial or lot numbers during an inbound transaction

Companies may want to keep track of items from the moment they enter the company. In this situation, the
purchase order is often the central document, although item tracking may be handled from any inbound
document and its posted entries displayed in the related item ledger entries.
This way the numbers are automatically transferred through all outbound warehouse activities without
interaction by warehouse workers.
2. Either open an existing purchase order or create a new purchase order.
3. Select the relevant document line and on the Lines FastTab, choose the Line action, and then choose the
Item Tracking Lines action to open the Edit - Item Tracking Lines page.
You can assign serial or lot numbers in the following ways :
Automatically, by selecting Process then choosing Assign Serial No. or Assign Lot No. to assign
serial/lot numbers from predefined number series.
Automatically, by selecting Process then choosing Create Customized SN to assign serial/lot
numbers based on number series you define specifically for the arrived items.
Manually, by entering serial or lot numbers directly, for example, the vendor's numbers.
Manually, by assigning a specific number to each item unit.
4. To assign automatically, choose the Create Customized SN action.
5. In the Customized SN field, enter the starting number of a descriptive serial number series, for example
S/N-Vend0001 .
6. In the Increment field, enter 1 to define that each sequential number increases by one.
The Quantity to Create field contains the line quantity by default, but you can modify it.
7. Select the Create New Lot No. check box to organize the new serial numbers in a distinct lot.
A lot number with individual serial numbers is created according to the item quantity of the document line,
starting from S/N-Vend0001 .
The matrix of quantity fields in the header displays dynamically the quantities and sums of the item tracking
numbers you define on the page. The quantities must correspond to those of the document line, which is
signified by 0 in the Undefined fields.
When the document is posted, the item tracking entries are carried to the associated item ledger entries.
To handle serial and lot numbers when getting receipt lines from a purchase invoice
When you use functionality to get posted receipt or shipment lines from related invoices or credit memos, then
any item tracking lines on the warehouse documents are transferred automatically, however, they are processed
in a special way.
The functionality supports the following inbound processes:
Get Receipt Lines - from a purchase invoice.
Get Return Shipment Lines - from a purchase credit memo.
The functionality supports the following outbound processes:
Get Shipment Lines - from a sales invoice or combined shipments.
Get Return Receipt Lines - from a sales credit memo.
In these situations, the existing item tracking lines are copied automatically to the invoice or credit memo, but
the Item Tracking Lines page does not permit changes to the serial or lot numbers. Only the quantities can be
changed.
1. Choose the icon, enter Purchase Invoices , and then select the related link.
2. Open a purchase invoice for items that are purchase with serial or lot numbers.
3. From a purchase invoice line, on the Lines FastTab, choose the Get Receipt Lines action.
4. On the Get Receipt Lines page, select a receipt line that has item tracking lines, and then choose the OK
button.
The source document is copied to the purchase invoice as a new line, and its item tracking lines are
copied to the underlying Item Tracking Lines page.
5. In the purchase invoice, select the transferred receipt line.
6. On the Lines FastTab, choose the Line action, and then choose the Item Tracking Lines action to see
the transferred item tracking lines.
The contents of the Serial No. and Lot No. fields are not editable. However, you can delete complete lines or
change the quantities to match changes being made on the source line.
To assign a serial or lot number during an outbound transaction

Outbound handling of serial or lot numbers is a frequent task in different warehouse processes. There are two
ways to add serial and lot numbers to outbound transactions:
Selecting from existing serial or lot numbers. This applies when item tracking numbers have already been
assigned during an inbound transaction.
Assigning new serial or lot numbers during outbound transactions. This applies when item tracking numbers
are not assigned to items until they are sold and ready to be shipped.
To select from existing serial or lot numbers
When you are working with items that require item tracking and you are creating outbound transactions, where
the items go out of inventory, you typically need to select the lot or serial numbers from those that already exist
in inventory.
1. From any outbound document, select the line that you want to select serial or lot numbers for.
2. On the Lines FastTab, choose the Line action, then Related Information , and then select Item
Tracking Lines .
3. On the Item Tracking Lines page, you have three options for specifying lot or serial number:
Select the Serial No. field, and then select a number from the Serial No. List page.
Select the Lot No. field, and then select a number from the Lot No. List page. Then, select the Serial
No. field, and then select a number from the Serial No. List page.
Select the Process action and then choose Select Entries . The Select Entries page shows all lot and
serial numbers along with availability information.
4. In the Selected Quantity field, enter the quantity of each lot or serial number that you would like to use.
5. Choose the OK button, and the selected item tracking information is transferred to the Item Tracking
Lines page.
The matrix of quantity fields in the header dynamically displays the quantities and sums of the item tracking
numbers you define on the page. The quantities must correspond to those of the document line, which is
When you post the document line, the item tracking information is transferred to the associated item ledger
entries.
To assign new serial or lot numbers
This alternative applies when the inventory items do not carry serial or lot numbers, and instead the item
tracking numbers when the items are sold and ready to be shipped. In this scenario the numbers are typically
assigned from a predefined number series.
1. Select the relevant document, for example a sales invoice or sales order, and on the Lines FastTab, choose
the Line action, then Related Information , and then choose the Item Tracking Lines action.
You can assign item tracking numbers in the following ways:
Automatically, from predefined number series: Choose the Assign Serial No. or Assign Lot No.
action.
Automatically, based on parameters you define specifically for the outbound item: Choose the Create
Customized SN action.
Manually, by entering serial or lot numbers, without using a number series.
2. For this procedure, assign a serial number automatically by choosing Assign Serial No.
The Quantity to Create field contains the line quantity by default, but you can modify it.
3. Select the Create New Lot No. field to organize the new serial numbers in a distinct lot.
4. Choose the OK button to create a lot number and new individual serial numbers according to the
quantity to handle on the related document line.
The matrix of quantity fields at the top displays dynamically the quantities and sums of the item tracking
numbers that you define on the page. The quantities must correspond to those of the document line, which is
When the document is posted, the item tracking entries are carried to the associated item ledger entries.
Assign tracking numbers on source documents
In special situations for serial- or lot-numbered inventory, specific serial or lot numbers are defined on the
source document, such as a sales order, which the warehouse worker must respect during the outbound
warehouse handling. This may be because the customer requested a specific lot during the order process. When
the inventory pick or warehouse pick document is created from an outbound source document where serial or
lot numbers are already defined, then all fields on the Item Tracking Lines page under the inventory pick are
locked for writing, except the Qty. to Handle field. In that case, the inventory pick lines specify the item tracking
numbers on individual take and place lines. The quantity is already split into unique serial or lot number
combinations because the sales order specifies the item tracking numbers to ship.
To handle serial and lot numbers on transfer orders

Procedures for handling serial and lot numbers that are being transferred between different locations are
similar to those applied when items are sold and purchased.
However, the transfer order is unique in that shipment and receipt are both done from the same transfer line
and, therefore, use the same instance of the Item Tracking Lines page. This means that item tracking numbers
shipped from one location must be received unchanged at the other location.
1. Choose the icon, enter Transfer Orders , and then choose the related link.
2. Open the transfer order you want to process. On the Lines FastTab, choose the Line action, choose the
Item Tracking Lines action, and then choose the Shipment action.
3. On the Item Tracking Lines page, assign or select serial or lot numbers as for any other outbound item
transaction.
When handling serial and lot numbers for transfer items, the items typically have numbers already
assigned to them. Therefore, the process typically consists of selecting from existing serial or lot numbers.
4. Post the transfer order, first ship and then receive, to record that the items are transferred carrying their
item tracking entries.
During the transfer, the Item Tracking Lines page remains locked for writing.
To record additional serial or lot number information

If you need to link special information to a specific item tracking number, for example, for quality assurance, you
can do so in a serial or lot number information card.
1. Open a document that has serial or lot numbers assigned.
2. Open the Item Tracking Lines page for the item you want to enter information for.
3. Choose the Line action and then, for example, the Serial No. Information Card action.
4. Choose the plus sign (+) sign at the top of the list to create a new entry. The Serial No. and Lot No. fields
are prefilled from the item tracking line.
5. Enter a short piece of information in the Description field, for example about the condition of the item.
6. Choose the Related action, choose the Serial No. action, and then choose the Comment action to create a
separate comment record.
7. Select the Blocked field to exclude the serial or lot number from any transactions.
You can modify created serial or lot information cards later.
To modify existing serial or lot number information

2. Select an item that has an item tracking code and has serial or lot number information.
3. From the Item Card page, choose the Entries action, and then choose Ledger Entries .
4. Choose the Lot No. or Serial No. field. If information exists for the item tracking number, then the Lot No.
Information List or Serial No. Information List page opens.
5. Select a card, and then choose the Lot No./Serial No. Information Card action.
6. Modify the short description text, the comment record, or the Blocked field.
You cannot modify the serial or lot numbers or quantities. To do so, you must reclassify the item ledger entry in
question. For more information, see To reclassify lot or serial numbers.
To reclassify serial or lot numbers

Reclassifying item tracking for an item means changing a lot or serial number to a new lot or serial number or
changing the expiration date to a new expiration date. If you are working with lots, you can also merge multiple
lots into one. You perform these tasks using the item reclassification journal.
1. Choose the icon, enter Item Reclass. Journal , and then choose the related link.
2. Fill in the line with the relevant information. For more information, see Count Inventory Using
Documents or Count, Adjust, and Reclassify Inventory Using Journals.
3. Choose the Item Tracking Lines action.
4. In the Serial No. or Lot No. field, select the current serial or lot number.
5. If you want to enter a new item tracking number, enter it in the New Serial No. or New Lot No. field. If
you want, you can merge one or more lots to one new or existing lot.
NOTE
Be aware that when you reclassify expiration dates, then the items with the earliest expiration dates for outbound
transactions are suggested first. For more information, see Picking by FEFO.
6. If you would like to enter a new expiration date for the serial or lot number, enter it in the New
Expiration Date field.
IMPORTANT
If you are reclassifying a lot to the same lot number but with a different expiration date, you must reclassify the
entire lot, using one item reclassification journal line. If you are reclassifying more than one lot to one new lot
number, meaning that you are merging more than one lot into one new lot, you must enter the same new
expiration date for all the lots. If you are reclassifying one existing lot to a second existing lot that has a different
expiration date, you must use the expiration date from the second lot. If you leave the New Expiration Date
field blank, the lot or serial number will be reclassified with a blank expiration date.
7. If you have existing information on the old serial or lot number, you can copy it to the new serial or lot
number.
a. On the Item Tracking Lines page, choose the New Serial No. Information action or the New Lot
No. Information action.
b. To copy information from the old lot or serial number, choose the Copy Info action.
c. In the information list page, select the lot or serial number that you would like to copy from, and
8. If you want to modify the existing information for the lot or serial number, you can record lot or serial
information.
9. Post the journal to link the renewed item tracking numbers or expiration dates to the associated item
ledger entry

See also
Set Up Item Tracking with Serial, Lot, and Package Numbers
Inventory
Reserve Items
You can see where an item-tracked item was used, including how and when it was received or produced,
transferred, sold, consumed, or returned. You can also find all current instances of a specific serial or lot number
in the database. You do this by using the Item Tracing and the Find Entries features.
These features can be particularly useful in quality control when you need to find out which customers received
products with a particular lot number or when you need to find out which lot a defective component came from.
On the Item Tracing page, you can trace forwards and backwards in a sequence of posted inventory
transactions for the serial or lot number.
On the Find Entries page, you cannot see the sequence of transactions, but you can see all records of the serial
or lot number, both posted entries and open records.
The two features can be used in combination by transferring a traced serial or lot number to the Find Entries
page to finish a complete trace scenario.
To trace item-tracked items

1. Choose the icon, enter Item Tracing , and then choose the related link.
2. In the filter fields at the top of the page, enter the specific item numbers or a filter on the item numbers
that you would like to trace.
3. In the Show Components field, select whether to also see where the components for the items came
from. The following table describes the options.
No Do not show components.
Item-tracked Only Show only components that have lot or serial numbers.
All Show all components.
4. In the Trace Method field, select the method to use for tracing the item. The following table describes
the options.
Usage->Origin Trace the item from where it was used to where it came
from. For instance, if a manufactured item was sold to a
customer, the Item Tracing page shows this with the
sales shipment line first, which you can then expand to
see from which production order it came.
Origin->Usage Trace the item from where it came into inventory to

where it was used. For instance, if a manufactured item
was sold to a customer, the Item Tracing page shows
this with the finished production order first, which you
can then expand to see the sale shipment lines where
the item was used.
5. Choose the Trace action to run the trace.
NOTE
Only applied transactions are shown. If you have received the same lot on multiple transactions, the Item Tracing page
may not show all transactions.
NOTE
If additional transaction history under an item tracing line has already been traced by another line above it, then the
Already Traced check box is selected. To provide a simpler view, such underlying lines are not shown.
To find the item tracing lines where the transaction history has already been traced, choose the Go to Already Traced
button. The item tracing line in question is selected, and all underlying lines are expanded.
To find item-tracked items with Find Entries

1. Choose the icon, enter Find Entries , and then select the related link.
2. Choose Actions > Find by > Find by Item Reference .
3. In the Serial No. and Lot No. fields, enter the item tracking numbers that you want to trace.
4. Choose the Find action to find all instances of the serial or lot number in the database.

See also
Inventory
Work with Serial, Lot, and Package Numbers
Reserve Items
Find Entries
Use Item References
If you buy or sell items that you and your vendor or customer use different terms for, then you can set up a
reference between your terms for the items and the terms that the customer or vendor of that item uses. This
way, the vendor's or customer's item description, unit of measure, or variant code is automatically inserted on
the relevant documents when you fill in the Item Reference No. field.
NOTE
Not all companies use item references. To minimize clutter on pages, we've hidden the related fields and actions by default.
If you decide to use them, select the Use Item References field on the Inventor y Setup page. After you turn on item
references, the fields and actions are available on the Item Card, Vendor Card, and Customer Card pages, and from sales
and purchase documents.
In versions earlier than 2021 release wave 2, your administrator can turn on the Write longer item references feature in
the Feature Management page (link requires that you have a Business Central tenant). How you use references doesn't
change, but the names of things like pages and buttons will. For example, the Item Cross-Reference Entries page will
become the Item Reference Entries page.
To start using item references

2. Select the Use Item References field.
To set up an item reference

2. Open the card for an item for which you want to create a reference.
3. Choose the Item References action.
If you cannot find the Item References action, choose to view more options, and then find it under
Related > Item .
4. On a new line on the Item Reference Entries page, fill in the fields as necessary. Hover over a field to
read a short description..
The following procedure describes how you specify the item reference on a purchase order. Similar steps apply
to sales documents and other purchase documents.
To enter a vendor's item description on a document

2. Create a purchase order for the vendor that you set up an item reference for in the previous procedure.
3. Create a purchase line for the item that you set up an item reference for in the previous procedure.
4. In the Item Reference No. field, select the relevant item reference, and then choose the OK button.
The Description field on the line is overwritten with the vendor's item description, as set up on the item
reference entry. If the item reference includes a variant code or a unit of measure, these values are also copied to
the document.
See Also
Register New Items
Inventory
Block Items from Sales or Purchasing
You can block an item from being entered on lines in sales or purchase documents, and you can block it from
being posted in any transaction. For example, this is useful when an item has a known defect. If someone
chooses a blocked item on a sales or purchase document a message will inform them that the item is blocked.
The following table describes what occurs when items are blocked.
Sales Blocked You cannot enter the item in a sales document or in a sales
item journal.
Purchasing Blocked You cannot enter the item in a purchase document, in a

purchase item journal, or in purchase planning processes.
Blocked You cannot use the item for any item transaction.
NOTE
Blocked items can be returned. This means that none of the above settings apply when the item is used on return orders
and credit memos.
When you use the Copy from Document function to create new documents based on existing documents, you
are notified if any items on the source document lines are blocked. The blocked document lines are excluded
from the new document, and a notification shows an overview of all document lines that are blocked in the
source document.
To block an item from being entered on sales lines

2. Select the item that you want to block, and then select the Sales Blocked check box.
To block an item from being entered on purchase lines

2. Select the item that you want to block, and then select the Purchasing Blocked check box.
To block an item from being posted

2. Select the item that you want to block, and then select the Blocked check box.
See Also
Register New Items
Inventory
Responsibility centers provide the ability to handle administrative centers. A responsibility center can be a cost
center, a profit center, an investment center, or other company-defined administrative center. Examples of
responsibility centers are a sales office, a purchasing department for several locations, and a plant planning
office. Using this functionality, for example, companies can set up user-specific views of sales and purchase
documents related exclusively to a particular responsibility center.
Using multiple locations together with responsibility centers provides the ability to manage business operations
in the most flexible, yet optimal way.
Multiple locations allows companies to manage their inventory in multiple locations using one database. Two
concepts, locations and stockkeeping units, are the cornerstones of this granule. A location is defined as a place
that handles physical placement and quantities of items. The concept is broad enough to include locations such
as plants or production facilities as well as distribution centers, warehouses, showrooms and service vehicles. A
stockkeeping unit is defined as an item at a specific location and/or as a variant. Using stockkeeping units,
companies with multiple locations are able to add replenishment information, addresses, and some financial
posting information at the location level. As a result, they have the ability to replenish variants of the same item
for each location as well as to order items for each location on the basis of location-specific replenishment
information.
To set up a responsibility center

1. Choose the icon, enter Responsibility Centers , and then choose the related link.
If you are using responsibility centers to administer your company, it can be useful to have a default
responsibility center for your company.
5. In the Responsibility Center field, enter a responsibility center code.
This code will be used on all purchase, sales, or service documents, if the user, customer, or vendor has no
default responsibility center. On any sales, purchase, or service document, you can enter another responsibility
center than the default.
NOTE
When you enter a responsibility center code on a document, it affects the address, dimensions, and prices on the
document.
To assign responsibility centers to users

You can set up users so that in their daily routines application retrieves only the documents relevant for their
particular work areas. Users are usually associated with one responsibility center and work only with documents
related to specific application areas at that particular center.
To set this up, you assign responsibility centers to users in three functional areas: Purchases, Sales, and Service
Management.
1. Choose the icon, enter User Setup , and then choose the related link.
2. On the User Setup page, select the user you want to assign a responsibility center to. If the user not is on
the list, you must enter a user ID in the User ID field.
3. In the Sales Resp. Ctr. Filter field, enter the responsibility center where the user will have tasks related to
sales.
4. In the Purchase Resp. Ctr. Filter field, enter the responsibility center where the user will have tasks related
to purchasing.
5. In the Ser vice Resp. Ctr. Filter field, enter the responsibility center where the user will have tasks related to
service management.
NOTE
Users can view only those posted documents that related to their own responsibility center. However, they can view all
ledger entries and navigate to other posted documents from the ledger entries.

See also
Inventory
Project Management
In Business Central, you can perform common project management tasks, such as configuring a job and
scheduling a resource, as well as providing the information needed to manage budgets and monitor progress.
You can track machine and employee hours on the project by using time sheets. As a project manager, you have
a good overview, not only of individual jobs, but also of the allocation of employees, machinery and other
resources being used in all projects.
Before you can use Business Central to manage projects, you must set up resources, time sheets, and jobs. For
more information, see Setting Up Project Management.
TO SEE
Create jobs, assign job tasks, and prepare job planning lines. Create Jobs
Allocate resources to jobs and manage resource prices. Use Resources for Jobs
Create a time sheet with integrated job task and planning Use Time Sheets for Jobs
lines and post time sheet lines to a job journal.
Budget for resources to be used in jobs and compare actual Manage Job Budgets
item and resource usage to budgeted usage to improve the
quality and cost efficiency of future projects.
Review and record usage on various parts of your job, which Record Usage for Jobs
is automatically updated as you modify and transfer
information from job planning lines to job journals or job
invoices for posting.
Purchase supplies for a job, either on purchase orders or Manage Job Supplies
invoices, and record item and time usage.
Learn about WIP (Work in Process), a feature that ensures Understanding WIP Methods
correct financial statements and enables you to estimate the
financial value of jobs that are ongoing.
Post the consumption of materials, resources, and other Monitor Job Progress and Performance
expenses of job work in process (WIP) to monitor its financial
value and to maintain correct financial statements even
though you post job expenses before invoicing the job.
Record job costs for resource usage, materials, and job- Invoice Jobs
related purchases on an on-going basis and invoice the
customer, either when the job is finished or according to an
invoicing schedule.
Get started with projects

Project management is complicated enough in itself, and learning how to create jobs and managing work in
process in a new tool can be another complication. To help you get started with project management in Business
Central, you can see a video about creating jobs on the Business Central YouTube channel.
See Also
Video: How to create a job in Dynamics 365 Business Central
Purchasing
Sales
Finance
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Project Reports and Analytics in Business Central
Project reporting in Business Central allows project and business professionals to get insights and statistics
about current and past project activities.
Reports
The following table describes some of the key reports in jobs reporting.
Job Analysis Analyzes your job by using settings 1008

that you specify. For example, you can
create a report that shows you the
budgeted prices, usage prices, and
billable prices, and then compares the
three sets of prices.
Use a combination of the available
Amount fields to create your own
analysis. For each field, select one of
the following prices, costs, or profit
values: Schedule, Usage, Contract, and
Invoiced.
Select whether the currency is specified
in Local Currency or Foreign Currency.
Job Planning Lines This report shows the different job 1006
planning and job task lines – including
the line type, quantities, unit of
measure, total costs, etc.
Job Actual to Budget Compares scheduled and usage 1009

amounts for selected jobs. All lines of
the selected job show quantity, total
cost, and line amount.
This report is intended for completed
jobs, although you can use it at any
time during a job.
Job Actual to Budget (Cost)
(10210) or Job Actual to Budget
(Price) (10211) reports.
Job Suggested Billing Shows a list of all jobs, grouped by 1011

customer, how much the customer has
already been invoiced, and how much
remains to be invoiced, that is, the
suggested billing.
Job Cost Suggested Billing (10219)
report.
Jobs per Customer Shows a list of all jobs, grouped by 1012

customer. It allows you to compare the
scheduled price, the percentage of
completion, the invoiced price, and the
percentage of invoiced amounts for
each Bill-to Customer .
Items per Job An overview about the used items in a 1013

job. Depending on the report that you
want to use to get an overview about
the planned items for a project, you
can set an additional filter. The report
shows the relevant items and an
accumulated value about the costs.
Jobs per Item An overview about the used items in a 1014

job. Depending on the report that you
want to use to get an overview about
the planned items for a project, you
can set an additional filter. The report
shows the relevant items and an
accumulated value about the costs.
Job Transaction Detail This report will give you an overview 1007
over the posted job tasks like
resources and items. Includes a
detailed information about the total
costs and total prices plus an
information concerning line
discounts,and so on. The report shows
data from the job ledger entries.
Job WIP to G/L Shows the value of work in process on 1010

the jobs that you select compared to
the amount that has been posted in
the general ledger.
Tasks
See also
Project management
Create Jobs
When you start a new project, you must create a job card with integrated job tasks and job planning lines,
structured in two layers.
The first layer consists of job tasks. You must create at least one job task per job because all posting refers to a
job task. Having at least one job task in your job enables you to set up job planning lines and to post
consumption to the job.
The second layer consists of job planning lines, which specify the detailed use of resources, items and various
general ledger expenses.
The layer structure enables you to divide the job into smaller tasks, and therefore use more specific details in
budgeting, quotes, and registration. In addition, it gives you insight into how a job is progressing. For example,
you can track whether you're meeting designated milestones or if you're on target to meet budget expectations.
TIP
Choose the New Job action on the Project Manager Role Center to launch an assisted setup guide that takes you
through the steps of creating a job with integrated tasks and planning lines. The following procedure describes how to
perform the steps manually. For an example of how to create a job manually, see Video: How to create a job in Dynamics
365 Business Central.
Sometimes the party that is receiving a service is different from the party that is paying the bill. On the Jobs
page, you can specify the customer who will benefit from the project in the Sell-to fields, and the party to
invoice in the Bill-to fields. You can also provide the following information:
Where the work will happen by selecting from a list of ship-to addresses for the customer.
Add information about external references to simplify communication about the project.
Overwrite the standard financial terms of the project.
To create a job card

You create a job card and then create job task lines and job planning lines for it.
3. To specify the job with information on other jobs, choose the Copy Job action, fill in the fields as necessary,
and then choose the OK button.
NOTE
If you are using time sheets with your job, you must also designate a person responsible. This person can approve time
sheets for the employee tasks associated with the job. For more information, see Set Up Time Sheets.
To create tasks for a job

A key part of creating a job is to specify the various tasks involved in the job. You specify tasks by creating one
line per task on the Tasks FastTab on the Job Card page. Every job must have at least one task.
2. Open the job card for a relevant job.
3. On the Tasks FastTab, fill in the fields as necessary on a new line.
4. To indent tasks and create a hierarchy, Choose the Tasks action, the then choose Indent Job Tasks action.
5. Repeat steps 3 and 4 for all the tasks that you need for the job.
6. To specify the job tasks with information on other job tasks, choose the Copy Job Tasks from action, fill in
the fields as necessary, and then choose the OK button.
To create planning lines for a job

You can refine your new job tasks on job planning lines. A planning line can capture the information that you
want to track for a job. For example, you can track the resources the job requires, or the items that are needed.
For example, you have a task to get a customer to approve a job. You associate the task with planning lines for
items such as meeting the customer and assigning a resource.
A job planning line can have one of the following types.
TYPE DESC RIP T IO N
Budget Provides estimated usage and costs for the job, typically in a
time and materials type project. Planning lines of this type
can't be invoiced.
Billable Provides estimated invoicing to the customer, typically in a

fixed price project.
Both Budget and Billable Provides budgeted usage equal to what you want to invoice.
NOTE
While you enter information on job planning lines, cost information is automatically filled in. For example, the cost, price,
and discount for resources and items are based on information from the resource and item.
2. Open a relevant job card.
3. Select a job task for which the Job Task Type field contains Posting , and then choose the Job Planning
Lines action.
4. On the Job Planning Lines page, on a new line, fill in the fields as necessary.
5. Repeat steps 3 and 4 for all planning lines that you need for the job task.

See also
Project Management
Video: How to create a job in Dynamics 365 Business Central
Finance
Purchasing
Sales
Use Resources for Jobs
You record the usage of resources in the job journal to keep track of costs, prices, and the work types that are
linked to jobs. For more information, see Record Usage for Jobs.
NOTE
You can also purchase external resources, for example, to invoice a vendor for work delivered. For more information, see
Record Purchases.
You can also post the usage of a resource in a resource journal. Entries posted in a resource journal have no
effect on the general ledger.
To assign resources to jobs

You assign resources to jobs by creating job planning lines for the job. For more information, see Create Jobs.
To record resource usage for a job

2. Open a relevant job journal batch, and then fill in the fields as necessary. Hover over a field to read a short
description.
3. When the journal is complete, choose the Post action.
To adjust resource prices

If you want to change costs or prices for a large number of resources, you can use a batch job.
1. Choose the icon, enter Adjust Resource Costs/Prices , and then choose the related link.
2. Fill in the fields on a line as necessary, and then choose the OK button.
NOTE
This batch job does not create or adjust alternate costs or prices for resources. It only changes the contents of the field on
the resource card for the Adjust Field field that you selected in the batch job. The adjustment will take effect
immediately for resources, so check your adjustment factors before you run the batch job.
To get resource price change suggestions based on existing alternate

prices
If you have already set up alternate resource price for some resources, you can use a batch job to set up multiple
alternate resource prices.
1. Choose the icon, enter Resource Price Changes , and then choose the related link.
2. Choose the Suggest Res. Price Chg. (Price) action, and then fill in the fields as necessary.
4. When the batch job is finished, the Resource Price Changes page shows the results of the batch job.
To get resource price change suggestions based on standard prices
If you want to set up multiple alternate resource prices based on the standard prices on the resource cards, you
can use a batch job.
1. Choose the icon, enter Resource Price Changes , and then choose the related link.
2. Choose the Suggest Res. Price Chg. (Res.) action, and then fill in the fields as necessary.
4. When the batch job is finished, open the Resource Price Changes page to see the results of the batch job.
To get resource price change suggestions based on alternate prices

If you have already set up alternate resource price for some resources, you can use a batch job to set up multiple
alternate resource prices.
1. Choose the icon, enter Suggest Res. Price Chg. (Price) , and then choose the related link.
4. When the batch job is finished, open the Resource Price Changes page to see the results of the batch job.
See Also
Project Management
Finance
Purchasing
Sales
Use Time Sheets
You can use time sheets in Business Central to track absence, and to track time and resources that are spent on a
project. With time management, you can identify issues early, and avoid delays or cost overruns. With time
sheets, a resource can easily report time usage for an individual or a machine, and a manager can easily review
the usage and its allocation. This article describes how to create a time sheet, define work types, fill in the time
sheet, and submit it for approval.
You can copy and use your job planning lines in a time sheet. In that way, you must only enter the information in
one place and the line information is always correct.
After you have approved time sheet entries for a job, you can post them to the relevant job journal or resource
journal.
Before you can use time sheets, you must set up general information and specify an administrator and one or
more approvers of time sheets. For more information, see Set Up Time Sheets.
TIP
Starting in 2021 release wave 2, you can manage assigned time sheets on a mobile device. However, your administrator
may have to enable the Feature Update: New time sheet experience feature in the Feature Management page to
use this capability. For more information, see Set Up Time Sheets.
To create time sheets

You can use the Create Time Sheets batch job to set up time sheets for a specified number of time periods or
weeks. Then, the time sheet owner can open it and record time that has been spent on a task. You can also
schedule the batch job to run automatically.
IMPORTANT
You must have permissions to be able to create time sheets. For more information, see Set Up Time Sheets.
1. Choose the icon, enter Time Sheets , and then choose the related link.
2. On the Time Sheets page, choose the Create Time Sheets action.
NOTE
The Use Time Sheet and Time Sheet Owner User ID fields must be filled in on the card for the resource of
the time sheet.
Optionally, choose the Schedule action to specify how often you want the task to run automatically. For
example, to configure the task to run weekly for four weeks, in the Schedule a Repor t - Create Time
Sheets page, set the Next Run Date Formula field to 4W. For more information, see Scheduling a
Report to Run.
You can view the time sheets that you have created on the Time Sheets page. Each time sheet consists of one
or more lines that define the time that you want to submit for approval. The following table describes the types
of lines that you can add to the time sheet.
Use to add a note or marker in the Description field of the

time sheet line. For example, you can use this field to
categorize time sheet entries. If you leave the Type field
empty for a time sheet line, you cannot enter time values in
the weekday fields for that line.
Absence Use to register the time you are absent during a work week.
To complete the information for the line, specify the type of
absence in the Cause of Absence Code field.
Assembly Order Used to register time for assembly orders. A time sheet line
of this type is created during the posting of assembly order
lines for which the resource is set up to use time sheets. You
cannot manually select a line of this type.
Job Use to register time usage for a project. To complete the

information for the line, specify the job number and the job
task number for which you want to register time. You can
register time for lines that you have not scheduled.
Resource Use to register time usage for a resource. To complete the

information for the line, provide a description of the work.
Service Use to register time usage for a service order or service

credit memo.
For example, to submit a time sheet for a work week where you worked on cleaning tasks most days but had
one day off due to medical appointments, you would add lines as illustrated in the following table.
TYPE DESC RIP T IO N W O RK T Y P E C O DE A B SEN C E T Y P E C O DE
Resource Work hours Cleaning
Absence Time off Health
I had to take Tuesday off

due to a medical
appointment.
In this hypothetical example, you would then register the relevant hours across the relevant days in the fields for
each weekday.
TIP
In most cases, your company will have predefined work types for the various types of lines. In those cases, you just
choose the relevant work type from the list, and then you add your own description.
Choose the work type by choosing the button in the Description field, by choosing the Activity Details action
and then specifying it in the page that opens, or by choosing it in the Work Type Code field or the Absence Type
Code field, respectively. In this case, you can ignore the To define work types and add one to a time sheet section.
To reuse time sheet lines in other time sheets
If your time sheet information remains the same from time period to time period, you can save time by copying
the lines from the previous time period. Then, you just enter your time usage for the new period.
2. Open the time sheet for a period later than the period for an existing time sheet with lines.
3. Choose the Copy Lines from Previous Time Sheet action.
The lines are copied, including details such as type and description. For example, if the line is related to a job, the
Job No. is copied. All copied lines have the status Open . You can now modify the lines as needed.
To copy job planning lines to a time sheet

The following procedure describes how to quickly add job planning lines to a time sheet.
2. On the Time Sheets page, select a time sheet for the relevant time period.
3. Choose the Create lines from job planning action. Any job planning lines in the time sheet time period
are copied to the time sheet for the person or machine in the Resource No. field on the time sheet.
To define work types and add one to a time sheet

You can define the work type for all time sheet lines for service orders, job orders, and resources. In this way,
you can add information that you need to bill the customer for different types of work.
1. In the Time Sheets page, choose the relevant time sheet.
2. On the first of the lines in the Lines section, choose the Type field, and then choose the relevant type, such
as Resource.
3. Choose the Description field, and then, in the Time Sheet Line Resource Detail page, fill in the fields.
Hover over a field to read a short description.
a. If no work types exist, chose the New action.
b. On the Work Types page, fill in the fields as necessary, and then return to the time sheet.
4. Fill in the rest of the time sheet. For more information, see the To fill in time sheet lines and submit for
approval section.
TIP
Similar steps apply to defining absence codes.
To fill in time sheet lines and submit for approval

Time sheet registration is tracked in hours, the standard base unit of measure for resources. By default, a time
sheet shows the common work days of Monday through Friday.
2. Select a time sheet for the relevant period.
3. Fill in the fields on a line as necessary. Enter the number of hours used by the resource on each day of the
week.
In most cases, to track work, you add a line of type Resource, and then you register hours spent each day.
If you want to register absence, you add a line of type Absence.
TIP
You can review the sum of time sheet hours that you have entered in the Actual/Budgeted Summar y FactBox.
4. Repeat step 3 for other work types that the resource performs.
Next, you must decide if you want to submit all lines on the time sheet, or if you want to submit
individual lines.
To submit the time sheet for one or more lines, choose the relevant line, and then choose the
Submit action.
In the submission page, choose the Selected lines only option. The line changes state from Open
to Submitted.
To submit the time sheet for all open lines, choose the Submit action at the top of the Time Sheet
page.
You'll be asked to confirm that you want to submit all open lines on the current time sheet.
NOTE
You can only submit time sheet lines for which you have entered time.
5. To modify information on a line that has been set to Submitted , select the line, and then choose the
Reopen action.
NOTE
A manager may reject a time sheet line that is submitted for approval. If a line has the status Rejected , you can
make changes to the line, and then choose Submit again.
To approve or reject a time sheet

A time sheet must be submitted for approval before it can be used. You can approve and reject individual lines
on a time sheet or send them back to the submitter for additional action. A time sheet can be approved in two
ways:
A time sheet administrator can approve any time sheet.
The person who is specified in the Time Sheet Approver User ID field on a resource card can approve that
resource's time sheets. For more information, see Set Up Time Sheets.
1. Choose the icon, enter Manager Time Sheets , and then choose the related link.
2. Select a time sheet from the list.
3. On the Time Sheet page,
a. Choose the Process action, then choose the Approve action.
b. Choose the All submitted lines action to approve all lines or the Selected lines only action to
approve only the lines that are selected on the Time Sheet page.
5. Alternatively, choose the Reject action and follow steps 4 through 5.
TIP
Use the Time Sheet Status and Actual/Budgeted Summar y FactBoxes to get an overview of time sheet information.
After you have approved or rejected a time sheet, it cannot be modified unless it is first reopened. The following
procedure explains how to reopen an approved or rejected time sheet.
To reopen a time sheet

1. Choose the icon, enter Manager Time Sheets or Time Sheets , and then choose the related link.
2. Open a time sheet from the list.
NOTE
You can only reopen lines that have the status Approved . You cannot reopen lines that have the status
Rejected . You cannot reopen a time sheet if it has been posted.
3. On the Time Sheet page, choose the Reopen action, and then choose the All submitted lines action to
reopen all lines or the Selected lines only action to reopen only the lines that are selected on the Time
Sheet page.
4. Choose the OK button. The status of the time sheets line or lines is changes to Submitted .
To view and approve time sheets by job

On a job, you can specify a person who is responsible for the job. That information is linked to time sheet lines,
and can be used to provide a list of the time sheets that a project manager is required to review and approve.
For example, the team project manager may be responsible for certain jobs in your company. In that case, the
manager should be designated as the Person Responsible on the job card. In this view of time sheet
information, you can see the job tasks associated with a job and the quantity of hours used.
NOTE
To be able to approve time sheets in the Manager Time Sheet by Job window, you must first select a Time Sheet by
Job Approval option in the Resources Setup page. For more information, see Set Up Resources.
To approve or reject a time sheet by job

1. In the Search box, enter Manager Time Sheet by Job , and then choose the related link. Business
Central displays a list of time sheet lines associated with the jobs for which you have responsibility.
2. Choose the Approve action, and then choose the All submitted lines action to approve all lines or the
Selected lines only action to approve only the lines that are selected on the Time Sheet page.
NOTE
You can only approve time sheets that have the status of Submitted .
3. To provide additional information about the approval or rejection, select the Related action, then select
Comments and then Line Comments and enter comments.
NOTE
After you have approved or rejected a time sheet line by job, it cannot be reopened or modified in the Time Sheet
window.
To post time sheet lines in a resource journal

After you have approved time sheet entries for a resource, you can post them to the relevant resource journal.
1. Choose the icon, enter Resource Journals , and then choose the related link.
2. Choose the Suggest Lines from Time Sheets action.
3. On the Suggest Res Jnl. Lines page, in the fields as necessary.
4. Choose the OK button. Entries for usage are created in the resource journal, where you can modify the
information as needed.
6. To verify the posting, choose the Ledger Entries action. The Resource Ledger Entries page opens
showing the result of posting the resource journal.
To post time sheet lines in a job journal

After you have approved time sheet entries for a job, you can post them to the relevant job journal.
2. Choose the Suggest Lines from Time Sheets action.
3. On the Suggest Job Jnl. Lines page, fill in the fields as necessary.
4. Choose the OK button. Entries for usage are created in the job journal, where you can modify the
information as needed.
NOTE
Information about work type and whether the work is chargeable is copied from the time sheet line. If needed,
you can reduce the quantity of hours and do a partial posting. If you reduce the quantity, then the next time that
you choose the Suggest Lines From Time Sheets action, the line that is created will contain the remaining
quantity of hours.

6. To verify the posting, choose the Ledger Entries action. The Job Ledger Entries page opens showing
the result of posting the resource journal.
To archive time sheets

After you have posted time sheets, you can archive them for future reference. All time sheets lines must be
posted before a time sheet can be archived.
NOTE
When you archive a time sheet, it is removed from the lists in both the Time Sheets page and the Manager Time
Sheets page.
2. Select the Move Time Sheets to Archive action.
3. On the Move Time Sheets to Archive page, fill in the fields as necessary, and then choose the OK button.
4. To review archived time sheets, choose the icon, enter Time Sheet Archives or Manager Time Sheet
Archives , and then choose the related link.
See Also
Project Management
Finance
Purchasing
Sales
Manage Job Budgets
You can set up a budget for each job. The budget is used to plan the resources that you allocate to a job. The
budget can be either general with few entries or it can contain more entries that are divided into activity levels.
You can then compare the budgeted amounts with the actual usage as recorded in the job journal. By
monitoring differences between actual usage and budgeted usage, you can control an ongoing project and
improve the quality of future jobs by reducing the risk of underestimating costs.
The following procedure describes how to estimate budgeted costs during planning. For information about
recording budgeted versus actual job prices and costs, see Record Usage for Jobs.
To estimate the budgeted costs for a job

When a customer wants to know the price of a job that will be invoiced based on usage, you must have to
determine the budgeted costs for the job. You use the Job Task Lines page to do this.
2. Open a relevant job.
3. Select a task line of type Posting, and then choose the Job Planning Lines action.
4. On a new line, fill in the fields as necessary. Hover over a field to read a short description.
For the Line Type field, refer to the following information.
L IN E T Y P E DESC RIP T IO N
Both Budget and Billable The cost and price amounts entered on the planning line are
the budgeted costs for the particular planning line. The price
amount will be invoiced.
Budget The customer is not charged for usage. Usage is not

transferred to an invoice, but will still be used in the
calculation of WIP.
Billable The customer is charged for usage. Usage is transferred to

the invoice, based on the quantity specified in the Qty. to
Transfer to Invoice field.
NOTE
The Planned Deliver y Date field for the planning line contains the date when usage related to the planning line is
expected to be completed. It is also the date when the planning line may be transferred to a sales invoice and posted.
On the underlying job task on the Job Card page, the Star t Date and End Date fields respectively contain the value of
the Planned Deliver y Date field on the earliest and latest job planning lines in the related Job Planning Lines page.
NOTE
When you fill in the Quantity field, all total price and total cost information will be calculated and filled in for that
planning line. You can edit them at any time.
On the Job Card page, you can now see a summary of the total budgeted costs, budgeted price, billable cost
and billable price for each task.
For information about recording budgeted versus actual job prices and costs, see Record Usage for Jobs.

See also
Project Management
Finance
Purchasing
Sales
Record Consumption or Usage for Jobs
On the Job Planning Lines page, you can review and record usage on various parts of your job, which is
automatically updated as you modify and transfer information between jobs and job journals or job invoices.
This requires that you have set up a job so that the Apply Usage Link is turned on. For more information, see
Set Up Jobs.
For example, for planning lines of type Budget , you can enter the quantity of a resource, and indicate what
quantity to transfer to the job journal. If the type of the planning line is Billable , you can enter the quantity of
the resource, and indicate what quantity to transfer to an invoice. For more information about invoicing the
customer, see Invoice Jobs. By comparing the original quantity, remaining quantity, or posted quantity you can
quickly review usage information. For information about estimating budgeted values during planning, see
Manage Job Budgets.
The following procedures describe how to record actual (budgeted) quantities and costs with job journal.
Alternatively you can use purchase documents to record purchase for a job. For more information, see Manage
Job Supplies.
To record usage for a job planning line of type Budget

2. Select the relevant job, and then choose the Job Planning Lines action.
3. Select a job planning line of type Budget or Both Budget and Billable for which you want to record
usage.
NOTE
You can also record usage for a job planning line of type Billable . Typically, you use this lines to create invoices,
but you can also transfer it to a journal. For more information, see Invoice Jobs
4. In the Qty. To Transfer to Journal field, enter the number that you want to transfer. The default quantity
is the value that you enter in the Quantity field.
The Remaining Quantity field shows the quantity that remains to complete the job and be transferred
to the journal.
5. Choose the Create Job Journal Lines action.
TIP
If you are going to add more job planning lines for this job, wait with this step until you have added all job
planning lines.
6. On the Job Transfer Job Planning Line page, fill in the fields as necessary, and then choose the OK
button. Hover over a field to read a short description.
7. Choose the Open Job Journal action.
8. On the Job Journal page, select the relevant line and then choose the Post action.
9. On the Job Planning Lines page, review the recorded usage by observing the Quantity , Remaining
Quantity , and Qty. To Transfer to Journal fields.
10. Repeat steps 3 through 8 to record additional usage.
To create job journal lines manually

2. In the Batch Name field, choose a relevant job journal batch.
3. On a new line, enter document number, job number, job task number, type, and the quantity of the type being
consumed.
4. When the job journal lines are complete, choose the Post action.
To view job usage estimates and post updates

You can view job usage up to the completion of a project in one step. To do so, you use the Job Calc.
Remaining Usage batch job for all the tasks up to and including the end of a job.
This lets you track and compare your original estimates against actual results and make modifications or new
entries as needed. For example, you may have estimated that a job required 10 hours, and to date, it has taken
15 hours. You can add the extra five hours to the existing journal line or create a new journal line to report these
five hours as overtime, which is another work type. The appropriate cost and price are calculated, and you can
then post to the journal.
NOTE
Item entries create item ledger entries and reduce the inventory quantity. The Post Inventor y Cost to G/L batch job
transfers the cost from inventory to the general ledger. Resource entries create resource ledger entries.
2. Select a relevant job journal, and then choose the Calc. Remaining Usage action.
3. On the Job Calc. Remaining Usage page, enter the document number and posting date that is to be
inserted in the journal, and then choose the OK button.
4. Update the journal with any modifications that may be needed.
5. Choose the Post .
Create inventory and warehouse pick documents for a job

To create inventory and warehouse pick documents for jobs, your administrator must enable Feature Update:
Enable inventor y and warehouse pick from Jobs on the Feature Management page.
The feature adds the Create Inventor y Pick and Create Warehouse Pick actions to the Job Card . To create
or register a pick document, use the Put-away/Pick Lines/Movement Lines or Registered Pick Lines
actions. For more informations about picks, see Pick Items
You can use the actions under the following conditions:
The Status of the job is Open .
The Line Type of the job planning line is Budget or Both Budget and Billable .
The Type of the job planning line is Item .
Require Pick is enabled for the related location.
Directed Pick and Put-away is disabled.
NOTE
Although the setting is called Require Pick , you can still post consumption directly from the job journal line for the
location. If your location is set up to require pick processing but not shipment processing, you use the Inventor y Pick
page to organize and print the picking information. You also use the page to enter and post the result of the pick, which
in turn posts the consumption of the items.
If your location is set up to require both pick and shipment processing, meaning that you have chosen both the Require
Pick and Require Shipment fields on the Location Card page, use the Warehouse Pick page to handle the pick.
Warehouse picks are similar to inventory picks. The difference is that rather than posting the picking information you
register the pick. This registration doesn't post consumption, it just makes the items available for posting. As a warehouse
manager, you can use a pick worksheet to organize pick information before creating the individual warehouse pick
instructions
To review planning lines for a job ledger entry

After you have posted job journal lines, you can see the planning lines that are associated with the job journal
entries that have been posted.
NOTE
This requires that the Apply Usage Link check box has been selected for the job. For more information, see Set Up Jobs.
2. Select a relevant job journal, and then choose the Ledger Entries action.
3. On the Job Ledger Entries page, choose Show Linked Job Planning Lines action.

See also
Project Management
Finance
Purchasing
Sales
Manage Job Supplies
Managing project supplies of items, services, and expenses is an integral and critical aspect of the execution of
all jobs. You can use inventory quantities or make job-specific purchases using purchase orders or purchase
invoices. For example, a service job on a computer requires a new disk. You create a purchase invoice to buy a
new disk and record the job that it will be used on.
If the purchase process does not require that the physical transaction be recorded separately, then a purchase
may be processed on the Job G/L Journal page. For more information, see To post a job-related expense.
To purchase items or services for a job

The following procedure shows how to use a purchase invoice to purchase products for a job. The same steps
apply when using a purchase order.
2. Choose the New action and fill in the fields as necessary. For more information, see Record Purchases.
3. In the Job No. and Job Task No. fields, select the information of the job that you want to purchase items
or services for. Use the personalization tools if a field is not visible. For more information, see Personalize
Your Workspace.
The value that you select in the Job Line Type field defines whether a planning line is created when you
post the usage of the item. If the field contains Billable , then job planning lines that are ready to be
invoiced to the customer are created. For more information, see Invoice Jobs.
To view the value of purchases for a job

2. Open a relevant job card.
On the Tasks FastTab, the Outstanding Orders field shows the total outstanding amount, in local
currency, of inventory items and services on purchase documents for the job task line.
The Amt. Rec. Not Invoiced field shows the value of items delivered on purchase documents, but not
yet invoiced.
3. Choose either of the fields to open the Purchase Lines page where you can review information about
the related purchase document lines, including which items or services have been received.
To post a job-related expense

If you incur extraordinary or one-time job expenses, you can use the Job G/L Journal page to post them
directly to the relevant job account.
1. Choose the icon, enter Job G/L Journals , and then choose the related link.
2. Create a new line and enter information about the expense, including information in the Job No. and Job
Task No fields.
3. When the journal is complete, choose the Post action.
See Also
Project Management
Finance
Purchasing
Sales
Understanding WIP Methods in Project
Management
expenses have been posted, your financial statement will be inaccurate.
To track the value in the general ledger, you can calculate WIP and post the value to the general ledger. For more
information, see Monitor Job Progress and Performance.
Business Central supports the following methods of calculating and recording the value of work in process.
W IP M ET H O D C A L C UL AT IO N F O RM UL A C A L C UL AT IO N DESC RIP T IO N
Cost Value Recognized Revenue = Billable Invoiced Cost value calculations start by
Price calculating the value of what has been
provided by taking a proportion of the
Estimated Total Costs = Billable Total estimated total costs based on
Price x Budget Cost Ratio percentage of completion. Invoiced
costs are subtracted by taking a
WIP Costs = (Percentage of proportion of the estimated total costs
Completion - Invoiced %) x Estimated based on the invoiced percentage.
Total Costs
This calculation requires that the
Percentage of Completion = Usage billable total price, budget total price,
Total Costs / Budget Total Costs and budget total costs be correctly
entered for the whole job.
Invoiced % = Billable Invoiced Price
Billable Total Price Recognized Costs =

Usage Total Costs - WIP
Cost of Sales Recognized Revenue = Billable Invoiced Cost of sales calculations begin by
Price calculating the recognized costs. Costs
are recognized proportionally based
Recognized Costs = Budget Total Cost on budget total costs.
x Invoiced Percentage
This calculation requires that the
Invoiced % = Billable Invoiced Price / billable total price and budget total
Billable Total Price costs be correctly entered for the
(Invoiced % exists as a column on job whole job.
task lines)
WIP Costs = Usage Total Costs –

Recognized Costs
W IP M ET H O D C A L C UL AT IO N F O RM UL A C A L C UL AT IO N DESC RIP T IO N
Sales Value Recognized Costs = Usage Total Costs Sales value calculations recognize
revenue proportionally based on
Recognized Revenue = Usage Total usage total costs and the expected
Price x Expected invoicing ratio cost recovery ratio.
Cost Recovery % = Billable Total Price / This calculation requires that the
Budget Total Price billable total price and budget total
price be correctly entered for the
WIP Sales = Recognized Sales - Billable whole job.
Invoiced Price
Percentage of Completion Recognized Costs = Usage Total Costs Percentage of completion calculations
recognize revenue proportionally
Recognized Revenue = Billable Total based on the percentage of
Price x Percentage of Completion completion, that is, usage total costs
vs. budget costs.
Percentage of Completion = Usage
Total Costs / Budget Total Costs This calculation requires that the
(Captured in the Cost Completion % billable total price and budget total
field on job task lines) costs be correctly entered for the
whole job.
WIP Sales = Recognized Sales - Billable
Invoiced Price
Completed Contract WIP Amount = WIP Cost Amount = Completed contract does not
Usage (Total Cost) recognize revenue and costs until the
job is complete. You may want to do
WIP Sales Amount = Billable (Invoiced this when there is high uncertainty
Price) around the estimates of costs and
revenue for the job.
All usage is posted to the WIP Costs

account (asset) and all invoiced sales
are posted to the WIP Invoiced Sales
account (liability) until the job is
complete.

See also
Project Management
Finance
Purchasing
Sales
expenses have been posted, your financial statement will be inaccurate. For more information, see
Understanding WIP Methods.
To track the value in the general ledger, you can calculate WIP and post the value to the general ledger.
You can calculate WIP based on the following:
Cost Value
Sales Value
Recognizable Cost
Percentage of Completion
Completed Contract
If you want to view the result using a different method, you can change the method and calculate WIP again.
There is no limit to the number of times that you calculate WIP. WIP is only calculated, it does not get posted to
the general ledger. After you have calculated WIP, you can post to the general ledger.
To create a job WIP method

You can create a job WIP method that reflects the needs of your organization. After you have created it, you can
set it as the default job WIP calculation method that will be used in your organization.
NOTE
After you have used your new method to create WIP entries, you cannot delete the method or modify it.
1. Choose the icon, enter Job WIP Methods , and then choose the related link.
3. Close the page.
4. To make this new method the default, choose the icon, enter Jobs Setup , and then choose the related link.
5. In the Default WIP Method field, choose the method from the list.
To define a WIP method for a job

When you create a new job, you must specify which job WIP method that applies. In some cases, which Job WIP
method that you can use has been set up for you as a default.
2. Choose the New action. For more information, see Create Jobs.
3. On the Job Card page, in the WIP Method field, select a WIP method from the list. If a default method has
been defined, you can select another option if needed.
To calculate WIP
You can determine the WIP amount that is to be posted to balance sheet accounts for the period end reporting.
You use the Job Calculate WIP batch job to do this.
1. Choose the icon, enter Job Calculate WIP , and then choose the related link.
NOTE
The batch job only calculates the WIP. It is not posted to the general ledger. To do so, you must run the Post WIP to G/L
batch job when you have calculated the WIP. For more information, see the following procedure.
To post WIP
When you have calculated WIP, you can post it to balance sheet accounts for the period end reporting. You use
the Job Post WIP to G/L batch job to do this.
1. Choose the icon, enter Job Post WIP to G/L , and then choose the related link.
To calculate and post job completion entries

When you have completed all activities for a job, including usage posting and invoicing, you must update the
job to have a Status of Completed . Then, you must reverse any WIP that has been posted to the general ledger.
2. Select an open job, and then choose the Edit action.
3. In the Status field, select Completed .
4. Follow the assistance steps to calculate and post WIP. Alternatively, follows steps 5 and 6 to do so
manually.
The job WIP entries created by running the batch job will have the Job Complete check box selected to
show that they are completion entries.
7. Choose the Job Post WIP to G/L action.
The job WIP general ledger entries created by running the batch job will have the Job Complete check
box selected to show they are completion entries.
To view job ledger entries

All job-related entries are recorded in job registers and are numbered sequentially, starting with 1. From the job
register, you can get an overview of all job ledger entries.
1. Choose the icon, enter Job Registers , and then choose the related link.
2. Select a relevant register, and then choose Job Ledger action.
On the Job Ledger Entries page you can review the entries that are associated with any job.

See also
Managing Projects
Finance
Purchasing
Sales
Invoice Jobs
During the project, job costs from resource usage, materials, and job-related purchases can accumulate. As the
job progresses, these transactions get posted to the job journal. It is important that all costs get recorded in the
job journal before you invoice the customer.
NOTE
You can also purchase external resources unrelated to a job, for example, to invoice a vendor for work delivered. For more
information, see Record Purchases.
You can invoice the whole job from the Job Task Lines page or only invoice selected billable lines from the
Planning Lines page. Invoicing can be done after the job is finished or at certain intervals during the job's
progress based on an invoicing schedule.
NOTE
If you select Billable in the Job Line Type field on the purchase documents for job-related purchases, then job planning
lines that are ready to be invoiced to the customer are created. For more information, see Manage Project Supplies.
You can also invoice a company that is not the end customer. Sometimes the party that a project is for is
different from the party that is paying the bill. On the Jobs page, you can specify the customer who will benefit
from the project in the Sell-to fields, and the party to invoice in the Bill-to fields.
To create multiple job sales invoices

You can create an invoice for a job or for one or more job tasks for a customer when either the work to be
invoiced is complete or the date for invoicing based on an invoicing schedule has been reached.
The following procedure shows how to use a batch job to invoice multiple jobs.
1. Choose the icon, enter Job Create Sales Invoice , and then choose the related link.
3. Set filters if you want to limit the jobs that the batch job will process.
4. Choose the OK button to create the invoices.
You can review and post created invoices in the Sales Invoices window.
NOTE
Alternatively, invoice a customer by selecting the job, and then choosing the Create Job Sales Invoice action.
To create and post job sales invoice from job planning lines
You can create an invoice from a job planning lines, and indicate at that time the quantity of the item, resource,
or general ledger account that you want to invoice.
2. Open a relevant job.
3. Select a job task for which the Job Task Type field contains Posting , and then choose the Job Planning
Lines action.
4. On a job planning line, in the Qty. To Transfer to Invoice field, enter the quantity of the item, resource,
general ledger account type that you want to invoice.
5. Choose the Create Sales Invoice action.
6. On the Job Create Sales Invoice page, enter the posting date and whether you want to create a new
invoice or append this invoice to an existing one.
8. On the Job Planning Lines page, choose the Sales Invoices/Credit Memos action.
The Sales Invoice page opens, showing the quantity that you have transferred to the invoice.
9. Make any additional changes, and then choose the Post action.
NOTE
The above procedure is similar for creating, reviewing, and posting a job-related sales credit memo.

See also
Managing Projects
Finance
Purchasing
Sales
The Fixed Assets functionality in Business Central provides an overview of your fixed assets and ensures correct
periodic depreciation. It also enables you to keep track of your maintenance costs, manage insurance policies,
post fixed asset transactions, and generate various reports and statistics.
For each fixed asset, you must set up a card containing information about the asset. You can set up buildings or
production equipment as a main asset with a component list, and you can group them in various ways, such as
by class, department, or location. Then you can begin to acquire, maintain, and sell the fixed assets. You can also
set up budgeted assets. This makes it possible to include any anticipated acquisitions and sales in reports.
To keep track of fixed asset depreciations as well as other financial transactions related to fixed assets, you set up
one or more depreciation books for each fixed asset in your company. Depreciation is done by running a report
to calculate periodic depreciation and fill in a journal with the resulting entries, ready to be posted. Business
Central supports several depreciation methods. For more information, see Depreciation Methods. You can set up
multiple depreciation books per fixed asset for different purposes, such as one for tax reporting and another for
internal reporting.
For each asset, you can record maintenance costs and the next service date. Keeping track of maintenance
expenses can be important for budgeting purposes and for making decisions about whether to replace a fixed
asset.
Each fixed asset can be attached to one or more insurance policies. You can therefore easily verify that insurance
policy amounts are in accordance with the value of the assets that are linked to the policy. This also makes it
easy to monitor annual insurance premiums.
NOTE
You can record fixed asset transactions on the Fixed Asset G/L Journal page or on the Fixed Asset Journal page,
depending on whether the transactions are for financial reporting or for internal management. Help for Fixed Assets only
describes how to use the Fixed Asset G/L Journal page. For more information, see Set Up Fixed Asset Depreciation.
Before you can begin to manage fixed assets, you must set up default values, fixed asset accounting, posting
groups, allocation keys, journals, and posting types. For more information, see Setting Up Fixed Assets.
TO SEE
Create fixed assets, assign depreciation methods, post Acquire Fixed Assets
acquisitions, salvage values, and print fixed asset lists.
Record service visits, post maintenance costs, and monitor Maintain Fixed Assets
maintenance costs.
Update insurance information, post acquisition costs to Insure Fixed Assets

insurance policies, modify insurance coverage, view insurance
statistics, and list insurance policies.
TO SEE
Reclassify fixed assets, transfer fixed assets to different Transfer, Split, or Combine Fixed Assets
locations, split up or combine assets.
Adjust values of fixed assets, post appreciation, and post Revalue Fixed Assets
write-down transactions.
Calculate depreciation, post depreciation, and analyze Depreciate or Amortize Fixed Assets
depreciation in fixed assets reports.
Post disposal transactions, view disposal ledger entries, and Dispose of or Retire Fixed Assets
post partial disposals.
Manage fixed asset budgets, budget acquisition costs, Manage Budgets for Fixed Assets
budget disposals of fixed assets, and budget depreciation.
Video Overview
The following video covers the basics of fixed assets.

See also
Setting Up Fixed Assets
Finance
Start a free trial!

Fixed Assets Reports and Analytics in Business
Central
To help you manage your fixed assets in Business Central, standard reports and analytics are built in. It moves
beyond traditional reporting constraints to help you efficiently design various types of reports.
Reports
The following table describes some of the key reports in fixed assets reporting.
Fixed Asset List Shows the list of fixed asset and their 5601
setup info for a given depreciation
book.
Fixed Asset - Acquisition List List all assets acquired within a given 5608
date range. You can also include fixed
assets that are created but not yet
acquired.
Fixed Asset Details Shows the fixed asset ledger entries for 5604
fixed assets.
Fixed Asset Analysis An analysis report where you can 5600

specify two date columns and three
data columns to see in the report. For
example, to generate a report to use
for reconciling with the general ledger,
add columns for acquisition cost at
ending date, depreciation at ending
date, and book value at ending date. A
check report could have
acquisitions/net change, write-
down/net change, and
Appreciation/net change, so every
change to fixed asset can be checked if
necessary. If you select the Budget
Repor t field and specify an ending
date in the future, the report will
calculate the future depreciation and
can give estimates for future
depreciation and book values, if you
selected those fields as report
columns.
Fixed Asset Projected Value Shows the projected depreciation 5607

amounts and book value for a future
period for assets. The report is useful
when you are using different
depreciation methods for your assets
and want to estimate next year's
depreciation, for example. Use the
report to create the budget amounts
for depreciation by selecting a budget
and the Copy to G/L Budget field.
Fixed Asset Book Value 01 Shows detailed information about 5605

acquisition cost, depreciation value,
and book value for both individual
assets and groups of assets. For each
of these three amount types, amounts
are calculated at the beginning and at
the end of a specified period and for
the period itself. If you select the
Budget Repor t field, the report will
calculate the expected depreciation for
the period. Enter a group type if you
want the report to group the fixed
assets and print group totals. For
example, if you have set up six FA
classes, select the FA Class option to
have group totals printed for each of
the six class codes.
Fixed Asset Book Value 02 Shows the breakdown of fixed asset 5606
book value by changes in acquisition,
depreciation, and appreciation within
the period with a further breakdown
by additions and disposals within the
period. Use this report to describe the
changes in fixed assets for a given
period when many different changes
occur across the grouping of fixed
assets. If you select the Budget
Repor t field, the report will calculate
the expected depreciation for the
period. Enter a group type if you want
the report to group the fixed assets
and print group totals. For example, if
you have set up six FA classes, select
the FA Class option to have group
totals printed for each of the six class
codes.
Fixed Asset G/L Analysis Shows an analysis of your fixed assets 5610
(FA) with various types of data for
individual assets and/or groups of
assets. On the Fixed Assets FastTab,
you can set filters if you want the
report to include only certain fixed
assets. On the Options FastTab, tailor
the report to meet your specific needs.
The report is similar to the Fixed
Asset Analysis report, but specifically
for reconciling to the general ledger
and specifically for validating the
disposal entries. The report assumes
that you know the G/L accounts that
are specified in the posting setup.
Fixed Asset Register Shows posted fixed asset ledger entries 5603
that are sorted and divided by register
number. You can determine which
registers' entries are shown by setting
a filter. It is important to set a filter;
otherwise, the report may show a very
large amount of information.
See also
Acquire Fixed Assets
For each fixed asset, you must set up a card containing information about the asset. You can set up buildings or
production equipment as a main asset with a component list, and you can group them in various ways, such as
by class, department, or location. A depreciation book must be set up and assigned to each fixed asset before
you can acquire it.
When a fixed asset is set up and a depreciation book assigned, you must acquire the fixed asset. To acquire a
fixed asset, you record its acquisition cost in the relevant G/L account, bank account, or vendor by posting an
acquisition transaction from the Fixed Asset G/L Journal page. You can use the Assisted Fixed Asset
Acquisition page to create and post the required general journal lines automatically.
The salvage value is the residual value of a fixed asset when it can no longer be used. You can post the salvage
value at the same time as you post the acquisition cost. For more information, see Depreciate or Amortize Fixed
Assets.
Indexation is used to adjust values for general price-level changes. The Index Fixed Assets batch job can be
used to calculate the acquisition costs at replacement costs.
To create a fixed asset and acquire it automatically

The following procedure describes how to create a fixed asset and then acquire it by using the Assisted Fixed
Asset Acquisition page to create and post the required fixed asset G/L journal lines. You can also create and
post the journal lines manually. For more information, see To post a fixed asset acquisition manually with the
fixed asset G/L journal.
1. Choose the icon, enter Fixed Assets , and then choose the related link.
2. Choose the New action, and then fill in the fields on the General FastTab as necessary. Hover over a field
to read a short description.
3. On the Depreciation Book FastTab, fill in the fields as necessary. This step assigns a depreciation book
to the fixed asset.
4. If you need to assign more than one depreciation book to the fixed asset, choose the Add More
Depreciation Books action. For more information, see To assign a depreciation book to a fixed asset.
When all fields required to acquire a fixed asset are filled in, the You are ready to acquire the fixed
asset. Acquire notification appears at the top of the page.
5. Choose the Acquire action in the notification.
6. Follow the steps on the Assisted Fixed Asset Acquisition page to complete the automatic acquisition
of the fixed asset.
NOTE
You can also post acquisition cost as credits. In that case, remember that the value in the Acquisition Cost Incl. VAT
field must be with a minus sign to indicate a credit.
When you choose Finish , the Book Value field on the Fixed Asset Card page is filled, indicating that the fixed
asset has been acquired at the specified acquisition cost.
To set up a component list for a main asset
You can group your fixed assets into main assets and their components. For example, you may have a
production machine that consists of many parts that you want to group in this manner.
Both the main asset and all its components must be set up as individual fixed asset cards. After you have set up
a component list, Business Central automatically fills in the Main Assets/Component and Components of
Main Asset fields on the fixed asset cards.
2. Select the fixed asset that is the main asset, and then choose the Main Asset Components action.
3. On the Main Asset Components page, choose the FA No . field, and then select the fixed asset that you
want to add as a component of the main asset.
4. Close the page.
5. Repeat steps 3 and 4 for each component asset that you want to add.
6. Choose the icon, enter Fixed Asset Setup , and then choose the related link.
7. Select the Allow Posting to Main Assets check box.
To post a fixed asset acquisition manually with the fixed asset G/L
journal
The following procedure describes how to acquire a fixed asset manually by creating and posting lines on the
Fixed Asset G/L Journal page. You can also acquire a fixed asset automatically by using the Assisted Fixed
Asset Acquisition page. For more information, see step 5 in To create a fixed asset and acquire it automatically.
NOTE
You can also post acquisition cost as credits. In that case, remember that the value in the Amount field must be with a
minus sign to indicate a credit.
1. Choose the icon, enter FA G/L Journals , and then choose the related link.
2. On the Fixed Asset G/L Journal page, in the FA Posting Type field, select Acquisition Cost .
3. Fill in the remaining fields as necessary.
TIP
If you fill in the Insurance No. field in the fixed asset G/L journal when you post an acquisition cost, then Business
Central will also post the acquisition cost of the fixed asset to the insurance coverage ledger. For more information, see
Insure Fixed Assets.
To cancel an acquisition cost posting for one fixed asset

If you make an error when posting an acquisition cost, you can remove the entry with the Cancel FA Entries
batch job and then post the correct acquisition entry. The erroneous entries are transferred to the FA Error
For example, if you post an acquisition with the wrong date, you must correct it as soon as possible because the
fixed asset posting date is used for many calculations.
IMPORTANT
You cannot use the Reverse Transactions function for fixed asset entries.
1. Choose the icon, enter FA Ledger Entries , and then choose the related link.
2. In the FA Ledger Entries page, select the entry or entries that you want to cancel.
3. Choose the Actions menu, and then choose the Cancel Entries action.
5. Choose the OK button to run the batch job.
6. When the incorrect entry or entries are canceled, proceed to post the correct acquisition cost.
To post the salvage value together with the acquisition cost

You can post the salvage value together with the acquisition cost from a fixed asset journal.
NOTE
This process might require that you personalize the Fixed Asset Journals page by adding the Salvage Value field. By
default, the field is not displayed on the page. For more information, see Personalize Your Workspace.
1. Choose the icon, enter Fixed Asset Journals , and then choose the related link.
2. On the Fixed Asset Journals page, create the acquisition line. For more information, see To post a fixed
asset acquisition manually with the fixed asset G/L journal.
3. In the Salvage Value field on the journal line, enter the salvage value amount as a credit (prefix the amount
with a minus sign, for example, - 100).
NOTE
If a salvage value exists for a fixed asset, then that value will be used in depreciation posting instead of the value in the
Ending Book Value field on the FA Depreciation Books page. For more information, see To manage the ending book
value.

See also
Fixed Assets
Finance
Maintenance expenses are routine periodic costs undertaken to preserve the value of fixed assets. Unlike capital
improvements, they do not increase values.
You can record and maintain an up-to-date file on maintenance and service of your fixed assets to have
complete maintenance records on a fixed asset easily accessible. Each time a fixed asset is sent to service, you
record all relevant information such as date of service, vendor number and service agent's phone number.
Maintenance registration is recorded for each fixed asset from the relevant fixed asset card.
Indexation is used to adjust values for general price-level changes. The Index Fixed Assets batch job can be
used to recalculate the maintenance costs.
To record maintenance work on a fixed asset

Every time maintenance has been performed, such as a service visit, you can record it for the relevant fixed asset
on the Maintenance Registrations page.
2. Select the fixed asset that you want to record maintenance for, and then choose the Maintenance
Registration action.
3. On the Maintenance Registration page, fill in the fields as necessary. Hover over a field to read a short
description.
To post maintenance costs from a fixed asset G/L journal

1. Choose the icon, enter Depreciation Book List , and then choose the related link.
2. Select the depreciation book that is assigned to the fixed asset, and then choose the Edit action.
3. On the Depreciation Book Card page, make sure the Maintenance check box is not selected. This
ensures that maintenance costs are not posted to the general ledger.
5. Create an initial journal line and fill in the fields as necessary.
6. In the FA Posting Type field, select Maintenance .
7. Choose the Inser t FA Bal. Account action. A second journal line is created for the balancing account
that is set up for maintenance posting.
NOTE
Step 7 only works if you have set up the following: On the FA Posting Group Card page for the posting group
of the fixed asset, the Maintenance Account field contains the general ledger debit account and the
Maintenance Bal. Account field contains the general ledger account to which you want to post balancing
entries for appreciation. For more information, see To set up fixed asset posting groups.

To follow up on fixed assets service visits
You can print the Maintenance - Next Ser vice report to see which assets you have scheduled a service visit
for. You can also use this report when you are updating the Next Ser vice Date field on fixed asset cards.
1. Choose the icon, enter Maintenance Next Ser vice , and then choose the related link.
2. Fill in the Star ting Date and Ending Date fields.
3. Choose the Print or Preview button.
To monitor maintenance costs

You can view the maintenance costs when you look at the statistics of a fixed asset.
2. Select the fixed asset you want to view maintenance costs for, and then choose the Depreciation Books
action.
3. On the FA Depreciation Books page, select the relevant fixed asset depreciation book, and then choose the
Statistics action.
4. On the Fixed Asset Statistics page, choose the Maintenance field.
The Maintenance Ledger Entries page opens showing the entries that make up the amount in the
Maintenance field.
To view or print maintenance costs for multiple fixed assets

In the Maintenance - Analysis report, you can select to see maintenance based on one, two, or three
maintenance codes for a specified date or period. You can see the total of all selected assets or a total for each
asset.
1. Choose the icon, enter Maintenance Analysis , and then choose the related link.
To view maintenance ledger entries

You can also study maintenance costs by viewing the maintenance ledger entries.
2. Select the fixed asset that you want to view ledger entries for, and then choose the Depreciation Books
action.
3. On the FA Depreciation Books page, select the relevant fixed asset depreciation book, and then choose the
Maintenance Ledger Entries action.
To view or print maintenance ledger entries for multiple fixed assets

In the Maintenance - Details report, you can view or print maintenance ledger entries for one or many fixed
assets.
1. Choose the icon, enter Maintenance Details , and then choose the related link.

See also
Fixed Assets
Finance
Insure Fixed Assets
An insurance policy for a fixed asset is represented by an insurance card. You can assign one fixed asset to one
insurance policy or multiple fixed assets to one insurance policy.
You assign a fixed asset to an insurance policy by posting to the insurance coverage ledger from the Insurance
Journal page.
In addition, you can assign a fixed asset to an insurance policy and create coverage ledger entries when you post
its acquisition cost. You do this by posting an acquisition cost from the fixed asset journal with the Insurance
No. field filled in. The Automatic Insurance Posting check box on the Fixed Asset Setup page must be
selected. For more information, see To post a fixed asset acquisition manually with the fixed asset G/L journal.
If the Automatic Insurance Posting check box on the Fixed Asset Setup page is not selected, then posting
acquisitions from the fixed asset journal will create lines on the Insurance Journal page, which you must then
post manually.
WARNING
If you do not select the Automatic Insurance Posting check box on the Fixed Asset Setup page, then your
insurance journal should be based on a journal template without a number series. This is because the inserted document
numbers from the fixed asset journal line will otherwise conflict with the number series of the insurance journal. For more
information about journal templates and batches, see Set Up General Fixed Assets Information.
After you have assigned a fixed asset to an insurance policy, the Insured check box is selected on the fixed asset
card. When you sell the fixed asset, the check box is automatically deselected.
To create or modify an insurance card

An insurance policy for a fixed asset must be represented by an insurance card.
When you receive information about changes in the coverage amount, you must enter the new information on
the Insurance Card page to ensure that you analyze insurance policy coverage correctly.
1. Choose the icon, enter Insurance , and then choose the related link.
2. Choose the New action to create a new card for an insurance policy. Hover over a field to read a short
description.
3. Alternatively, select the insurance policy that you want to change, and then choose the Edit action.
To assign a fixed asset to an insurance policy by posting from the

insurance journal
You assign a fixed asset to an insurance policy by posting to the insurance coverage ledger.
The following procedure explains how to create an insurance journal line manually. If the Automatic Insurance
Posting check box is selected on the FA Setup page, then insurance journal lines are automatically created
when you post acquisition costs. In that case, all you have to do is to post the journal.
1. Choose the icon, enter Insurance Journals , and then choose the related link.
2. Open the relevant journal, and fill in the journal lines as necessary.
3. To assign multiple fixed assets to one insurance policy, create journal lines with the same value in the
Insurance No. field and different values in the FA No. field.
NOTE
The entries from an insurance journal are only posted to the insurance coverage ledger.
To update the insurance value of a fixed asset

You can use the Index Insurance batch job to update the value of the fixed assets that are covered.
1. Choose the icon, enter Index Insurance , and then choose the related link.
NOTE
In the Index Figure field, you enter a decrease of 5%, for example, as 95, whereas you enter an increase of 2% as
102.

The batch job calculates the new amount as a percentage of the total value insured, as stated on the
Insurance Statistics page, and then creates a line in the insurance journal.
5. Open the relevant insurance journal, review the created values, and then post them to the insurance
coverage ledger.
To monitor insurance coverage

Business Central provides dedicated reports and statistics pages for use in analyzing insurance policies and
whether your fixed assets are over- or under-insured.
Overview of Insurance Policies
To get an overview of your insurance policies, preview or print the Insurance - List report. The report shows
all the policies and the most important fields from the insurance cards.
Insurance Coverage
To see which insurance policies cover each asset and by which amount, you can preview or print the Insurance
- Tot. Value Insured report.
Over/Under Coverage
You can check if fixed assets are over- or under-insured in the following ways:
The Insurance Statistics page. A positive amount in the Over/Under Insured field means that the fixed
asset is over-insured. A negative amount means that it is underinsured.
The Fixed Asset Statistics page. Choose the Total Value Insured field to view the Ins. Coverage Ledger
Entries page.
The Over/Under Coverage report.
The Insurance Analysis report.
Uninsured Fixed Assets
To check if you have forgotten to assign a fixed asset to an insurance policy, you can print or preview the
Insurance - Uninsured FAs report. This report displays fixed assets for which amounts have not been posted
to the insurance coverage ledger.
To view insurance coverage ledger entries

You can view the entries that you have made in the insurance coverage ledger.
2. Select the relevant insurance policy, and then choose the Coverage Ledger Entries action.
To view the total insurance value of fixed assets

A dedicated matrix page shows the insurance values that are registered for each insurance policy for each fixed
asset as a result of insurance-related amounts that you have posted.
2. Select the relevant insurance policy, and then choose the Total Value Insures per FA action.
4. Choose the Show Matrix action.
5. To see the underlying insurance coverage ledger entries, choose a value in the matrix.
To correct insurance coverage entries

If a fixed asset has been attached to the wrong insurance policy, you can correct it by creating two
reclassification entries from the insurance journal.
2. Create one journal line for the fixed asset and the correct insurance policy where the value in the Amount
field is positive.
3. Create another journal line for the fixed asset and the incorrect insurance policy where the value in the
Amount field is negative.
The fixed asset will be detached from the incorrect insurance policy, on the second line, and attached to the
correct insurance policy, on the first line.
See Also
Fixed Assets
Finance
Transfer, Split, or Combine Fixed Assets
You use the fixed asset reclassification journal to transfer, split up, and combine fixed assets. You view or print
the results of fixed asset reclassification with the Fixed Asset-Book Value 02 report.
To transfer a fixed asset to a different department

You may need to transfer a fixed asset to a different department when, for example, you place an asset in the
production department while it is under construction and then move it to the administration department when
it is finished.
1. Set up a new fixed asset. Enter the new department as a dimension.
2. Assign a fixed asset depreciation book to the new fixed asset. For more information, see Acquire Fixed
Assets.
3. Choose the icon, enter Fixed Asset Reclassification Journals , and then choose the related link.
4. Create a journal line where the FA No. field contains the original fixed asset, and the New FA No. field
contains the new fixed asset to be moved. Fill in the other fields as appropriate.
5. Choose the Reclassify action.
Two lines are now created in the fixed asset G/L journal using the template and batch that you have
specified on the FA Journal Setup page for the specified depreciation book. For more information, see
Set Up Fixed Asset Depreciation.
7. On the Fixed Asset G/L Journal page, choose the Post action to post the reclassification that you
performed in steps 4 and 5.
If you have posted an acquisition cost for one asset, you can use the fixed asset reclassification journal to split
the acquisition cost among several assets.
To split a fixed asset into three fixed assets

You can split one fixed asset into multiple fixed assets, for example when you need to distribute a fixed asset
onto three different departments. In that case, you can move, for example, 25 percent of the acquisition cost and
depreciation for the original fixed asset to the second fixed asset and 45 percent to the third asset. The
remaining 30 percent will remain on the original fixed asset.
1. Set up two new fixed assets. Enter the relevant departments as dimensions.
2. Assign fixed asset depreciation books to the new fixed assets. For more information, see Acquire Fixed
Assets.
4. Create two reclassification journal lines, one for each new fixed asset.
5. On the first line, enter the second fixed asset in the New FA No. field and 25 in the Reclassify Acq.
Cost % field.
6. On the second line, enter the third fixed asset in the New FA No. field and 40 in the Reclassify Acq.
Cost % field.
7. On both lines, select the Reclassify Acquisition Cost and Reclassify Depreciation check boxes.
specified on the FA Journal Setup page for the specified depreciation book. For more information, see
Set Up Fixed Asset Depreciation.
performed in steps 4 through 8.
To combine two fixed assets into one

You can combine multiple fixed assets into one fixed asset, for example when you move distributed fixed assets
into one department. If you have posted acquisition costs and depreciation for the fixed asset to be moved,
those values will be combined in the single fixed asset.
2. Create a reclassification journal where the FA No. field contains the fixed asset to be moved/combined,
and the New FA No. field contains the fixed asset that it will be combined with.
3. Leave the Reclassify Acq. Cost % field empty to move/combine the entire acquisition cost.
4. Select the Reclassify Acquisition Cost and Reclassify Depreciation check boxes.
specified on the Fixed Asset Journal Setup page for the specified depreciation book. For more
information, see Set Up Fixed Asset Depreciation.
6. Choose the icon, enter Fixed Asset G/L Journals , and then choose the related link.
performed in steps 2 through 5.
To view changed depreciation book values due to fixed asset

reclassification
1. Choose the icon, enter Fixed Asset Book Value 02 , and then choose the related link.

See also
Fixed Assets
Finance
Revalue Fixed Assets
Revaluation of fixed assets can consist of appreciations, write-downs, or general value adjustments.
When the value of a fixed asset has increased, you post a journal line with a higher amount, an appreciation, to
the depreciation book. The new amount is recorded as an appreciation according to the fixed asset posting
setup.
When the value of a fixed asset has decreased, you post a journal line with a lower amount, a write-down, to the
depreciation book. The new amount is recorded as a write-down according to the fixed asset posting setup.
Indexation is used to adjust multiple fixed asset values, for example per general price changes. The Index Fixed
Assets batch job can be used to change various amounts, such as write-down and appreciation amounts.
To post an appreciation from the fixed asset G/L journal

3. In the FA Posting Type field, select Revaluation .
that is set up for appreciation posting.
NOTE
of the fixed asset, the Appreciation Account field contains the general ledger debit account and the
Appreciation Bal. Account field contains the general ledger account to which you want to post balancing
entries for appreciation. For more information, see To set up fixed asset posting groups.
To post a write-down from the fixed asset G/L journal

2. Create an initial journal line, and fill in the fields as necessary.
3. In the FA Posting Type field, select Write-Down .
that is set up for write-down posting.
NOTE
of the fixed asset, the Write-Down Account field contains the general ledger credit account and the Write-
Down Expense Account field contains the general ledger debit account to which you want to post balancing
entries for write-downs. For more information, see To set up fixed asset posting groups.
To perform general revaluation of fixed assets

Indexation is used to adjust multiple fixed asset values, for example per general price changes. The Index Fixed
Assets batch job can be used to change various amounts, such as write-down and appreciation amounts. The
Allow Indexation check box on the Depreciation Book page must be selected.
1. Choose the icon, enter Index Fixed Assets , and then choose the related link.
Revaluation lines are created per your settings in step 2. The lines are created in either the fixed asset
journal or the fixed asset G/L journal, depending on your template and batch setup on the FA Journal
Setup page. For more information, see Set Up General Fixed Asset Information.
5. Select the journal with the fixed assets that you want to revalue, and then choose the Ledger Entries
action.
6. Check the created entries, and then choose the Post action to post the journal.
TIP
If the index figures are for simulation purposes only, you can create a special depreciation book to store them in.
Then these entries will not affect any of the other depreciation books.
To post additional acquisition costs

You post additional acquisition cost for a fixed asset in the same way as you post the original acquisition cost:
from a purchase invoice or from a fixed asset journal. For more information, see Acquire Fixed Assets.
If depreciation has already been calculated for the fixed asset, select the Depr. Acquisition Cost check box to
have the additional acquisition cost less the salvage value depreciated in proportion to the amount by which the
previously acquired fixed asset has already been depreciated. This ensures that the depreciation period is not
changed.
The depreciation percentage is calculated as:
P = (total depreciation x 100) / depreciable basis
Depreciation amount = (P/100) x (extra acquisition cost - salvage value)
Remember to select the Depr. until FA Posting Date check box on the invoice, the fixed asset G/L journal, or
the fixed asset journal lines to ensure that depreciation is calculated from the last fixed asset posting date to the
posting date of the additional acquisition cost.
Example - Posting Additional Acquisition Costs
A machine is purchased on August 1, 2000. The acquisition cost is 4,800. The depreciation method is straight-
line over four years.
On August 31, 2000, the Calculate Depreciation batch job is run. Depreciation is calculated as:
book value x number of depreciation days / total number of depreciation days = 4800 x 30 / 1440 = 100
On September 15, 2000, an invoice is posted for painting the machine. The invoice amount is 480.
If you selected the Depr. until FA Posting Date check box on the invoice before posting, the following
calculation is made:
15 days of depreciation (from 09/01/00 to 09/15/00) is calculated as:
book value x number of depreciation days / remaining number of depreciation days = (4800 - 100) x 15 / 1410
= 50
If you selected the Depr. Acquisition Cost check box on the invoice before posting, the following calculation is
made:
The additional acquisition cost is depreciated by ((150 x 100) / 4800) / 100 x 480 = 15
The depreciable basis is now 5280 = (4800 + 480), and the accumulated depreciation is 165 = (100 + 50 + 15),
corresponding to 45 days of depreciation of the total acquisition cost. This means that the asset will be totally
depreciated within the estimated lifetime of four years.
When the Calculate Depreciation batch job is run on 09/30/00, the following calculation is made:
Remaining depreciable life is 3 years, 10 months and 15 days = 1395 days
Book value is (5280 - 165) = 5115
Depreciation amount for September 2000: 5115 x 15 / 1395 = 55.00
Total of depreciation = 165 + 55 = 220
If you did not select the Depr. until FA Posting Date check box, the asset would lose 15 days of depreciation
because the Calculate Depreciation batch job run on 09/30/00 would calculate depreciation from 09/15/00
to 09/30/00. This means that when the Calculate Depreciation batch job is run on 09/30/00, the calculation is
as follows:
Remaining life time is 3 years, 10 months and 15 days = 1395 days
Book value is (4800 + 480 - 100 - 15) = 5165
Depreciation amount for September 2000: 5165 x 15 / 1395 = 55.54
Total of depreciation = 100 + 15 + 55.54 = 170.54

See also
Fixed Assets
Finance
Depreciate or Amortize Fixed Assets
Depreciation is used to allocate the cost of fixed assets, such as machinery and equipment, over their
depreciable life. For each fixed asset, you must define how it will be depreciated.
There are two ways to post depreciation:
Automatically, by running the Calculate Depreciation batch job.
Manually, by using the fixed asset G/L journal.
Business Central can calculate daily depreciation, which allows you to calculate depreciation for any period. You
can therefore analyze current operating results on, for example, a monthly, quarterly, or annual basis. The
calculation uses a standard year of 360 days and a standard month of 30 days. For more information, see
Depreciation Methods.
If several departments use a fixed asset, periodic depreciation can be automatically allocated to these
departments according to a user-defined allocation table.
You can cancel incorrect depreciation entries by using the Cancel FA Ledger Entries batch job. Afterward, you
can post the correct amount by running the Calculate Depreciation batch job again. The errors you correct
are posted as fixed asset error ledger entries.
Indexation is used to adjust values for general price-level changes. You can use the Index Fixed Assets batch
job to recalculate the depreciation amounts.
To calculate depreciation automatically

Once a month, or whenever you choose, you can run the Calculate Depreciation batch job. The batch job
ignores fixed assets that have been sold, are blocked or inactive, or use the manual depreciation method.
1. Choose the icon, enter Calculate Depreciation , and then choose the related link.
The batch job calculates the depreciation and creates lines in the fixed asset G/L journal.
On the Fixed Asset G/L Journal page, in the No. of Depreciation Days field, you can see how many
days of depreciation have been calculated.
NOTE
Known limitation: If you set the Use Force No. of Days field to Yes, and the Force No. of Days field is set to a value
where Posting Date minus Number of Days results in a date in the previous calendar year, the system will not let you
post the depreciation. You can avoid it by reducing the Force No. of Days field to no more than than the calculated
days until posting date using 30days/month OR set the flag Fiscal Year 365 Days in the Depreciation Book. We
recommend the first option as you may not want to change the use of 30days/months for depreciation. For more
information, see Fiscal Year 365 Days Field Depreciation.
To post depreciation manually from the fixed asset G/L journal
1. Choose the icon, enter Fixed Asset G/L Journal , and then choose the related link.
3. In the FA Posting Type field, select Depreciation .
4. Choose the Inser t FA Bal. Account action. A second journal line is created for the balancing account that is
set up for depreciation posting. For more information, see To set up fixed asset posting groups.
5. Choose the Post action to post the journal.
The Book Value field on the Fixed Asset Card page is updated accordingly.
If you have set up fixed asset allocation keys to allocate amounts to different departments or projects, the
amounts are allocated during posting. For more information, see Set Up General Fixed Assets Information.
To manage the ending book value

In the Ending Book Value field on the FA Depreciation Books page, you can specify the book value that you
want your fixed asset to have in the current depreciation book after it has been fully depreciated. You can do this
manually or you can fill in the Default Ending Book Value field on the related Depreciation Book page,
which will then be used to automatically fill the field.
NOTE
If the last depreciation means that the Book Value field on the Fixed Asset Card page is zero, the last depreciation is
automatically reduced by this amount.
If the value in the Book Value field is greater than zero after the last depreciation, for example because of a rounding
problem or because a salvage value exists, the value in the Ending Book Value field on the FA Depreciation Books
page is ignored. For more information, see To post the salvage value together with the acquisition cost.
To calculate allocations in the fixed asset G/L journal

If a fixed asset is used by several departments, periodic depreciation can be automatically allocated to these
departments according to a user-defined allocation table.
2. Create an initial line and fill in the fields as necessary.
3. In the FA Posting Type field, select Allocation .
4. Choose the Inser t FA Bal. Account action. A second journal line is created for the balancing account that is
set up for allocation posting.
Use duplication lists to prepare to post to multiple depreciation books

When you fill in journal lines to post to a depreciation book, you can duplicate the lines in a separate journal so
you can post to a different depreciation book. For more information, see To post entries to different depreciation
books.
1. Choose the icon, enter Depreciation Books , and then choose the related link.
2. Open the depreciation book, and then select the Par t of Duplication List check box.
IMPORTANT
If you have selected the Use Duplication List field, do not use number series on the journal. The reason is that the
number series for the fixed asset G/L journal does not the number series for the fixed asset journal.
To post entries to different depreciation books

2. In the journal that you want to post depreciation with, select the Use Duplication List check box.
3. Fill in the remaining fields as necessary.
5. Choose the icon, enter FA Journals , and then choose the related link.
NOTE
The Fixed Asset Journal page contains new lines for different depreciation books according to the duplication
list.
6. Review or edit the lines, and then choose the Post action.
NOTE
Another way to duplicate an entry in a separate book is to enter a depreciation book code in the Duplicate in
Depreciation Book field when you fill in a journal line.
You can copy entries from one depreciation book to another by using the Copy Depreciation Book batch job.
The batch job creates journal lines in the journal batch that you have specified on the FA Journal Setup page
for the depreciation book that you want to copy to. For more information, see the following procedure.
To copy fixed asset ledger entries between depreciation books

2. Open the relevant depreciation book card, and then choose the Copy Depreciation Book action.
3. On the Copy Depreciation Book page, fill in the fields as necessary.
The copied lines are created in either the fixed asset G/L journal or the fixed asset journal, depending on whether
the depreciation book that you are copying has integration to the general ledger.

See also
Fixed Assets
Finance
Dispose of or Retire Fixed Assets
When you sell or otherwise dispose of a fixed asset, the disposal value must be posted to calculate and record
the gain or loss. A disposal entry must be the last entry posted for a fixed asset. For partially disposed fixed
assets, you can post more than one disposal entry. The total of all posted disposal amounts must be a credit
amount.
NOTE
If you trade-in a fixed asset for another one, you must record both the sale of the old asset (disposal) and the purchase of
the new one (acquisition). For more information, see Acquire Fixed Assets.
The following steps assume that you have already set up the relevant posting groups in the FA Posting
Groups page. For more information, see To set up fixed asset posting groups.
To post a disposal from the fixed asset G/L journal

1. Choose the icon, enter Fixed Asset G/L Journals , and then choose the related link.
2. Create an initial journal line and fill in the fields as necessary. Hover over a field to read a short
description.
3. In the FA Posting Type field, select Disposal .
that is set up for disposal posting.
NOTE
of the fixed asset, the Disposal Account field contains the general ledger debit account and the Disposal Bal.
Account field contains the general ledger account to which you want to post balancing entries for appreciation.
For more information, see To set up fixed asset posting groups.

If you sell or dispose of part of a fixed asset, you must split up the asset before you can record the disposal
transaction. For more information, see Transfer, Split, or Combine Fixed Assets.
To view disposal ledger entries

When you sell or dispose of a fixed asset, the disposal value is posted to the general ledger where you can view
the result.
2. Select the fixed asset that you want to view entries for, and then choose the Depreciation Books action.
3. Select the depreciation book that you want to view entries for, and then choose the Ledger Entries action.
4. Select a line with Disposal in the FA Posting Categor y field, and then choose the Find Entries action.
5. On the Find Entries page, select the general ledger entry line, and then choose the Show Related Entries
action.
The General Ledger Entries page opens where you can see the entries that the disposal posting resulted in.

See also
Fixed Assets
To set up fixed asset posting groups.
Finance
Find Entries
Manage Budgets for Fixed Assets
You can set up budgeted fixed assets. For example, this lets you include anticipated acquisitions and sales in
reports.
To prepare your budgeted income statement, budgeted balance sheet, and cash budget, you need information
about future investments, disposals and depreciation of fixed assets. You can get this information from the
Fixed Asset - Projected Value report. Before you print this report, you must prepare the budget.
To budget the acquisition cost of a fixed asset

To prepare a budget, you have to set up fixed asset cards for fixed assets that you intend to buy in the future. The
budget fixed assets are set up as ordinary fixed assets, but it must be set up to not post to the general ledger.
When you post the acquisition cost, you enter the number of the budgeted fixed asset in the Budgeted FA No.
field. This will post an acquisition cost with an opposite sign for the budgeted asset. This means that the total
acquisition cost on the budgeted asset is the difference between the budgeted and the actual acquisition cost.
2. Choose the New action to create a new fixed asset card for the budgeted fixed asset.
3. Select the Budgeted Asset check box to prevent posting to the general ledger.
4. Fill in the remaining fields, assign a depreciation book, and then post the first acquisition cost with the
budgeted fixed asset entered in the Budgeted FA No. field on the journal line. For more information, see
Acquire Fixed Assets.
To budget the disposal of a fixed asset

If you plan to sell assets within the budget period, you can enter information about sales price and sales date.
2. Select the fixed asset to be disposed of, and then choose the Depreciation Books action.
3. On the FA Depreciation Books page, fill in the Projected Disposal Date and Projected Proceeds on
Disposal fields. Hover over a field to read a short description.
To view projected disposal values

To see the projected disposal values and have the gain and loss calculated, you can use the FA Projected Value
report.
1. Choose the icon, enter FA Projected Value , and then choose the related link.
To budget depreciation
You can use the Fixed Asset - Projected Value report to calculate future depreciation. The report shows the
book value and accumulated depreciation at the start of the selected period, changes during the period, and the
book value and accumulated depreciation at the end of the selected period.
1. Choose the icon, enter Fixed Asset Projected Value , and then choose the related link.
3. To see total values for all assets, clear the Print per Fixed Asset check box.
4. Leave the Fixed Asset FastTab blank to have all assets included. In the Budgeted Asset field, enter No to
exclude budgeted assets or Yes to see budgeted assets only.

See also
Fixed Assets
Finance
The Troubleshooting FA Ledger Entries Extension
Use the Troubleshooting FA Ledger Entries extension to round depreciation and acquisition amounts in fixed
asset ledger entries to whole numbers. For example, to round an amount of 30,000.44 to 30,000. Typical causes
of rounding issues are data migration, suddenly starting to post amounts to the general ledger, or
customizations you've made to your Business Central.
The Troubleshooting FA Ledger Entries extension is pre-installed and ready to go. If you remove the extension,
but want to install it again, you can find it on AppSource.
Troubleshooting Fixed Asset Ledger Entries

When you open the Fixed Asset Card page for the first time, the FA Ledger Entries Scan job queue entry is
scheduled to monitor amounts every Sunday. If it finds amounts that you might want to round, a notification
will display the next time you open the Fixed Asset Card page. The notification provides a See more option that
opens the FA Ledger Entries with Rounding Issues page, which lists the entries with amounts that you
might want to round. To round the amounts, choose the entries, and then choose the Accept Selection action.
You can use the Find entries with issues action to update the list with new issues that occurred after the job
queue entry ran on the previous Sunday.
See Also
Fixed Assets
Customizing Business Central Online Using Extensions
Finance
Managing Relationships
The relationship management features of Business Central help you manage and support your sales efforts.
With these features, you have access to complete and accurate information so you can focus your interactions
on preferred customer/contact segments.
Good sales and marketing practices are all about how to make the best decisions at the right time. Business
Central provides a precise and timely overview of your contact information so that you can serve your
prospective customers more efficiently and increase customer satisfaction.
TO SEE
Define default settings for the use of contacts and Setting Up Relationship Management
interactions and set up number series.
Define the external entities that you have business relations Managing Contacts
with, such as customers, prospective customers, vendors,
lawyers, and consultants, either as Person type or Company
type.
Manage all types of communications between your company Managing Interactions

and your contacts, such as by email, letter, telephone,
meetings.
Define segments to select a group of contacts according to Managing Segments

specific criteria, such as the industry that the contacts
belong to.
Process incoming leads by creating opportunities and Managing Sales Opportunities

associating them to salespeople so that you can keep track
of potential sales.
Create marketing plans to identify, attract, and retain Managing Marketing Campaigns
customers.
Use Dynamics 365 Sales for customer engagement and Integrating with Dynamics 365 Sales
enjoy seamless integration in the lead-to-cash process by
using Business Central for backend activities such as
processing orders, managing inventory, and doing your
finances.

Setting Up Relationship Management
Before you get started working with your contacts and marketing interests, there are a few decisions and steps
that you should take to set up how the marketing area manages certain aspects of your contacts. For example,
you can decide whether to synchronize the contact card with the customer card, vendor card, and bank account
card, how number series are defined, or what the standard salutation should be when writing to your contacts.
Managing your contacts and having a strategy in place to identify, attract, and retain customers will help
optimize your business and increase customer satisfaction. Using a good contact management system will also
help you create and maintain relationships with your customers. Communication is the key to these
relationships. Being able to tailor communication with potential and existing customers, vendors, and business
partners according to their needs, is necessary for companies to succeed. Establishing a strategy and defining
how your company uses contact information is a primary step. This information will be viewed by many
different groups in your company, so having a good system in place will help everyone be more productive.
You set up the marketing and contact management from the Marketing Setup page. To open the Marketing
Setup page, choose the icon, enter Marketing Setup , and then choose the related link.
Automatically Copying Specific Information from Contact Companies

to Contact Persons
Some information about contact companies is identical to the information about the contact persons working
within these companies, for example, the address details. In the Inheritance section of the Marketing Setup
page, you can set the application to automatically copy specific fields from the contact company card to the
contact person card each time you create a contact person for a contact company. For example, you can select to
copy the salesperson code, address details (address, address 2, city, post code, and county), communication
details (fax number, telex answer back, and phone number), and more.
When you modify one of these fields on the contact company card, application will automatically modify the
field on the contact person card (unless you have manually modified the field on the contact person card).
For more information, see Create Contacts.
Use Predefined Defaults on New Contacts

You can decide that the application automatically assigns a specific language code, territory code, salesperson
code, and country/region code as defaults to each new contact you create. You can also enter a default sales
cycle code that application automatically assigns to each new opportunity you create.
The inheritance of fields overwrites the default values you have set up. For example, if you have set up English
as the default language, but the contact company's language is German, application will automatically assign
German as the language code for the contact persons recorded for that company.
Automatically Recording Interactions

Business Central can automatically record sales and purchase documents as interactions (for example, orders,
invoices, receipts, and so on), as well as emails, phone calls, and cover sheets.
For more information, see Automatically Record Interactions with Contacts.
Synchronizing Contacts with Customers and More
In order to synchronize the contact card with the customer card, the vendor card and the bank account card, you
must select a business relation code for customers, vendors, and bank accounts. For example, you can only link a
contact with an existing customer if you have selected a business relation code for customers on the Marketing
Setup page.
For more information, see Synchronizing Contacts with Customers, Vendors, and Bank Accounts.
Assigning a Number Series to Contacts and Opportunities

You can set up a number series for contacts and opportunities. If you have set up a number series for contacts,
when you create a contact, and press Enter in the No. field on the contact card, application automatically enters
the next available contact number.
For more information about number series, see Create Number Series.
Searching for Duplicate Contacts when Contacts are Created

You can choose to have application automatically search for duplicates each time you create a contact company,
or you can choose to search manually after you have created contacts. You can also choose to have application
update the search strings automatically each time you modify contact information or create a contact. You can
decide the search hit percentage, that is, the percentage of identical strings two contacts must have for
application to consider them as duplicates.
See Also
Managing Contacts
Managing Contacts
Employees in your company regularly meet prospective business relations that may develop into formal
relationships. All such external contacts and their detailed information should be recorded in the system so that
communication is more successful and so they can easily be converted to formal customer, vendor, or bank
relationships.
Use the Contacts list to manage your contacts. From there, you can create opportunities and manage other
interactions with individual contacts. You can also see statistics about a contact, and you can access a range of
reports. For information about how to find the right contact in the list, see Sorting, Searching, and Filtering .
TO SEE
Set up contact management prior to creating contacts. Set Up Contacts
Create a contact card for each new person or company that Create Contacts
you interact with, such as a customer or vendor.
Set up profile questionnaires that you want to use when Use Profile Questionnaires to Classify Business Contacts
entering information about your contacts' profiles.
same contact.
See Also
Managing Sales Opportunities
Set Up Contacts
When creating contacts, you can enter specific information, such as the industry that the contact belong to and
your business relationship with the contacts.
Before you create contacts and record details about your business relationships, you must set up the different
codes that you will use to assign this information to your contact companies and people. Codes can be set up for
mailing groups, industry groups, business relationships, Web sources, organizational levels and job
responsibilities. You can set these up by choosing the New action as you look up to the lists from the contact
card.
By having this information set up, creating contacts is much more organized and being able to find all contacts
based on a certain group will be more efficient. Every group at your company will be able to find the is
information making communication with the contacts more successful.
To assign industry groups to a contact

You use industry groups to indicate the type of industry to which your contacts belong, for example, the retail
industry or the automobile industry.
NOTE
This is only possible for contacts of type Company .
The industry group code defines the type or category of the group, such as ADVERT for advertising, or PRESS,
for TV and radio. You can have several industry group codes. To define the industry groups, you use the
Industr y Groups page.
1. Open the relevant contact card.
2. Choose the Company action, and then the Industr y Groups action. The Contact Industr y Groups page
opens.
3. In the Industr y Groups Code field, select the industry groups you want to assign.
Repeat these steps to assign as many industry groups as you want. You can also assign industry groups from
the contact list by following the same procedure.
The number of industry groups that you have assigned to the contact is displayed in the No. of Industr y
Groups field in the Segmentation section on the Contact Card page.
After you have assigned industry groups to your contacts, you can use this information to select contacts for
your segments. For more information, see Add Contacts to Segments.
To assign mailing groups to a contact

You can use mailing groups to identify groups of contacts that you want to receive the same information. For
example, you can set up a mailing group for the contacts that you want to send a notification of an office move,
or another group for sending holiday gifts.
The mailing group code defines the type or category of the group, such as MOVE for office move, or GIFT for
holiday gift. You can have several industry group codes. To define the industry groups, you use the Mailing
Groups page.
2. Choose the Mailing Groups action. The Contact Mailing Groups page opens.
3. In the Mailing Groups Code field, select the mailing group that you want to assign.
Repeat these steps to assign as many mailing groups as you want. You can also assign mailing groups from the
contact list by following the same procedure.
The number of mailing groups you have assigned to the contact is displayed in the No. of Mailing Groups
field in the Segmentation section on the Contact Card page.
After you have assigned mailing groups to your contacts, you can use this information to select contacts for
To define a contact's alternate address

You can assign an alternate address where your contact sometimes wants to receive mail and information, for
example, their summer cottage. You can also assign one or several date ranges to each alternate address you
have entered for your contacts to specify when each address is valid.
2. Choose the Alternative Address action, and then choose the Card action.
To define that the alternate address applies in a specific period, choose the Date Range action instead.
3. On the Contact Alt. Address List page, enter a new alternate address and fill in the fields on the
Contact Alternative Address page.
Repeat these steps to assign as many alternate addresses as you want. For each alternate address you may want
to specify one or several date ranges.
To assign job responsibilities to a contact

You can add information about the job responsibilities of contact persons to indicate what the contact person is
responsible for within their company, for example, IT, management, or production. You can use this information
when entering information about your contacts.
NOTE
This is only possible for contacts of type Person .
The job responsibility code defines the type or category of the job, such a MARKETING or PURCHASE. You can
have several job responsibility codes. To define the job responsibility, you use the Job Responsibilities page.
2. Choose the Person action, and then choose the Job Responsibilities action. The Contact Job
Responsibilities page opens.
3. In the Job Responsibility Code field, select the job responsibility that you want to assign.
Repeat these steps to assign as many job responsibilities as you want. You can also assign job responsibilities
from the contact list by following the same procedure.
The number of job responsibilities you have assigned to the contact is displayed in the No. of Job
Responsibilities field in the Segmentation section on the Contact page.
After you have assigned job responsibilities to your contacts, you can use this information to select contacts for
To assign organizational levels to a contact

You can use organizational levels on your contacts to specify which position they have in the company, for
example, top management. You can use this information when entering information about your contacts.
NOTE
This is only possible for contacts of type Person .
The organizational level code defines the type or category of the organizational level, such a CEO or CFO. You
can have several organizational level codes. To define the organizational level, you use the Organizational
Levels page.
2. In the Organizational Levels field, select the code you want to assign.
After you have assigned organizational levels to your contacts, you can use this information to create segments.
After you have assigned job responsibilities to your contacts, you can use this information to select contacts for
To assign web sources to a contact

You can use web sources with your contact companies to identify, for example, search engines and web sites, on
the Internet that you want to use to search for information about the contacts. When assigning web sources, you
specify which search engine and search word the application will use to find the requested information.
NOTE
When assigning web sources, you specify which search engine and search word that the application will use to
find the requested information.
2. Choose the Company action, and then choose the Web Sources action. The Contact Web Sources page
opens.
3. In the Web Source Code field, choose the web source you want to assign.
4. In the Search Word field, enter the search word that you want to use to find the information.
Repeat these steps to assign as many web sources as you want.
To assign business relations to a contact

You can use business relations to indicate the business relationship you have with your contacts, for example, a
prospect, bank, consultant, service supplier, and so on.
NOTE
2. Choose the Company action, and then the Business Relations action.
3. On the Contact Business Relations page, in the Business Relation Code field, select the business
relation you want to assign.
Repeat these steps to assign as many business relations as you want.
The number of business relations you have assigned to the contact is displayed in the No. of Business
Relations field in the Segmentation section on the Contact page.
After you have assigned business relations to your contacts, you can use this information to select contacts for
Automatically Copying Specific Information from Contact Companies

to Contact Persons
Some information about contact companies is identical to the information about the contact persons working
within these companies, for example, the address details. On the Inheritance FastTab on the Marketing Setup
page, you can specify which fields on the contact card for a company is copied to the contact card for a person
each time you create a contact person for the contact company.
When you modify one of these fields on the contact company card, the same fields on the contact person card
are updated, unless you have manually modified the field on the contact person card.
For more information, see Create Contacts.
Use Predefined Defaults on New Contacts

You can decide that the application automatically assigns a specific language code, territory code, salesperson
code, and country/region code as defaults to each new contact you create. You can also enter a default sales
cycle code that application automatically assigns to each new opportunity you create. You set this up on the On
the Defaults FastTab on the Marketing Setup page
The inheritance of fields overwrites the default values you have set up. For example, if you have set up English
as the default language, but the contact company's language is German, application will automatically assign
German as the language code for the contact persons recorded for that company.
Synchronizing Contacts with Customers, Vendors, and Bank Accounts

In order to synchronize the contact card with a linked customer, vendor, or bank account card, you must fill in the
relevant field in the Bus. Relation Code for section on the Interactions FastTab on the Marketing Setup
page.
For more information, see Synchronizing contacts with customers, vendors, and bank accounts.
Searching for Duplicate Contacts

You can choose to have application automatically search for duplicates each time you create a contacts, or you
can choose to search manually after you have created contacts. You can also choose to have application update
the search strings automatically each time you modify contact information or create a contact. You can decide
the search hit percentage, that is, the percentage of identical strings two contacts must have for application to
consider them as duplicates. You set this up on the Duplicates FastTab on the Marketing Setup page.
When you have found a duplicate contact, you can use the Merge Duplicate page to merge it into an existing
contact record that you want to keep. For more information, see Merge Duplicate Records.
See Also
Managing Contacts
Create Contacts
Create Contacts
When you develop a business relationship to someone in another company, add them as a contact in Business
Central. Then, add any information about them, or their company, that can be useful for future communications.
On the Contact Card page, you can create the following types of contacts:
Person - Typically, this is when you've had direct contact with someone and have their contact details.
Company - For example, if the contact is not an individual person but an entity, such as a contractor or a
bank.
The information that's relevant for each type of contact differs, so the fields and actions that are available are
different. For example, you can only assign job responsibilities to a person, and an industry group to a company.
You can change the value of the Type field later. Alternatively, use the fields on the Inheritance FastTab on the
Marketing Setup page to specify the data to share between a person and their company. For more
information, see Setting Up Contacts.
When a contact is converted to a customer, for example, the contact person or contact company becomes the
name of the customer. The record for the contact is kept, and you can link the contact and the customer so that
their data is synchronized going forward.
NOTE
If you switch on the feature update for conversion templates, then you can also create vendors or employees from
business contacts.
However, if you are already using the built-in functionality for creating customers or items automatically, then this feature
update does not support custom fields, and newly created customers or items will not include such data.
To create a contact manually

1. Choose the icon, enter Contacts , and then choose the related link.
3. In the No. field, enter a number for the contact.
Alternatively, if you have set up a number series for contacts on the Marketing Setup page, you can
press Enter to insert the next available contact number.
4. Fill in the remaining fields as required. Hover over a field to read a short description.
To create a contact from a customer, vendor, or bank account

If you have customers, vendors, and bank accounts that you want to create contact cards for, you can use the
Create Contacts from batch jobs to create contacts from the existing data. When you create a contact this way,
the contact information is afterwards synchronized with the related customer, vendor, or bank account
information. For more information, see Synchronizing Contacts with Customers, Vendors, and Bank Accounts.
NOTE
Before you can create contacts based on existing data, you must specify a business relation code for customers, vendors,
or bank accounts on the Interactions FastTab on the Marketing Setup page. For more information, see Set up
Contacts.
1. Choose the icon, enter one of the following, depending what you want to create contacts from, and then
Create Contacts from Customers
Create Contacts from Vendors
Create Contacts from Bank Accounts
2. On the request page that opens, in the Customer , Vendor , or Bank Account section, set filters if you want
to create contacts from specific customers, vendors, or bank accounts.
3. Choose the OK button to start creating contacts.
The next contact numbers in the number series are assigned to the new contacts. The business relations that are
specified on the Marketing Setup page is assigned to the newly created contacts.
TIP
You can also do this the other way around, namely by creating a customer, vendor, or bank account from a contact. For
more information, see To create a contact as a customer, vendor, or bank account.
To create a customer, vendor, employee, or bank account from a

contact
If you have a customer, vendor, employee, or bank account for the company that you want to create a contact for,
use the Create as action. When you create a contact this way, the contact information is afterwards
synchronized with the related customer, vendor, employee, or bank account information. For more information,
see Synchronizing Contacts with Customers, Vendors, and Bank Accounts.
NOTE
Before you can create customers, vendors, employees, or bank accounts from contacts, you must specify a business
relation code on the Marketing Setup page on the Interactions FastTab. For more information, see Setting up
Contacts.
2. Select the contact you want to create as a customer, vendor, employee, or bank account.
3. Choose the Create As action, and then choose either Customer , Vendor , Bank , or Employee .
The contact information is transferred from the contact card to a new customer, vendor, employee, or bank
account card. You may want to add specific information to each of the cards, such as invoicing and payment
details. For more information, see, for example, Register New Customers.
To link a contact to an existing customer, vendor, employee, or bank

account
If you have a contact and either a customer, vendor, employee, or bank account for the same company, you can
link the two entities to synchronize data.
1. Open the contact that you want to link.
2. Choose the Link with existing action, and then choose the Customer , Vendor , Bank , or Employee action.
3. On the page that opens, select the customer, vendor, employee, or bank account to link to.
4. In the Current Master Fields field, specify whose fields to prioritize in when there is conflicting information
in fields common to the contact and customer, vendor, employee, or bank account. For example, if the
salesperson code is different for the contact and customer, you can choose to keep the one on the contact
card by selecting Contact .
To remove a link between a contact and an existing customer, vendor,

employee, or bank account
If you have wrongly linked a contact and a customer, vendor, employee, or bank account, remove the link
between the entities so that data no longer synchronizes.
1. Open the contact that has the wrong link.
2. Choose the Business Relations action.
3. On the page that opens, select the customer, vendor, employee, or bank account to remove the link from.
4. Choose the Delete action.
NOTE
Do not use the Business Relations window to change existing relations. Instead, remove the relation and use the Link
with existing action. For more information, see the To link a contact to an existing customer, vendor, or bank account
section.
Synchronizing Contacts with Customers, Vendors, Employees, and

Bank Accounts
If some of your contacts are also customers, vendors, employees, or bank accounts, you can synchronize then
with data from the contact and gain the following benefits:
You only have to update information in one place. For example, if you modify the phone number on the
contact, the phone number is automatically updated for the customer, vendor, employee, or bank account.
If you have specified a number series for contacts, when you create a customer, vendor, employee, or bank
account card, a contact is automatically created.
You can create sales quotes and orders, and purchase quotes and orders, from the contact.
You can record your interactions, such as printing orders, blanket orders, creating sales service orders,
sending e-mails, and so on.
If you delete a contact linked to a customer, vendor, employee, or bank account, only the contact is removed.
The customer, vendor, employee, or bank account remains.
If you delete a customer, vendor, employee, or bank account that is linked to a contact, the contact remains.
NOTE
Certain details, such as invoicing and posting details, are not available for contacts. When you create contacts as
customers, vendors, employees, or bank accounts, you may want to add them manually.
There are three ways to enable data synchronization between contacts and customers, vendors, employees, or
bank accounts:
When you create contacts from customers, vendors, employees, or bank accounts. See To create a contact
from a customer, vendor, or bank account.
When you create customers, vendors, employees, or bank accounts from contacts. See To create a customer,
vendor, or bank account from a contact.
When you link contacts with existing customers, vendors, employees, or bank accounts from the contact card.
See To link a contact to an existing customer, vendor, or bank account.
To view which customer, vendor, employee, or bank account a contact

is related to
2. Select the line for a contact, choose the Related Information action, and then choose the
Customer/Vendor/Bank Acc/Employee action.
See Also
Managing Contacts
Setting Up Contacts
Use Profile Questionnaires to Classify Business
Contacts
You can rate a prospect so you can identify the ideal prospects to focus your sales campaign on. You can set up
profile questionnaires that you want to use when entering information about your contacts' profiles. Within
each questionnaire, you can set up the different questions you intend to ask your contacts. This way, you can
group contacts so that your campaigns are more likely to target the right people based on the criteria that you
define with the questionnaires.
With the right questionnaires, you can rate your prospects and group them into categories. You can use existing
questions and answers and combine them with new questions and answers to form the basis of your rating.
Each answer in the rating is given a point value and, depending on the range you set up for the categories (From
Value and To Value), the rating system will group your contacts in the categories you have defined. For example,
ABC customers, High/Low loyalty vendors, or Platinum/Gold/Silver prospects.
You can also run the questionnaire to answer some of the questions based on contact, customer, or vendor data
automatically.
To add a profile questionnaire

1. Choose the icon, enter Questionnaire Setup , and then choose the related link.
2. Choose the New Action.
To add questions to a profile questionnaire

1. Choose the relevant profile questionnaire, and then choose the Edit Questionnaire Setup action.
2. On the first empty line, in the Type field, choose Question and type your question in the Description
field. Fill in the other fields on this line.
Optionally, add details to the question.
a. Choose the line with the question, and then, choose the Line menu, and then choose Question
Details .
b. On the Classification FastTab in the Profile Question Details page, select the Auto Contact
Classification field.
c. In the Contact Class. Field field, select the Rating option.
d. Fill in the Min. % Questions Answered field. The default is 0 .
This specifies the number of questions in percentage that must be answered for this rating to be
calculated.
e. On the Actions tab, in the Page group, choose Answer Points . Enter the points you want to give
each answer listed in the Answer Points page.
If you want to get an overview of the points you have given each answer, choose the Answer
Points action.
f. To run an update, return to the Profile Questionnaire Setup page. On the Actions menu, in the
Functions group, choose Update Classification .
In the Profile Questionnaire Setup page, the number of contacts that meets this criteria is displayed in
the No. of Contacts field, as well as on the Contact Card of each contact.
3. On the next empty line, in the Type field, choose Answer and type your answer in the Description field.
4. In the Priority field, select the priority. In the From Value and To Value fields, define a point range.
Contacts that receive points within the defined range will get the answer.
Repeat these steps to enter all the questions and answers within the profile questionnaire.
After you have created a questionnaire, you can use it to rate and classify your contacts. You can also set up
questions that are rated automatically based on information in the contact card.
NOTE
If you enter a question that is automatically answered, choose Line , and then choose Question Details , to enter the
criteria to automatically answer the question.
Apply questionnaires to contacts

You can apply your questionnaires to contacts manually. Just open the relevant contact card, and then choose
the Profile action. Then, once you have applied the questionnaires that you want to apply, you can start using
the categories in your campaigns.
The Automatic Classification of Contacts

You can automatically classify your contacts according to customer, vendor, and contact information, by setting
up automatically answered profile questions on the Profile Questionnaire Setup page.
NOTE
Only contacts that are recorded as customers can be assigned a classification based on customer data and only contacts
that are recorded as vendors can be assigned a classification based on vendor data. The automatic classification is not
updated automatically. Consequently, you may want to update the profile questionnaires, after you have updated the
customer, vendor or contact data they are based on.
After you have set up automatically answered profile questions, if you assign the profile questionnaire
containing these questions to a contact, Business Central will automatically assign the right answers for the
contact.
Example
You can classify your contacts according to how much they bought from you:
A N SW ER A P P L IES TO
A contacts who bought for 500,000 LCY or more
B contacts who bought for 100,000 up to 499,999 LCY
C contacts who bought for 99,999 LCY or less

To do this, fill on the Profile Questionnaire Setup page as follows:
A UTO M AT IC
TYPE DESC RIP T IO N C L A SSIF IC AT IO N F RO M VA L UE TO VA L UE
Question ABC Classification Click to insert a

check mark
Answer A 500,000
Answer B 100,000 499,999
Answer C 99,999
Then fill on the Profile Question Details page as follows:
F IEL D VA L UE
Customer Classification Field Sales (LCY)
Classification Method Defined Value
When you assign the profile questionnaire containing this question to a contact, application automatically enters
the relevant answer for this contact on the profile lines of the contact card.
See Also
Creating Contacts
NOTE
TIP
action.
the process.
NOTE

See also
Sales
Set Up Contacts
Managing Segments
You create segments to select a group of contacts according to specific criteria. For example, a segment could be
the industry that the contacts belong to or your business relationship with the contacts. You can create a
segment to select the contacts you want to target with a campaign.
There are two main tasks in creating a segment:
Enter general information about the segment. Before you can select the contacts within the segment, you
must first create the segment.
Select the contacts to be included within the segment.
TO SEE
Create segments which allow you to select a group of Create Segments

contacts. For example, direct mail.
Manage the contacts that are assigned to segments. Add Contacts to Segments
Learn about using interactions for segments, including Managing Interactions for Segments
logging.
See Also
Managing Contacts
Create Segments
You can create segments to select a group of contacts, for example, if you want to create an interaction involving
several contacts, such as direct mail.
To create a segment
1. Choose the icon, enter Segments , and then choose the related link.
3. In the General section, in the No. field, enter a number for the segment.
Alternatively, if you have set up number series for segments on the Marketing Setup page, you can
press Enter to select the next available segment number.
4. Fill in the other fields on the header.
You can now add contacts to the segment. For more information, see Add Contacts to Segments.
See Also
Managing Segments
Add Contacts to Segments
After you have created a segment and entered basic information about it, you may want to add contacts to the
segment. You can do this by filling in the lines on the Segment page manually, but it is easier and faster to use
the Add Contacts action.
To add a contact to a segment

2. Select the segment, and then choose the Add Contacts action. The Add Contacts batch job page opens.
3. In the Contact section, set filters to specify the information by which you want to select contacts.
To enter additional filters, repeat this procedure on each of the remaining sections, and then choose the OK
button.
If you have added contacts by mistake and want to go back one step, then choose the Go Back action.
To refine the number of contacts

After you have selected the contacts within a segment, you may decide to remove some but keep others. You
can manually remove contacts from the lines on the Segment page, but it is easier and faster to use the Refine
Contacts action.
1. Open the segment.
2. Choose Contacts , and then choose the Refine Contacts action. The Remove Contacts - Refine page
opens.
3. In the Contact section, enter filters to specify the information that you want to use to select the contacts to
be removed from the segment.
4. Add additional filters as needed, and then choose the OK button.
You can refine a segment as many times as you want. If you have refined the segment by mistake and want to
go one step back, choose the Go Back .
To see a list of the segment criteria that you have used, in the General section, choose the No. of Criteria
Actions field.
To reduce the number of contacts

After you have selected the contacts within a segment, you may want to remove some of them. You can do this
by manually removing them from the lines in the Segment page, but it is easier and faster to use the Reduce
Contacts function to specify which contacts to remove, and to use the Refine Contacts function to specify which
contacts to keep.
1. Open the segment.
2. Choose Contacts, and then choose the Reduce Contacts action. The Remove Contacts - Reduce page
opens.
3. In the Contact section, enter filters to specify the information that you want to use to select the contacts to
be removed from the segment.
4. Add additional filters as needed, and then choose the OK button.
You can reduce a segment as many times as you want. If you have refined the segment by mistake and want to
go one step back, then choose the Go Back action.
See Also
Create a Segment
Managing Segments
Manage Interactions for Segments
The Segment page is a type of worksheet where you can:

Create segments.
Save the segmentation criteria you have used to select contacts.
Log the segment and record interactions involving the contacts within the segment.
Segmenting
There are several ways to create segments:
You can manually enter the contacts you want to include in the segment in the segment lines.
You can select contacts.
You can reuse a logged segment as the basis to create a new one.
You can reuse saved segmentation criteria.
Interactions
On the Segment page, you can create interactions for several contacts simultaneously. For example, you can
merge a segment with a Microsoft Word document, so that you can send a letter to all the contacts in the
segment.
You can specify information about the interaction for the segment on the Segment header. For example, you
can decide which interaction template you want to use for all the contacts, specify a description, a
correspondence type, and so on. However, you can modify this information in the segment line for each
particular contact, for example, by specifying another description for one contact. If you are merging a segment
with a Microsoft Word document, you can personalize the document to be sent for one or several of the
contacts within the segment, for example, by adding individualized comments to the document.
Logging
On the Segment page, when you choose Log , the application records the interactions on the Interaction Log
Entr y page, and logs the segment. After you have logged the segment, you can only find it on the Logged
Segments page.
On the Logged Segments page, you can decide to create a follow-up segment containing the same contacts as
the segment you have logged.
See Also
Create Segments
Create Interactions for Segments
Managing Segments
Recording Interactions With Contacts
Creating and Managing Contacts
Managing Interactions with your Contacts
In Business Central, interactions are all types of communications between your company and your contacts. For
example, communications can be email, letter, telephone, meetings, and so on.
You can record all the interactions that you have with your contacts in order to keep track of the sales and
marketing efforts you have directed at your contacts and to improve your future business interactions with
them.
TO SEE
Set up your system to record interactions. Set Up Contacts
Create interactions to record all the interactions and Create Interactions on Contacts and Segments
communications you have with your contacts and segments,
such as emailing.
Set up your system to automatically record interactions for Automatically Record Interactions with Contacts
sales, purchase, and service documents, such as when a
documented is created, posted, or printed.

Record Interactions With Contacts
Setting up your application to record interactions consists of these tasks:

Setting up interaction templates
Creating interactions on contacts or segments
View and manage recorded interactions
Setting up Interaction Templates

Before you can create and record interactions, you must set up interaction templates. When creating
interactions, you must specify the interaction templates they are based on. An interaction template is a model
that defines the basic characteristics of an interaction. You set up an interaction template on the Interaction
Templates page.
After you have entered information about the interaction template, you can create an attachment, for example, a
Microsoft Word document. Repeat the steps to set up as many interaction templates as you want.
Creating Interactions
There are two ways of recording interactions:
You can manually create interactions that are linked to a single contact or to a segment. For more
information, see Create Interactions on Contacts and Segments.
You can automatically record interactions when you perform actions in the application, for example, when
you print an invoice, or quote. For more information, see Automatically Record Interactions with Contacts.
Viewing and Managing Recorded Interactions

You can view all the recorded interactions that have not been deleted on the Interaction Log Entries page. You
can open this page by:
Using the Search for Page or Repor t icon to search on Interaction Log Entries .
Choosing the Interaction Log Entries action on a contact or segment. The Interaction Log Entr y page
contains the interactions you create manually and the interactions that the application records automatically.
In this page, you can:
View the status of interactions.
Mark interactions as canceled.
You can delete interaction log entries that have been canceled. To delete interaction log entries, choose the
icon, enter Delete Canceled Interaction Log Entries , and then choose the related link, and then fill in the
information.
See Also
Managing Contacts
Create Interactions on Contacts and Segments
You can create interactions to record all the interactions and communications you have with your contacts and
segments, for example, direct mail.
Before you create interactions, you must set up interaction templates. For more information, see Set Up
Interaction Templates.
To create an interaction
1. Open the contact, salesperson, or interaction log entry.
2. Choose the Create Interaction action.
3. Fill in the fields, and then choose the OK button.
NOTE
If you need to perform another task before finishing the interaction, you can choose Cancel and then finish the
interaction at a later time. This postpones the interaction.
To finish and delete postponed interactions

1. Open the contact, salesperson, or interaction log entry.
2. Choose Postponed Interactions .
3. Select the interaction you want to finish, and then choose the Resume action.
To create an interaction on a segment

2. In the Segment page , in the Interaction section, fill in the fields to specify which interaction you want
to assign to the segment.
After you have assigned an interaction to the segment, you can personalize the interaction for each
particular contact within the segment, for example, by selecting another interaction template on the lines
on the Segment page.
3. To log the segment and interactions, choose the Log action. The Log Segment page opens.
4. If you want to create a new segment containing the same contacts, select the Create Follow-up
Segment check box. To create a follow-up segment, you must have specified number series for segments
on the Marketing Setup page.
An interaction is recorded for each contact within the segment in the Interaction Log Entr y table, and the
segment is logged. Logged segments can be found on the Logged Segment page.
If you have selected the Create Follow-up Segment check box, a new segment is created that contains the
same contacts as the segment you have just logged.
See Also
Recording Interactions
Managing Contacts
Recording Interactions with Contacts Automatically
You can set up the application to automatically record interactions for sales, purchase and service documents,
cover sheets, e-mails, phone calls, such as:
Print sales or purchase quotes, orders, invoices, credit memos, cover sheets.
Create sales service orders.
Post sales service orders.
Send e-mails to your contacts.
Call your contacts, if you have a TAPI-compliant telephone and the correct installation.
To set up the automatic recording of these interactions, you specify interaction templates for these documents
and actions by using the Interaction Template Setup page.
To open the Interaction Template Setup page, choose the icon, enter Interaction Template Setup , and
See Also
Recording Interactions With Contacts
Any incoming lead can be considered a sales opportunity. You can create opportunities and associate them to a
salesperson so that you can keep track of potential sales.
Before you can start using opportunity management, you must set up sales cycles and sales cycle stages. As you
create opportunities, you should provide information about the contact, salesperson, sales cycle, and dates, as
well as your estimates for the sales value of the opportunity and your estimation of the chances of its success.
TO SEE
Set up the sales cycles that you usually follow, and the Set Up Opportunity Sales Cycles and Cycle Stages
different stages within each opportunity sales cycle.
Create sales opportunities that you have from your contacts. Create Opportunities
Move a sales opportunity through the sales cycle to Process Sales Opportunities
completion.
See Also
Sales
Set Up Opportunity Sales Cycles and Cycle Stages
Before you start using sales opportunities, you must set up sales cycles and sales cycle stages. A sales cycle is
made up of a series of stages that go from the initial contact to the closing of a sale. For each stage, you define
any requirements that must be met, such as requiring a sales quote, before an opportunity can go to the next
stage. You can also specify whether a stage can be skipped. You can set up as many sales cycles as you need. You
can set up as many sales cycle stages as necessary within a sales cycle.
To use opportunity sales cycles, you must set up the sales cycle, define the different stages of the cycle, and then
assign the cycle to opportunities. Assigning the relevant activity or tasks to the opportunity may also be part of
setting up a sales cycle.
This article also describes how to set up tasks and activities, and how to assign tasks to activities. For more
information, see To set up activities with tasks.
To set up opportunity sales cycle codes

1. Choose the icon, enter Sales Cycles , and then choose the related link. The Sales Cycles page opens, and
lists all the existing sales cycles.
2. Choose the New action, and fill in the fields as necessary. Hover over a field to read a short description.
Repeat these steps to set up as many sales cycles as you want. After you have set up opportunity sales cycles,
you may want to set up the different stages within each cycle.
To define opportunity sales cycle stages

1. On the Sales Cycles page, select the opportunity sales cycle for which you want to set up stages, and then
choose the Stages action. The Sales Cycle Stages page opens.
2. Choose the New action to enter a new stage in the sales cycle.
Repeat these steps to set up as many stages as you want within the sales cycle.
To assign stage cycles to opportunities

After you add the opportunities stage cycle, you can start to add sales opportunities, and then assign the stage
cycle to opportunities by setting the Sales Cycle Code field. For more information, see Create Sales
Opportunities.
To set up activities with tasks

You can combine multiple tasks, such as tasks that each represent a step, in activities. Activity tasks are related to
each other by a date formula. You can assign activities to opportunities, salespeople, or contacts.
1. Choose the icon, enter Activities , and then choose the related link.
2. Choose the New action, and fill in the fields as necessary. Hover over a field to read a short description.
3. On the Lines FastTab, fill in the fields as necessary to define one or more tasks in the activity.
To assign tasks or activities of tasks to opportunities

When you have set up a task, you can assign it to a sales opportunity and thereby assign the activity that the
task belongs to.
NOTE
You cannot create tasks of type Meeting in Business Central online. The capability requires access to an on-premises
deployment.
The following procedure describes how to assign activity tasks to opportunities. The steps are similar when you
assign tasks to salespeople and contacts.
1. Choose the icon, enter Oppor tunities , and then choose the related link.
2. Select an opportunity, and then choose the Tasks action.
3. On the Task List page, choose the Create Task action.
4. The Create Task page, fill in the fields as necessary. Hover over a field to read a short description.
TIP
As you can see in the Oppor tunity field, the task is automatically assigned to the relevant opportunity.

6. On the Task List page, select the new task, and then choose the Assign Activities action.
7. On the Assign Activity page, fill in the fields as necessary, and then choose the OK button.
See Also
Processing Sales Opportunities
Sales
Create Sales Opportunities
You can create opportunities for the sales opportunities you have on your contacts. All opportunities must be
assigned to a salesperson or purchaser and must have a contact.
You can create opportunities from the Oppor tunity List page. But you typically will create opportunities from
the specific contact or salespeople.
Before you can create opportunities, you must set up opportunity sales cycles. For more information see Set Up
Opportunity Sales Cycles and Stages.
To create an opportunity from a salesperson

1. Choose the icon, enter Salespeople , and then choose the related link.
2. Select the salesperson from the list for whom you want to create an opportunity.
3. Choose the Oppor tunities action, and then choose List .
4. Choose New , and then fill in the fields as relevant. Hover over a field to read a short description.
To create an opportunity from a contact

2. Select the contact from the list for whom you want to create an opportunity.
Choose the Create Oppor tunity action.
Choose the Oppor tunities action, and then choose New .
4. Fill in the relevant fields.
See Also
Sales
Track Email Message Exchanges Between
Salespeople and Contacts
Get more out of the communications between your salespeople and customers by turning email exchanges into
actionable opportunities. Business Central can work with Exchange Online to keep a log of the inbound and
outbound messages. You can view and analyze the contents of each message on the Interaction Log Entries
page.
NOTE
In 2022 release wave 1 we've streamlined processes for setting up email logging to increase flexibility and security. If you
are a new customer using that version, you're using the new experience. If you're an existing customer, whether you are
using the new experience depends on whether your administrator has enabled the the Email logging using the
Microsoft Graph API feature update in Feature Management . For more information, see Enabling Upcoming
Features Ahead of Time.
IMPORTANT
For Business Central online, the new experience requires that Business Central and Exchange Online are on the same
tenant.
To set up email logging

These steps differ, depending on whether your administrator has turned on the Email logging using the
Microsoft Graph API feature update. If the feature update isn't turned on, follow the steps on the Current
Experience tab.
Current Experience
New Experience
Set up Public Folders and Rules for Email Logging in Exchange Online
NOTE
The following sections assume that you have administrator access for Exchange Online.
Before you can set up email logging, you must prepare Office 365 public folders. You can do this in the Exchange
admin center, or you can use the Exchange Online PowerShell.
TIP
If you want to use the Exchange Online PowerShell, you can find inspiration for how to set up your script in a sample
script that we published in the BCTech repo.
Follow the steps below to set up Exchange Online, with links to where you can learn more.
Create an admin role group
Create an admin role group for public folders based on the information in the following table:
P RO P ERT Y VA L UE
Name Public Folders Management
Selected roles Public Folders
Selected users The email of the user account that Business Central will use
to run the email logging job
For more information, see Manage role groups in Exchange Online.

Create a new public folder mailbox
Create a new public folder mailbox based on the information in the following table:
P RO P ERT Y VA L UE
Name Public MailBox
For more information, see Create a public folder mailbox.

Create new public folders
1. Create a new public folder with the name Email Logging in the root so that the full path to the folder
becomes \Email Logging\ .
2. Create two sub-folders so that the the result is the following full paths to the folders:
\Email Logging\Queue\
\Email Logging\Storage\
For more information, see Create a public folder.

Set public folder ownership
Set the email logging user as an owner of both public folders, Queue and Storage.
For more information, see Assign permissions to the public folder.
Mail-enable the Queue public folder
For more information, see Mail-enable or mail-disable a public folder.
Mail-enable sending emails to the Queue public folder
Mail-enable sending emails to the Queue public folder using Outlook or the Exchange Management Shell.
For more information, see Allow anonymous users to send email to a mail-enabled public folder.
Create mail flow rules
Create two mail flow rules based on the information in the following table:
P URP O SE NAME A P P LY T H IS RUL E IF. . . DO T H E F O L LO W IN G. . .
A rule for incoming email Log Email Sent to This The sender is located BCC the email account that
Organization Outside the organization, is specified for the Queue
and the recipient is located public folder
Inside the organization
P URP O SE NAME A P P LY T H IS RUL E IF. . . DO T H E F O L LO W IN G. . .
A rule for outgoing email Log Email Sent from This The sender is located Inside BCC the email account that
Organization the organization, and the is specified for the Queue
recipient is located Outside public folder
the organization
For more information, see Manage mail flow rules in Exchange Online and Mail flow rule actions in Exchange
Online.
NOTE
If you make changes in the Exchange Management Shell, the changes become visible in the Exchange admin center after a
delay. Also, the changes made in Exchange will be available in Business Central after a delay. The delay might be several
hours.
Next, you connect Business Central with Exchange Online.
Set Up Business Central to Log Email Messages

These steps are the same for both the current and new experiences.
Get started with email logging in two easy steps:
1. Connect Business Central with Exchange Online for your Microsoft 365 subscription. Exchange Online
handles your email messages. We've made this step easy by providing an assisted setup guide. You just
need your administrator credentials for your administrator account in Microsoft 365. To start the guide,
go to the Assisted Setup page, and then select the Set up email logging guide.
2. Make sure that the email addresses for your sales people and contacts in Business Central are valid. To do
that, for each customer or salesperson, open the Contact or Salesperson/Purchaser card and have a
look in the Email field.
TIP
After you complete the steps in the guide you can check whether the connection was successful. Depending on whether
you're using the current or new exerience, do one of the following steps:
Current experience : Search for Marketing Setup , choose Access , then Functions , and then Validate Email
Logging Setup .
New experience : Search for Email Logging , choose Actions , and then choose Validate Setup .
Viewing Email Message Exchanges in the Interaction Log

Business Central creates an entry on the Interaction Log page each time a salesperson and a contact exchange
an email message. To view the interaction log, open the Contact card for the person, choose Related , then
Histor y , and then Interaction Log Entries . There are a few things you can do with each entry in the log, for
example:
View the content of the email message that was exchanged by selecting Process and then Show
Attachments .
Turn an email exchange into a sales opportunity. If an entry looks promising, you can turn it into an
opportunity and then manage its progress toward a sale. To turn an email exchange into an opportunity,
choose the entry, then Process , and then Create Oppor tunity . For more information, see Managing Sales
Opportunities.
Mailbox and folder limits in Exchange Online

There are mailbox and folder limits in Exchange Online, such as limits for folder sizes and the number of
messages. For more information, see Exchange Online limits and Limits for public folders in Exchange Server.
Business Central stores logged email messages in a folder in Exchange Online. Business Central also stores a
link to each logged message. The links open the logged messages in Exchange Online from the Interaction Log
Entries, Contact Card, and Salespersons Card pages in Business Central. If a logged message is moved to
another folder, the link will be broken. For example, a message might be moved manually, or Exchange Online
might automatically start AutoSplit when a storage limit is reached.
The following steps can help you avoid breaking links to messages in Exchange Online.
1. Don't move existing messages to another folder after you change settings for your email logging setup.
Keeping existing messages where they are will preserve the links. Links to messages in the new folder will be
valid.
2. Avoid reaching the mailbox and folder limits. If you're about to reach a limit, take the following steps:
a. Set up a new shared mailbox (new experience) or a new shared folder (current experience) in
Exchange Online.
b. Update your email flow rules in Exchange Online.
c. Update your email logging setup in Business Central accordingly
Connect On-Premises Versions to Microsoft Exchange

You can connect Business Central on-premises to Exchange on-premises or Exchange Online for email logging.
For both versions of Exchange, settings for the connection are available on the Marketing Setup page. For
Exchange Online, you can also use an assisted setup guide.
IMPORTANT
The new experience doesn't support a connection to Exchange on-premises. If you must use Exchange on-premises, do
not enable the feature update for the new experience.
Connect to Exchange On-Premises

Current Experience
New Experience
To connect Business Central on-premises to Exchange on-premises, on the Marketing Setup page, you can use
Basic as the Authentication Type , and then enter credentials for the user account for Exchange on-premises.
Then turn on the Enabled toggle to start logging email.
Connect to Exchange Online

To connect to Exchange Online you must register an application in Azure Active Directory. Provide the
application ID, key vault secret, and the redirect URL to use for the registration. The redirect URL is pre-set and
should work for most installations. For more information, see To register an application in Azure AD for
connecting from Business Central to Exchange Online.
You must also use OAuth2 as the Authentication Type . You must also register an application in Azure Active
Directory. Provide the application ID, key vault secret, and the redirect URL to use for the registration. The
redirect URL is pre-populated and should work for most installations. For more information, see To register an
application in Azure AD for connecting from Business Central to Exchange Online below.
You must set up your installation to use HTTPS. For more information, see Configuring SSL to Secure the
Business Central Web Client Connection. If you're setting up your server to have a different home page, you can
change the URL. The client secret will be saved as an encrypted string in your database.
To register an application in Azure AD for connecting from Business Central to Exchange Online
The following steps assume that you use Azure Active Directory to manage identities and access. For more
information, see Quickstart: Register an application with the Microsoft identity platform.
Current Experience
New Experience
The following steps assume that you use Azure Active Directory to manage identities and access. For more
information, see Quickstart: Register an application with the Microsoft identity platform. If you do not use Azure
Active Directory, see Use Another Identity and Access Management Service.
1. In the Azure Portal, under Manage , choose Authentication .
2. Under Redirect URL , add the redirect URL that is suggested on the Marketing Setup page in Business
Central. If the redirect URL on the Marketing Setup page is empty, find the suggested redirect URL on the
Email Logging Assisted Setup page.
NOTE
If you do not specify the redirect URL, you can do so later by choosing Add a platform , and then choosing Web
to add the web application and the redirect URL.
3. Under Manage , choose Manifest .

4. Locate the requiredResourceAccess property in the manifest, and add the following code in the
brackets ([]) to add the required permissions. For more information, see Register your application.
{
"resourceAppId": "00000002-0000-0ff1-ce00-000000000000",
"resourceAccess": [
{
"id": "3b5f3d61-589b-4a3c-a359-5dd4b5ee5bd5",
"type": "Scope"
},
{
"id": "dc890d15-9560-4a4c-9b7f-a736ec74ec40",
"type": "Role"
}
]
}
5. Choose Save .
6. Under Manage , choose API permissions , and then confirm that the following permissions are listed:
EWS.AccessAsUser.All
full_access_as_app
7. Under Manage , choose Cer tificates & Secrets , and then create a new secret for your app. You'll use
the secret either in Business Central, in the Client Secret field on the Marketing Setup page, or store it
in secure storage and provide it in an event subscriber.
8. Choose Over view , and then find the Application (client) ID value. The Application (client) ID value
is the client ID of your application. You must enter the client ID either on the Marketing Setup page , in
the Client ID field, or store it in secure storage and provide it in an event subscriber.
9. In Business Central, set up email logging on the Marketing Setup page, or use the Email Logging
Assisted Setup guide for assistance with the process.
Provide the email account of the user on behalf of whom the scheduled job will connect to Exchange
Online and process emails. The user must have a valid license for Exchange Online.
Provide the URL for your Exchange Online. Typically, this URL is the domain that you specified in the
user's email address.
Provide the Queue Folder Path and Storage Folder Path .
10. To start logging email, turn on the Enabled toggle.
11. Sign in with your administrator account for Azure Active Directory (this account must have a valid license
for Exchange and be an administrator in your Exchange Online). After you sign in, you must allow your
registered application to sign in to Exchange Online on behalf of the organization. You must give consent
to complete the setup.
NOTE
If you are not prompted to sign in with your administrator account, it might be because pop ups are blocked. To sign in,
allow pop-ups from https://login.microsoftonline.com.
To start logging email

1. To start logging email, on the Email Logging page, turn on the Enabled toggle.
2. Sign in with the Exchange Online account that the scheduled job will use to connect to the shared mailbox
and process emails.
NOTE
If you are not prompted to sign in the the Exchange Online account, it might be because your browser is blocking
pop-ups. To sign in, allow pop-ups from https://login.microsoftonline.com.
To stop logging email

Current Experience
New Experience
1. Choose the icon, enter Marketing Setup , and then choose the related link.
2. Turn off the Enabled toggle.
To change the user account used for email logging

If you are using the new experience, you can change the user account used for email logging. The current
experience doesn't support this.
Current Experience
New Experience
Disable your current setup, change the user on the Email Logging page, and then re-enable email logging. You
can also run the assisted setup guide again.
Process Sales Opportunities
After you create an opportunity, there are several features for managing the opportunity and moving it through
to completion.
To view opportunities
The existing sale opportunities are available from the Oppor tunity List page. There are different ways to
access this page for processing sales opportunities:
TO VIEW O P P O RT UN IT IES F O R T H EN
All salespeople and contacts Choose the icon, enter Oppor tunity List , and then
A specific sales person Choose the icon, enter Salespeople , and then choose
the related link. Select the salesperson, choose the
Oppor tunities action, and then choose the List action.
A specific contact Choose the icon, enter Contacts , and then choose the
related link. Select the contact from the list, and then choose
the Oppor tunities action.
Each of these tasks opens the Oppor tunity List page.
To close opportunities
You can close opportunities when the negotiations are over. When closing an opportunity, you can specify
whether it was won or lost, and the reasons for closing it. To specify a reason, you must set up closed
opportunity codes.
1. On the Oppor tunity List page, select the opportunity, and the choose the Close action. The Close
Oppor tunity page opens.
2. Fill in the relevant fields, and then choose the OK button.
The Close Oppor tunity Code and Date Closed fields are required fields and must be filled in before
you can choose the OK button.
In the Close Oppor tunity Code field, you can choose from one of the existing close opportunity codes
or add a new code. To add a new code, from the drop-down list, choose Select from full list , and then
choose new . On the new blank line, fill in the Code , Type , and Description fields, and then choose the
OK button.
To create quotes for opportunities

NOTE
You can only create sales quotes from opportunities where the contact type is Company.
1. On the Oppor tunity List page, select the opportunity, and then choose the Assign Sales Quote action.
The Sales Quote page opens.
2. Fill in the relevant fields.
To create sales orders for opportunities

You can make sales orders from the sales quotes that you have created for your opportunities. Before you can
create sales orders for your contacts, you must create the contact as a customer. For more information, see
Create Contacts.
1. On the Oppor tunity List page, find the opportunity that you have created a sales quote for.
2. Choose the Assign Sales Quote action. The Sales Quote page opens to show the sales quote that you
have assigned to the opportunity.
3. Fill in the additional fields, and then choose the Make Order action.
When handling sales opportunities, you may need to create a quote for the contact that the opportunity is
linked to.
To delete opportunities
You can delete opportunities, for example, after you have concluded a deal. However, you can only delete closed
opportunities. There are two ways to delete closed opportunities. You can delete individual closed opportunities
from the Oppor tunity List page or you can run the Delete Closed Oppor tunities batch job to delete
multiple opportunities based on a specified criteria.
To delete closed opportunities from the Oppor tunity List page, select the opportunity, and then choose the
Delete action.
To delete closed opportunities by using the Delete Closed Oppor tunities batch job, follow these steps:
1. Choose the icon, enter Delete Oppor tunities , and then choose the related link.
2. In the Oppor tunity section, set up the filters that specify the closed opportunities to delete.
After you have deleted an opportunity, it is removed it from the Oppor tunity List page.
To move an opportunity through sales cycle stages

If an opportunity follows a sales cycle, you can move it forward or back through the different stages, such as
moving the next or previous stage, and even skipping a stage.
1. On the Oppor tunity List page, choose the Update action. The Update Oppor tunity opens,
2. Use the Action Type field to move the opportunity through the sales cycle stages:
Next moves the opportunity forward one stage.
Skip moves the opportunity forward one or several stages in the sales cycle, which you specify in the
Presentation field. You can only skip stages that have been set up to allow skipping.
Previous moves the opportunity back one stage.
Jump moves the opportunity back one or several stages in the sales cycle, which you specify in the
Presentation field.
Update enables you to change information (such as to modify your evaluation of their chances of
success and estimated values) without moving to another stage.
3. Fill in the other fields as needed, and then choose the OK button.
See Also
Sales
Use Profile Questionnaires to Classify Business
Contacts
You can rate a prospect so you can identify the ideal prospects to focus your sales campaign on. You can set up
profile questionnaires that you want to use when entering information about your contacts' profiles. Within
each questionnaire, you can set up the different questions you intend to ask your contacts. This way, you can
group contacts so that your campaigns are more likely to target the right people based on the criteria that you
define with the questionnaires.
With the right questionnaires, you can rate your prospects and group them into categories. You can use existing
questions and answers and combine them with new questions and answers to form the basis of your rating.
Each answer in the rating is given a point value and, depending on the range you set up for the categories (From
Value and To Value), the rating system will group your contacts in the categories you have defined. For example,
ABC customers, High/Low loyalty vendors, or Platinum/Gold/Silver prospects.
You can also run the questionnaire to answer some of the questions based on contact, customer, or vendor data
automatically.
To add a profile questionnaire

1. Choose the icon, enter Questionnaire Setup , and then choose the related link.
2. Choose the New Action.
To add questions to a profile questionnaire

1. Choose the relevant profile questionnaire, and then choose the Edit Questionnaire Setup action.
2. On the first empty line, in the Type field, choose Question and type your question in the Description
field. Fill in the other fields on this line.
Optionally, add details to the question.
a. Choose the line with the question, and then, choose the Line menu, and then choose Question
Details .
b. On the Classification FastTab in the Profile Question Details page, select the Auto Contact
Classification field.
c. In the Contact Class. Field field, select the Rating option.
d. Fill in the Min. % Questions Answered field. The default is 0 .
This specifies the number of questions in percentage that must be answered for this rating to be
calculated.
e. On the Actions tab, in the Page group, choose Answer Points . Enter the points you want to give
each answer listed in the Answer Points page.
If you want to get an overview of the points you have given each answer, choose the Answer
Points action.
f. To run an update, return to the Profile Questionnaire Setup page. On the Actions menu, in the
Functions group, choose Update Classification .
In the Profile Questionnaire Setup page, the number of contacts that meets this criteria is displayed in
the No. of Contacts field, as well as on the Contact Card of each contact.
3. On the next empty line, in the Type field, choose Answer and type your answer in the Description field.
4. In the Priority field, select the priority. In the From Value and To Value fields, define a point range.
Contacts that receive points within the defined range will get the answer.
Repeat these steps to enter all the questions and answers within the profile questionnaire.
After you have created a questionnaire, you can use it to rate and classify your contacts. You can also set up
questions that are rated automatically based on information in the contact card.
NOTE
If you enter a question that is automatically answered, choose Line , and then choose Question Details , to enter the
criteria to automatically answer the question.
Apply questionnaires to contacts

You can apply your questionnaires to contacts manually. Just open the relevant contact card, and then choose
the Profile action. Then, once you have applied the questionnaires that you want to apply, you can start using
the categories in your campaigns.
The Automatic Classification of Contacts

You can automatically classify your contacts according to customer, vendor, and contact information, by setting
up automatically answered profile questions on the Profile Questionnaire Setup page.
NOTE
Only contacts that are recorded as customers can be assigned a classification based on customer data and only contacts
that are recorded as vendors can be assigned a classification based on vendor data. The automatic classification is not
updated automatically. Consequently, you may want to update the profile questionnaires, after you have updated the
customer, vendor or contact data they are based on.
After you have set up automatically answered profile questions, if you assign the profile questionnaire
containing these questions to a contact, Business Central will automatically assign the right answers for the
contact.
Example
You can classify your contacts according to how much they bought from you:
A N SW ER A P P L IES TO
A contacts who bought for 500,000 LCY or more
B contacts who bought for 100,000 up to 499,999 LCY
C contacts who bought for 99,999 LCY or less

To do this, fill on the Profile Questionnaire Setup page as follows:
A UTO M AT IC
TYPE DESC RIP T IO N C L A SSIF IC AT IO N F RO M VA L UE TO VA L UE
Question ABC Classification Click to insert a

check mark
Answer A 500,000
Answer B 100,000 499,999
Answer C 99,999
Then fill on the Profile Question Details page as follows:
F IEL D VA L UE
Customer Classification Field Sales (LCY)
Classification Method Defined Value
When you assign the profile questionnaire containing this question to a contact, application automatically enters
the relevant answer for this contact on the profile lines of the contact card.
See Also
Creating Contacts
Use Dynamics 365 Sales from Business Central
If you use Dynamics 365 Sales for customer engagement, you can enjoy seamless integration in the lead-to-
cash process by using Business Central for backend activities such as processing orders, managing inventory,
and doing your finances.
Before you can use the integration capabilities, your system administrator must set up the connection and
define users in Dynamics 365 Sales. For more information, see Integrating with Dynamics 365 Sales.
NOTE
These steps describe the process of integrating online versions of Dynamics 365 Sales and Business Central. For
information about on-premises configuration, see Preparing Dynamics 365 Sales for Integration on-premises.
Integrating the applications lets you access data in Sales from Business Central, and in some cases the other way
around. You can work with and synchronize data that both services have in common, such as customers,
contacts, and sales information, and keep the data up to date in both applications.
For example, a sales person in Dynamics 365 Sales can use the price lists from Business Central when they
create a sales order. When they add the item to the sales order line in Dynamics 365 Sales, they can see the
inventory level (availability) of the item from Business Central.
Conversely, order processors in Business Central can handle sales orders that are automatically or manually
transferred from Dynamics 365 Sales. For example, they can create and post sales order lines for items or
resources that were entered in Dynamics 365 Sales as write-in products. For more information, see Handling
Sales Order Data.
IMPORTANT
Business Central integrates only with Dynamics 365 Sales. Other Dynamics 365 applications that change the standard
workflow or data model in Dynamics 365 Sales, for example Project Service Automation, can break the integration
between Business Central and Dynamics 365 Sales.
Coupling Records
The assisted setup guide lets you choose the data to synchronize. Later, you can also set up synchronization for
specific records. This is referred to as coupling. For example, you can couple a specific account in Dynamics 365
Sales with a specific customer in Business Central. This section describes what to take into consideration when
you couple records.
For example, if you want to see accounts in Dynamics 365 Sales as customers in Business Central, you must
couple the two types of records. To do that, on the Customers list page in Business Central, use the Set Up
Coupling action. Then specify which Business Central customers to match to which accounts in Dynamics 365
Sales.
You can also create (and couple) an account in Dynamics 365 Sales based on, for example, a customer record in
Business Central using Create Account in Dynamics 365 Sales , or vice versa, using Create Customer in
Business Central .
When you set up coupling between two records, you can also manually request current record, for example a
customer, to be overwritten immediately by account data from Sales (or from Business Central) using
Synchronize Now action. Synchronize Now action which will ask whether to overwrite Sales or Business
Central record data.
In some cases you must couple certain sets of data before other sets of data, as shown in the following table.
DATA W H AT TO C O UP L E F IRST
Customers and accounts Couple salespeople with Dynamics 365 Sales users
Items and resources Couple units of measure with Dynamics 365 Sales unit
groups
Items and resource prices Couple customer price groups with Dynamics 365 Sales
prices
NOTE
If your prices or customers use foreign currencies, make sure that you couple currencies to Sales transaction currencies.
In Dynamics 365 Sales, sales orders depend on information such as customers, units of measure, currencies,
customer price groups, and items and/or resources. For the integration with sales orders to work you must
couple customers, units of measure, currencies, customer price groups, and items and/or resources.
Fully Synchronizing Records

At the end of the assisted setup guide you can choose the Run Full Synchronization action to start
synchronizing all Business Central records with all related records in Dynamics 365 Sales. On the Dynamics
365 Sales Full Synch Review page, you choose the Star t action. Full synchronization can take some time to
complete, but you can continue to work in Business Central while it runs in the background.
To check the progress of individual jobs in a full synchronization, on the Dynamics 365 Sales Full Synch
Review page choose an record to view details. To update the status during synchronization, refresh the page.
From the Microsoft Dynamics 365 Connection Setup page, you can get details about full synchronization
at any time. From here, you can also open the Integration Table Mappings page to see details about the
tables in Business Central and Sales that must be synchronized.
Handling Sales Order Data

Sales orders that people submit in Dynamics 365 Sales will be automatically transferred to Business Central if
you select the Automatically Create Sales Orders check box on the Microsoft Dynamics 365
Connection Setup page. Alternatively, you can manually convert submitted sales orders from Dynamics 365
Sales by using the Create in Business Central action available on Sales Orders - Dynamics 365 for Sales
page. On such sales orders, the Name field on the original order is transferred and mapped to the External
Document Number field on the sales order in Business Central.
This can also work if the original sales order contains write-in products, meaning items or resources that are not
registered in either app. In that case, you must fill in the Write-in Product Type and Write-in Product No.
fields on the Sales & Receivables Setup page so that sales of non-registered products are mapped to a
specified item or resource number.
NOTE
You cannot map a write-in to an item or resource in Business Central that is coupled with a product in Dynamics 365
Sales. To allow for write-ins, we recommend that you create an item or resource specifically for that purpose, and do not
couple it with a product in Dynamics 365 Sales.
If the description of the item on the original sales order is long, an additional sales order line of the type
Comment is created to hold the full text on the sales order in Business Central.
Updates to fields on sales order headers, such as the Last Shipment Date or Requested Delivery Date fields, that
are mapped in the SALESORDER-ORDER integration table mapping are periodically synchronized to
Dynamics 365 Sales. Processes such as releasing a sales order and shipping or invoicing a sales order are
posted to the sales order timeline in Dynamics 365 Sales. For more information, see Introduction to activity
feeds.
NOTE
Periodical synchronization based on the SALESORDER-ORDER integration table mapping will work only when sales
order integration is enabled. For more information, see Connection settings on the Sales Connection Setup Page. Only
sales orders created from submitted sales orders in Dynamics 365 Sales are synchronized. For more information, see
Enable Sales Order Processing Integration.
Handling Sales Quotes Data

Sales quotes that are activated in Dynamics 365 Sales will be transferred to Business Central if you select the
Automatically Process Quotes check box on the Microsoft Dynamics 365 Connection Setup page.
Alternatively, you can manually convert activated sales quotes from Dynamics 365 Sales by using the Process
in Business Central action on the Sales Quotes - Dynamics 365 Sales page. On such sales quotes, the
Name field on the original quote is transferred and mapped to the External Document Number field on the
sales order in Business Central. Also Effective To field on quote is transferred and mapped to the Quote Valid
Until field on sales quote in Business Central.
Sales quotes go through many revisions while they are being finalized. Both manual and automatic processing
of sales quotes in Business Central ensures that previous versions of sales quotes are archived before
processing new revisions of sales quotes from Dynamics 365 Sales.
When you choose Process in Business Central for a quote that is in state Won , a sales order is created in
Business Central only if a corresponding sales order is submitted in Dynamics 365 Sales. Otherwise, the quote is
only released in Business Central. If a corresponding sales order is submitted in Dynamics 365 Sales later, and a
sales order is created from it, the Quote No. is updated on the sales order and the quote is archived.
Handling Posted Sales Invoices, Customer Payments, and Statistics

After fulfilling a sales order, invoices will be created for it. When you invoice a sales order, you can transfer the
posted sales invoice to Dynamics 365 Sales if you select the Create Invoice in Dynamics 365 Sales check
box on the Posted Sales Invoice page. Posted invoices are transferred to Dynamics 365 Sales with the status,
Billed .
When the customer payment is received for the sales invoice in Business Central, the sales invoice status will be
changed to Paid with the Status Reason field set to Par tial , if partially paid, or Complete if completely paid,
when you choose the Update Account Statistics action on the customer page in Business Central. The
Update Account Statistics function will also refresh values, such as the Balance and Total Sales fields in the
Business Central Account Statistics FactBox in Dynamics 365 Sales. Alternatively, you can have the
scheduled jobs, Customer Statistics and POSTEDSALESINV-INV automatically run both of these processes in the
background.
Handling Sales Prices

NOTE
In 2020 release wave 2 we released streamlined processes for setting up and managing prices and discounts. If you're a
new customer using that version, you're using the new experience. If you're an existing customer, whether you are using
the new experience depends on whether your administrator has enabled the New sales pricing experience feature
update in Feature Management . For more information, see Enabling Upcoming Features Ahead of Time.
The steps to complete this process differ, depending on whether your administrator has enabled the new pricing
experience.
NOTE
If the standard price synchronization does not work for you, we recommend using integration customization capabilities.
For more information, see Customizing an Integration with Microsoft Dataverse.
Current Experience
New Experience
In the current pricing experience, Business Central synchronizes sales prices that:
Apply to all customers. Default sales price lists are created based on the price in the Unit Price field on
the Item Card page for the items.
Apply to a specific customer price group. For example, sales prices for your retail or wholesale customers.
To synchronize prices based on a customer price group, do the following:
1. Couple the items for which prices are set by the customer price group.
2. On the Customer Price Groups page, couple the customer price group by choosing Related , then
Dynamics 365 Sales , Coupling , and then Set up coupling . The coupling will create an active price
list in Business Central with the same name as the customer price group in Dynamics 365 Sales, and
automatically synchronize all items for which the customer price group defines the price.
See Also
Integrating with Dynamics 365 Sales
Overview of Sales and Sales Hub
Start a free trial!

Coupling and Synchronizing Records between
Dataverse and Business Central
This topic describes how to couple one or more records in Business Central with records in Dataverse or
Dynamics 365 Sales. Coupling records lets you view Dataverse information from Business Central, and vice
versa. The coupling also enables you to synchronize data between the records. You can couple existing records,
or create and couple new records.
NOTE
Coupling and synchronizing data is available only if your system administrator has created a connection between Business
Central and Dataverse or Dynamics 365 Sales. A quick way to check is to open the Customer card and look for the Set
Up Coupling action. If the action is available, the apps are connected.
Video Example
This video shows coupling and synchronizing data in the context of an integration with Dynamics 365 Sales.
To couple a record
1. In Business Central, open the card for the record you want to couple. For example, the Customer or
Contact card.
You can also just open the list page and select the record that you want to couple.
2. Choose the Set Up Coupling action.
3. Fill in the fields, and then choose OK .
To synchronize a single record

1. In Business Central, open the card for the record you want to couple. For example, the Customer or Contact
card.
2. Choose the Synchronize Now action.
3. If a record can be synchronized in one direction, select the option that specifies the direction of data update,
and then choose OK .
To synchronize a single record from Dynamics 365 Sales

1. In Dynamics 365 Sales, open the form for the record you want to couple. For example, the Account card or
Contact card form.
2. Choose the Business Central action in the ribbon to open and couple record automatically.
NOTE
You can synchronize a single record from Dynamics 365 Sales automatically only when Sync. Only Coupled Records is
disabled and the synchronization direction is set to Bidirectional or From Integration Table on the Integration Table
Mapping page for the record. For more information, see Mapping the Tables and Fields to Synchronize.
To couple multiple records using match-based coupling

You can specify the data to synchronize for an entity, such as a customer or contact, by coupling records based
on matches. You can refine the matches by making the search case sensitive, and assigning a priority for each
match. If no match is found, you can also specify that you want to create the entity in Dataverse. For more
information, see Customize the Match-Based Coupling.
1. In Business Central, open the list page for the record, such as the Customers or Contacts list pages.
2. Choose the Match-Based Coupling action.
To synchronize multiple records

1. In Business Central, open the list page for the record, such as the Customers or Contacts list pages.
2. Select the records that you want to synchronize, and then choose the Synchronize Now action.
3. If records can be synchronized in one direction, select the option that specifies the direction, and then choose
OK .
Uncoupling Records
You can uncouple one or more records from list pages or the Coupled Data Synchronization Errors page by
choosing one or more lines and choosing Delete Coupling . You can also remove all couplings for one or more
table mappings on the Integration Table Mappings page.
See Also
View the Status of Synchronization Jobs
Use the Coupled Data Synchronization Errors page to view the status of synchronization jobs that have
been run for coupled records in a Dataverse or Dynamics 365 Sales integrations. This includes jobs that were
run from the job queue and manual synchronization jobs that ran on records from Business Central. For
example, viewing their status is helpful when troubleshooting because it gives you access to details about errors
related to coupled records. Typically, these types of errors are caused by user actions, for example, when:
Two people made a change to the same data in both business apps.
Someone deleted data in one of the apps, but not both.
NOTE
The Coupled Data Synchronization Errors page shows information about jobs related to coupled records. If you
resolve all of the errors but records are still not synchronizing, it might have something to do with a setting for the
integration. Typically, your administrator will need to resolve those types of errors.
Example
This video shows an example of how to troubleshoot errors that happened while synchronizing with Dataverse.
The process will be the same for all integrations.
To view and resolve synchronization errors for coupled records

1. Choose the icon, enter Coupled Data Synchronization Errors , and then choose the related link.
2. The Coupled Data Synchronization Errors page shows issues that occurred when you synchronized
coupled records. The following table includes actions that you can use to resolve issues one by one:
Remove Coupling Uncouples the records and they will no longer synchronize.
To restart the synchronization you must couple them again.
Retr y and Retr y All For each record where an error is found, synchronization is
skipped unless you fix the issue. Retry will include the
selected record in the next synchronization, and Retr y All
includes all of the records.
Synchronize The app will try to resolve a conflict where data was changed
in both business apps. You can choose the data to use.
Restore Records and Delete Records These are useful when a record was deleted in one of the
business apps. Delete Records deletes the record or row in
the app where it still exists. Restore Records recreates the
record or row in the business app where it was deleted.
NOTE
To reduce the number of conflicts you need to resolve, you can set up your integration table mappings to apply these
actions automatically. For more information, Mapping Integration Tables.
To view the synchronization log for a specific (manually synchronized)

record
1. Open, for example, a customer, item or any other record that is synchronizing data between Business Central
and Dataverse or Dynamics 365 Sales.
2. Choose the Synchronization Log action to view the synchronization log for a selected record. For example,
a specific customer you synchronized manually.
Remove Couplings Between Records

When something goes wrong in your integration and you need to uncouple records to stop synchronizing them,
you can do so for one or more records at a time. You can uncouple one or more records from list pages or the
Coupled Data Synchronization Errors page by choosing one or more lines and choosing Delete Coupling .
You can also remove all couplings for one or more table mappings on the Integration Table Mappings page.
If an entity with a unidirectional coupling is deleted in Business Central, you must manually delete the broken
coupling. To do that, on the Coupled Data Synchronization Errors page, choose the Find for Deleted
action, and then delete the couplings.
See Also
Setting Up User Accounts for Integrating with Dynamics 365 Sales
Manage Human Resources
In Business Central, you can keep detailed records of your employees. You can register and maintain employee
information, such as employment contracts, confidential information, qualifications, and employee contacts.
You can also register employee absences, which allows you to analyze registered absences as necessary.
To start using the Human Resources functionality, you must set up employees and other basic information. You
can then associate various codes to an employee, which allows you to filter information for specific employees.
TO SEE
Register new employees or edit records for existing Register Employees

employees, and attach related information, such as contracts
and articles.
Record employees' absence and view absence statistics by Manage Employee Absence
various filters.
See Also
Finance
Register Employees
To use the Human Resources functionality, you must first add each employee by filling out the fields on the
Employee Card page.
Adding new employees

You can add new employees manually, by filling out the fields on the Employee Card page, or you can use
templates that contain predefined information. For example, you can create a templates for different types of
employee profiles. Using templates saves time when adding new employees, and helps ensure that the
information is correct each time. If you create templates for more than one type of employee, you can choose
the template to use when you add an employee. If you create only one template it will be used for all new
employees. After you create a template, you can use the Apply Template action to apply it to one or more
selected employees. To create a template, you fill in the information that you want to reuse on the Employee
Card page, and then save it as a template.
TIP
It can be helpful to personalize the Employee Template page when you create a template. For example, you might want
to add a field that is not already displayed on the page. For more information, see Personalize Your Workspace.
You can modify an employee's details at any time. Keeping employee records up-to-date can simplify personnel-
related tasks. For example, if an employee's address changes, you register this on the Employee Card page.
NOTE
You can reimburse employees for their expenses during business activities. For this purpose, you must fill in the fields on
the Payments FastTab on the Employee Card page. For more information, see Record and Reimburse Employees'
Expenses.
To set up an employee
1. Choose the icon, enter Employees , and then choose the related link.
3. On the Employee Card page, fill in the fields as necessary. Hover over a field to read a short description.
To insert a picture of an employee

If you have a picture of an employee, you can insert it on the employee card.
2. Open the card for the relevant employee.
3. In the Employee Picture FactBox, choose the drop-down button, and then choose Impor t .
4. On the Select a picture to upload page, choose the Choose button.
5. Select the file, and then choose Open .
The picture is inserted in the Employee Picture FactBox.
To register various information about an employee
On the employee card, you can set up information, such as union membership, relatives, and contracts for the
employee. The following describes how to set up an alternate address. The steps are similar for all other
information that you can set up from an employee card.
You can use alternate addresses to keep track of your employees’ location, for example if they are stationed
abroad, on a long business trip, or residing at a summer residence.
2. Open the card for the relevant employee.
3. Choose the Alternate Addresses action.
4. In the Alternate Address List page, fill in the fields as necessary.
5. Repeat step 4 for each alternate address.
See Also
Finance
Manage Employee Absence
To manage an employee's absence, you must record the absence on the Absence Registration page. It can
then be viewed in different ways for analysis and reporting needs.
You can view employee absence in two different pages:
The Absence Registration page, where you register all employee absences with a line for each absence.
The Employee Absences page, where the absences for one employee only is shown. This is the information
that you entered on the Absence Registration page, filtered by the particular employee.
To obtain meaningful statistics, you should always use the same unit of measure (hour or day) when registering
employee absences.
To register employee absence

You can register employee absences on a daily basis or at some other interval that meets your organizational
needs.
1. In the top right corner, choose the Search for Page or Repor t icon, enter Absence Registration , and
3. Fill in a line for each employee absence you want to register.
4. Close the page.
TIP
To obtain meaningful statistics, always use the same unit of measure, hour or day, when registering employee
absences.
To view an individual employee's absence

1. In the top right corner, choose the Search for Page or Repor t icon, enter Employees , and then choose
the related link.
2. Select the relevant employee, and then choose the Absences action.
The Employee Absences page opens showing all the absences and the date on which they started and
ended.
To view an employee's absence by categories

1. In the top right corner, choose the Search for Page or Repor t icon, enter Employees , and then choose
the related link.
2. Select the relevant employee, and then choose the Absences by Categories action.
3. On the Empl. Absences by categories page, fill in the filter fields as necessary, and then choose the
Show Matrix action.
The Empl. Absences by Cat. Matrix page opens showing all absences, broken down by causes of
absence.
To view all employee absences by category

2. On the Absence Registration page, choose the Over view by Categories action.
3. On the Absence Over view by Categories page, set a filter in the Employee No. Filter field to view
employee absences for individual or a defined group of employees.
The Absence Over view by Categories Matrix page opens showing all employees’ absences broken
down by the various causes of absence.
To view all employee absences by period

then choose the related link. On the Absence Registration page, choose the Over view by Periods
action.
2. On the Absence Over view by Periods page, set a filter in the Cause of Absence Filter field to view
employee absences for specified causes of absence.
The Abs. Over view by Periods Matrix page opens showing employee absences broken down by
periods.
See Also
Manage Human Resources
Finance
Planning
The production operations required to transform inputs into finished goods must be planned daily or weekly
depending on the volume and nature of the products. Business Central offers features to supply for anticipated
and actual demand from sale, assembly, and production as well as features for distribution planning using
stockkeeping units and location transfers.
NOTE
This topic mainly describes planning for companies involved in manufacturing or assembly management where the
resulting supply orders can be either production, assembly, transfer, or purchase orders. The main interface for this
planning work is the Planning Worksheet page.
Business Central also supports supply planning for wholesale companies where the resulting supply orders can only be
transfer and purchase orders. The main interface for this planning work is the Requisition Worksheet page, which is
described indirectly in this topic as most planning functionality applies to both worksheets.
Planning can be seen as the preparation of required supply orders in the purchasing, assembly, or
manufacturing departments to fulfill sales or end-item demand. For more information, see Purchasing,
Assembly Management, and Manufacturing.
TO SEE
Get a brief introduction to how the planning system can be About Planning Functionality
used to detect and prioritize demand and suggest a
balanced supply plan.
Understand how all aspects of the planning system work Design Details: Supply Planning
and how to adjust the algorithms to meet planning
requirements in different environments.
Learn how the planning logic differentiates between demand Planning With or Without Locations
at locations according to the SKU setup and demand
without location codes.
Forecast demand presented by expected sales and Create a Demand Forecast

production components.
Create one-to-one or project production orders from a sales Create Production Orders from Sales Orders
order to cover the exact demand of that sales order.
Use the Order Planning page to manually plan for sales or Plan for New Demand Order by Order
production demand one production BOM level at a time.
Use the Planning Worksheet page to run both the MPS Run Full Planning, MPS or MRP
and MRP options to automatically create either a high-level
or detailed supply plan at all item levels.
TO SEE
Use the Requisition Worksheet page to automatically Requisition worksheet

create a detailed supply plan to cover demand for items that
are replenished by purchase or transfer only.
Initiate or update a production order as rough-scheduled Replan or Refresh Production Orders Directly
operations in the master production schedule.
Recalculate work or machine center calendars due to To calculate a work center calendar
planning changes.
Track the order demand (tracked quantity), forecast, blanket Track Relations Between Demand and Supply
sales order, or planning parameter (untracked quantity) that
has given rise to the planning line in question.
View an item's projected available inventory by different View the Availability of Items
views and see which gross requirements, planned order
receipts, and other events influence it over time.

See also
Setting Up Manufacturing
Manufacturing
Inventory
Purchasing
Start a free trial!

The planning system takes all demand and supply data into account, nets the results, and creates suggestions
for balancing the supply to meet the demand.
For detailed information, see Design Details: Supply Planning.
NOTE
For all the fields that are mentioned in this topic, read the tooltip to understand their function. Hover over a field to read
a short description.
Demand and Supply

Planning has two elements: demand and supply. These must be held in balance to ensure that the demand is
met in a timely and cost-efficient manner.
Demand is the common term used for any kind of gross requirement such as a sales order, service order,
component need from assembly or production orders, outbound transfer, blanket order or forecast. In
addition to these, application allows some other technical types of demand - such as a negative production
or purchase order, negative inventory, and purchase return.
Supply is the common word used for any kind of replenishment such as inventory, a purchase order,
assembly order, production order, or inbound transfer. Correspondingly, there can be a negative sales or
service order, negative component need or sales return – all of which in some way also represent supply.
Another goal of the planning system is to ensure that the inventory does not grow unnecessarily. In the case of
decreasing demand, the planning system will suggest that you postpone, decrease in quantity, or cancel existing
Planning Calculation
The planning system is driven by anticipated and actual customer demand, as well as inventory reordering
parameters. Running the planning calculation will result in application suggesting specific actions (Action
Messages) to take concerning possible replenishment from vendors, transfers between warehouses, or
production. If replenishment orders already exist, the suggested actions could be to increase or expedite the
orders to meet the changes in demand.
The basis of the planning routine is in the gross-to-net calculation. Net requirements drive planned order
releases, which are scheduled based on the routing information (manufactured items) or the item card lead time
(purchased items). Planned order release quantities are based on the planning calculation, and are affected by
the parameters set on the individual item cards.
TIP
The planning system relies on how your organization uses locations. For more information, see Planning With or Without
Locations.
Planning with Manual Transfer Orders

As you can see from the Replenishment System field on a SKU card, the planning system can be set up to
create transfer orders to balance supply and demand across locations.
In addition to such automatic transfer orders, you may sometimes need to perform a general move of inventory
quantities to another location, irrespective of existing demand. For this purpose you would manually create a
transfer order for the quantity to move. To ensure that the planning system does not try to manipulate this
manual transfer order, you must set the Planning Flexibility on the transfer line(s) to None.
Contrarily, if you do want the planning system to adjust the transfer order quantities and dates to existing
demand, you must set the Planning Flexibility field to the default value, Unlimited.
Planning Parameters
The planning parameters control when, how much, and how to replenish based on the various settings on the
item card (or stockkeeping unit - SKU), and the manufacturing setup.
The following planning parameters exist on the item or SKU card:
Dampener Period
Dampener Quantity
Reordering Policy
Reorder Point
Maximum Inventory
Overflow Level
Time Bucket
Rescheduling Period
Reorder Quantity
Safety Lead Time
Safety Stock Quantity
Assembly Policy
Manufacturing Policy
The following order modifiers exist on the item or SKU card:
Minimum Order Quantity
Order Multiple
Global planning setup fields on the Manufacturing Setup page include:
Dynamic Low-Level Code
Current Demand Forecast
Use Forecast on Locations
Default Safety Lead Time
Blank Overflow Level
Combined MPS/MRP Calculation
Components at Location
Default Dampener Period
Default Dampener Quantity
For more information, see Design Details: Planning Parameters
Other Important Planning Fields
On most supply orders, such as production orders, you can select Unlimited or None in the Planning
Flexibility field on the lines.
This specifies whether the supply represented by the production order line is considered by the planning system
when calculating action messages. If the field contains Unlimited , then the planning system includes the line
when calculating action messages. If the field contains None , then the line is firm and unchangeable, and the
planning system does not include the line when calculating action messages.
Warning
The Warning information field on the Planning Worksheet page informs you of any planning line created for
an unusual situation with a text, which the user can choose to read additional information. The following
warning types exist:
Emergency
Exception
Attention
Emergency
The inventory is negative on the planning starting date.
Back-dated supply or demand events exist.
If an item's inventory is negative on the planning starting date, the planning system suggests an emergency
supply order for the negative quantity to arrive on the planning starting date. The warning text states the
starting date and the quantity of the emergency order.
Exception
item's safety stock quantity and the date on which it is violated.
been set correctly.
NOTE
Supply on planning lines with Exception warnings is normally not modified according to planning parameters. Instead, the
planning system only suggests a supply to cover the exact demand quantity. However, you can set the planning run up to
respect certain planning parameters for planning lines with certain warnings. For more information, see the description for
the Respect Planning Parameters for Exception Warnings field in the Run Full Planning, MPS or MRP article.
Attention
The attention warning is displayed in two situations:
The planning line suggests to change a released purchase or production order.
NOTE
Planning worksheets and requisition worksheets

As described in Planning, you can choose between two worksheets for most planning activities, the planning
worksheet and the requisition worksheet. Most processes are described based on the planning worksheet, but
there are a couple of scenarios where the requisition worksheet is preferred.
Requisition worksheet
The Requisition Worksheet page lists items that you want to order. You can enter items in the worksheet in
the following ways:
Enter the items manually in the worksheet and fill in the relevant fields.
Use the Calculate Plan batch job. This calculates a replenishment plan for items and stockkeeping units
that have been set up with a replenishment system of Purchase or Transfer . When you use this batch
job, the program automatically fills in the Action Message field with a suggestion for an action you can
take to replenish the item. This could be increasing the item quantity on an existing order or creating a
new order, for example.
If you have used the Calculate Plan batch job from the Planning Worksheet page to calculate a
replenishment plan, you can use the Carr y Out Action Message batch job to copy purchase and
transfer order proposals from the planning worksheet to the requisition worksheet. This is practical if
separate users are responsible for handling production orders and purchase/transfer orders.
You can use the Drop Shipment action to fill in the requisition worksheet lines. This action uses the Get
Sales Orders batch job to determine the sales order lines that you want to designate for a drop
shipment.
You can use the Special Order action to fill in the requisition worksheet lines. This action uses the Get
Sales Orders batch job to determine the sales order lines that you want to designate for a special order.
Requisition worksheet lines contain detailed information about the items that need to be reordered. You can edit
and delete the lines to adjust your replenishment plan, and you can further process the lines by using the Carr y
Out Action Message batch job.
For details about planning with locations and transfers, see Planning With or Without Locations.

See also
Planning
Manufacturing
Inventory
Purchasing
Planning With or Without Locations
Concerning planning with or without location codes on demand lines, the planning system operates in a straight
forward way when:
demand lines always carry location codes and the system fully uses stockkeeping units, including the
relevant location setup.
demand lines never carry location codes and the system does not use SKUs or any location setup (see last
scenario below).
However, if demand lines sometimes have location codes and other times do not, the planning system will
follow certain rules depending on setup.
TIP
If you often plan for demand at different locations, then we recommend that you use the Stockkeeping Units capability.
Demand at Location
When the planning system detects demand at a location (a line with a location code), it will behave in different
ways depending on 3 critical setup values.
During a planning run, the system checks for the 3 setup values in sequence and plans accordingly:
1. Is there a check mark in the Location Mandator y field in the Inventor y Setup page?
If yes, then:
2. Does SKU exist for the item?
If yes, then:
If no, then:
3. Does the Components at Location field in the Manufacturing Setup page contain the demanded
location code?
If yes, then:
If no, then:
The item is planned according to: Reordering Policy = Lot-for-Lot, Include Inventory = Yes, all other
planning parameters = Empty. (Items using reordering policy Order remain using Order as well as the
other settings.)
NOTE
This minimal alternative only covers the exact demand. Any planning parameters defined are ignored.
See variations in the scenarios below.
TIP
The Locations Mandator y field in the Inventor y Setup page and the Components at Location field in the
Manufacturing Setup page are very important in governing how the planning system handles demand lines with/without
location codes.
For production demand that is purchased (when the planning engine is used solely for purchase planning and not for
production planning), Business Central will use the same location for components as the one stated on the production
order. However, by filling in this field, you can redirect the components to another location.
You can also define this for a specific SKU by selecting a different location code in the Components at Location field on
the SKU card. Note, however, that this rarely makes sense as the planning logic may be distorted when planning for the
SKU component.
Another important field is the Maximum Order Quantity field on the Item card. It specifies a maximum
allowable quantity for an item order proposal and is used if the item is delivered in a fixed transportation unit,
such as a container, which you want to be fully utilized, for example. Once the need for replenishment has been
detected and the lot size has been adjusted to meet the specified reordering policy, the quantity is decreased if it
is required to meet the maximum order quantity that you define for the item. If additional requirements remain,
then new orders are calculated to meet them. You generally use this field with a make-to-stock manufacturing
policy.
Demand at "Blank Location"

Even if the Location Mandator y check box is selected, the system will allow demand lines to be created
without a location code – also referred to as BLANK location. This is a deviation for the system because it has
various setup values tuned to dealing with locations (see above) and as a result, the planning engine will not
create a planning line for such a demand line. If the Location Mandator y field is not selected but any of the
location setup values exist, then that is also considered a deviation and the planning system will react by
outputting the "minimal alternative":
The item is planned according to: Reordering Policy = Lot-for-Lot ( Order remains Order), Include Inventory =
See variations in the setup scenarios below.
Setup 1:
SKU is set up for RED
Component at Location = BLUE
The item is planned according to planning parameters on the SKU card (including possible transfer).
Case 1.3: Demand is at GREEN location
The item is not planned because no location is defined on the demand line.
Setup 2:
No SKU exists
Setup 3:
No SKU exists
Setup 4:
No SKU exists
Component at Location = BLANK
As you can see from the last scenario, the only way to get a correct result for a demand line without a location
code is to disable all setup values relating to locations. Similarly, the only way to get stable planning results for
demand at locations is to use stockkeeping units.
Therefore, if you often plan for demand at locations, then we recommend that you use the Stockkeeping Units
capability.
See Also
Planning
Manufacturing
Inventory
Set Up Stockkeeping Units
Purchasing
Create a Demand Forecast
You can create sales and production forecasts with the Demand Forecasts list page. Then, for each forecast,
you specify various settings for that forecast in the Demand Forecast Over view page.
Forecasting functionality is used to create anticipated demand; actual demand is created from sales and
production orders. During creation of the Master Production Schedule (MPS), the forecast is netted against the
sales and production orders. The Forecast Type field on the forecast determines which type of requirements to
take into consideration in the netting process. If the forecast is for a sales item, only sales orders net the forecast.
If it is for components, only dependent demand from production order components net the forecast.
Forecasting allows your company to create "what if" scenarios and efficiently and cost-effectively plan for and
meet demand. Accurate forecasting can make a critical difference in customer satisfaction levels with regard to
order promising dates and on-time delivery.
With 2022 release wave 1, you can also define the right level of details in the Forecast by Location and
Forecast by Variant fields in the Demand Forecast Over view page. Filters and other settings are stored in
the Demand Forecast Name table. So you can easily stop and continue your work later. If your organization
has been updated to 2022 release wave 1, you must switch on the new experience in the Feature Management
page.
Sales Forecasts and Production Forecasts

The forecasting functionality in application can be used to create sales or production forecasts, in combination
or independently. For example, most make-to-order companies do not carry finished goods inventory, because
each item is produced when it is ordered. Anticipating orders (sales forecasting) is critical for a reasonable
turnaround time on the finished goods (production forecasting). As an example, component parts with lengthy
delivery times, if not on order or on inventory, can delay production.
The sales forecast is the sales department's best guess at what will be sold in the future, and is specified by
item and by period. However, the sales forecast is not always adequate for production.
The production forecast is the production planner's projection of how many end items and derived
subassemblies to produce in specific periods to meet the forecasted sales.
In most cases, then, the production planner modifies the sales forecast to fit the conditions of production, yet
still satisfies the sales forecast.
You create forecasts manually on the Demand Forecast page. Multiple forecasts can exist in the system, and
are differentiated by name and type. Forecasts can be copied and edited as necessary.
NOTE
Only one forecast is valid for planning purposes at any time.
The forecast consists of a number of records each stating item number, forecast date, and forecasted quantity.
The forecast of an item covers a period, which is defined by the forecast date and the forecast date of the next
(later) forecast record. From a planning point of view, the forecasted quantity should be available at the start of
the demand period.
You must designate a forecast as Sales Item, Component, or Both. The forecast type Sales Item is used for sales
forecasting. The production forecast is created using the Component type. The forecast type Both is only used to
give the planner an overview of both the sales forecast and the production forecast. With this option, the
forecast entries are not editable. By designating these forecast types here, you can use the same worksheet to
enter a sales forecast as you do a production forecast, and use the same sheet to view both forecasts
simultaneously. Note that the system treats the different inputs (sales and production) differently when
calculating planning, based on item, manufacturing, and production setup.
Component Forecast
The component forecast can be seen as an option forecast in relation to a parent item. This can, for example, be
useful if the planner can estimate the demand for the component.
Because the component forecast is designed to define options for a parent item, the component forecast should
be less than or equal to the sales item forecast quantity. If the component forecast is higher than the sales item
forecast, the system treats the difference between these two types of forecasts as independent demand.
Forecasting Periods
The forecast period is valid from its starting date until the date the next forecast starts. The time interval page
gives you multiple choices to insert the demand at a specific date in a period. It is therefore recommended not
to change the forecast period scope unless you want to move all forecast entries to the starting date of this
period.
Forecast by Locations
On the Manufacturing Setup page you can specify whether you want to consider the locations that are
defined on forecasts when you calculate plans.
Use forecast by locations
If you turn on the Use Forecast by Location toggle, Business Central will respect any location codes that are
specified for each demand forecast entry and calculate the remaining forecast for each location.
Consider this example: Your company purchases and sells items on two locations: EAST and WEST. For both
locations, you have configured a lot-to-lot reordering policy. You create a forecast for the two locations:
10 pieces for location EAST
4 pieces for location WEST
Then, you create a sales order with a quantity of 12 on location WEST. The planning system will suggest that you
do the following:
Replenish 10 pieces for location EAST, based on data from the forecast.
Replenish 12 pieces for location WEST, based on the sales order. The four pieces that were specified in the
forecast are fully consumed by the actual demand of the sales order. For more information, see Forecast
Demand is Reduced by Sales Orders.
NOTE
If location-based forecasts are viewed in isolation, the overall forecast might not be representative.
Do not use forecast by locations

If you turn off the Use Forecast by Location toggle, Business Central will ignore the location codes that are
specified for each demand forecast entry and aggregate the forecasts into a forecast for empty locations.
Consider this example: Your company purchases and sells items on two locations: EAST and WEST. For both
locations, you have configured a lot-to-lot reordering policy. You create a forecast for the two locations:
10 pieces for location EAST
4 pieces for location WEST
Then, you create a sales order with a quantity of 12 on location WEST. The planning system will suggest that you
do the following:
Replenish 12 pieces for location WEST, based on the sales order.
Replenish 2 pieces for the empty location. The 10 and 4 pieces that were specified in the forecast are partially
consumed by the actual demand of the sales order. Business Central ignored the location codes that were
specified by the user and uses a blank location instead.
NOTE
You can set a filter by locations, but location-based results might not match planning results without filters.
To create a demand forecast

1. Choose the icon, enter Demand Forecast , and then choose the related link.
2. On the General FastTab, select a forecast in the Demand Forecast Name field. Multiple forecasts can exist
and are differentiated by name and forecast type.
3. In the Location Filter field, select the location to which this forecast will apply.
4. In the View by field to change the period that is displayed in each column. You can select from the following
intervals: Day , Week , Month , Quar ter , Year , or the Accounting Period as set up in your finance area.
NOTE
You should consider which time interval that you want to use for future forecasts so that the time interval is consistent
throughout. When you enter a forecast quantity, it is valid on the first day of the time interval that you select. For
example, if you select a month, then you enter the forecast quantity on the first day of the month. If you select a quarter,
then you enter the forecast quantity on the first day of the first month in the quarter.
5. In the View as field, select how the forecast quantities are shown for the time interval. If you select Net
Change , then the net change in balance is displayed for the time interval. If you select Balance at Date ,
then the page displays the balance as of the last day in the time interval.
6. In the Forecast Type field, select Sales Item , Component , or Both . If you select Sales Item or
Component , then you can edit the quantity by period. If you select Both , then you cannot edit the quantity,
but you can choose the drop-down arrow button and view the demand forecast entries.
7. Specify a Date Filter if you want to limit the amount of data displayed.
8. On the Demand Forecast Matrix FastTab, enter the forecasted quantities by typing a quantity in the cell
representing an item on a particular date or period. Note that in empty cells, the lookup button opens an
empty page indicating that you must enter a value manually.
NOTE
You can also edit an existing forecast. On the Demand Forecast Matrix page, choose the Copy Demand Forecast
action and populate the Demand Forecast page with an existing forecast. You can then edit quantities as appropriate.
See Also
Manufacturing Inventory
Purchasing
Create Production Orders from Sales Orders
You can create production orders for produced items directly from sales orders.
To create a production order from a sales order

2. Select the sales order you want to create a production order for.
3. Choose the Planning action. On the Sales Order Planning page, you can view the availability of the sales
order item.
4. Choose the Create Prod. Order action.
5. Select the status and order type.
6. Choose the Yes button to create one or more production orders for the lines that have Prod. Order in their
Replenishment System field.
NOTE
Demand lines in the created production order that have Prod. Order in their Replenishment System field represent
underlying production orders. After you have generated these production orders, remember to identify any unfulfilled
component demand for them using the Order Planning page or the Replan function from created orders.
Order type
You can choose between two ways to create the production orders as outlined in the following table.
Item Order One production order is created for each needed production
order that is represented by a line in the Sales Order
Planning window.
Project Order One production order is created for all needed production
orders order that are represented by lines in the Sales
Order Planning window.
When you use project orders, the Source Type field of the production order contains Sales Header and the
order has multiple lines, one for each sales line item that must be produced.
See Also
Manufacturing
Inventory
Purchasing
Plan for New Demand Order by Order
This planning task can be performed on the Order Planning page, which displays all new demand along with
availability information and suggestions for supply. It provides the visibility and tools needed to effectively plan
demand from sales lines and component lines and then create different types of supply orders directly.
You can enter the Order Planning page in two ways depending on your focus: From an order that you want to
plan for specifically or in batch mode because you want to plan for all and any new demand.
To plan for new production order demand

1. Choose the icon, enter Planned Production Orders , and then choose the related link. (You can perform
these steps for planned, firm planned, or released production orders).
2. Open the production order you want to plan for, and then choose the Planning action.
3. On the Order Planning page, choose the Calculate Plan action.
The page displays planning lines according to the view filter Production Demand , meaning unfulfilled
component lines of all existing production orders. Demand for only the one production order is not shown
because it is necessary to plan for one production order with an overview of demand for potentially earlier
components lines. Planning lines for the production order in context are expanded.
To plan for any new demand

1. Choose the icon, enter Order Planning , and then choose the related link.
2. On the Order Planning page, choose the Calculate Plan action.
3. Choose the Expand (+) button in front of the date in the Demand Date field to see the underlying
planning lines that represent demand lines with insufficient availability.
4. For each expanded planning line, that is, demand line, you can see values in information fields at the
bottom of the page.
Qty. on Other Locations Shows if the item exists on another location. You can
then look up and select it.
Substitutes Exist Shows if a substitute item is created for the item. You can
then look up and select it. Note that this feature only
applies to components, that is, from demand lines of
type Production .
Quantity Available Shows the total availability of the item, that is, the
Projected Available Balance.
Earliest Date Available Shows the arrival date of an inbound supply order that
can cover the needed quantity on a date later than the
demand date.
5. In the Replenishment System field, select which type of supply order to create.
The default value is that of the item card, or SKU card, but you can change it to one of three options:
Purchase Creates a purchase order.
Transfer Creates a transfer order.
Prod. Order Creates a production order.
In the Supply From field you must select a value according to the selected replenishment system.
NOTE
If the field is not filled in, the system will display an error message when you use the Make Supply Order
function, and no supply order will be created for the planning line in question. This, however, is not the case if the
replenishment system is Prod. Order .
6. From the Supply From field, you can look up in the relevant list and select where the supply should
come from:
If replenishment system is Purchase , the look-up button in this field looks up on the Item Vendor
Catalog page.
If replenishment system is Transfer , the look-up button in this field looks up on the Location List
page.
In case the item exists in another location, the Qty. on Other Location field at the bottom shows a value
and you can then look up and select the location from which the item should be supplied when you make
the transfer order.
If a substitute exists for the demanded item, the Substitute Exists field is set to Yes , and you can then
look up to the Item Substitution Entries page and select the substitute.
NOTE
Be aware that item substitutions will not automatically cause an item to be replaced by another item, for example
when creating a sales order or in a BOM. Instead, you will be alerted to the fact that a substitution is available to
you.
7. Select the Reser ve check box if you want to make a reservation between the supply order you are
creating and the demand line that it is created for. It is empty by default.
NOTE
You can only select this check box if the item has Optional or Always in the Reser ve field on its item card.
8. In the Qty. to Order field, you can enter the quantity that will go on the supply order you are creating.
The default value is the same quantity as that in the Needed Quantity field. But you may decide to order
more or less than this quantity based on your knowledge of the demand situation. If, for example, you see
on the Order Planning page that several unrelated demand lines are for the same purchased item, and
they are due around the same date, you can consolidate these by entering the total needed quantity in
the Qty. to Order field of one line, and then delete the other, obsolete planning lines for that item.
9. In the Due Date and Order Date fields, you can enter the dates that should apply to the created supply
orders.
These two fields are interrelated according to the Default Safety Lead Time field, which can be found
on the Manufacturing Setup page. By default, the due date is the same as the demand date, but you
can change this as you like.
NOTE
If you enter a date later than the demand date, you will receive a warning message.
To make supply orders

1. Choose the icon, enter Planned Production Orders , and then choose the related link. You can
perform these steps for a planned, firm planned, or released production order.
2. Open the production order you want to plan for, and then choose the Planning action.
3. Place the cursor on a relevant planning line, and then choose the Make Orders action.
4. On the Make Supply Orders page, on the Order Planning FastTab, in the Make Orders for field,
select one of the following options.
The Active Line Make a supply order only for the line where the cursor is
placed.
The Active Order Make supply orders for all lines in the order where the
cursor is placed.
All Lines Make supply orders for all lines on the Order Planning
page.
5. On the Options FastTab, define what kind of supply orders, or requisition worksheet lines, should be
made.
NOTE
The settings you last made on the Make Supply Orders page will be saved under your user ID so that they are
the same the next time you use the page.
6. Choose the OK button to make the suggested supply orders or requisition worksheet lines.
You have now planned for the unfulfilled demand by making respective supply orders. Details about specific
work flows when using the Order Planning page would depend on a company’s internal policies.
When you have finished your planning work on the Order Planning page, for example defined an alternative
way to supply the quantity, you can proceed to create supply orders for one or more of the planning lines.
NOTE
The supply orders you create may introduce new dependent demand, for example for underlying production orders, and
you should therefore choose Calculate Plan again to find and resolve this before moving down the list.
See Also
Planning
Manufacturing
Inventory
Purchasing
Register New Items
Run Full Planning, MPS, or MRP
The terms "running the planning worksheet" or "running MRP" refer to the calculation of the master production
schedule and material requirements based on actual and forecasted demand. The planning system can calculate
either Master Production Schedule (MPS) or Material Requirements Planning (MRP) on request, or it can
calculate both at the same time.
MPS is the calculation of a master production schedule based on actual demand and the demand forecast.
The MPS calculation is used for end items that have a forecast or a sales order line. These items are called
MPS items and are identified dynamically when the calculation starts.
MRP is the calculation of material requirements based on actual demand for components and the demand
forecast on the component level. MRP is calculated only for items that are not MPS items. The purpose of
MRP is to provide time-phased formal plans, by item, to supply the appropriate item, at the appropriate time,
in the appropriate location, in the appropriate quantity.
The planning algorithms used for both MPS and MRP are identical. The planning algorithms pertain to netting,
reuse of existing replenishment orders, and action messages. The planning system process examines what is
needed or will be needed (demand) and what is on-hand or expected (supply). When these quantities are netted
against each other, Business Central provides action messages. Action messages are suggestions to create a new
order, change an order (quantity or date), or cancel an order already on order. The term "order" includes
purchase orders, assembly orders, production orders, and transfer orders.
Links created by the planning engine between demand and its related supply can be tracked on the Order
Tracking page. For more information, see Track Relations Between Demand and Supply.
Proper planning results depend on the set up done on item cards, assembly BOMs, production BOMs, and
routings.
Methods for Generating a Plan

Calculate Regenerative Plan: This function processes or regenerates the material plan. This process starts
by deleting all planned supply orders that are currently loaded. All items in the database are replanned.
Calculate Net Change Plan : This function processes a net change plan. Items are considered in net change
planning from two types of changes:
Demand/supply changes: These include modifications to quantities on sales orders, demand
forecasts, assembly orders, production orders, or purchase orders. An unplanned inventory level
change is also considered a quantity change.
Planning parameter changes: These include changes in safety stock, reorder point, routing, bill of
material, and changes to the time bucket or lead time calculation.
Get Action Messages: This function serves as a short-term planning tool by issuing action messages to
alert the user of any modifications made since the last regenerative or net change plan was calculated.
With each planned method, Business Central generates worksheet entries assuming infinite capacity. Work
center and machine center capacity is not considered when you develop schedules.
IMPORTANT
The Calculate Regenerative Plan function is the most common process. The Calculate Plan and Carry out Action Messages
functions, however, can be used to run the Calculate Net Change Plan process.
The Get Action Messages Plan function can be run between regenerative and net change planning runs to obtain an
immediate view of the effect of schedule changes, but it is not intended as a replacement of full regenerative or net
change planning processes.
To calculate the planning worksheet

1. Choose the icon, enter Planning Worksheets , and then choose the related link.
2. Choose the Calculate Regenerative Plan action to open the Calculate Plan page.
3. On the Options FastTab, fill in the fields as described in the following table.
MPS Select to initiate the calculation of a master production

schedule. Items with open sales orders or demand
forecasts are considered in this run.
MRP Select to initiate the calculation of material requirements

planning. Items with dependent requirements are
considered in this run. Typically, MPS and MRP are run at
the same time. To run MPS and MRP at the same time,
the Combined MPS/MRP Calculation field must be
selected on the Planning FastTab on the
Manufacturing Setup page.
Star ting Date This date is used to evaluate inventory availability. If an

item's on-hand quantity is below the reorder point, the
system forward-schedules a replenishment order from
this date. If an item is below its safety stock (as of the
starting date), the system back-schedules a
replenishment order due on the planning starting date.
Ending Date This is the ending date of the planning horizon. Neither
demand nor supply is considered after this date. If the
reorder cycle for an item extends beyond the ending
date, the effective planning horizon for that item is equal
to the order date + reorder cycle.
The planning horizon is the time that the plan is

extended to. If the horizon is too short, items with a
longer lead time are not ordered on time. If the horizon
is too long, too much time is spent reviewing and
processing information that likely changes before it is
needed. It is possible to set one planning horizon for
production and a longer one for purchases, although it is
not required. A planning horizon for purchases and
production should be set to cover the cumulative lead
time for components.
Stop and Show First Error Select if you want the planning run to stop as soon as it
encounters an error. At the same time, a message is
displayed with information about the first error. If an
error exists, only the successful planning lines made
before the error was encountered will be presented in
the planning worksheet. If you do not select this field,
the Calculate Plan batch job will continue until it has
completed, that is, errors will not interrupt the batch job.
If one or more errors exist, a message will display after
completion with information about how many items are
affected. The Planning Error Log page will then open
to provide more details about the error and links to the
affected item cards.
Use Forecast Select a forecast that should be included as demand

when you run the planning batch job. The default
forecast is set up on the Planning FastTab on the
Exclude Forecast Before Define how much of the selected forecast to include in
the planning run by entering a date before which
forecast demand is not included, thus allowing you to
exclude old information.
Respect Planning Parameters for Exception By default, this field is selected.

Warnings
Supply on planning lines with warnings is normally not
modified according to planning parameters. Instead, the
planning system only suggests a supply to cover the
exact demand quantity. However, you can define certain
planning parameters for planning lines to be respected
with certain warnings.
4. On the Item FastTab, set filters to run the planning based on item, item description, or location.
5. Choose the OK button. The batch job runs and then the planning worksheet is populated with the
planning lines.
To perform action messages

1. On the Planning Worksheet page, choose the Carr y Out Action Message action.
2. On the Options FastTab, specify how to create the supplies. Fill in the fields as described in the following
table.
Production Order Specify how you want to create production orders. You
can do this directly from the planning line proposals. You
can create either planned or firm planned production
orders.
Assembly Order Specify how you want to create assembly orders. You can
do this directly from the planning line proposals.
Purchase Order Specify how you want to create purchase orders. You can
If you chose to copy the planning line proposals for

purchase orders to the requisition worksheet, select the
template and worksheet name.
Transfer Order Specify how you want to create transfer orders. You can

transfer orders to the requisition worksheet, select the
Combine Transfer Orders Select if you want to combine transfer orders.
Stop and Show First Error Select if you want the Carr y Out Action Msg. - Plan.
batch job to stop as soon as it encounters an error. At
the same time, a message is displayed with information
about the firsterror. If an error exists, only the planning
lines processed before the error was encountered will
create supply orders.
3. On the Planning Line FastTab, you can set filters to limit the perform action messages.
The batch job deletes the lines in the planning worksheet after it has performed the action message. The other
lines remain in the planning worksheet until they are either accepted at a later date or else deleted. You can also
delete the lines manually.
Action Messages
Action messages are issued by the order tracking system when balance is unattainable in the existing order
network. They can be viewed as a suggestion for you to process changes that reestablish equilibrium between
supply and demand.
The generation of action messages occurs one level at a time, for each item's low-level code. This makes sure
that all items that experience or will experience changes in supply or demand are considered.
To avoid small, superfluous, or unimportant action messages, the user can establish dampeners, which serve to
restrict the generation of action messages to only those changes that exceed the defined quantity or number of
days.
After you have reviewed the action messages and determined whether to accept some or all of the suggested
changes, select the Accept Action Message field, and then you are ready to update the schedules accordingly.
NOTE
An action message is a suggestion to create a new order, cancel an order, or change the quantity or date of an order. An
order is a purchase order, transfer order, or production order.
In response to any supply/demand imbalances, the following action messages are generated.
New If a demand cannot be fulfilled by suggesting action

messages to Change Qty. , Reschedule , or Reschedule &
Change Qty. on existing orders, the action message New is
generated, which suggests a new order. In addition, the
message New is generated if there are no existing supply
orders in the reorder cycle of the item in question. This
parameter determines the number of periods forward and
backward in the availability profile when it searches for an
order to reschedule.
Change Quantity When demand that is tracked to a supply order experiences

a quantity change, the action message Change Qty. is
generated, which indicates that the related supply should be
changed relative to the change in demand. If a new demand
emerges, Business Central searches for the nearest existing
unreserved supply order in the reorder cycle, and issues a
change of action message for that order.
Reschedule When a supply or demand order experiences a date

modification causing an imbalance in the order network, the
action message Reschedule is generated. If there is a one-
to-one relationship between demand and supply, an action
message is generated suggesting that the supply order be
moved accordingly. If the supply-order covers demand from
more than one sales order, the supply order is re-scheduled
equal to the date of the first demand.
Resch. & Chg. Qty. If both the dates and quantities of an order have been
modified, you must change plans with regard to both
circumstances. Action messaging gathers both actions in one
message, Resched. and Chg. Qty. , to ensure that the
order network returns to balance.
Cancel If a demand, which has been covered on an order-to-order

basis, is deleted, an action message is generated to cancel
the related supply order. If the relationship is not order-to-
order, an action message is generated to change in order to
reduce the supply. If through other factors, such as
inventory adjustments, a supply order is not required at the
time the action messages are generated by the user,
Business Central suggests an action message of Cancel in
the worksheet.
See Also
Planning
Manufacturing
Inventory
Purchasing
Replan or Refresh Production Orders Directly
The Replan function on production orders is typically used after you have added or changed components that
constitute underlying production orders. The function calculates changes made to components and routings
lines, and it includes items on lower production BOM levels for which it may generate new production orders.
Based on the changes you have made to the components and routing lines, the Replan function calculates and
plans for any new demand for the production order.
The Refresh function on production orders is typically used after you have done one of the following:
Created a production order header manually to calculate and create line data for the first time.
Made changes to the production order header to recalculate all the line data.
The Refresh function calculates changes made to a production order header and does not involve production
BOM levels. The function calculates and initiates the values of the component lines and routing lines based on
the master data defined in the assigned production BOM and routing, according to the order quantity and due
date on the production order’s header.
You can either insert the production order lines manually or use the function that calculates the production
order lines from the header.
NOTE
If you use the Refresh function to recalculate production order lines, the old production order lines are deleted and new
lines are calculated.
To replan a production order

1. Choose the icon, enter Firm Planned Prod. Orders , and then choose the related link.
2. Open the production order you want to replan.
3. On the Lines FastTab, choose the Lines action, and then choose the Components action.
4. Add a component, which is a produced item or subassembly.
5. From the production order, choose the Replan action.
On the Replan Production Order page, proceed to define how and what to replan.
6. In the Scheduling Direction field, select one of the following options.
Back Calculates the operation sequence backwards from the

earliest possible ending date, defined by due date and/or
other scheduled orders, to the latest possible starting
date. Note: This default option is relevant in the majority
of situations.
For ward Calculates the operation sequence forward from the

earliest latest possible starting date, defined by due date
and/or other scheduled orders, to the earliest possible
ending date. Note: This option is only relevant for
expedite orders.
7. In the Plan field, select whether to calculate production requirements for produced items on the
production BOM, as follows.
No Levels Do not consider lower level production. This only

updates the item’s schedule, like refresh.
One Level Plan for first-level production demand. First-level

production orders may be created.
All Levels Plan for all-level production demand. All-level production

orders may be created.
8. Select One Level , and choose the OK button to replan the production order, and calculate and create a
new underlying production order for the introduced subassembly, if it is not fully available.
NOTE
Changes implemented with the Replan function are very likely to change the capacity need of the production order and
you may therefore have to reschedule operations afterwards.
To refresh a production order

If you have amended production order lines, components, or routing lines, you must also refresh the
information on the production order. In the following procedure, the components are calculated for a firm
planned production order. The steps are similar for routing lines.
2. Choose the New action. For more information, see Create Production orders.
3. Choose the Refresh action.
4. On the Refresh Production Order page, select one of the following options:
F IEL D O P T IO N DESC RIP T IO N
Scheduling Direction For ward Scheduling starts from the starting

date and proceeds forward to the
finishing date. You must fill in the
starting date to use this option.
Backward Scheduling starts from the ending

date and proceeds backward to the
starting date.
F IEL D O P T IO N DESC RIP T IO N
Calculate Lines Select this field to calculate the

production order lines.
Routings This field has no influence on

calculating the production lines.
Component Need This field has no influence on

Warehouse Create Inbound Request This field has no influence on

5. Choose the OK button to confirm your selection. Now the production order lines are calculated.
NOTE
Calculating production order components deletes previous changes in the components.
See Also
Planning
Manufacturing
Inventory
Purchasing
Track Relations Between Demand and Supply
From any supply or demand document in the so-called order network, you can track the order demand (tracked
quantity), forecast, blanket sales order, or planning parameter (untracked quantity) that has given rise to the
planning line in question.
The planning worksheets also offers supporting planning information about non-order entities to help the
planner obtain an optimal supply plan. For more information, see Untracked Planning Elements.
To track linked items

Order tracking shows how sales orders, production orders, and purchase orders are related to the
manufacturing order through the planning and reservation systems.
The following describes how to track linked items on a firm planned production order. The steps are similar for
all other order types, and from planning worksheet lines.
2. Open the relevant firm planned production order from the list.
3. On the Lines FastTab, choose the Functions action, and then choose the Order Tracking action.
The lines in the Order Tracking display the documents that are related to the current production order line.
Untracked Planning Elements

The Untracked Planning Elements page opens when you choose the Untracked Qty. field on the order
Planning page. It serves two purposes:
1. To hold information about untracked quantities displayed when the user looks up from the Order Tracking
page to see untracked quantities.
2. To hold warning messages displayed when the user chooses the Warning icon on the Planning
Worksheet page.
The page contains entries which account for an untracked surplus quantity in order tracking network. These
entries are generated during the planning run and explain where the untracked surplus quantity in the order
tracking lines came from. This untracked surplus can come from:
Production forecast
Blanket orders
Safety stock quantity
Reorder point
Maximum inventory
Reorder quantity
Maximum order quantity
Minimum order quantity
Order multiple
Dampener (% of lot size)
See Also
Planning
Manufacturing
Inventory
Purchasing
Design Details: Reservation, Tracking, and Action Messaging
The planning system takes all demand and supply data into account, nets the results, and creates suggestions
for balancing the supply to meet the demand.
For detailed information, see Design Details: Supply Planning.
NOTE
For all the fields that are mentioned in this topic, read the tooltip to understand their function. Hover over a field to read
a short description.
Demand and Supply

Planning has two elements: demand and supply. These must be held in balance to ensure that the demand is
met in a timely and cost-efficient manner.
Demand is the common term used for any kind of gross requirement such as a sales order, service order,
component need from assembly or production orders, outbound transfer, blanket order or forecast. In
addition to these, application allows some other technical types of demand - such as a negative production
or purchase order, negative inventory, and purchase return.
Supply is the common word used for any kind of replenishment such as inventory, a purchase order,
assembly order, production order, or inbound transfer. Correspondingly, there can be a negative sales or
service order, negative component need or sales return – all of which in some way also represent supply.
Another goal of the planning system is to ensure that the inventory does not grow unnecessarily. In the case of
decreasing demand, the planning system will suggest that you postpone, decrease in quantity, or cancel existing
Planning Calculation
The planning system is driven by anticipated and actual customer demand, as well as inventory reordering
parameters. Running the planning calculation will result in application suggesting specific actions (Action
Messages) to take concerning possible replenishment from vendors, transfers between warehouses, or
production. If replenishment orders already exist, the suggested actions could be to increase or expedite the
orders to meet the changes in demand.
The basis of the planning routine is in the gross-to-net calculation. Net requirements drive planned order
releases, which are scheduled based on the routing information (manufactured items) or the item card lead time
(purchased items). Planned order release quantities are based on the planning calculation, and are affected by
the parameters set on the individual item cards.
TIP
The planning system relies on how your organization uses locations. For more information, see Planning With or Without
Locations.
Planning with Manual Transfer Orders

As you can see from the Replenishment System field on a SKU card, the planning system can be set up to
create transfer orders to balance supply and demand across locations.
In addition to such automatic transfer orders, you may sometimes need to perform a general move of inventory
quantities to another location, irrespective of existing demand. For this purpose you would manually create a
transfer order for the quantity to move. To ensure that the planning system does not try to manipulate this
manual transfer order, you must set the Planning Flexibility on the transfer line(s) to None.
Contrarily, if you do want the planning system to adjust the transfer order quantities and dates to existing
demand, you must set the Planning Flexibility field to the default value, Unlimited.
Planning Parameters
The planning parameters control when, how much, and how to replenish based on the various settings on the
item card (or stockkeeping unit - SKU), and the manufacturing setup.
The following planning parameters exist on the item or SKU card:
Dampener Period
Dampener Quantity
Reordering Policy
Reorder Point
Maximum Inventory
Overflow Level
Time Bucket
Rescheduling Period
Reorder Quantity
Safety Lead Time
Safety Stock Quantity
Assembly Policy
Manufacturing Policy
The following order modifiers exist on the item or SKU card:
Minimum Order Quantity
Order Multiple
Global planning setup fields on the Manufacturing Setup page include:
Dynamic Low-Level Code
Current Demand Forecast
Use Forecast on Locations
Default Safety Lead Time
Blank Overflow Level
Combined MPS/MRP Calculation
Components at Location
Default Dampener Period
Default Dampener Quantity
For more information, see Design Details: Planning Parameters
Other Important Planning Fields
On most supply orders, such as production orders, you can select Unlimited or None in the Planning
Flexibility field on the lines.
This specifies whether the supply represented by the production order line is considered by the planning system
when calculating action messages. If the field contains Unlimited , then the planning system includes the line
when calculating action messages. If the field contains None , then the line is firm and unchangeable, and the
planning system does not include the line when calculating action messages.
Warning
The Warning information field on the Planning Worksheet page informs you of any planning line created for
an unusual situation with a text, which the user can choose to read additional information. The following
warning types exist:
Emergency
Exception
Attention
Emergency
The inventory is negative on the planning starting date.
Back-dated supply or demand events exist.
If an item's inventory is negative on the planning starting date, the planning system suggests an emergency
supply order for the negative quantity to arrive on the planning starting date. The warning text states the
starting date and the quantity of the emergency order.
Exception
item's safety stock quantity and the date on which it is violated.
been set correctly.
NOTE
Supply on planning lines with Exception warnings is normally not modified according to planning parameters. Instead, the
planning system only suggests a supply to cover the exact demand quantity. However, you can set the planning run up to
respect certain planning parameters for planning lines with certain warnings. For more information, see the description for
the Respect Planning Parameters for Exception Warnings field in the Run Full Planning, MPS or MRP article.
Attention
The attention warning is displayed in two situations:
The planning line suggests to change a released purchase or production order.
NOTE
Planning worksheets and requisition worksheets

As described in Planning, you can choose between two worksheets for most planning activities, the planning
worksheet and the requisition worksheet. Most processes are described based on the planning worksheet, but
there are a couple of scenarios where the requisition worksheet is preferred.
Requisition worksheet
The Requisition Worksheet page lists items that you want to order. You can enter items in the worksheet in
the following ways:
Enter the items manually in the worksheet and fill in the relevant fields.
Use the Calculate Plan batch job. This calculates a replenishment plan for items and stockkeeping units
that have been set up with a replenishment system of Purchase or Transfer . When you use this batch
job, the program automatically fills in the Action Message field with a suggestion for an action you can
take to replenish the item. This could be increasing the item quantity on an existing order or creating a
new order, for example.
If you have used the Calculate Plan batch job from the Planning Worksheet page to calculate a
replenishment plan, you can use the Carr y Out Action Message batch job to copy purchase and
transfer order proposals from the planning worksheet to the requisition worksheet. This is practical if
separate users are responsible for handling production orders and purchase/transfer orders.
You can use the Drop Shipment action to fill in the requisition worksheet lines. This action uses the Get
Sales Orders batch job to determine the sales order lines that you want to designate for a drop
shipment.
You can use the Special Order action to fill in the requisition worksheet lines. This action uses the Get
Sales Orders batch job to determine the sales order lines that you want to designate for a special order.
Requisition worksheet lines contain detailed information about the items that need to be reordered. You can edit
and delete the lines to adjust your replenishment plan, and you can further process the lines by using the Carr y
Out Action Message batch job.
For details about planning with locations and transfers, see Planning With or Without Locations.

See also
Planning
Manufacturing
Inventory
Purchasing
Run Full Planning, MPS, or MRP
The terms "running the planning worksheet" or "running MRP" refer to the calculation of the master production
schedule and material requirements based on actual and forecasted demand. The planning system can calculate
either Master Production Schedule (MPS) or Material Requirements Planning (MRP) on request, or it can
calculate both at the same time.
MPS is the calculation of a master production schedule based on actual demand and the demand forecast.
The MPS calculation is used for end items that have a forecast or a sales order line. These items are called
MPS items and are identified dynamically when the calculation starts.
MRP is the calculation of material requirements based on actual demand for components and the demand
forecast on the component level. MRP is calculated only for items that are not MPS items. The purpose of
MRP is to provide time-phased formal plans, by item, to supply the appropriate item, at the appropriate time,
in the appropriate location, in the appropriate quantity.
The planning algorithms used for both MPS and MRP are identical. The planning algorithms pertain to netting,
reuse of existing replenishment orders, and action messages. The planning system process examines what is
needed or will be needed (demand) and what is on-hand or expected (supply). When these quantities are netted
against each other, Business Central provides action messages. Action messages are suggestions to create a new
order, change an order (quantity or date), or cancel an order already on order. The term "order" includes
purchase orders, assembly orders, production orders, and transfer orders.
Links created by the planning engine between demand and its related supply can be tracked on the Order
Tracking page. For more information, see Track Relations Between Demand and Supply.
Proper planning results depend on the set up done on item cards, assembly BOMs, production BOMs, and
routings.
Methods for Generating a Plan

Calculate Regenerative Plan: This function processes or regenerates the material plan. This process starts
by deleting all planned supply orders that are currently loaded. All items in the database are replanned.
Calculate Net Change Plan : This function processes a net change plan. Items are considered in net change
planning from two types of changes:
Demand/supply changes: These include modifications to quantities on sales orders, demand
forecasts, assembly orders, production orders, or purchase orders. An unplanned inventory level
change is also considered a quantity change.
Planning parameter changes: These include changes in safety stock, reorder point, routing, bill of
material, and changes to the time bucket or lead time calculation.
Get Action Messages: This function serves as a short-term planning tool by issuing action messages to
alert the user of any modifications made since the last regenerative or net change plan was calculated.
With each planned method, Business Central generates worksheet entries assuming infinite capacity. Work
center and machine center capacity is not considered when you develop schedules.
IMPORTANT
The Calculate Regenerative Plan function is the most common process. The Calculate Plan and Carry out Action Messages
functions, however, can be used to run the Calculate Net Change Plan process.
The Get Action Messages Plan function can be run between regenerative and net change planning runs to obtain an
immediate view of the effect of schedule changes, but it is not intended as a replacement of full regenerative or net
change planning processes.
To calculate the planning worksheet

1. Choose the icon, enter Planning Worksheets , and then choose the related link.
2. Choose the Calculate Regenerative Plan action to open the Calculate Plan page.
MPS Select to initiate the calculation of a master production

schedule. Items with open sales orders or demand
forecasts are considered in this run.
MRP Select to initiate the calculation of material requirements

planning. Items with dependent requirements are
considered in this run. Typically, MPS and MRP are run at
the same time. To run MPS and MRP at the same time,
the Combined MPS/MRP Calculation field must be
selected on the Planning FastTab on the
Star ting Date This date is used to evaluate inventory availability. If an

item's on-hand quantity is below the reorder point, the
system forward-schedules a replenishment order from
this date. If an item is below its safety stock (as of the
starting date), the system back-schedules a
replenishment order due on the planning starting date.
Ending Date This is the ending date of the planning horizon. Neither
demand nor supply is considered after this date. If the
reorder cycle for an item extends beyond the ending
date, the effective planning horizon for that item is equal
to the order date + reorder cycle.
The planning horizon is the time that the plan is

extended to. If the horizon is too short, items with a
longer lead time are not ordered on time. If the horizon
is too long, too much time is spent reviewing and
processing information that likely changes before it is
needed. It is possible to set one planning horizon for
production and a longer one for purchases, although it is
not required. A planning horizon for purchases and
production should be set to cover the cumulative lead
time for components.
Stop and Show First Error Select if you want the planning run to stop as soon as it
encounters an error. At the same time, a message is
displayed with information about the first error. If an
error exists, only the successful planning lines made
before the error was encountered will be presented in
the planning worksheet. If you do not select this field,
the Calculate Plan batch job will continue until it has
completed, that is, errors will not interrupt the batch job.
If one or more errors exist, a message will display after
completion with information about how many items are
affected. The Planning Error Log page will then open
to provide more details about the error and links to the
affected item cards.
Use Forecast Select a forecast that should be included as demand

when you run the planning batch job. The default
forecast is set up on the Planning FastTab on the
Exclude Forecast Before Define how much of the selected forecast to include in
the planning run by entering a date before which
forecast demand is not included, thus allowing you to
exclude old information.
Respect Planning Parameters for Exception By default, this field is selected.

Warnings
Supply on planning lines with warnings is normally not
modified according to planning parameters. Instead, the
planning system only suggests a supply to cover the
exact demand quantity. However, you can define certain
planning parameters for planning lines to be respected
with certain warnings.
4. On the Item FastTab, set filters to run the planning based on item, item description, or location.
5. Choose the OK button. The batch job runs and then the planning worksheet is populated with the
planning lines.
To perform action messages

1. On the Planning Worksheet page, choose the Carr y Out Action Message action.
2. On the Options FastTab, specify how to create the supplies. Fill in the fields as described in the following
table.
Production Order Specify how you want to create production orders. You
can do this directly from the planning line proposals. You
can create either planned or firm planned production
orders.
Assembly Order Specify how you want to create assembly orders. You can
Purchase Order Specify how you want to create purchase orders. You can

purchase orders to the requisition worksheet, select the
Transfer Order Specify how you want to create transfer orders. You can

transfer orders to the requisition worksheet, select the
Combine Transfer Orders Select if you want to combine transfer orders.
Stop and Show First Error Select if you want the Carr y Out Action Msg. - Plan.
batch job to stop as soon as it encounters an error. At
the same time, a message is displayed with information
about the firsterror. If an error exists, only the planning
lines processed before the error was encountered will
create supply orders.
3. On the Planning Line FastTab, you can set filters to limit the perform action messages.
The batch job deletes the lines in the planning worksheet after it has performed the action message. The other
lines remain in the planning worksheet until they are either accepted at a later date or else deleted. You can also
delete the lines manually.
Action Messages
Action messages are issued by the order tracking system when balance is unattainable in the existing order
network. They can be viewed as a suggestion for you to process changes that reestablish equilibrium between
supply and demand.
The generation of action messages occurs one level at a time, for each item's low-level code. This makes sure
that all items that experience or will experience changes in supply or demand are considered.
To avoid small, superfluous, or unimportant action messages, the user can establish dampeners, which serve to
restrict the generation of action messages to only those changes that exceed the defined quantity or number of
days.
After you have reviewed the action messages and determined whether to accept some or all of the suggested
changes, select the Accept Action Message field, and then you are ready to update the schedules accordingly.
NOTE
An action message is a suggestion to create a new order, cancel an order, or change the quantity or date of an order. An
order is a purchase order, transfer order, or production order.
In response to any supply/demand imbalances, the following action messages are generated.
New If a demand cannot be fulfilled by suggesting action

messages to Change Qty. , Reschedule , or Reschedule &
Change Qty. on existing orders, the action message New is
generated, which suggests a new order. In addition, the
message New is generated if there are no existing supply
orders in the reorder cycle of the item in question. This
parameter determines the number of periods forward and
backward in the availability profile when it searches for an
order to reschedule.
Change Quantity When demand that is tracked to a supply order experiences

a quantity change, the action message Change Qty. is
generated, which indicates that the related supply should be
changed relative to the change in demand. If a new demand
emerges, Business Central searches for the nearest existing
unreserved supply order in the reorder cycle, and issues a
change of action message for that order.
Reschedule When a supply or demand order experiences a date

modification causing an imbalance in the order network, the
action message Reschedule is generated. If there is a one-
to-one relationship between demand and supply, an action
message is generated suggesting that the supply order be
moved accordingly. If the supply-order covers demand from
more than one sales order, the supply order is re-scheduled
equal to the date of the first demand.
Resch. & Chg. Qty. If both the dates and quantities of an order have been
modified, you must change plans with regard to both
circumstances. Action messaging gathers both actions in one
message, Resched. and Chg. Qty. , to ensure that the
order network returns to balance.
Cancel If a demand, which has been covered on an order-to-order

basis, is deleted, an action message is generated to cancel
the related supply order. If the relationship is not order-to-
order, an action message is generated to change in order to
reduce the supply. If through other factors, such as
inventory adjustments, a supply order is not required at the
time the action messages are generated by the user,
Business Central suggests an action message of Cancel in
the worksheet.
See Also
Planning
Manufacturing
Inventory
Purchasing
Assembly Management
To support companies that supply products to their customers by combining components in simple processes
without the need of manufacturing functionality, Business Central includes features to assemble items that
integrate with existing features, such as sales, planning, reservations, and warehousing.
An assembly item is defined as a sellable item that contains an assembly BOM. For more information, see Work
with Bills of Material.
Assembly orders are internal orders, just like production orders, that are used to manage the assembly process
and to connect the sales requirements with the involved warehouse activities. Assembly orders differ from other
order types because they involve both output and consumption when posting. The assembly order header
behaves similarly to an output journal line, and the assembly order lines behave similarly to consumption
journal lines.
To support a just-in-time inventory strategy and the ability to customize products to customer requests,
assembly orders may be automatically created and linked as soon as the sales order line is created. The link
between the sales demand and the assembly supply enables sales order processors to customize the assembly
item on the fly, promise delivery dates according to component availability, and to post output and shipment of
the assembled item directly from their sales order interface. For more information, see Sell Items Assembled to
Order.
On one sales order line, you can sell a quantity that is available and must be picked from stock together with a
quantity that must be assembled to the order. Certain rules exist to govern the distribution of such quantities to
ensure that assemble-to-order quantities take priority over inventory quantities in partial shipping. For more
information, see the "Combination Scenarios" section in Understanding Assemble to Order and Assemble to
Stock.
Special functionality exists to govern the shipping of assemble-to-order quantities. When an assemble-to-order
quantity is ready to be shipped, the warehouse worker in charge posts an inventory pick for the sales order
line(s) in question. This, in turn, creates an inventory movement for the components, posts the assembly output,
and the sales order shipment. For more information, see the "Handling Assemble-to-Order Items in Inventory
Picks" section in Pick Items with Inventory Picks.
TO SEE
Learn about the difference between assembling items right Understanding Assemble to Order and Assemble to Stock
before shipping sales orders and assembling items that are
intended for storage.
Fill in fields on location cards and in inventory setup to Set Up Basic Warehouses with Operations Areas
define how items flow to and from the assembly
department.
Customize an assembly item to a customer's request during Quote an Assemble-to-Order Sale

the sales process, and convert to a sale when accepted.
Combine components to create an item in a simple process, Assemble Items

to order or to stock.
TO SEE
Sell assembly items that are not currently available by Sell Items Assembled to Order
creating a linked assembly order to supply the full or partial
sales order quantity.
When some assemble-to-order items are already in Sell Inventory Items in Assemble-to-Order Flows
inventory, deduct that quantity from the assembly order and
reserve it from inventory.
When you are selling assembly items from inventory and all Sell Assemble-to-Order Items and Inventory Items Together
items are not available, initiate an assembly order to
automatically supply a part or all of the sales order quantity.
Make customized assembly items for blanket sales orders Create Blanket Assembly Orders
before periodically making the actual sales orders according
to the blanket order agreement.
Undo a posted assembly order, for example because the Undo Assembly Posting
order was posted with mistakes that must be corrected.
Learn about the difference between assembly BOMs and Work with Bills of Material
production BOMs and the involved processing differences.
Learn how assembly consumption and output are handled Design Details: Assembly Order Posting
when you post assembly orders and how the derived item
and resource costs are processed and distributed to the
general ledger.

See Also
Inventory
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Assembly Reports and Analytics in Business Central
Assembly reporting in Business Central allows production and business professionals to get insights and
statistics about current and past assembly activities.
Reports
The following table describes some of the key reports in assembly reporting.
Assembly BOMs Displays a list of BOMs: name, BOM 801

number, BOM components, and any
other BOMs that are part of the BOM.
The BOM components are defined in
the BOM Component table. You will
see here also the unit of measure and
the needed quantity of each
component per base unit of measure.
Item - Able to Make (Time) Shows how five different key 5871
availability figures change over time for
a BOM item. These figures change
according to expected supply and
demand events and to supply that is
based on available components that
can be assembled or produced.
You can use the report to see whether
you can fulfill a sales order for an item
on a specified date by looking at its
current availability in combination with
the potential quantities that its
components can supply if an assembly
order were started. The report shows
you when and how many units of an
assembly and production item you can
make based on component availability
and the item’s current availability. This
is shown as the total quantity.
The information is shown in a graph
where each availability figure is a line
that progresses along the timeline and
moves up and down as quantities
change. The quantity figures come
from the same engine that provides
information to the Item Availability
by BOM Level window.
BOM Cost Share Distribution Shows graphically how an assembled 5872

or produced item’s cost is distributed
through its BOM.
Such information can be useful in
deciding whether to change
component suppliers, replace internal
capacity usage with outsourced labor,
or vice versa, or when reviewing and
modifying an item’s bill of material, for
example.
The first chart in the report shows the
total unit cost of the parent item’s
components and labor resources
broken down in up to five different
cost shares, and represented
graphically with different colors.
The pie chart with the caption By
Material/Labor shows the proportional
distribution between the parent item’s
material and labor costs, as well as its
own manufacturing overhead. The
material cost share includes the item’s
material costs. The labor cost share
includes capacity, capacity overhead
and subcontracted costs. The cost
shares are displayed differently
depending on your choices in the
Show only field.
Direct/Indirect shows the proportional
direct and indirect costs. The direct
cost share includes the item’s material,
capacity, and subcontracted costs. The
indirect cost share includes capacity
overhead and manufacturing
overhead.
The table at the bottom of the report
is included when you select the Include
Details check box. It shows selected
values from the BOM Cost Shares
window by single level or rolled up,
depending on the option that you
choose in the Show Cost Shares as
field.
Where-used list Displays a list of the BOMs that the 809

selected items are components of. A
helpful overview in case you must
change a component in a BOM that is
inserted in an assembly item. For
example, if your vendor can no longer
deliver a specific item that you used for
your assembly/production. In such
scenarios, this report provides you
with an easy overview of which BOMs
the component is included in. You can
set a filter for the number of the
component.
BOM - Raw Materials This report can give you an overview 810
about the needed components, both
for assembly and for production. You
will see the inventory, base unit of
measure, the main vendor if the
vendor no. is written in the item card
itself, and the lead time calculation.
BOM - Sub-Assemblies If you produce and/or assemble sub- 811

assemblies, use this report to get an
overview about this type of
component. This report shows you the
base unit of measure, the inventory,
unit costs, and an alternative item
number.
Assembly BOM - End Items Shows a list of items or BOMs that are 812
not components of BOMs. Note : This
report is not restricted to BOM only,
so remember to set filter in the
Assembly BOM field or the
Replenishment System fields
Assemble to order - Sales Shows key sales figures for assembly 915
component items that can be sold
both as part of an assembly in
assemble-to-order sales and as a
separate item directly from inventory.
Use this report to analyze the quantity,
cost, sales, and profit figures of
assembly components to support your
decisions, such as whether to price a
kit differently or to stop or start using
a particular item in assemblies.
The In Assembly row shows sales
figures for the total quantity that is
sold as part of an assembly item. The
specific assembly item sales that sum
up to this total are shown if you select
the Show Assembly Details field.
The focus is on the assembly
components, but the figures are
calculated from the profit margin of
their parent, the assembly item.
Accordingly, the sales amount of each
component is calculated from its own
cost and the profit margin of its parent
in the following formula.
The report shows information for
items that meet one or both of the
following criteria:
- Exist in the assembly BOM of an item
that uses the Assemble-to-Order
assembly policy.
- Has been sold as part of assemble-
to-order sale.
Tasks
See also
Assembly Management
Understanding Assemble to Order and Assemble to
Stock
Assembly items can be supplied in the following two processes:

Assemble to order.
Assemble to stock.
Assemble to Order
You typically use assemble to order for items that you do not want to stock because you expect to customize
them to customer requests or because you want to minimize the inventory carrying cost. The supporting
functionality includes:
Ability to customize assembly items when taking a sales order.
Overview of availability of the assembly item and its components.
Ability to reserve assembly components immediately to guarantee order fulfillment.
Function to determine profitability of the customized order by rolling up price and cost.
Integration to the warehouse to make assembly and shipping easier.
Ability to assemble to order at the point of making a sales quote or a blanket sales order.
Ability to combine inventory quantities with assemble-to-order quantities.
In the assemble-to-order process, the item is assembled in response to a sales order and with a one-to-one link
between the assembly order and the sales order.
When you enter an assemble-to-order item on a sales line, an assembly order is automatically created with a
header that is based on the sales line and with lines that are based on the item's assembly BOM multiplied by
the order quantity. You can use the Assemble-to-Order Lines page to see the linked assembly order lines to
support you in customizing the assembly item and in a delivery date that is based on component availability
information. For more information, see Sell Items Assembled to Order.
NOTE
Although it is not part of the default process, you can sell inventory quantities with the assemble-to-order quantities. For
more information, see Sell Inventory Items in Assemble-to-Order Flows.
To enable this process, the Assembly Policy field on the item card must be Assemble-to-Order .
Assemble to Stock
You typically use assemble to stock for items that you want to assemble ahead of sales, such as to prepare for a
kit campaign, and keep in stock until they are ordered. These items are usually standard items such as packaged
kits that you do not offer to customize to customer requests.
In the assemble-to-stock process, the item is assembled without an immediate sales demand and is stocked in
the warehouse as an inventory item for later sale or consumption as a subassembly. For more information, see
Assemble Items. From this point, the item is picked and processed as a single item and is treated like a finished
production item.
When you enter an assemble-to-stock item on a sales line, the line like any other item sold from inventory. For
example, availability is checked for the assembly item only.
NOTE
Although it is not part of the default process, you can assemble an item to order even if it is set up to be assembled to
stock. For more information, see Sell Assemble-to-Order Items and Inventory Items Together.
To enable this process, the Assembly Policy field on the item card must be Assemble-to-Stock .
Combination Scenarios
A general principle in Assembly Management is that when combined on a sales order line, assemble-to-order
quantities must be shipped before inventory quantities.
If an assembly order is linked to a sales order line, then the value in the Qty. to Assemble to Order field on
the sales order line is copied to the Quantity to Assemble field, via the Quantity field on the assembly order
header. For more information, see Sell Items Assembled to Order.
In addition, the value in the Quantity to Assemble field is related to the Qty. to Ship field on the sales order
line, and this relation manages the shipping of assemble-to-order quantities, both partially and completely. This
is true both when the full sales line quantity is assembled to order and in combination scenarios where one part
of the sales line quantity is assembled to order and another part is shipped from inventory. However, in the
combination scenario, you have additional flexibility when shipping partially in that you can modify the
Quantity to Assemble field, within predefined rules, to specify how many units to ship partially from
inventory and how many to ship partially by assembling to order.
If the full sales line quantity must be assembled to order and shipped, then the value in the Qty. to Ship field is
copied to Quantity to Assemble field on the linked assembly order when you change the quantity to ship. This
ensures that the quantity being shipped is fully supplied by the assemble-to-order quantity.
However, in combination scenarios, the full value in the Qty. to Ship is not copied to the Quantity to
Assemble field on the assembly order header. Instead, a default value is inserted in the Quantity to Assemble
field that is calculated from the Qty. to Ship field according to a predefined rule that ensures shipment of
assemble-to-order quantities first.
If you want to deviate from this default, for example because you only want to assemble more or less of the
quantity in the Qty. to Ship field, then you can modify the Quantity to Assemble field, but only within
predefined rules, as illustrated below.
An example of why you would want to modify the quantity to assemble is that you want to partially post
shipment of inventory quantities before the assembly output can be shipped.
The following tables explain the rules that define the minimum and maximum values that you can enter in the
Quantity to Assemble field to deviate from the default value in a combination scenario. The table shows a
combination scenario where the Qty. to Ship field on the linked sales order line is changed from 7 to 4, and the
Quantity to Assemble is therefore defaulted to 4.
Sales Order Line
QT Y. TO A SSEM B L E
Q UA N T IT Y QT Y. TO SH IP TO O RDER Q UA N T IT Y SH IP P ED
Initial value 10 7 7 0
Change 4
Assembly Order Header
QT Y. TO A SSEM B L E
Q UA N T IT Y QT Y. TO SH IP TO O RDER Q UA N T IT Y SH IP P ED
Initial value 7 7 0 7
Change 4 (inserted by
default)
Based on this example, you can only modify the Quantity to Assemble field as follows:
The minimum quantity that you can enter is 1. This is because you must at least assemble one unit to be able
to sell the four units, assuming that the remaining three are available in the inventory.
The maximum quantity that you can enter is 4. This is to ensure that you do not assemble more of this
assemble-to-order item than what is needed on the sale.

See also
Assembly Management
Inventory
Quote an Assemble-to-Order Sale
You can use assembly management to customize an assembly item to a customer’s request during the sales
process. For more information, see Sell Items Assembled to Order.
As when you sell any other type of item, you can also create a sales quote for a customized assembly item
before converting it to a sales order. This process involves several extra steps when you compare it to creating a
regular sales quote, and it uses a variation of a linked assembly order, which is an assembly quote.
NOTE
Like all types of quotes, the quantities on assembly quotes are not used in availability, planning, or reservations.
To create a sales quote for an assemble-to-order item

1. Choose the icon, enter Sales Quote , and then choose the related link.
2. Create a sales quote line with one line for an assembly item. For more information, see Make Sales
Quotes.
3. In the Qty. to Assemble to Order field, enter the full quantity.
NOTE
You should not quote a partial quantity. Therefore, you must enter the same quantity that you entered in the
Quantity field on the sales quote line.
4. On the Lines FastTab, choose Line , choose Assemble to Order , and then choose Assemble-to-Order
Lines . Alternatively, choose the Qty. to Assemble to Order field on the line.
5. On the Assemble-to-Order Lines page, review or modify the assembly order lines according to the
quote that the customer is requesting. If you want to view more information, choose the Show
Document action to open the complete blanket quote order. You cannot change the contents of most
fields, and you cannot post.
6. When you have adjusted the assembly order lines according to the quote, close the Assemble-to-Order
Lines page to return to the Sales Quote page.
7. If the customer accepts the quote, then create a sales order for the quoted assembly item. For more
information, see Make Sales Quotes. The linked assembly quote and any customizations are linked to that
new sales order to prepare for assembly of the item or items to be sold.

See also
Assembly Management
Inventory
Assemble Items
If the Replenishment System field on the item card contains Assembly , then the default method of supplying
the item is to assemble it from defined components and potentially by a defined resource.
The components and resources that go into this kind of an assembly item must be defined in an assembly BOM.
For more information, see Work with Bills of Material.
Assembly items can be set up for two different assembly processes:
Assemble to stock.
Assemble to order.
You typically use Assemble to Stock for items that you want to assemble ahead of sales, such as to prepare for
a kit campaign, and keep in stock until they are ordered. These items are usually standard items such as
packaged kits that you do not offer to customize to customer requests.
You typically use Assemble to Order for items that you do not want to stock because you expect to customize
them to customer requests or because you want to minimize the inventory carrying cost by supplying them just
in time. For more information, see Sell Items Assembled to Order.
For more information about how to set up an assembly item, see Understanding Assemble to Order and
Assemble to Stock.
These setup options are default settings that manage how sales and assembly order lines are initially processed.
You can depart from these defaults and supply the assembly item in the most optimal way when processing a
sale. For more information, see Sell Inventory Items in Assemble-to-Order Flows and Sell Assemble-to-Order
Items and Inventory Items Together.
NOTE
Assembly components are handled in a special way in basic warehouse configurations. For more information, see the
“Handling Assemble-to-Order Items in Inventory Picks” section in Pick Items with Inventory Picks.
In this procedure, you create and process an assembly order for items that are assembled to stock, which means
without a linked sales order. The steps include initiating the assembly order, handling potential component
availability issues, and partially posting assembly item output.
To assemble an item
1. Choose the icon, enter Assembly Orders , and then choose the related link.
2. Choose the New action. The New Assembly Order page opens.
4. In the Item No. field, select the assembly item that you want to process. The field is filtered to show only
items that are set up for assembly, which means that they have assembly BOMs assigned.
5. In the Quantity field, enter how many units of the item that you want assembled.
NOTE
If one or more components are not available to fulfill the entered assembly item quantity on the defined due date,
then the Assembly Availability page automatically opens to provide detailed information about how many
assembly items can be assembled based on component availability. For more information, see View the Availability
of Items. When you close the page, the assembly order is created with availability alerts on the affected
component lines.
The assembly order lines are automatically filled with the contents of the assembly BOM and with line
quantities according to the assembly order header.
NOTE
If the Assembly Availability page opened when you filled in the assembly order header, then each affected
assembly order line contains a Yes in the Avail. Warning field with a link to detailed availability information. For
more information, see Check Availability. You can resolve a component availability issue by postponing the
starting date, replacing the component with another item, or selecting an available substitution if one is defined.
6. In the Quantity to Assemble field, enter how many units of the assembly item that you want to post as
output the next time that you post the assembly order. This quantity can be lower than the value in the
Quantity field to reflect a partial output posting.
NOTE
To make sure that component consumption posting matches the assembly item output posting, the quantity
fields in the assembly order lines automatically adjust to the value that you enter in the Quantity to Assemble
field.
7. On assembly order lines of type Item or Resource , in the Quantity to Consume field, specify how
many units you want to post as consumed the next time that you post the assembly order.
8. When you are ready to partially or fully post, choose the Post action.
NOTE
If warnings are still present in any of the assembly order lines, then the posting is blocked. A message about which
component or components are not in inventory is displayed.
After posting succeeds, the assembly item is posted as output to the location code and potential bin code that
are defined on the assembly order. For manually created assembly orders, the location may be copied from the
Default Location for Orders setup field. For assemble-to-order flows, the location code may be copied from
the sales order line.

See also
Assembly Management
Inventory
Sell Items Assembled to Order
If the Assembly Policy field on the item card of an assembly item is Assemble-to-Order , then the item is not
expected to be in inventory, and it must be assembled specifically to a sales order. When you enter the item on a
sales order line, then an assembly order is automatically created and linked to the sales order.
NOTE
If some assemble-to-order items are already in inventory, then you can deduct that quantity from the assembly order
and reserve it from inventory. For more information, see Sell Inventory Items in Assemble-to-Order Flows.
In this procedure, you process the sale of an item that will be assembled according to specifications that are
requested by the customer. The steps include initiating the sales order line, customizing the assembly item by
editing its components and resources, checking availability to establish a delivery date, and releasing the sales
order to be assembled and immediately shipped.
NOTE
The following procedure does not include the standard sales order steps before the step where you enter the assemble-
to-order item on a sales order line.
To sell an item that is assembled to order

2. Create a sales order. For more information, see Sell Products.
3. In the No. field, enter an item that is set up to be assembled to order.
4. In the Location Code field, define which location the item will be sold from. The assembly process will
occur at that location.
5. In the Quantity field, enter how many units to sell.
NOTE
If one or more components of the requested assembly item quantity are not available, then a detailed availability
warning page opens. For more information, see Assembly Availability.
An assembly order is now automatically created and linked to the sales order line. The due date of this
assembly order is synchronized with the shipment date of the sales order line.
The quantity to sell is copied to the Qty. to Assemble to Order field, which indicates that the item
setup expects the full quantity on the sales line to be assembled to the order. You can decrease the
quantity to assemble to order, such as if you know that some items are already available. For more
information, see Sell Inventory Items in Assemble-to-Order Flows.
6. To reflect that the customer wants an additional item in a kit, on the Lines FastTab, choose the Line
action, choose the Assemble to Order action, and then choose the Assemble-to-Order Lines action
to view and change the standard assembly components. Alternatively, choose the Qty. to Assemble to
Order field.
7. On the Assemble-to-Order Lines page, create a new line of type Item for the requested additional kit
content. The line represents an additional assembly component.
You could also customize the order by increasing the quantity of one standard item in the kit. You can do
this by increasing the value in the Quantity Per field on the specific assembly order line.
NOTE
The Assemble-to-Order Lines page only contains the basic fields that a salesperson is expected to use to
customize the component list, add item tracking numbers, or to solve component availability issues. To see more
assembly order information, such as the assembly order starting date, choose the Show Documents action. This
opens a full view of the assembly order that is linked to the sales order line. You cannot change the contents of
most fields on the assembly order header, and you cannot post assembly output from it because you must use
shipment posting of the sales order line.
On the header of linked assembly orders, only the Star ting Date field can be changed to enable assembly
workers to specify a date that is earlier than the due date when they will start the process. All fields on the lines of
the linked assembly order can be changed so that warehouse workers can enter consumption figures during the
process.
8. Review or react to component availability issues. For example, select an available substitute item.
9. Close the Assemble-to-Order Lines page. The linked assembly order is now ready to start to assemble
the customized items by the due date.
10. On the sales order, choose the Release action to notify the assembly department that the assembly
process can start.
11. In the assembly department, perform the steps of assembling the items that are sold in this procedure.
For more information, see Assemble Items.
NOTE
Be aware that item substitutions will not automatically cause an item to be replaced by another item, for example when
creating a sales order or in a BOM. Instead, you will be alerted to the fact that a substitution is available to you.

See also
Assembly Management
Inventory
Register New Items
Selling Inventory Items in Assemble-to-Order Flows
If the Assembly Policy field on the item card of an assembly item contains Assemble-to-Order , then the
default sales order process assumes that the item is not in inventory and must be assembled for that specific
sales order. Therefore, a linked assembly order is automatically created when you add the item to a sales order
line. For more information, see Sell Items Assembled to Order. However, if a part of the sales order quantity is
already available in inventory, then you can decrease the assembly order quantity by changing the Qty. to
Assemble to Order field on the sales order line.
This scenario is rare because assemble-to-order items are expected to always be customized, and the chance
that they are in inventory in the configuration that is requested by another customer is low. However, if a
company does have assemble-to-order quantities in inventory because of returns or order cancellations, then
these quantities should be picked and sold before new ones are assembled.
NOTE
No functionality exists on sales orders that automatically alerts or helps you deduct assembly order quantities that are
already available. Instead, you must monitor availability information, such as in the Sales Line Details FactBox.
Similar functionality is available when you are selling assembly items from inventory and a part or all of the
quantity is unavailable and can be supplied by an assembly order. For more information, see Sell Assemble-to-
Order Items and Inventory Items Together.
NOTE
Certain rules apply to the Qty. to Ship field on sales order lines that contain a combination of assemble-to-order
quantities and inventory quantities. For more information, see the Combination Scenarios section in Understanding
Assemble to Order and Assemble to Stock.
In this procedure, you replace assemble-to-order quantities with inventory quantities on a sales order line. The
steps include detecting that availability exists, deducting that quantity from the linked assembly order, and then
reserving the inventory quantity to make sure that it is picked and shipped for the order.
To sell inventory items in assemble-to-order flows

2. Create a sales order. For more information, see Sell Products.
3. On a sales order line for an assemble-to-order item, in the Quantity field, enter the demanded quantity.
4. In the Sales Line Details FactBox, determine if all or some of the demanded quantity is available.
5. In the Qty. to Assemble to Order field, deduct the available quantity so that only the unavailable
quantity is assembled to the order. The Reser ved Quantity field is decreased accordingly to reflect that
the order-to-order link, or reservation, only applies to the quantity to be assembled.
6. On the Lines FastTab, choose Functions , and then choose the Reser ve action.
7. On the Reser vation page, select the item ledger entry line or lines that contain the available quantities,
choose the Reser ve from Current Line action, and then choose the OK button.
On the Sales Order page, the Reser ved Quantity field now shows that the whole order line quantity is
reserved. The Qty. to Assemble to Order field still reflects the subquantity that has to be assembled.
8. Release the sales order for picking of the inventory items and for assembly of the unavailable items. For
more information, see Assemble Items.
Cau t i on
The Bin Code field on the sales order may be prefilled according to the Assemble-to-Order Shpt. Bin Code
or the From-Assembly Bin Code field on the location card. In that case, the Bin Code field on the sales order
line may be incorrect in this combination of assemble-to-order and assemble-to-stock quantities. It is a good
idea to look in the Bin Code field and ensure that the placement works for all quantities. Alternatively, enter the
two different quantities on separate sales order lines.

See also
Assembly Management
Reserve Items
Inventory
Sell Assemble-to-Order Items and Inventory Items
Together
If the Assembly Policy field on the item card of an assembly item contains Assemble-to-Stock , then the
default sales order process assumes that the item is already assembled and can be picked from inventory, if it is
available. Therefore, no assembly order is automatically created and linked to the sales order line. However, if a
part (or all) of the quantity is not available, then you have the flexibility to create an assembly order for the
remaining quantity by filling in the Qty. to Assemble to Order field on the sales order line. In this manner,
you can assemble the item to order although it is set up to be assembled to stock by default.
Similar flexibility exists when you are selling items to be assembled to the order and a part of the quantity is in
inventory, which you want to deduct from the assembly order. For more information, see Sell Inventory Items in
Assemble-to-Order Flows.
NOTE
Certain rules apply to the Qty. to Ship field on sales order lines that contain a combination of assemble-to-order
quantities and inventory quantities. For more information, see the Combination Scenarios section in Understanding
Assemble to Order and Assemble to Stock.
NOTE
The following procedure does not include the standard sales order steps that you need to follow before you create an
assembly order for unavailable quantities.
To sell assemble-to-order items and inventory items together

1. On a sales order line for an item that is set up to be assembled to stock, enter a quantity in the Quantity
field that exceeds inventory. The Check Availability page appears. For more information, see View the
Availability of Items.
2. Note the Total Quantity field (a negative value), which you will enter in the next step.
3. In the Qty. to Assemble to Order field, enter the value from the previous step.
4. Perform any changes to the assembly components. For more information, see Sell Items Assembled to Order.
5. Proceed to release the sales order, to prepare it for picking of the inventory items and for assembly of the
unavailable items. For more information about these standard assembly steps, see Assemble Items.
Cau t i on
The Bin Code field on the sales order may be prefilled according to the Assemble-to-Order Shpt. Bin Code
field or the From-Assembly Bin Code field on the location card. In that case, the Bin Code field on the sales
order line may be incorrect in this combination of assemble-to-order and assemble-to-stock quantities. It is a
good idea to examine the Bin Code field and make sure that the placement works for all quantities.
Alternatively, enter the two different quantities on separate sales order lines.
See Also
Assembly Management
Inventory
You can use assembly management to customize an assembly item to a customer’s request during the sales
process. For more information, see Sell Items Assembled to Order.
As with any other type of item, you can also create blanket sales orders for customized assembly items before
periodically making the actual sales orders according to the blanket order agreement. This process involves
several extra steps when you compare it to creating a regular blanket sales order, and it uses a variation of a
linked assembly order, which is a blanket assembly order.
NOTE
Like all blanket orders, quantities on assembly blanket orders are only forecasts and are not operational until they are
converted to actual assembly orders. Therefore, order functionality, such as availability calculation, reservation, and item
tracking, is not active on blanket assembly orders.
To create a blanket assembly order for an assemble-to-order item

2. Create a new blanket sales order with one line for an assembly item. For more information, see Create
Blanket Sales Orders.
3. In the Qty. to Assemble to Order field on the blanket assembly order line, enter the full quantity.
NOTE
You should not create blanket order agreements for a partial quantity. Therefore, you must enter the same
quantity that you entered in the Quantity field on the blanket sales order line.
4. Choose the Assemble to Order action, and then choose the Assemble-to-Order Lines action.
Alternatively, choose the Qty. to Assemble to Order) field on the line.
5. On the Assemble-to-Order Lines page, review or modify the assembly order lines according to the
blanket order agreement that you have made with the customer. If you want to view more information,
choose the Show Document action to open the complete blanket assembly order. You cannot change
the contents of most fields, and you cannot post.
6. When you have adjusted the assembly order lines according to the blanket order agreement, close the
Assemble-to-Order Lines page to return to the Blanket Sales Order page.
7. When the customer requests to create a sales order based on the agreed blanket sales order, create a
sales order for the agreed assembly item or items. For more information, see Create Blanket Sales
Orders.
The linked blanket assembly order and any customizations are linked to that new sales order to prepare for
assembly of the item or items to be sold.
See Also
Create Blanket Sales Orders
Assembly Management
Inventory
Sometimes you may need to undo a posted assembly order, for example when the order was posted with
mistakes that must be corrected, or because it should not have been posted in the first place and must be rolled
back.
When you undo a posted assembly order, a set of corrective item ledger entries is created to reverse the original
entries. Each positive output entry for the assembly item is reversed by a negative output entry. Each negative
consumption entry for an assembly component is reversed by a positive consumption entry. Fixed cost
application is automatically created between the corrective and original entries to ensure exact cost reversal.
When you undo a fully posted assembly order, then you can choose to recreate the assembly order to its
original state, for example to make corrections before reposting it. Alternatively, you can choose to not recreate
the assembly order.
When you undo a partially posted assembly order, then all affected quantity fields, such as the Assembled
Quantity , Consumed Quantity , and Remaining Quantity fields are restored to the values they had before
the posting in question.
To recreate or restore assembly orders, the following conditions must apply to the assembly item that was
output in the original posting:
It must still be in inventory, that is, it is not sold or otherwise consumed by outbound transactions.
It must not be reserved.
It must exist in the bin that it was output to.
In addition, existing assembly orders can only be restored if the number of lines and the sequence of lines on
the original assembly order are not changed.
TIP
To solve conflicts due to line changes, you can manually revert the changes on the lines in question before undoing the
related posted assembly order. Alternatively, you can post the assembly order fully and then select to recreate it when
undoing the posting.
The following procedure describes how to undo posted assembly orders where the items were assembled to
stock. If you want to undo posted assembly orders where the items were assembled to a sales order, then you
must use the Undo Shipment function on the posted shipment that relates to the posted assembly order. For
more information, see Reverse Journal Postings and Undo Receipts/Shipments. The undoing of the posted
assembly order then happens automatically in the same way as described in this topic.
To undo posting of an assembly order

1. To undo a fully or partially posted assembly order, Choose the icon, enter Posted Assembly Orders ,
and choose the related link.
The Posted Assembly Orders page opens showing one or more posted assembly orders that are
posted from the assembly order in question. Each partial posting creates a separate posted assembly
order.
2. Open the posted assembly order that you want to undo, and then choose the Undo Assembly action.
If the posted assembly order that you want to undo relates to a fully posted assembly order that is now
deleted, then you have the option to recreate it, typically because you want to reprocess it.
3. If you want to recreate the assembly order, choose the Yes button. To undo the posting without recreating
the related assembly order, choose the No button.
The Reversed field on the assembly order header changes to Yes . The assembly order posting is now reversed,
and you can proceed to process the entire assembly order if you chose to recreate it or the open assembly order
that you have restored to its original state.
NOTE
To restore quantities from multiple partial postings in an assembly order, you must undo all the posted assembly orders in
question by following steps 1 through 3 above for each posted assembly order.
See Also
Assembly Management
Inventory
You use bills of materials (BOMs) to structure parent items that must be assembled or produced by resources or
machine centers from components. An assembly BOM can also be used to sell a parent item as a kit consisting
of its components.
Assembly BOMs or Production BOMs

You use assembly orders for making end items from components in a simple process that can be performed by
one or more basic resources, which are not machine or work centers, or without any resources. For example, an
assembly process could be to pick two wine bottles and one coffee sack and then pack them as a gift item.
An assembly BOM is the master data that defines which component items go into an assembled end item and
which resources are used to assemble the assembly item. When you enter an assembly item and a quantity in
the header of a new assembly order, then the assembly order lines are automatically filled according to the
assembly BOM with one assembly order line per component or resource. For more information, see Assembly
Management.
Assembly BOMs are described in this topic.
You use production orders for making end items from components in a complex process that requires a
production routing and work or machine centers, which represent production capacities. For example, a
production process could be to cut steel plates in one operation, weld them in the next operation, and paint the
end item in the last operation. For more information, see Manufacturing.
A production BOM is the master data that defines a production item and the components that go into it. for
assembly items, the production BOM must be certified and assigned to the production item before it can be
used in a production order. When you enter the production item on a production order line, either manually or
by refreshing the order, then the production BOM content becomes the production order components. For more
information, see Create Production BOMs.
The concept of resources in production is much more advanced than in assembly management. Work centers
and machine centers function as resources, and production steps are represented by operations that are
assigned to resources in production routings. For more information, see Create Routings.
Both assembly orders and production orders may be linked directly to sales orders. However, you can only use
assembly orders to customize the end item directly for a customer request with the sales order.
To create an assembly BOM

To define a parent item that consists of other items, and potentially of resources required to put the parent
together, you must create an assembly BOM.
Assembly BOMs usually contain items but can also contain one or more resources that are required to put the
assembly item together.
Assembly BOMs can have multiple levels, which means that a component on the assembly BOM can be an
assembly item itself. In that case, the Assembly BOM field on the assembly BOM line contains Yes .
Special requirements apply to items on assembly BOMs with regards to availability. For more information, see
To see the availability of an item by its use in assembly BOMs.
There are two parts to creating an assembly BOM:
Setting up a new item
Defining the BOM structure of the assembly item.
1. Set up a new item. For more information, see Register New Items.
Proceed to enter components or resources on the assembly BOM.
2. On the Item Card page for an assembly item, choose the Assembly action, and then choose the
Assembly BOM action.
3. On the Assembly BOM page, fill in the fields as necessary. Hover over a field to read a short description.
To edit assembly BOMs

You can edit the lines on an assembly BOM at any time. But be aware that the BOM may be in use on ongoing
sales or assemblies of the parent, which may be affected by the change. Choose the Where-Used action to see
in which items it is being used and then whether sales or assembly orders may be affected.
2. Choose the Yes value in the Assembly BOM column.
3. On the Assembly BOM page, choose the Edit List action, and then change any field as needed.
To view components and resources indented according to the BOM

structure
From the Assembly BOM page, you can open a separate page that shows the components and any resources
indented according to their BOM position under the assembly item.
4. On the Assembly BOM page, choose the Show BOM action.
To replace the assembly item with its components on document lines

From any sales and purchase document that contains an assembly item, you can use a special function to
replace the line for the assembly item with new lines for its components. This function is useful, for example, if
you want to sell the components as a kit that represents the assembly item.
The Explode BOM action is also available on the Assembly BOM page as a way to view sub-assembly items
on an assembly BOM.
Cau t i on
When you have used the Explode BOM function, you cannot easily undo it. You must delete the sales order
lines representing the components and then reenter a sales order line for the assembly item.
The following procedure is based on a sales invoice. The same steps apply to other sales documents and to all
purchase documents.
2. Open a sales invoice that contains a line for an assembly item.
3. Choose the line for an assembly item, and then Explode BOM line action.
All fields on the sales invoice line for the assembly item are cleared except for the Item and Description fields.
Complete sales invoice lines are inserted for the components and possible resources that comprise the
assembly item.
NOTE
The Picking List by Order report is also changed to show the components only. This means that a warehouse worker
picking the parent item, the assembly item, will not see it in the picking list. For more information, see Print the Picking
List.
To calculate the standard cost of an assembly item

You calculate the unit cost of an assembly item by rolling up the unit cost of each component and resource in
the item's assembly BOM.
You can also calculate and update the standard cost for one or many items on the Standard Cost Worksheet
page. For more information, see Update Standard Costs.
The unit cost of an assembly BOM always equals the total of the unit costs of its components, including other
assembly BOMs, and any resources.
NOTE
To calculate the unit cost of an assembly or production BOM, the parent item and its component items must use the
Standard costing method. Any resources in the BOM are rolled up if they have a unit cost that is defined on the resource
card.
1. In the top right corner, choose the Search for Page or Repor t icon, enter Items , and then choose the
related link.
4. On the Assembly BOM page, choose the Calc. Standard Cost action.
5. Select one of the following options, and then choose the OK button.
Top Level Calculates the assembly item's standard cost as the total
cost of all purchased or assembled items on that assembly
BOM regardless of any underlying assembly BOMs.
All Levels Calculates the assembly's item standard cost as the sum of:
1) The calculated cost of all underlying assembly BOMs on
the assembly BOM. 2) The cost of all purchased items on the
assembly BOM.
The costs of the items that make up the assembly BOM are copied from the component item cards. The cost of
each item is multiplied by the quantity, and the total cost is shown in the Unit Cost field on the item card.

See also
Register New Items
Inventory
Assembly order posting is based on the same principles as when posting the similar activities of sales orders
and production consumption/output. However, the principles are combined in that assembly orders have their
own posting UI, like that for sales orders, while the actual entry posting happens in the background as direct
item and resource journal postings, like that for production consumption, output, and capacity.
Similarly to production order posting, the consumed components and the used resources are converted and
output as the assembly item when the assembly order is posted. For more information, see Design Details:
Production Order Posting. However, the cost flow for assembly orders is less complex, especially because
The following journal postings occur during assembly order posting:
The item journal posts positive item ledger entries, representing output of the assembly item, from the
assembly order header
The item journal posts negative item ledger entries, representing consumption of assembly components,
from the assembly order lines.
The resource journal posts usage of assembly resources (time units), from the assembly order lines.
The capacity journal posts value entries relating to the resource usage, from the assembly order lines.
The following diagram shows the structure of item and resource ledger entries that result from assembly order
posting.
NOTE
Machine and work centers are included to illustrate that capacity ledger entries are created from both production and
assembly.
The following diagram shows how assembly data flows into ledger entries during posting:
Posting Sequence
The posting of an assembly order occurs in the following order:
1. The assembly order lines are posted.
2. The assembly order header is posted.
The following table outlines the sequence of actions.
Initialize Posting 1. Make preliminary checks.

2. Add posting number and modify the assembly order
header.
3. Release the assembly order.
Post 1. Create the posted assembly order header.

2. Copy comment lines.
3. Post assembly order lines (consumption):
a. Create a status page to calculate assembly

consumption.
b. Get the remaining quantity on which the item
journal line will be based.
c. Reset the consumed and remaining quantities.
d. For assembly order lines of type Item:

b. Transfer reservations to the item
journal line.
c. Post the item journal line to create the
item ledger entries.
d. Create warehouse journal lines and
post them.
e. For assembly order lines of type Resource:

b. Post the item journal line. This creates
capacity ledger entries.
c. Create and post resource journal line.
f. Transfer field values from the assembly order
line into a newly created posted assembly
order line.
4. Post the assembly order header (output):

b. Transfer reservations to the item journal line.
c. Post the item journal line to create the item
ledger entries.
d. Create warehouse journal lines and post
them.
e. Reset the assembly quantities and remaining
quantities.
IMPORTANT
Unlike for production output, which is posted at expected cost, assembly output is posted at actual cost.
Cost Adjustment
Once an assembly order is posted, meaning that components (material) and resources are assembled into a new
item, then it should be possible to determine the actual cost of that assembly item, and the actual inventory cost
of the components involved. This is achieved by forwarding costs from the posted entries of the source (the
components and resources) to the posted entries of the destination (the assembly item). The forwarding of costs
is done by calculating and generating new entries, called adjustment entries that become associated with the
destination entries.
The assembly costs to be forwarded are detected with the Order Level detection mechanism. For information
about other adjustment detection mechanisms, see Design Details: Cost Adjustment.
The order Level detection function is used in conversion scenarios, production and assembly. The function works
as follows:
consumed/used.
same order.
The following graphic shows the adjustment entry structure and how assembly costs are adjusted.
Performing the Adjustment

The spreading of detected adjustments from material and resource costs onto the assembly output entries is
performed by the Adjust Cost – Item Entries batch job. It contains the Make Multilevel Adjustment function,
which consists of the following two elements:
Make Assembly Order Adjustment – which forwards cost from material and resource usage to the assembly
output entry. Lines 5 and 6 in the algorithm below are responsible for that.
Make Single Level Adjustments – which forwards costs for individual items using their costing method. Lines
9 and 10 in the algorithm below are responsible for that.
NOTE
The Make WIP Adjustments element, in lines 7 and 8, is responsible for forwarding production material and capacity
usage to the output of unfinished production orders. This is not used when adjusting assembly order costs as the concept
of WIP does not apply to assembly.
For information about how costs from assembly and production are posted to the general ledger, see Design
Details: Inventory Posting.

The concept of work in process (WIP) does not apply in assembly order posting. Assembly costs are only posted
as actual cost, never as expected cost. For more information, see Design Details: Expected Cost Posting.
This is enabled by the following data structure.
In the Type field on item journal lines, in the Capacity Ledger Entr y and Value Entr y tables, Resource is
used to identify assembly resource entries.
In the Item Ledger Entr y Type field on item journal lines, in the Capacity Ledger Entr y and Value Entr y
tables, Assembly Output and Assembly Consumption are used to identify the output assembly item entries
and the consumed assembly component entries respectively.
In addition, posting group fields on the assembly order header and assembly order lines are populated by
default as follows.
GEN . P RO D. P O ST IN G
EN T IT Y TYPE P O ST IN G GRO UP GRO UP
Assembly Order Header Item Inventory Posting Group Gen. Prod. Posting Group
Assembly Order Line Item Inventory Posting Group Gen. Prod. Posting Group
Assembly Order Line Resource Gen. Prod. Posting Group
Accordingly, only actual costs are posted to the general ledger, and no interim accounts are populated from
assembly order posting. For more information, see Design Details: Accounts in the General Ledger
Assemble to Order
The item ledger entry that results from posting an assemble-to-order sale is fixed applied to the related item
ledger entry for the assembly output. Accordingly, the cost of an assemble-to-order sale is derived from the
assembly order that it was linked to.
Item ledger entries of type Sale that result from posting assemble-to-order quantities are marked with Yes in
the Assemble to Order field.
Posting sales order lines where a part is inventory quantity and another part is assemble-to-order quantity
results in separate item ledger entries, one for the inventory quantity and one for the assemble-to-order
quantity.
Posting dates
In general, posting dates are copied from a sales order to the linked assembly order. The posting date in the
assembly order is automatically updates when you change the posting date in the sales order directly or
indirectly, such as if you change the posting date in the wareshouse shippment, inventory pick, or as part of a
bulk posting.
You can change the posting date in the assembly order manually. However, it can not be later then posting date
in the linked sales order. The system will keep this date unless you update the posting date in the sales order.
See Also
Finance
Manufacturing
NOTE
Functionality described in this topic and sub topics is only visible in the user interface if you have the Premium
experience. For more information, see Change Which Features are Displayed.
When demand is planned for and the materials have been issued according to production BOMs, then the actual
production operations can start and be executed in the sequence defined by the production order routing.
An important part of executing production, from a system point of view, is to post production output to the
database to report progress and to update inventory with the finished items. Output posting can be done
manually, by filling and posting journal lines after production operations. Or, it can be done automatically with
the use of backward flushing. In that case material consumption is automatically posted along with output when
the production order changes to finished.
As an alternative to the batch journal for output posting for multiple production orders, you can use the
Production Journal page to post consumption and/or output for one production order line.
Before you can begin to produce items, you must make various setup, such as work centers, routings, and
production BOMs. For more information, see Setting Up Manufacturing.
TO SEE
Understand how production orders work. About Production Orders
Create production orders manually. Create Production Orders
Outsource all or selected operations in a production order to Subcontract Manufacturing

a subcontractor.
Record and post production output along with material and Post Consumption and Output for One Released Production
time consumption for a single released production order line. Order Line
Batch post the quantity of components used per operation Batch Post Consumption
in a journal that can processes multiple planned production
orders.
Post the quantity of finished items and the time spent per Batch Post Output and Run Times
operation in a journal that can processes multiple released
production orders.
Undo output, for example because of a data entry error Reverse Output Posting
occurred and incorrect amount.
Post the number of items produced in each finished Post Scrap

operation which do not qualify as finished output, but as
scrapped material.
TO SEE
View the shop floor load as a result of planned and released View the Load in Work and Machine Centers
production orders.
Use the Capacity Journal page to post consumed Post Capacities

capacities that are not assigned to a production order, such
as maintenance work.
Calculate and adjust the cost of finished production items About Finished Production Order Costs
and consumed components for financial reconciliation.
See Also
Planning
Inventory
Purchasing
Start a free trial!

Production Reports and Analytics in Business
Central
Production reporting in Business Central allows production and business professionals to get insights and
statistics about current and past production activities.
Reports
The following table describes some of the key reports in production reporting.
Quantity Explosion of BOM Shows an indented BOM listing for the 99000753
item or items that you specify in the
filters. The production BOM is
completely exploded for all levels.
Item - Able to Make (Time) Shows how five different key 5871
availability figures change over time for
a BOM item. These figures change
according to expected supply and
demand events and to supply that is
based on available components that
can be assembled or produced.
You can use the report to see whether
you can fulfill a sales order for an item
on a specified date by looking at its
current availability in combination with
the potential quantities that its
components can supply if an assembly
order has been started. The report
shows you when and how many units
of an assembly and production item
you can make based on component
availability and the item's current
availability. This is shown as the total
quantity.
The information is shown in a graph
where each availability figure is a line
that progresses along the timeline and
moves up and down as quantities
change. The quantity figures come
from the same engine that provides
information to the Item Availability
by BOM Level window.
BOM Cost Share Distribution Shows graphically how an assembled 5872

or produced item’s cost is distributed
through its BOM.
Such information can be useful in
deciding, for example, whether to
change component suppliers, replace
internal capacity usage with
outsourced labor or vice versa or when
reviewing and modifying an item’s bill
of material.
The first chart in the report shows the
total unit cost of the parent item’s
components and labor resources
broken down in up to five different
cost shares, and represented
graphically with different colors.
Material/Labor shows the proportional
material and labor costs, as well as its
own manufacturing overhead. The
material cost share includes the item's
material costs. The labor cost share
includes capacity, capacity overhead
and subcontracted costs. The cost
shares are displayed differently
depending on your choices in the
Show only field.
Direct/Indirect shows the proportional
distribution between the parent item's
direct and indirect costs. The direct
cost share includes the item's material,
capacity, and subcontracted costs. The
indirect cost share includes capacity
overhead and manufacturing
overhead.
The table at the bottom of the report
is included when you select the
Include Details check box. It shows
selected values from the BOM Cost
Shares window by single level or rolled
up, depending on your choices in the
Show Cost Shares as field.
Detailed Calculation Shows a cost list per item taking into 99000756
account the scrap.
Where-Used (Top Level) Shows where and in what quantities 99000757

the items are used in the product
structure.
The report shows only the item as
where-used, when the base item is
used as the top-level item. For
example, if item "A" is used to produce
item "B", and item "B" is used to
produce item "C", the report will show
item B if you run this report for item A.
If you run this report for item B, then
item C will be shown as where-used.
You can also open the Where-Used
Line page directly from the item.
Item BOM Compare list This report gives you the possibility to 99000758
compare similar final products
concerning the costs. You will see a
listing with all components and their
costs as well the needed quantities.
The calculation date is normally set to
the work date.
Production Order Statistics Specifies the various costs that have 99000791
accumulated for the selected
production order.
The content of the report are very
similar to the Production Order
Statistics page.
For production orders that use the
Make-to-Order manufacturing policy,
the window only shows material and
capacity cost of items at the highest
BOM level.
Capacity Task list Shows the production orders that are 99000780
waiting to be processed at the work
centers and machine centers. Printouts
are made for the capacity of the work
center or machine center). The report
includes information such as starting
and ending time, date per production
order and input quantity.
Work Center Load Shows a list for the load on a work 99000783
center. The load on a work center is the
sum of the required number of times
that all the planned and actual orders
are run on the work center in a
specified period.
Machine Center Load Shows a list for the load on a machine 99000784
center. The load on a machine center is
the sum of the required number of
times that all the planned and actual
orders are run on the work center in a
specified period.
Prod. Order Shortage list This report can be used to see all 99000788
components that are not available
because of missing stock. So, this
overview can be used to see in time, if
the timeline for a planned or released
production order if the planned time
can be kept.
Prod. Order - Calculation Shows a list of the production orders 99000767

and their costs. It includes expected
operation costs, expected component
costs, and total costs.
Tasks
View Load on Work and Machine Centers
See also
Manufacturing
Production orders are used to manage the conversion of purchased materials into manufactured items.
Production orders route work through various work or machine centers on the shop floor.
Before proceeding with production, most companies perform supply planning, typically once a week, to
calculate how many production orders and purchase orders to execute to fulfill that week’s sales demand.
Purchase orders supply the components that are required according to the production BOM to produce the end
items.
Production orders are the central components of application's manufacturing functionality and they contain the
following information:
Products planned for manufacturing
Materials required for the planned production orders
Products that have just been manufactured
Materials that have already been selected
Products that have been manufactured in the past
Materials that were used in previous manufacturing operations
Production orders are the starting points for:
Planning future manufacturing
Controlling current manufacturing
Tracking of finished manufacturing
Production Order Creation

Production orders can be created on an order-by-order basis manually from the Production Order page, or
generated from the Sales Order Planning or Order Planning pages. Multiple orders are created from the
Planning Worksheet page.
Production orders are created using information from:
Items
Production BOMs
Routings
Machine centers
Work centers
Limitations on Production Order Creation

Production orders are automatically reserved and tracked to their source when:
Created from the Planning Worksheet .
Created from the Sales Order Planning page
Created from the Order Planning page
Using the Replan function on production orders
For more information, see Track Relations Between Demand and Supply.
Production orders created through other means are not automatically reserved and tracked.
Production Order Status

The production order status controls how the production order behaves within application. The form and
content of the production are dictated by the order's status. The production orders are displayed in different
pages according to their status. You cannot change the status of a production order manually; you must use the
Change Status function in the individual production order or in the Change Production Order Status
window.
Simulated Production Order
The Simulated Production Order is unique based on the following characteristics:
As its name implies, it is a simulation and its main purpose is for quoting and costing - such as when the
Research and Development department wants to get a cost estimate on a proposed item. A simulated
production order serves as an example of a production order.
It does not influence the planning of orders. Planning (MPS and MRP) neither considers nor is affected by
simulated production orders. Also, a simulated production order cannot be used as a template because it
disappears when you change its status.
Planned Production Order
The Planned Production Order is unique because of the following characteristics:
You can automatically create a planned production order from a sales order.
Planned production orders are like released production orders and provide input to capacity requirements
planning by showing the total capacity requirements by work center or machine center.
A planned production order represents the best estimate of the future load for the work center or machine
center load based on available information. Typically, they are generated from planning, but can also be
created manually. Because they are erased during subsequent planning generations, manual creation is not
practical.
Their generation in planning results in a suggested "planned order release" that includes quantity, release
date, and due date. The planning system logic is based on the replenishment system, reorder policies, and
order modifiers that it encounters in the net requirements planning process.
To view their impact, look at the load for each work center or machine center on the planned production
order's routing.
Firm Planned Production Order
The Firm Planned Production Order is unique because of the following characteristics:
You can automatically create a firm planned production order from a sales order.
A firm planned production order acts as a placeholder in the planning schedule for some future job released
to the floor.
A firm planned production order can be generated from planning or created manually or from sales orders.
They are not erased during subsequent planning.
Their generation in planning results in a suggested "planned order release" that includes: quantity, release
date, and due date. The planning system logic is based on the replenishment system, reorder policies, and
order modifiers that it encounters in the net requirements planning process.
To view their impact, look at the load for each work center or machine center on the firm planned production
order's routing.
Released Production Order
The Released Production Order is unique based on the following characteristics:
You can automatically create a released production order from a sales order.
When a production order has been released, it does not necessarily mean that materials have been picked or
the job has physically moved to its first operation.
In a MTO (Make-to-Order) environment, it is not unusual to create a released production order immediately
after the entry of the sales order.
Actual material consumption and product output can be recorded manually with a released production order.
In addition, automatic flushing of consumption and product output only occurs for released production
orders.
Finished Production Order
The Finished Production Order is unique based on the following characteristics:
A finished production order is typically one that has been manufactured.
Finishing the production order is an important task in completing the costing lifecycle of the item that is
being produced. By finishing a production order, costing can be adjusted and reconciled.
Finished production orders are used for statistical reporting and to support the ability to track back to other
orders (sales, production, and purchase, for example). The ability to track back to a finished production order
allows you to review the detailed history.
Finished production orders can never be changed.
Production Order Execution

Once a production order has been created and scheduled, it has to be released to the shop floor to be executed.
During execution of the order, you record:
Materials picked or consumed
How much time was spent working on the order
Quantity of the parent item produced
This information can be recorded manually or through automatic reporting, according to the setup in the
Flushing Method field of item and work center.
Material Consumption
The application offers a variety of options for how a manufacturing company might want to record material
consumption. For example, material consumption may be recorded manually, which might be desirable if there
are frequent component substitutions or greater than expected scrap.
Consumption of materials may be processed through the consumption journal, but also may be recorded
automatically by application, known as automatic reporting (flushing). The reporting methods are:
Manual
Forward
Backward
Manual consumption reporting uses the consumption journal to specify material picking.
Forward consumption reporting assumes the expected quantity of all materials for the entire order is consumed
at the release of a production order, unless using routing link codes. When using routing link codes, the material
consumed after the start of the operational step is recorded in the Output Journal. To forward flush the entire
production order, you need to do two things:
All items in the top-level production BOM need to have forward flushing selected on their respective item
card.
All routing link codes on the production BOM must be removed.
Backward consumption reporting records the actual quantity of all material picked or consumed when the
status of a production order is changed to Finished, unless using routing link codes. When using routing link
codes, the material is consumed after a quantity of the parent item is recorded for the operational step in the
Output Journal.
When the Production Order is refreshed, the flushing method is copied from the item card. Because the flushing
method for each production order component controls how and when the consumption is recorded, it is
important to note that you can change flushing method for specific items directly on the Production Order.
For more information, see Flush Components According to Operation Output
Production Output
The application provides you with the capability to track how much time is spent working on a production order,
in addition to recording the quantity produced. This information can help you more accurately determine the
costs of production. Also, manufacturers using a standard costing system may want to record actual information
in order to help them develop better standards.
Output may be processed through the output journal, but also may be recorded automatically by application.
The application copies the flushing method from the machine center or work center card to the production
order routing when refreshing. As with material consumption, there are three reporting methods for output:
Manual
Forward
Backward
Manual method uses the Output Journal to specify time consumed and quantity produced.
Forward method records the expected output (and time), which is automatically recorded at the release of a
Production Order. Routing link codes are not a factor in the forward flushing of the output.
Backward method records the expected output (and time), which is automatically recorded at the finish of a
Production Order. Routing link codes are not a factor in the back flushing of the output.
Posting Consumption and Output
You can use any combination of automatic flushing and manually recorded information for both consumption
and output. For example, you may want to automatically forward flush components, but still use the
Consumption Journal to record scrap. Similarly, you may want to automatically record output, but use the
Output Journal to record scrap of the parent item or additional time spent on the order.
Finally, if you enter consumption and output manually, you need to determine the sequence in which you are
going to record this information. You can record consumption first and use a shortcut method to enter the
information, which is based on expected quantity of output. Or, you can enter output first, using the Explode
Routing function. You would then record consumption based on actual quantity of output.
Production Journal
The Production Journal combines the functions of the Consumption Journal and Output Journals into one
journal, which is accessed directly from the Released Production Order.
The purpose of the Production Journal is to provide a single interface for you to register consumption and
output from a Production Order.
The Production Journal has a simple view and provides you with the ability to:
Easily record output and consumption related to a Production Order
Relate the components to operations
Relate actual operation data with the standard estimates on the Production Order routing and component
lines
Post and print an overview of registered operation data for the Production Order
The Production Journal performs many of the same functions as the Consumption and Output journals.
Dimensions, Item Tracking, and Bin Contents are handled in the same way as on the Consumption and Output
journals.
However, the Production Journal differs from the Consumption and Output journals in the following ways:
It is called directly from a released production order line and preset with the relevant data.
It allows you to define which types of components to handle based on a flushing method filter on the journal.
Quantities and times already posted for the order are displayed at the bottom of the journal as actual entries.
Fields where data entry is irrelevant are blank and non-editable.
The user can set up the way output quantities are preset in the journal - for example, that the last operation
must have zero as Output Quantity.
If you happen to exit the journal without posting your changes, a request message is displayed allowing you
to stay in the journal.
It displays operations and components together in a logical structure that provides an overview of the
production process.
In the production journal, consumption quantities are posted as negative item ledger entries, output quantities
are posted as positive ledger entries, and times spent are posted as capacity ledger entries.
See Also
Manufacturing Setting Up Manufacturing
Planning
Inventory
Purchasing
Create Production Order Headers
You can create a production order manually, and the first step is to create a production order header.
Production orders are typically created automatically by a planning function to fulfill a known demand. For more
information, see Planning.
In the following procedure, a firm planned production order is created. You can also create production orders
with a different status.
To create a production order header

1. Choose the icon, enter Firm Planned Prod. Orders , and then choose the related link.
3. In the No. field, insert the next number in the series.
4. In the Source Type field, select the source of the production order.
Here you can select to produce for a family of items. For more information, see Work With Production
Families.
5. In the Source No. field, select the item number, family, or sales header for which the production order is
to be generated.
6. Fill in the Quantity and Due Date fields according to your specifications.
When production requirements change, such as components or operations, you can quickly replan the
production order. For more information, see Replan or Refresh Production Orders Directly.
See Also
Planning
Inventory
Purchasing
Subcontracting selected operations to vendor is common in many manufacturing companies. Subcontracting

can be a rare occurrence or can be an integral part of all production processes.
Business Central provides several tools for managing subcontract work:
Work Centers with assigned vendor: This feature enables you to set up a work center that is associated with a
vendor (subcontractor). This is called a subcontract work center. You can specify a subcontract work center on
a routing operation, which allows you to easily process the subcontracted activity. In addition, the cost of the
operation can be designated at the routing or the work center level.
Work Center cost based on units or time: This feature enables you to specify whether costs associated with
the work center are based on the production time or a flat charge per unit. Although subcontractors
commonly use a flat charge per unit to charge for their services, the application can handle both options
(production time and flat charge per unit).
Subcontracting Worksheet: This feature allows you to find the production orders with material ready to send
to a subcontractor and to automatically create purchase orders for subcontract operations from production
order routings. The application automatically posts the purchase order charges to the production order
during the posting of the purchase order. Only production orders with a status of released can be accessed
and used from a subcontracting worksheet.
Subcontract Work Centers

Subcontract Work Centers are set up the same as regular work centers with additional information. They are
assigned to routings in the same manner as other work centers.
Subcontract Work Center Fields
This Subcontractor No. field designates the work center as a subcontract work center. You can enter the
number of a subcontractor who supplies the work center. This field can be used to administer work centers,
which are not in-house but perform processing under contract.
If you subcontract with the vendor for a different rate for each process, then select the Specific Unit Cost field.
This lets you set up a cost on each routing line and saves the time of re-entering each purchase order. The cost
on the routing line is used in processing instead of the cost on the work center cost fields. Selecting the Specific
Unit Cost field calculates costs for the vendor by the routing operation.
If you subcontract at a single rate per vendor, leave the Specific Unit Cost field blank. The costs will be set up
by filling in Direct Unit Cost , Indirect Cost % , and Overhead Rate fields.
Routings that use Subcontract Work Centers
Subcontract work centers can be used for operations on routings in the same way as regular work centers.
You can set up a routing that uses an outside work center as a standard operational step. Alternatively, you can
modify the routing for a particular production order to include an outside operation. This might be needed in an
emergency such as a server not working correctly, or during a temporary period of higher demand, where the
work generally performed in-house must be sent to a subcontractor.
For more information, see Create Routings.
Calculate Subcontracting Worksheets and Create Subcontract

Purchase Orders
Once you have calculated the subcontracting worksheet, the relevant document, in this case a purchase order, is
created.
The Subcontracting Worksheet page functions like the Planning Worksheet by calculating the needed
supply, in this case purchase orders, which you review in the worksheet and then create with the Carr y Out
Action Message function.
NOTE
Only production orders with status Released can be accessed and used from a subcontracting worksheet.
To calculate the subcontracting worksheet

1. Choose the icon, enter Subcontracting Worksheet , and then choose the related link.
2. To calculate the worksheet, choose the Calculate Subcontracts action.
3. On the Calculate Subcontracts page, set filters for the subcontracted operations, or the work centers
where they are performed, to calculate only the relevant production orders.
Review the lines on the Subcontracting Worksheet page. The information in this worksheet comes
from the production order and production order routing lines and flows to the purchase order when that
document is created. You can delete a row from the worksheet without affecting the original information,
just as you can with the other worksheets. The information will reappear the next time you run the
Calculate Subcontracts function.
To create the subcontract purchase order
1. Choose the icon, enter Subcontracting Worksheet , and then choose the related link.
2. Choose the Carr y Out Action Message action.
3. Select the Print Orders field to print the purchase order as it is created.
If all subcontracted operations are sent to the same vendor location, then only one purchase order is created.
The worksheet line that was turned into a purchase order is deleted from the worksheet. Once a purchase order
is created, it will not appear in the worksheet again.
Posting Subcontract Purchase Orders

Once the Subcontractor Purchase Orders have been created, they can be posted. Receiving the order posts a
Capacity Ledger Entry to the production order and invoicing the order posts the direct cost of the purchase
order to the production order.
To post a subcontract purchase order

1. Choose the icon, enter Purchase Orders , and then select the related link.
2. Open a purchase order that is created from the subcontracting worksheet.
On the purchase order lines, you see the same information that was in the worksheet. The Prod. Order
No., Prod. Order Line No., Operation No., and Work Center No. fields are filled in with the
information from the source production order.
When the purchase is posted as received, then an output journal entry is automatically posted for the
production order. This only applies if the subcontract operation is the last operation on the production order
routing.
Cau t i on
Posting output automatically for an ongoing production order when subcontracted items are received may not
be desired. Reasons for this could be that the expected output quantity that is posted may be different from the
actual quantity and that the posting date of the automatic output is misleading.
To avoid that the expected output of a production order is posted when subcontract purchases are received,
make sure the subcontracted operation is not the last one. Alternatively, insert a new last operation for the final
output quantity.
When the purchase order is posted as invoiced, then the direct cost of the purchase order is posted to the
production.
See Also
Manufacturing
Planning
Inventory
Purchasing
Register Consumption and Output for One
Released Production order line
This execution task is performed on the Production Journal page. The journal combines the functions of the
separate consumption journal and output journals into one journal. The combined journal is accessed directly
from a released production order. Its main purpose is to manually post the consumption of components, the
quantity of end items produced, and the time spent in operations. The values are posted to ledger entries under
the released production order. Consumption quantities are posted as negative item ledger entries, output
quantities are posted as positive ledger entries, and times spent are posted as capacity ledger entries. Such
posted values can also be viewed at the bottom of the journal as actual quantities.
NOTE
Because consumption data is processed together with output data, this journal offers an opportunity to display linked
components and operations in a logical process structure. Components are indented under their respective operation.
This requires that you use routing link codes.
NOTE
Components without routing link codes are listed first in the journal.
To register consumption and output

1. Choose the icon enter Released Prod. Orders , and then choose the related link.
2. Open a released production order line that is ready for registration, and then on the Lines FastTab,
choose the Line action, and then choose the Production Journal action.
The Production Journal page opens showing journal lines for the production order line according to
the Prod. Order Component and Prod. Order Routing pages. These lines originate from the
production BOM and routing assigned to the item that is being produced. For more information, see
Create Production BOMs.
3. In the Posting Date field at the top of the journal, enter a posting date that applies to all lines. The work
date is entered by default. The field is meant as a quick way to align posting dates on all lines, if relevant.
NOTE
Posting dates entered on individual lines will override this field.
4. In the Flushing Method Filter field at the top of the journal, you can choose to also view consumption
and output that is posted automatically according to the flushing methods defined for the item and
resource respectively. For more information, see Enable Flushing of Components According to Operation
Output.
5. Proceed to enter the relevant consumption and output quantities in the editable fields.
On each type of line in the journal, only the relevant fields are shown. The rest are blank and write-
protected.
When the journal is opened, it is preset with the quantities to be posted. If nothing is posted so far, all
quantity fields will show by default the expected quantities carried from the production order. If partial
postings have been made, the quantity fields on the lines will show the remaining quantities. The
quantities and times already posted for the order are displayed at the bottom of the journal as actual
entries.
Concerning the quantities in the Output Quantity field, you have the option to set up which values to
preset when the journal is first opened. This is done from the Manufacturing Setup page, General
FastTab, in the Preset Output Quantity field.
NOTE
Only the output quantity on the last journal line of entry type Output will adjust the inventory level when
posting the journal. Therefore, do not to post the journal, with the expected output quantity preset on the last
output line, until all end items are actually produced.
6. Select the Finished field of output lines to indicate that the operation is finished. This field is related to
the Routing Status field on a production order routing line.
7. Choose the Post action to register the quantities you have entered and then close the journal.
If values remain to be posted, the journal will contain these remaining values next time it is opened. Posted
values are shown as actual values in the bottom of the journal.
NOTE
If an item that is being consumed is blocked, the journal will not post consumption quantities for that item. If a machine
or work center is blocked, the journal will not post output quantities or process times for the output line in question.
NOTE
If you close the journal without posting, the changes will be lost.
WARNING
The Production Journal page cannot be used by two users simultaneously. This means that if User 2 opens the page
and enters data when User 1 is already working on the page, then User 2 may lose data when User 1 closes the page.
See Also
Manufacturing
Planning
Inventory
Purchasing
Batch Post Production Consumption
If the flushing method is Manual , you must post the components manually, using a consumption journal.
NOTE
If you have placed a check mark in the Require Pick field on the location card to indicate that the location requires
inventory pick processing, then you do not need to use this batch job. Business Central will handle consumption when
you post the inventory pick. For more information, see Pick for Production in Basic Warehouse Configurations.
You can also set up Business Central to automatically post (flush) components when you start or finish
production orders. For more information, see Enable Flushing of Components According to Operation Output.
To post consumption for one or more production order lines

1. Choose the icon, enter Consumption Journal , and then choose the related link.
2. Fill in the fields with the production order data and the consumption data. Hover over a field to read a
short description.
Use the Calc. Consumption action to generate journal lines from production orders based on the actual
output (the quantity of finished goods that you have reported) or on the expected output (the quantity of
finished goods that you expect to produce).
NOTE
If you configured the location card to require warehouse pick processing, then only quantities that are already
picked through a warehouse activity can be entered in the Quantity field in the Consumption Journal page,
not any calculated quantity. For more information, see Pick for Production or Assembly in Advanced Warehouse
Configurations
3. Choose the Post action to post the consumption. The related inventories are reduced.
See Also
Manufacturing
Planning
Inventory
Purchasing
Batch Post Output and Run Times
The output quantity represents the work progress in the form of the finished quantity and used capacity of work
or machine center.
You can use the output journal to:
Adjust inventory in connection with output of finished items from production.
Register quantities and scrap for each operation in production routing.
Register setup and run time for work and machine centers.
NOTE
If production routing are used, the inventory is updated only when you post output quantity on the last operation.
With the Production Journal window, you can perform the same tasks as in the Output Journal window and
at the same time perform the related consumption posting tasks. For more information, see Register
Consumption and Output for One Released Production order line.
To post output quantities and/or register run times for one or more
production order lines
1. Choose the icon, enter Output Journal , and then choose the related link.
2. Fill in the fields with the production order data and the output data and/or run time. Hover over a field to
read a short description.
You can use the Explode Routing function to generate journal lines from production orders.
3. If the operation has been completed, select the Finished field.
4. Choose the Post action to post the operations.
Capacity ledger entries are updated for the used work or machine centers with information about time and
quantity of output and scrap.
If you posted the last operation, the item will be added to the inventory.
See Also
Post Scrap Manually Reverse Output Posting Manufacturing Setting Up Manufacturing
Planning
Inventory
Reverse Output Posting
There are times when output posting must be reversed. An example of this would be if a data entry error
occurred and an incorrect amount of output is posted to a production order.
To reverse an output posting

1. Choose the icon, enter Output Journal , and then choose the related link. Select your batch.
2. Fill in the fields as necessary. For more information, see Batch Post Output and Run Times.
3. In the Applies-To Entr y field, select the associated item ledger entry. This reverses the capacity and item
ledger entries.
4. Post the reversal by posting the journal.
The output journal entries are posted to the item ledger as a positive adjustment.
See Also
Planning
Inventory
Purchasing
Post Scrap Manually
If scrap is produced during processing, it can be entered in the output journal.
NOTE
The scrap quantity does not increase the output quantity.
To post scrap manually

1. Choose the icon, enter Output Journal , and then choose the related link.
3. In the Scrapped Quantity field, enter the scrap quantity.
4. In the Scrap Code field, enter the scrap code.
5. Choose the Post action to post the specified scrap per operation.
See Also
Planning
Inventory
Purchasing
View Load on Work and Machine Centers
In the Work Center Card and Machine Center Card pages, you can view the shop floor load as a result of
planned and released production orders.
To view the load on work centers

1. Choose the icon, enter Work Centers , and then choose the related link.
2. Open the relevant Work Center card from the list, and then choose the Load action.
Use the View by and View as fields on the Options FastTab to select the required period.
See Also
Planning
Inventory
Purchasing
Post Capacities
In the capacity journal, you post consumed capacities that are not assigned to the production order. For example,
maintenance work must be assigned to capacity, but not to a production order.
To post capacities
1. Choose the icon, enter Capacity Journals , and then choose the related link.
2. Fill in the Posting Date and Document No. fields.
3. In the Type field, enter the type of the capacity, either Machine Center or Work Center , that you are
posting.
4. In the No. field, enter the number of the machine center or work center.
5. Enter the relevant data in the other fields, such as Star ting Time , Ending Time , Quantity , and Scrap .
6. Choose the Post action to post the capacities.
To view work center ledger entries

In the Work Center Card and Machine Center Card pages, you can view the posted capacities as a result of
finished production orders.
1. Choose the icon, enter Work Centers , and then choose the related link.
2. Open the relevant Work Center card from the list, and then choose the Capacity Ledger Entries action.
The Capacity Ledger Entries page displays the posted entries from the work center in the order they were
posted.
See Also
Manufacturing
Planning
Inventory
Purchasing
About Finished Production Order Costs
Finishing the production order is an important task in completing the costing lifecycle of the item that is being
produced. Final costs, including variances in a standard cost environment, actuals in a FIFO, Average, or LIFO
cost environment, are calculated using the Adjust Cost - Item Entries batch job, which allows for financial
reconciliation of the costs of item production. For a production order to be considered for cost adjustment, the
status must be Finished . It is therefore critical that upon completion, the status of a production order is
changed to Finished .
Example
In a standard cost environment, when you consume material to produce an item, stated simply, the cost of the
item plus labor and overhead go into WIP. When the item is produced, WIP is reduced by the amount of the
standard cost of the item. Typically, these costs do not net to zero. So that these costs can net to zero, you must
run the Adjust Cost - Item Entries batch job, noting that only production orders with the status of Finished
will be considered for adjustment.
See Also
Manufacturing
After goods are received and before goods are shipped, a series of internal warehouse activities take place to
ensure an effective flow through the warehouse and to organize and maintain company inventories.
Typical warehouse activities include putting items away, moving items inside or between warehouses, and
picking items for assembly, production, or shipment. Assembling items for sale or inventory may also be
considered warehouse activities, but these are covered elsewhere. For more information, see Assembly
Management.
In large warehouses, these different handling tasks can be separated by departments and the integration
managed by a directed workflow. In simpler installations, the flow is less formalized and the warehouse activities
are performed with so-called inventory put-aways and inventory picks. For more information about basic versus
advanced warehouse configurations, see Design Details: Warehouse Overview.
Before you can perform warehouse activities, you must set the system up for the relevant complexity of
warehouse processing. For more information, see Setting Up Warehouse Management.
The inventory-related tasks of counting, adjusting, and reclassifying items may involve warehouse tasks that
must be performed on warehouse entries before they can be synchronized with the related item ledger entries.
For more information, see Count, Adjust, and Reclassify Inventory.
TO SEE
Record the receipt (including over-receipt) of items at Receive Items

warehouse locations, either with a purchase order only, in
simple location setups, or with a warehouse receipt, in case
of semi or fully automated warehouse processing at the
location.
Bypass the put-away and pick processes to expedite an item Cross-Dock Items
straight from receiving or production to shipping.
Put away items received from purchases, sales returns, Putting Items Away
transfers, or production output according to the configured
warehouse process.
Move items between bins in the warehouse. Moving Items
Pick items to be shipped, transferred, or consumed in Picking Items

assembly or production, according to the configured
warehouse process.
Record the shipment of items from warehouse locations, Ship Items

either with a sales order only, in simple location setups, or
with a warehouse shipment, in case of semi or fully
automated warehouse processes at the location.

See also
Inventory
Assembly Management
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Inventory and Warehouse Reports and Analytics in
Business Central
Inventory and warehouse reporting in Business Central allows inventory and business professionals to get
insights and statistics about current and past inventory and warehouse activities.
Reports
The following table describes some of the key reports in inventory and warehouse reporting.

and their availability. This report shows
cumulated values like gross
requirements, scheduled and planned
receipts, the inventory, and so on.
Inventory Valuation Displays inventory valuation for 1001

selected items in your inventory. The
report also shows information about
the value of increases and decreases in
inventory over time.
Item Expiration - Quantity Shows an overview of the quantities of 5809

selected items in your inventory whose
expiration dates fall within a certain
period. The list shows the number of
units of the selected item that will
expire in a given time period. For each
of the items that you specify when
setting up the report, the printed
document shows the number of units
that will expire during each of three
periods of equal length and the total
inventory quantity of the selected
item.
You can specify what is included in the
report by setting filters. If you do not
set any filters, the report will include all
your records. The quantities in the
report reflect only the quantities of the
item for which expiration dates have
been defined.
Item Age Composition - Quantity Shows an overview of the current age 5807
Item Age Composition - Value Shows an overview of the current age 5808
Warehouse Bin List Shows an overview of warehouse bins, 7319

their setup, and the quantity of items
within the bins. This report can be
used for all locations, which have “bin”
as mandatory field.
Warehouse Shipment Status Shows an overview of open source 7313

documents with items shipped or due
for shipping per location. This report
can be used for all locations, were
Required Shipments is enabled.
Warehouse Shipment Status shows
quantities.

each item: sales order line with
customer's name, variant code,
from the inventory.
NOTE: this functionality is not available
for advanced warehouse functionality.
Warehouse Adjustment Bin This special report is meant only for an 7320
advanced warehouse and shows the
remaining quantities that are still
stored in the adjustment bin itself.
Normally this specific bin should be
empty. The only reason when this bin
will be filled is as result of physical
counting process or if quantities of
items had been removed or added to
the warehouse
Tasks
See also
Inventory
Receive Items
When items arrive at a warehouse that is not set up for warehouse receipt processing, you simply record the
receipt on the related business document, such as a purchase order, a sales return order, or an inbound transfer
order.
When items arrive at a warehouse that is set up for warehouse receipt processing, you must retrieve the lines of
the released source document that triggered their receipt. If you have bins, you can either accept the default bin
that is filled in, or if the item has never been used before in the warehouse, fill in the bin where the item should
be put away. You must then fill in the quantities of the items you have received, and post the receipt.
To receive items with a purchase order

The following describes how to receive items with a purchase order. The steps are similar for sales return orders
and transfer orders.
2. Open an existing purchase order, or create a new one. For more information, see Record Purchases.
3. In the Qty. to Receive field, enter the received quantity.
NOTE
If the received quantity is higher than ordered on the purchase order, per the Quantity field, and the vendor has been
set up to allow over-receipts, then you use the Over-Receive field to handle the excess quantity. For more information,
see To receive more items than ordered.

The value in the Qty. Received field is updated. If this is a partial receipt, then the value is lower than the value
in the Quantity field.
NOTE
If you use a warehouse document to post the receipt, then you cannot use the Post action on the purchase order.
Instead, a warehouse worker has already posted the purchase order quantity as received. For more information, see To
receive items with a warehouse receipt.
To receive items with a warehouse receipt

1. Choose the icon, enter Warehouse Receipts , and then choose the related link.
Fill in the fields on General FastTab. When you retrieve source document lines, some of the information
is copied to each line.
For warehouse configuration with directed put-away and pick, if the location has a default zone and bin
for receipts, the Zone Code and Bin Code fields are filled in automatically, but you can change them as
appropriate.
NOTE
If you wish to receive items with warehouse class codes other than the class code of the bin in the Bin Code field
on the document header, you must delete the contents of the Bin Code field on the header before you retrieve
source document lines for the items.
3. Choose the Get Source Documents action. The Source Documents page opens.
From a new or an open warehouse receipt, you can use the Filters to Get Source Docs. page to
retrieve the released source document lines that define which items to receive or ship.
a. Choose the Use Filters to Get Src. Docs. action.
b. To set up a new filter, enter a descriptive code in the Code field, and then choose the Modify action.
c. Define the type of source document lines that you want to retrieve by filling in the relevant filter fields.
d. Choose the Run action.
All released source document lines that fulfill the filter criteria are now inserted in Warehouse Receipt
page from which you activated the filter function.
The filter combinations that you define are saved on the Filters to Get Source Docs. page until the
next time you need it. You can make an unlimited number of filter combinations. You can change the
criteria at any time by choosing the Modify action.
4. Select the source documents for which you want to receive items, and then choose the OK button.
The lines of the source documents appear on the Warehouse Receipt page. The Qty. to Receive field is
filled with the quantity outstanding for each line, but you can change the quantity as necessary. If you
deleted the contents of the Bin Code field on the General FastTab before getting the lines, you must fill
in an appropriate bin code on each receipt line.
NOTE
To fill in the Qty. to Receive field on all the lines with zero, choose the Delete Qty. to Receive action. To fill it in
once again with the quantity outstanding, choose the Autofill Qty. to Receive action.
NOTE
You cannot receive more items than the number in the Qty. Outstanding field on the source document line. To
receive more items, retrieve another source document that contains a line for the item by using the filter function
to get source documents with the item.
5. Post the warehouse receipt. The quantity fields are updated on the source documents, and the items are
recorded as part of company inventory.
If you are using warehouse put-away, the receipt lines are sent to the warehouse put-away function. The items,
although received, cannot be picked until they have been put away. The received items are identified as available
inventory only when the put-away has been registered.
If you are not using warehouse put-away but you are using bins, the put-away of the items in the bin specified
on the source document line is recorded.
NOTE
If you use the Post and Print function, you both post the receipt and print a put-away instruction that shows you where
to place the items in storage.
If your location uses directed put-away and pick, then the put-away templates are used to calculate the best place to put
the items away. This is then printed on the put-away instruction.
To receive more items than ordered

When you receive more goods than you ordered, you may want to receive them instead of canceling the receipt.
For example, it may be cheaper to keep the excess on your inventory than returning them or your vendor may
offer you a discount for keeping them.
To set up over-receipts
You must define a percentage by which you allow the ordered quantity to be exceeded when receiving. You
define this under an over-receipt code, which contains the percentage in the Over-Receipt Tolerance % field.
You then assign the code to the cards of relevant items and/or vendors.
The following describes how to set up and assign an over-receipt code to an item. The steps are similar for a
vendor.
2. Open the card for an item that you suspect may sometimes be delivered with a higher quantity than ordered.
3. Choose the look-up button in the Over-Receipt Code field.
5. On the Over-Receipt Codes page, create one or more new lines that define different over-receive policies.
Hover over a field to read a short description..
6. Select a line, and then choose the OK button.
The over-receipt code is assigned to the item. Any purchase order or warehouse receipt for the item now allows
receiving more than the ordered quantity according to the specified over-receipt tolerance percentage.
NOTE
You can set up an approval workflow to require that over-receipts must be approved before they can be handled. In that
case, you must select the Approval Required check box on the Over-Receipt Codes page. For more information, see
Create Workflows.
To perform an over-receipt
On purchase lines and warehouse receipt lines, the Over-Receipt Quantity field is used to record over-
received quantities, meaning quantities that exceed the value in the Quantity field, the ordered quantity.
When you handle an over-receipt, you can either increase the value in the Qty. to Receive field to the actually
received quantity. The Over-Receipt Quantity field is then updated to show the excess quantity. Alternatively,
you can enter the excess quantity in the Over-Receipt Quantity field. The Qty. to Receive field is then
updated to show the ordered quantity plus the excess quantity. The following procedure described how to fill in
the Qty. to Receive field.
1. On a purchase order or a warehouse receipt document where the received quantity is higher than
ordered, enter the actually received quantity in the Qty. to Receive field.
If the increase is within the tolerance specified by the assigned over-receipt code, the Over-Receipt
Quantity field is updated to show the quantity by which the value in the Quantity field is exceeded.
If the increase is above the specified tolerance, the over-receipt is not allowed. In that case, you can
investigate if another over-receipt code exists that will allow it. Otherwise, only the ordered quantity can
be received, and the excess quantity must be handled otherwise, for example, by returning it to the
vendor.
2. Post the receipt as you would for any other receipt.
NOTE
Business Central does not include functionality to automatically initiate the financial administration of over-receipts. You
must manually handle this in agreement with the vendor, for example, by the vendor forwarding a new or updated
invoice.

See Also
Inventory
Assembly Management
Cross-Dock Items
Cross-docking functionality is available to you if you have set up your location to require warehouse receive and
put-away processing.
When you cross-dock items, you process items in receiving and shipping without ever placing them in storage,
thereby expediting the item through the put-away and pick processes and limiting the physical handling of
items. You can cross-dock items for both shipments and for production orders. When you prepare a shipment or
pick items for production and you are using bins, the item is automatically picked from a cross-dock bin before
any other bin. You must look in the cross-dock area to see if the items you need are available there before you
get the items in their usual storage area.
If you have calculated cross-dock quantities, put-away lines to the cross-dock bin for cross-dock calculations are
created when you post the receipt. Other put-away lines are created as usual.
If you want to post the cross-dock items right away to make them available for picking, you must also register a
put-away for the other items originating from the receipt line, namely those that need to be stored. If only some
items on a receipt line are being cross-docked, you must therefore make an effort to put away the remaining
items as quickly as possible. Alternatively, your warehouse policy could be to encourage cross-docking of entire
receipt lines whenever possible.
In the put-away instruction, you can to your advantage delete both Take and Place instruction lines for each
receipt line that concern receipts that are to be fully put away in storage. These lines can later be created as put-
away lines from the put-away worksheet or the posted receipt. When they are deleted, you can then put away
and register the lines that concern cross-dock items.
If you have selected the Use Put-away Worksheet field on the location card and have posted your receipt with
calculated cross-docks, all the receipt lines become available in the worksheet. The cross-dock information is lost
and cannot be recreated. Therefore, if you wish to use cross-dock functionality, you should relay lines to the put-
away worksheet by deleting put-away instructions rather than using the automatic relay function provided in
the Use Put-away Worksheet field.
If you post the warehouse receipt and you do not have the Use Put-away Worksheet field selected, the items
to be cross-docked appear as separate lines on the put-away instruction. The Cross-Dock Information field on
each put-away line shows whether the line contains cross-dock items, items from the same receipt that all need
to be stored, or items that need to be stored originating from a receipt line where some of the items are to be
cross-docked. With this field, employees can easily see why the full receipt quantity is not being placed in
storage.
The application does not keep separate records about items that have been cross-docked, but registers them as
ordinary put-away instructions.
To set up the warehouse for cross-docking

1. Set up at least one cross-dock bin, if you are using bins. Set up a cross-dock zone, if you are using
directed put-away and pick.
A cross-dock bin has the Cross-Dock Bin field selected and must have both Receive and Pick bin types
selected. For more information, see Create Bins and Set Up Bin Types.
If you are using zones, create a zone for your cross-dock bins, and select the Cross-Dock Bin Zone field.
For more information, see Set Up Locations to Use Bins.
3. On the Location page, select the location that you want to set up the warehouse for cross-docking, and
4. On the Warehouse FastTab, select the Use Cross-Docking check box and fill in the Cross-Dock Due
Date Calc. field with the time to search for cross-dock opportunities.
The Use Cross-Docking option is only available if the Require Receive , Require Shipment , Require
Pick , and Require Put-away fields are selected.
5. If you are using bins, on the Bins FastTab, fill in the Cross-Dock Bin Code field with the code of the bin
you would like to use as the default cross-dock bin.
6. Choose the icon, enter Stockkeeping Unit , and select the related link.
7. For each item or stockkeeping unit that you want to be able to cross-dock, select the item, and then
choose the Edit action.
8. On the Stockkeeping Unit Card page, select the Use Cross-Docking check box.
NOTE
Cross-docking is only possible if your location is set up to require warehouse receive and put-away processing.
To cross-dock items without viewing the opportunities

2. Create a warehouse receipts for an item that has arrived and can perhaps be cross-docked. For more
information, see Receive Items.
3. Fill in the Qty. to Receive field, and then choose the Calculate Cross-Dock action.
Outbound source documents requesting the items that are scheduled to leave the warehouse within the
date formula time period are identified. Business Central calculates quantities so that you can cross-dock
as much as possible and avoid having to put items away, without piling up too many items in the cross-
dock area. The value in the Qty. to Cross-Dock field is thus the sum of all the outbound lines requesting
the item within the look-ahead period minus the quantity of the items that have already been placed in
the cross-dock area, or it is the value in the Qty. to Receive field on the receipt line, whichever is smaller.
You cannot cross-dock more than you have received.
4. If you want to cross-dock the quantity as suggested, post the receipt. You can also decide to change the
quantity to cross-dock to a higher or lower value and then post the receipt.
The amounts to be cross-docked now appear as lines in the put-away instruction, assuming the Use Put-
away Worksheet field is cleared. The quantities not cross-docked also become lines in the put-away
instruction.
If you have bins, the cross-docked items have been assigned to the default cross-dock bin defined on the
location card.
5. Delete the Take and Place lines for items that are not going to be cross-docked at all.
6. Print the put-away instruction for the remaining lines, and place the quantities of the receipt that need to
be stored in the appropriate bins or in the appropriate area of the warehouse. Place the cross-dock items
in the area or bin designated for them by warehouse policy. Sometimes, warehouse policy might require
that you to just leave them in the receiving area.
7. To register the cross-docked items as being put-away and available for picking, choose the Register
action.
To cross-dock items after viewing the opportunities

2. Create a warehouse receipts for an item that has arrived and can perhaps be cross-docked. For more
information, see Receive Items.
You want to view the source document lines that are requesting the item before you post the receipt.
3. Choose the Calculate Cross-Dock action.
On the Cross-Dock Oppor tunities page you can see the most important details about the lines
requesting the item, such as type of document, quantity requested, and due date. This information might
help you to decide how much to cross-dock, where to place the items in the cross-dock area, or how to
group them.
4. Choose Autofill Qty. to Cross-Dock action to see how the quantities on the receipt lines are calculated.
When you change the number of items in the Qty. to Cross-Dock field on each line, the calculation is
updated as you make changes. This does not mean that the particular shipment or production order will
actually receive the items being suggested for cross-docking, because these manipulations are for testing
purposes only. The process can be informative, however, if more than one unit of measure is involved.
5. If you want to reserve a quantity of the item for a particular order line, place your cursor on that line, and
then choose the Reser ve action. On the Reser vation page, you can now reserve any available quantity
of the item for this specific order. This reservation is like any other reservation and does not have higher
priority because it was created in connection with cross-docking. For more information, see Reserve
Items.
6. When you are finished recalculating or reserving, choose the OK button to bring the calculation as you
have revised it into the Qty. to Cross-Dock field on the receipt line, or choose the Cancel button if you
want to return to the warehouse receipt, where you can calculate the cross-dock again if you wish.
7. Now post the receipt, and you can continue in the put-away instruction as described in steps 3 through 7
in the “To cross-dock items without viewing the opportunities” section.
NOTE
In the warehouse put-away, you can continue to change the quantities that are being put away in storage or cross-
docked, as necessary. For example, you might decide to cross-dock an extra quantity to expedite the cross-dock
registration.
To view cross-docked items in a shipment or pick worksheet

If you are using bins, you can see, each time you open a shipment or the pick worksheet, an updated calculation
of the quantity of each item in the cross-dock bins. This is valuable information if you are waiting for an item to
come in. When you see that the item is available in the cross-dock bin, you can then quickly create a pick for all
the items on the shipment. In the pick worksheet, you can modify the lines as appropriate and then create a pick.
You have to look for items in the cross-dock area first when you pick items for shipment. If you have noted
during the receipt process the source documents that were the basis for cross-docking, you have a better idea of
whether the item can be found in the cross-dock area or not.
When a production order has been released, the lines are available in the pick worksheet, and you can see in the
Qty. on Cross-Dock Bin field whether the items you are waiting for have arrived and been placed in the cross-
dock bins. When you create a pick instruction, application suggests that you first pick the cross-docked items
and will only later search for the item in storage bins.
If you are not using bins, you must remember to check the cross-dock area from time to time, or rely on
notifications from receipts that items for production have arrived.
See Also
Inventory
Assembly Management
Putting Items Away
The warehouse activity of putting items away after they are received or output is performed in different ways
depending on how warehouse management features are configured. The complexity can rank from no
warehouse features, through basic warehouse configurations for order-by order handling in one or more
activities only, to advanced configurations where all warehouse activities must be performed in a directed
workflow. For more information, see Setting Up Warehouse Management.
If you decide that you want to organize and record put-away information with warehouse documents, you place
a check mark in the Require Put-away field on the location card. This indicates that when you have items
coming into the warehouse location through an inbound source document, you want the put-away of those
items to be controlled by the system. An inbound source document can be a purchase order, a sales return order,
an inbound transfer order, or a production order whose output is ready for put-away.
If your location is set up to use put-away processing but not receive processing, you use the Inventor y Put-
away page to organize the put-away information, print it, enter the result of the actual put-away and post the
put-away information, which in turn posts the receipt information for the source document. In the case of a
production order, the posting process posts the output of the order and finishes the production order.
If your location is set up to require both receive and put-away processing, so that you have placed check marks
in both the Require Receive and the Require Put-away field on the location card, there is a different process
for putting items away. In this case, you will use the Warehouse Put-away page to handle the put-away. The
warehouse put-away functions similarly to the inventory put-away, except that instead of posting the
information, you register the put-away. Note that the registering of the warehouse put-away does not post the
receipt of the items. It merely updates the bin content. As a warehouse manager, you can use a put-away
worksheets to organize put-away information before creating the individual warehouse put-away instructions.
TO SEE
Post the receipt of items directly from the inbound order Receive Items
document and thereby record the put away, because no
warehouse configuration exists.
Put items away order by order and post the receipt in the Put Items Away with Inventory Put-aways
same activity, in a basic warehouse configuration.
Put items away for multiple orders in an advanced Put Items Away with Warehouse Put-aways
warehouse configuration.
Put produced or assembled items away in a basic or an Put Away Production or Assembly Output
advanced warehouse configuration.
Plan optimized put-away instructions for a number of posted Plan Put-aways in Worksheets
warehouse receipts rather than have warehouse workers act
directly on receipts.
Put back items that were picked technically with an internal Pick and Put Away Without a Source Document
pick, for example for a production order that did not
consume the expected quantity.
TO SEE
Split a put-away line to place part of the put-away quantity Split Warehouse Activity Lines
in available bins because the designated bin is filled up.
Get immediate access to put-aways that are assigned to you Find Your Warehouse Assignments
as a warehouse worker.

See also
Inventory
Assembly Management
Put Items Away with Inventory Put-aways
When your location is set up to require put-away processing but not receive processing, you use the Inventor y
Put-away document to record and post put-away and receipt information for your source documents. The
inbound source document can be a purchase order, a sales return order, an inbound transfer order, or an
assembly or production order whose output is ready to be put away.
You can create an inventory put-away in three ways:
Create the put-away in two steps by first creating a warehouse request from the source document, which acts
as a signal to the warehouse that the source document is ready for put-away. The inventory put-away can
then be created from the Inventor y Put-away page based on the source document.
Create the inventory put-away directly from the source document itself.
Create inventory put-aways for several source documents at once by using a batch job.
To request an inventory put-away by releasing the source document

For purchase orders, sales return orders, inbound transfer orders, and assembly orders, you create the
warehouse request by releasing the order. The following describes how to do this from a purchase order.
2. Select the purchase order that you want to release, and then choose the Release action.
For production orders, you create the warehouse request by creating an inbound request from the
3. Choose the icon, enter Released Production Orders , and then choose the related link.
4. Choose the Create Inbound Whse. Request action.
NOTE
You can also create the inbound warehouse request by selecting the Create Inbound Request check box when you
refresh the production order. For more information, see Refresh or Replan Production Orders.
When the warehouse request is created, a warehouse employee assigned to putting items away can see that the
source document is ready and can create an inventory put-away document.
To create an inventory put-away based on the source document

Now that the request is created, the warehouse employee can create a new inventory put-away based on the
released source document.
1. Choose the icon, enter Inventor y Put-away , and then select the related link.
3. In the Source Document field, select the type of source document you are putting away for.
4. In the Source No. field, select the source document.
5. Alternatively, choose the Get Source Document action to select the document from a list of inbound
source documents that are ready for put-away at the location.
6. Choose the OK button to fill the put-away lines according to the selected source document.
To create an inventory put-away from the source document

1. In the source document, which can be a purchase order, sales return order, inbound transfer order, or
production order, choose the Create Inventor y Put-away/Pick action.
2. Select the Create Invt. Put-away check box.
3. Choose the OK button. A new inventory put-away is created.
To create multiple inventory put-aways with a batch job

1. Choose the icon, enter Create Invt. Put-away / Pick , and then choose the related link.
2. On the Warehouse Request FastTab of the request page, use the Source Document and Source No.
fields to filter on certain types of documents or ranges of document numbers.
3. On the Options FastTab, select the Create Invt. Put-away check box.
4. Choose the OK button. The specified inventory put-aways are created.
To record the inventory put-away

1. Open a previously created put-away document by selecting one from the Inventor y Put-aways page.
2. In the Bin Code field on the put-away lines, the bin where the items must be put away is suggesting per
the item's default bin. You can change the bin in this page if necessary.
3. Perform the put-away and enter the information for the actual quantity put away in the Qty. to Handle
field.
If it is necessary to place the items for one line in more than one bin, for example because the designated
bin is full, then use the Split Line function on the Lines FastTab. For more information about splitting
lines, see Split Warehouse Activity Lines.
4. When you have performed the put-away, choose the Post action.
The posting process will post the receipt, or for production orders, the output, of the source document lines that
have been put away, and if the location uses bins, the posting will also create warehouse entries to post the bin
quantity changes.

See also
Inventory
Assembly Management
Put Items Away with Warehouse Put-aways
When your location is set up to require warehouse put-away processing and warehouse receive processing, you
use the warehouse put-away documents function to control the putting away of items.
When you post a warehouse receipt, the source documents, such as purchase, inbound transfer, or sales return
orders, are updated, the quantity received is posted to the item ledger, and the lines about the items received are
sent to the put-away function in the warehouse. If you have internal put-away and pick, the internal put-away
can also create lines for put-away.
Depending on the warehouse setup, the lines are either made available to the put-away worksheet or used to
generate put-away instructions immediately. For more information, see Plan Put-aways in Worksheets.
In addition to the standard ways to create warehouse put-aways that are described in this topic, you can create
the put-away from the related posted warehouse receipt. This is useful if you have deleted put-away lines, or if
you use directed put-away and pick and have decided not to use the put-away worksheet, because you can
create or recreate put-away instructions from the posted receipt lines.
To put items away without directed put-away and pick

1. Choose the icon, enter Put-aways , and then choose the related link.
2. Open the warehouse put-away that is ready to handle.
You can sort the put-away lines by various criteria, for example, by item, shelf number, or due date, and
thereby optimize the put-away process.
3. On each line, in the Qty. to Handle field, enter the quantity you want to put away.
4. After you have completed putting the items away, choose the Register Put-away action to record the
completion of the activity and make the items available for picking.
To put items away with directed put-away and pick

1. Choose the icon, enter Put-aways , and then choose the related link. If put-away instructions have
been created, a warehouse put-away is visible.
2. Open the warehouse put-away that you want to work on.
3. If your warehouse requires, enter your user ID on the General FastTab when you begin work on a
particular put-away.
4. Perform the take and place actions indicated in the Action Type field on the lines.
Note that each receipt line has become at least two lines in the warehouse put-away:
The first line, with Take in the Action Type field, indicates where the items are located in the
receiving area. You cannot change the zone and bin field on this line.
The next line, with Place in the Action Type field, shows where you must place the items in
warehouse storage. If the warehouse has received a large number of items on one receipt line,
they may have to be put away in several bins, so there is a Place line for each bin.
If the Take and Place lines for each receipt line do not immediately follow one another, and you
want them to do so, you can sort the lines by selecting Item in the Sor ting Method field on the
General FastTab.
If the physical layout of the warehouse reflects the bin rankings, you can use the Bin Ranking
sorting method to prepare a put-away round that will minimize your steps through the
warehouse.
5. When you have placed all the items in bins as instructed, choose the Register Put-away action.
At locations that are set up to use directed put-away and pick, the following settings are prerequisites for the
procedure above:
A put-away template is set up. For more information, see Set Up Put-away Templates.
The weight, cubage, and special storage requirements of the item or stockkeeping unit are defined. For more
information, see Gross Weight.
The capacity, bin type, and bin ranking of the bins. For more information, see Bin Ranking.
The bin ranking is taken into consideration when more than one bin matches put-away template criteria. If both
the put-away template criteria and the bin ranking are the same for more than one bin, the bin with the highest
number is selected.
To create a put-away from a posted receipt

If your location uses both put-away processing and receive processing and you have deleted put-away lines, or if
you use directed put-away and pick and have decided not to use the put-away worksheet, you can create or
recreate put-away instructions for the posted receipt lines.
1. Choose the icon, enter Posted Whse. Receipts , and then choose the related link.
2. Select a posted receipt that might need to be put away.
3. Choose the Card action.
If the Document Status field is blank, the receipt has not been put away at all. Otherwise, the field
indicates the receipt is partially put-away or completely put-away.
4. If the receipt is partially put away or not put away at all, choose the Create Put-away action.
5. Fill in the batch job request page to create the put-away, and then choose the OK button.

See also
Inventory
Assembly Management
Put Away Production or Assembly Output
How you put away your output from production depends on how your warehouse is set up as a location. For
In basic warehouse configurations where the location requires put-away processing, you use the Inventor y
Put-away document to post production output and record the put-away of output.
NOTE
Inventory put-away is not supported for assembly processes. You post an assembly order to register output. If you use
bins, you can move items between bins later. For more information, see Move Items Ad Hoc in Basic Warehouse
Configurations.
In advanced warehouse configurations where the location requires both put-away and receive processing, you
create either an internal put-away document or a movement document to put away the output.
To put away production output with an inventory put-away

The first step in creating putting output away is to create the inbound warehouse request. This request informs
the warehouse that the production or assembly order output is ready to be put away.
To create the inbound warehouse request
1. Choose the icon, enter Released Production Order , and then choose the related link.
2. On the production order that is ready for put-away, choose the Create Inbound Whse. Request action.
NOTE
You can also create the inbound warehouse request by choosing the Create Inbound Request field when you refresh
the production order. For more information, see Refresh or Replan Production Orders.
To put output away with an inventory put-away

1. Choose the icon, enter Inventor y Put-away , and then choose the related link.
2. Create a new inventory put-away. For more information, see Put Items Away with Inventory Put-aways.
3. To access the production order output, choose the Get Source Documents action, and then select the
4. Fill in the put-away lines as appropriate.
5. When the lines are ready for posting, choose the Post action. The posting will create the necessary
warehouse entries and post the output of the items.
You can also create an Inventor y Put-away directly from the released production order. For more information,
see Put Items Away with Inventory Put-aways.
When you post an inventory put-away, it is assumed that all the operations are posted according to the standard
routing, that is, output quantity is posted according to the last operation. You can use the output journal to post
variances in output quantity and the setup and run times. If it is required to post partially after you have created
the inventory put-away, you can do so on setup times and quantities for all operations except the last one. In
that case, the last operation is controlled by the inventory put-away.
If you only need to post setup or run time on the last operation, then set the output quantity on the last
operation to 0. Alternatively, you can choose not to post the last line at all by simply deleting it
To put assembly and production output away in advanced warehouse

configurations
When you post the output of production or assembly order in the warehouse that is set up to use directed put-
away and pick, the output is placed in the bin defined in the production or assembly order.
The following table describes different ways of moving items within the warehouse with advanced
configurations where all warehouse activities must be performed in a directed workflow.
TO SEE
Move items with the warehouse movement worksheet. Move Items in Advanced Warehouse Configurations
Create an internal put-away to put produced or assembled Create an internal put-away

items away in an advanced warehouse configuration.
NOTE
You cannot enter the source document number, such as the Production Order No., in the internal put-away, put-away, or
movement documents for either of these procedures.
See Also
Inventory
Assembly Management
Plan Put-aways in Worksheets
If your location requires both put-away and receive processing, and you want to plan put-away instructions for a
number of receipts, rather than have employees follow the instructions that application creates for separate
posted receipts, you can use the put-away worksheet.
To set up your warehouse so that receipt lines are available to you in the put-away worksheet as soon as they
are posted, select the Use Put-away Worksheet field on the Warehouse FastTab of the location card. For
If you do not select this field, application will automatically create put-away instructions for receipts as they are
posted.
NOTE
Regardless of the status of the Use Put-away Worksheet field on the location card, you can always get put-away
instruction lines, that is, posted receipt lines, into the put-away worksheet by doing the following:
1. On the Warehouse Put-away page, press Ctrl+D to delete the entire put-away instruction, or select the lines that
you want to process in the worksheet and delete them.
2. Continue the process in as many put-aways as you wish, until you have deleted the lines you want to work on in the
worksheet. Now choose Put-away Worksheets and proceed with planning.
To plan instructions in the put-away worksheet

1. Choose the icon, enter Put-away Worksheet , and then choose the related link.
2. Choose the Get Warehouse Documents action. The Put-away Selection page opens.
You see all the posted receipts and registered internal put-aways that have been forwarded to the put-
away function, including those for which put-away instructions have already been created. Documents
with put-away lines that have been completely put away and registered are not shown on this list.
3. Select the documents that you want to work on in the worksheet. You can work on lines from several
documents at the same time.
NOTE
If you try to select a receipt or internal put-away document for which you have already created instructions for all
its lines, application informs you that there is nothing to handle.
4. Fill in the Sor ting Method field to sort the lines the way you prefer.
NOTE
The way the lines are sorted in the worksheet does not carry through automatically to the put-away instruction,
but the same sorting possibilities exist, along with bin ranking. The line order you plan in the worksheet is thus
easily recreated when you create the put-away instructions or by sorting in the put-away instructions.
5. Fill in the Qty. to Handle field. Choose the Autofill Qty.to Handle action, or fill in the fields manually.
6. If necessary, edit the lines manually. You can delete lines, for example, if some items need to be put away
in a bin far away from the bins for the other items.
NOTE
Lines deleted are only deleted from this worksheet, not from the put-away selection list.
7. Choose the Create Put-away action. The Create Document page opens, where you can add more
information to the put-away you are creating, as follows:
You can assign the put-away to a specific employee.
You can sort the put-away instruction lines as you did in the worksheet or by bin ranking. When you
sort according to bin ranking, the Take lines appear first, since most receipt bins have a 0 bin ranking,
and the Place lines appear last, starting with the bins with the lowest bin ranking. If you have
structured your warehouse so bins of similar bin ranking are side by side, sorting lines in this way will
ultimately save steps for your warehouse employees.
You can choose not to see the intermediate lines created when application breaks a larger unit of
measure to smaller units of measure by selecting the Set Breakbulk Filter field. For more
information, see Enable Automatic Breaking Bulk with Directed Put-away and Pick.
You can choose not to have the Qty. to Handle field automatically filled in on the put-away
instructions.
You can choose to print the document immediately.
8. Choose the OK button, and application creates the put-away according to your requests.
See Also
Inventory
Assembly Management
After items have been put away and before they are picked to fulfill the needs of a production order or
shipment, they are stored in the warehouse as part of available inventory.
Situations can arise where items must be taken out of the warehouse pick bins temporarily, perhaps to serve as
demonstration models in a sales presentation. These items are still owned by the company and are part of
inventory, but they are not available for picking. They are registered in a special purpose bin that you create for
this purpose; technically, the items are in the warehouse, but physically, they could be in a conference or
demonstration room.
In other situations, the production unit might unexpectedly need a few parts for a process. You can pick items for
the production bins using the internal pick. When the process is over and output is created, you post the
consumption of the items and empty the production bin, which in turn decreases the quantity of the item at
your location.
Likewise, items can be returned to the warehouse to be put away. The items may have been taken out of
available inventory for a production order, and then not used at all. To make them part of available inventory
again, they must be put away in the bin.
The Internal Put-aways enables you to perform put-aways without having to refer to a particular source
document. You can easily set up all the information you need to create a put-away warehouse instruction.
NOTE
If you are not using internal picks and internal put-aways, these adjustments can be performed using the methods to
move items from bin to bin or to post quantity adjustments in a bin.
When the location uses directed put-away and pick, and therefore uses bin types, you cannot manually move items in or
out of a bin of bin type RECEIVE, because items that are in a RECEIVE-type bin must be registered as being put away
before they are part of available inventory.
To create an internal pick

1. Choose the icon, enter Whse. Internal Pick , and then choose the related link.
3. Fill in the No. field, Location Code field, and the To Bin Code field on the General FastTab. The To Bin
Code field specifies the bin where you want to place the picked items. For production purposes, this bin
would be the inbound production bin or the open shop bin. For other purposes, choose a bin code of a bin
type that is not used for picking, most likely a staging, shipping, or special purpose bin.
4. Select an item in the Item No. field, and fill in the quantities you want to pick.
5. Choose the Create Pick action. A warehouse pick instruction is now ready for a warehouse employee to
perform. Alternatively you can choose the Release action and create warehouse picks using the Picks
worksheet . For more information see, Plan Picks in Worksheets
To create an internal put-away

1. Choose the icon, enter Whse. Internal Put-away , and then choose the related link.
3. Fill in the header of a new internal put-away with at least the No. and Location Code .
4. Fill in a line for each item you wish to move to the warehouse. You only have to fill in the Item No. and the
Quantity fields.
NOTE
When you choose the Item No. field, the Bin Contents List opens instead of the Item List . This is because you want
to put away an item that is in a particular bin - bin content - not just an item, and you already know the bin the item
should be taken from. 5. To fill the lines with the entire bin content or the filtered bin content of bins in the location,
choose the Get Bin Content action.
6. Choose the Create Put-away action. A warehouse put-away instruction is now ready for a warehouse employee to
perform. Alternatively you can choose the Release action and create warehouse put-aways using the Put-away
worksheet . For more information see, Plan Put-aways in Worksheets
See Also
Inventory
Assembly Management
Moving Items
The warehouse activity of moving items within the warehouse is performed in different ways depending on how
warehouse management features are configured. The complexity can rank from no warehouse features, through
basic warehouse configurations for order-by order handling in one or more activities only, to advanced
configurations where all warehouse activities must be performed in a directed workflow. For more information,
see Setting Up Warehouse Management.
While in one warehouse location, items may need to be moved between bins to support the daily warehouse
activities involved in keeping items flowing through the warehouse. Some movements happen in direct relation
to internal operations, such as a production order that needs components delivered or end items put away.
Other movements happen as mere warehouse space optimization or as ad-hoc movements to and from
operations.
Additional movement tasks are to periodically replenish picking bins or shop floor bins and to modify bin
content information.
Moving items to other locations affects the item ledger entries and must therefore be done by transfer order. For
more information, see Transfer Inventory Between Locations.
The inventory-related tasks of counting, adjusting, and reclassifying items may involve warehouse tasks that
must be performed on warehouse entries before they can be synchronized with the related item ledger entries.
For more information, see Count, Adjust, and Reclassify Inventory
TO SEE
Move items between bins in basic warehouse configurations Move Items in Basic Warehouse Configurations
at any time and without source documents.
Use the warehouse movement worksheet to move items in Move Items in Advanced Warehouse Configurations
advanced warehouse configurations, both for source
documents and ad hoc.
Bring component items to internal operations in basic Move Components to an Operation Area in Basic
warehouse configurations as requested by source Warehouse Configurations
documents for those operations.
Plan which bins to fill or empty to maintain an efficient flow, Plan Warehouse Movements in Worksheets
such as emptying a bulk storage area before a large receipt.
Update the frequency at which bins, such as picking bins, Calculate Bin Replenishment
must be replenished as a result of demand fluctuations.
Restructure your warehouse with new bin codes and new bin Restructure Warehouses
characteristics and potentially move them around.

See also
Inventory
Assembly Management
Move Items Ad Hoc in Basic Warehouse
Configurations
You may occasionally need to move items between internal bins, not receiving or shipping bins, without a
specific demand from a source document. You may perform these ad hoc movements, for example, to
reorganize the warehouse, to bring items to an inspection area, or to move additional items to and from a
production area without a system relation to the production order source document.
In basic warehouse configurations, that is locations that use the Bin Mandator y setup field and possibly the
Require Pick and the Require Put-away setup fields, you can register ad hoc movements without source
documents in the following ways:
With the Internal Movement page.
With the Item Reclassification Journal page.
NOTE
In advanced warehouse configurations, that is locations that use the Directed Put-away and Pick setup field, you use
the Movement Worksheet page or the Internal Whse. Pick or the Internal Whse. Put-away pages to move items
ad hoc between bins.
To move items as an internal movement

1. Choose the icon, enter Internal Movement , and then choose the related link.
2. On the General FastTab, fill in the No. field, either by leaving the field or by choosing the AssistEdit
button to select from the number series.
3. In the Location Code field, enter the location where the movement takes place.
If the location is set up as your default location as a warehouse employee, the location code is inserted
automatically.
4. In the To Bin Code field, enter a code for the bin that you want to move the item to. For production
purposes, this could be the open shop floor bin code, for example, as defined on the location card or work
center.
5. In the Due Date field, enter the date by which the movement must be completed.
6. On the Lines FastTab, choose the Item No. field to open the Bin Contents List page, and then select the
item to move based on its availability in bins. Alternatively, choose the Get Bin Contents action to fill
the internal movement lines based on your filters. For more information, see the tooltip for the Get Bin
Content action.
When you have selected the item, the From Bin Code field is automatically filled according to the
selected bin content, but you can change it to any other bin where the item is available.
NOTE
Because the Item No. field and the From Bin Code field are connected, their values may change
interdependently when you edit either field.
The To Bin Code field is filled with the value you entered on the header, but you can change it on the line
to any other bin code that isn’t blocked or dedicated to special purposes. For more information about
making bins dedicated, see Dedicated.
7. When you have defined which bins you want to move the item from and to, enter the quantity to move in
the Quantity field.
NOTE
Quantity must be available in the From Bin code.
8. When you are ready to process the internal movement, choose the Create Inventor y Movement
action.
NOTE
When you have created the inventory movement, the internal movement lines are deleted.
You perform the remainder of the ad hoc movement on the Inventor y Movement page in the same
way as you would for a movement based on source documents. For more information, see for example
To move items with the item reclassification journal

In stead of using warehouse movement documents, you can record the moving of items by reclassifying their
bin codes. For more information, see Count, Adjust, and Reclassify Inventory Using Journals.
1. Choose the icon, enter Item Reclass. Journal , and then choose the related link.
2. On each journal line, define the bins from which and to which you want to move items by filling in the
Bin Code and the New Bin Code fields.
a. To move a bin's entire contents to another bin, choose the Get Bin Contents action.
b. Fill in the filters to find the bin whose contents you would like to move and then choose the OK
button. The journal lines are filled with the contents of the bin.
3. Fill in the remaining fields on each journal line.
4. Post the reclassification journal.
NOTE
Unlike with movement documents, a movement posted with the reclassification journal does not create a
warehouse request to perform the physical task.

See also
Inventory
Assembly Management
Move Items in Advanced Warehouse Configurations
In advanced warehouse configurations, that is, locations with directed put-away and pick, warehouse
movements between bins are performed by a senior employee preparing warehouse movements in the
movement worksheet and then creating the warehouse movements for warehouse employees to perform.
To move items with the warehouse movement worksheet

The Movement Worksheet page has two functions that can assist in automatically filling in the lines. The first
is the Calculate Bin Replenishment function. This function uses the bin rankings to suggest replenishment
for high-ranking bins from low-ranking bins. The second is the Get Bin Content function, which fills in the
worksheet lines with the entire bin contents of the bin or bins you specify.
1. Choose the icon, enter Movement Worksheet , and then choose the related link.
2. Enter the warehouse movement information on the worksheet lines as appropriate.
3. Choose the Create Movement action to create a warehouse movement document which can then be
registered when the warehouse movement is completed.
To register the warehouse movement
1. Choose the icon, enter Movements , and then choose the related link.
2. Open the warehouse movement that you want to process.
3. On lines of action type Place , specify where, which, and when to move the item in question by editing the
Zone Code , Bin Code , Qty. to Handle , or Due Date fields.
If your warehouse has been set up so the bin codes follow the physical structure of the warehouse, you
can take quantities of several items from successive bulk bins and then place them in forward picking
bins, which also might be close to one another.
4. On lines of action type Take , specify in the Qty. to Handle field a part quantity of the bin content that
you want to move. All other fields on lines of action type Take are read-only.
5. To move all suggested quantities as specified in the Quantity field, choose the Autofill Qty. to Handle
action.
NOTE
If the location uses directed put-away and pick, then you cannot manually move items in or out of bins of bin type
RECEIVE, because items in such bins must be registered as being put away before they are part of available inventory.
To register the movement of an item that has already occurred

If your location uses directed put-away and pick, and you need to move items to other bins without a pre-
existing warehouse put-away, pick, or movement, you can register the correct placement of the items in the
warehouse using the Whse. Reclassification Journal .
1. Choose the icon, enter Whse. Reclassification Journal , and then choose the related link.
2. Fill in the Item No., From Zone Code , From Bin Code , To Zone Code , and To Bin Code fields.

See Also
Inventory
Assembly Management
Move Components to an Operation Area in Basic
If item processing operations occur at your warehouse location, then you may have to move items between
internal bins to respond to internal source documents, such as production, assembly, or service orders at the
location.
NOTE
For information about moving items between bins without source documents, see Internal Movement.
In advanced warehouse configurations, which are locations that use the Directed Put-away and Pick setup
field, you can use the Movement Worksheet page to move items between bins. For more information, see
Move Items in Advanced warehouse Configurations.
In basic warehouse configurations, which are locations that use the Bin Mandator y setup field and the
Require Pick setup field, you can register movement of items to internal operation areas based on internal
source documents in the following ways:
With the Inventor y Movement page.
With the Inventor y Pick page.
NOTE
Inventory picks also post negative item ledger entries as consumption and are only supported for production
components. For more information, see the Inventory Pick page.
For detailed information about inventory movements, see the Inventory Movement page.
Two different roles can create the initial inventory movement. An assembly worker, for example, can create it
from a released assembly order so that it shows up in the warehouse worker's list of work to do. To create an
inventory movement for assembly order lines that are ready to have components moved to their specified bins,
the assembly worker uses the Create Inventor y Movement function.
Alternatively, a warehouse worker can create it by pointing to the released assembly order in question. This is
described in the following procedure.
NOTE
If the movement is for an assembly order where the item is assembled to a sales order, then you can define that the
inventory movement document is automatically created when you create the inventory pick document that takes the
finished assembly item and posts the shipment. To set this up, select the Create Movements Automatically field on
the Assembly Setup page
For more information about assembly orders and basic warehouse configurations, see Handling Assemble-to-Order Items
with Inventory Picks.
This procedure shows how to create an inventory movement from the Inventor y Movement page by
referencing a released assembly order as a source document. The procedure is the same when you move
components for production orders and service orders.
To move components to an operation area in basic warehouse

configurations
1. Choose the icon, enter Inventor y Movement , and choose the relevant link.
2. On the General FastTab, fill in the No. field. You can press the Enter key to select from the number series.
3. In the Location Code field, enter the location where the movement occurs.
4. Choose the Get Source Documents action. Alternatively, fill in the Source Document field, and then
choose the AssistEdit button in the Source No. field.
5. On the Source Documents page, select the assembly order that you want to move components for, and
then choose the OK button.
For each needed component that can be moved, one Take line and one Place line are generated on the
Inventor y Movements page. All fields except the Qty. to Handle field are prefilled according to the
source document lines. The Qty. to Handle field is set to zero until you enter the quantity that you have
actually moved.
You can change the bin code on a Take line but only according to availability. If you choose the AssistEdit
button in the Bin Code field on a Take line, then the Bin Contents page opens and only shows bins
where the component is available.
You cannot change the bin code on a Place line. Only the bin code that is defined on the component line
of the source document is accepted. This supports the principle that the role who requests a component,
which is an assembly worker in this procedure, knows where the component must be placed. If you want
to place the components in a different bin, then you must first change the bin code on the component
line and then re-create the inventory movement lines.
6. In the Qty. to Handle field, enter the full or partial quantity that you have actually moved. The value on
the Take and the Place lines must be the same. Otherwise, you cannot register the movement.
NOTE
As in other warehouse activities, you can split the Place line by selecting the Actions action and then choosing
the Split Line action. In that case, the sum of the two split Place lines must equal the quantity on the Take line.
7. When you are ready to register the movements that you have performed, choose the Register Invt.
Movement action.
Warehouse entries are created reflecting that the components now exist in the bins specified on the
assembly order lines.
NOTE
Unlike when you move components with an inventory pick, consumption is not posted when you register an
inventory movement. That step must be performed separately by posting the assembly order output and
consumption. For more information, see Assembly Order.
See Also
Inventory
Assembly Management
Calculate Bin Replenishment
When the location is set up to use directed put-away and pick, priorities of the put-away template for the
location are taken into account when putting receipts away. Priorities include the minimum and maximum
quantities of bin content that have been fixed for a particular bin, and the bin rankings. Therefore, if items are
arriving at a steady pace, the most-used pick bins will be filled up as they are emptied.
But inventory does not always arrive in a steady trickle. Sometimes, items are purchased in large quantities so
that the company can obtain a rebate, or your production unit might produce a lot of one item to achieve a low
unit cost. Then items will not be received in the warehouse again for some time, and the warehouse needs to
periodically move items to pick bins from bulk storage areas.
It could also be that the warehouse is expecting new stock to arrive soon and wants to empty the bulk storage
area of items before the new merchandise arrives.
Finally, if you have defined your bulk storage bins with a bin type action Put Away only, that is, the bin type
does not have the Pick action selected, you must always keep your pick bins replenished, since Put Away-type
bins are not suggested for a pick of inventory.
To replenish pick bins

2. Choose the Calculate Bin Replenishment action to open the report request page.
3. Fill in the batch job request page to limit the scope of the replenishment suggestions that will be calculated.
For example, you might be concerned with particular items, zones, or bins.
4. Choose the OK button. Lines are created for the replenishment movements that need to be performed
according to the rules that have been set up for the bins and bin contents, that is, items in bins.
5. If you want to perform all the suggested replenishments, choose the Create Movement action. Employees
can now find instructions in the Movements menu item, carry them out and register them.
6. If you only want some of the suggestions to be performed, delete the lines that are less important and then
create a movement.
The next time you calculate bin replenishment, the suggestions that you have deleted will be recreated, if they
are still valid at that time.
NOTE
If the following conditions are met for an item:
The item has an expiration date, and
The Pick According to FEFO field on the location card is selected, and
You use the Calculate Bin Replenishment functionality
then the From Zone and From Bin fields will be blank because the algorithm to calculate from where to move the items
is triggered only when you activate the Create Movement function.

See also
Picking by FEFO
Inventory
Assembly Management
Plan Warehouse Movements in Worksheets
Plan movements in the worksheet using a bin replenishment function or manually planning the lines that you
want to create as movement instructions.
To calculate a replenishment movement

As the warehouse ships items out to customers, the bins with the highest bin rankings contain fewer and fewer
items. To fill up these high-ranking pick bins with items from other bins, run the Calculate Bin Replenishment
function on the Movement Worksheet page
2. Choose the Calculate Bin Replenishment action.
Business Central creates lines that indicate precisely how you should move items from the low-ranking
bins to the higher-ranking bins.
NOTE
A movement is suggested according to FEFO when you activate the Create Movement function if the following
conditions are met for an item:
The item has an expiration date.
The Pick According to FEFO check box on the location card is selected.
The Bin Mandator y check box on the location card is selected.
The From Zone and From Bin fields are blank.
For more information, see Picking by FEFO.

3. Look through the lines and change them if necessary, or delete some of them if there is not enough time
to perform them all.
4. Choose the Create Movement action to make a warehouse instruction for action by warehouse
employees.
To move the entire contents of one or more bins by using the Get Bin
Content function
You can also use the movement worksheet to plan other movement of inventory within the warehouse. For
example, when you want to place items in a bin for quality control, you can use the movement worksheet to
plan this action and then create a movement to make instructions for an employee.
2. Choose the Get Bin Content action. Use the request page to filter which bins and items you want to
appear on the movement worksheet lines.
3. Fill in the relevant fields in the batch job request page. For example, if you want to see the bin content of
all the bins in a certain zone at the location, fill in the Zone Code field. If you want to retrieve lines for
each bin that contains a particular item, fill in the Item No. field.
NOTE
You cannot manually move items in or out of a bin of bin type RECEIVE, because items that are in a RECEIVE-type
bin must be registered as being put away before they are part of available inventory.
4. If you are retrieving many lines, choose Sor t to select a sorting method to determine the order the lines
will appear in the worksheet, and then choose the OK button.
NOTE
Movement lines are retrieved according to FEFO when you activate the Get Bin Content function if the
following conditions are met for an item:
The item has an expiration date.
The Pick According to FEFO check box on the location card is selected.
The Bin Mandator y check box on the location card is selected.
The From Zone and From Bin fields are blank.
5. Complete some of the retrieved lines to reflect the changes you want to make. For each item that you
want to move, you must fill in the Item No., From Bin Code , To Bin Code , and Quantity fields.
6. Delete the incomplete lines that you used for information.
7. Once the movement worksheet lines accurately reflect how the movement action should be carried out
by the warehouse employee, choose the Create Movement action to create the instructions for the
employee.

See also
Inventory
Assembly Management
Pick Items
The warehouse activity of picking items before they are shipped or consumed is performed in different ways,
depending on how warehouse management features are configured. The complexity can rank from no
warehouse features, through basic warehouse configurations for order-by-order handling in one or more
activities only, to advanced configurations where all warehouse activities must be performed in a directed
workflow. For more information, see Setting Up Warehouse Management.
If you decide to organize and record your picking activity with warehouse documents, you place a check mark in
the Require Pick field on the location card. This indicates that when you have items that need to be picked for
an outbound source document you want the picking of those items to be controlled by the system. An outbound
source document can be a sales order, a purchase return order, an outbound transfer order, a service order, or a
production order whose components should be picked.
NOTE
Even though the setting is called Require Pick , you can still post shipments directly from the source business document
at location where you select this check box.
If your location is set up to require pick processing but not shipment processing, you use the Inventor y Pick
page to organize the picking information, print the picking information, enter the result of the pick, and post the
picking information, which in turn posts the shipment of the items. In the case of picking components for a
production order, the posting of the pick also posts the consumption.
If your location is set up to require both pick and shipment processing, so that you have placed check marks in
both the Require Pick and Require Shipment field on the location card, you use the Warehouse Pick page
to handle the pick. The warehouse pick functions similarly to the inventory pick, except that instead of posting
the picking information, you register the pick. This registering process does not post the shipment, but merely
makes the items available for shipment. As a warehouse manager, you can use a pick worksheets to organize
pick information before creating the individual warehouse pick instructions.
TO SEE
Post the shipment of items directly in the outbound order Ship Items
document because no warehouse features exist. (Works the
same for sales orders, outbound transfer orders, and return
shipments.)
Pick items order by order and post the shipment in the same Pick Items with Inventory Picks
activity, in a basic warehouse configuration.
Pick items for multiple orders in an advanced warehouse Pick Items with Warehouse Picks
configuration.
Pick components for production or assembly in a basic Pick for Production or Assembly in Basic Warehouse
warehouse configuration. Configurations
TO SEE
Pick components for production or assembly in an advanced Pick for Production or Assembly in Advanced Warehouse
warehouse configuration. Configurations
Plan optimized pick instructions for a number of shipments Plan Picks in Worksheets
rather than have warehouse workers act directly on posted
shipments.
Pick items technically for a special purpose, such as a Pick and Put Away Without a Source Document
production unit in need of extra components, in such a way
that the items do not technically leave the warehouse.
Understand how to automatically pick items according to Picking By FEFO

their expiration date, for example perishable goods.
Split a pick line into multiple lines, for example because there Split Warehouse Activity Lines
are not enough items to take from in the designated bin.
Get immediate access to picks that are assigned to you as a Find Your Warehouse Assignments
warehouse worker.

See also
Inventory
Assembly Management
When your location is set up to require pick processing but not shipment processing, you use the Inventor y
Pick page to record and post picking and shipping information for your source documents. The outbound
source document can be a sales order, a purchase return order, an outbound transfer order, or a production
order whose components are ready to be picked.
NOTE
Components for assembly orders cannot be picked or posted with inventory picks. Instead, use the Inventor y
Movement page. For more information, see Move Components to an Operation Area in Basic Warehousing.
When picking and shipping sales line quantities that are assembled to the order, you must follow certain rules when
creating the inventory pick lines. For more information, see the Handling Assemble-to-Order Items with Inventory Picks
section.
You can create an inventory pick in three ways:

Create the pick in two steps by first requesting an inventory pick by releasing the source document. This
signals to the warehouse that the source document is ready for picking. The inventory pick can then be
created on the Inventor y Pick page based on the source document.
Create the inventory pick directly from the source document itself.
You can create inventory picks for several source documents at the same time by using the batch job.
To request an inventory pick by releasing the source document

For sales orders, purchase return orders, and outbound transfer orders, you create the warehouse request by
releasing the order. The following describes how to do this from a sales order.
2. Select the sales order that you want to release, and then choose the Release action.
For production orders, you automatically create the warehouse request for the picking of components, called
flushing, when the production order status is changed to Released or when the released production order is
created. For more information, see Pick for Production or Assembly.
After the warehouse request has been created, a warehouse employee assigned to picking items can see that the
source document is ready to be picked and can create a new pick document based on the warehouse request.
To create an inventory pick based on the source document

Now that the request is created, the warehouse employee can create a new inventory pick based on the released
source document.
3. In the Source Document field, select the type of source document you are picking for.
4. In the Source No. field, select the source document.
5. Alternatively, choose the Get Source Document action to select the document from a list of outbound
source documents that are ready for picking at the location.
6. Choose the OK button to fill the pick lines according to the selected source document.
To create an inventory pick from the source document

1. In the source document, which can be a sales order, purchase return order, outbound transfer order, or
production order, choose the Create Inventor y Put-away/Pick action.
2. Select the Create Invt. Pick check box.
3. Choose the OK button. A new inventory pick will be created.
To create multiple inventory picks with a batch job

1. Choose the icon, enter Create Invt. Put-away / Pick , and then choose the related link.
2. On the Warehouse Request FastTab, use the Source Document and Source No. fields to filter on certain
types of documents or ranges of document numbers. For example, you can create picks only for sales orders.
3. On the Options FastTab, select the Create Invt. Pick check box.
4. Choose the OK button. The specified inventory picks are created.
NOTE
If picking and shipping sales line quantities that are assembled to the order you should follow certain rules when creating
the inventory pick lines. For more information, see the Handling Assemble-to-Order Items with Inventory Picks section.
In basic warehouse configurations, items that are assembled to sales orders are picked from the related sales order, as
explained in this topic. For more information, see the Handling Assemble-to-Order Items with Inventory Picks section.
To record the inventory picks

1. Choose the icon, enter Inventor y Pick , and then choose the related link.
2. In the Bin Code field on the pick lines, the bin that the items must be picked from is suggesting per the
item's default bin. You can change the bin in this page if necessary.
3. Perform the pick and enter the information for the actual quantity put away in the Qty. to Handle field.
If it is necessary to pick the items for one line from more than one bin, for example because they are not
available in the designated bin, then use the Split Line function on the Lines FastTab. For more
information about splitting lines, see Split Warehouse Activity Lines.
4. When you have performed the pick, choose the Post action.
The posting process will post the shipment of the source document lines that have been picked, or in the case of
production orders, the posting process will post the consumption. If the location uses bins, the posting will also
create warehouse entries to post the bin quantity changes.
To delete inventory pick lines

If items on the inventory pick are not available, then you can delete those inventory pick lines after posting and
then delete the inventory pick document. The source document, such as a sales order or a production order, will
have remaining items to be picked, which can be obtained through a new inventory pick later when the items
become available.
WARNING
This process is not possible if serial/lot numbers are specified on the source document. For example, if a sales order line
contains a serial/lot number, then that item tracking specification will be deleted if an inventory pick line for the serial/lot
number is deleted.
If inventory pick lines have serial/lot numbers that are not available, you must not delete the lines in question. Instead,
you must change the Qty. to Handle field to zero, post the actual picks, and then delete the inventory pick document.
This ensures that the inventory pick lines for those serial/lot numbers can be recreated from the sales order later.
Handling Assemble-to-Order Items with Inventory Picks

The Inventor y Pick page is also used to pick and ship for sales where items must be assembled before they
can be shipped. For more information, see Sell Items Assembled to Order.
Items to be shipped are not physically present in a bin until they are assembled and posted as output to a bin in
the assembly area. This means that picking assemble-to-order items for shipment follows a special flow. From a
bin, warehouse workers take the assembly items to the shipping dock and then post the inventory pick. The
posted inventory pick then posts the assembly output, the component consumption, and the sales shipment.
You can set up Business Central to automatically create an inventory movement when the inventory pick for the
assembly item is created. To enable this, you must select the Create Movements Automatically field on the
Assembly Setup page. For more information, see Move Components to an Operation Area in Basic
Warehousing.
Inventory pick lines for sales items are created in different ways depending on whether none, some, or all of the
sales line quantities are assembled to order.
In regular sales where you use inventory picks to post shipment of inventory quantities, one inventory pick line,
or several if the item is placed in different bins, is created for each sales order line. This pick line is based on the
quantity in the Qty. to Ship field.
In assemble-to-order sales where the full quantity on the sales order line is assembled to order, one inventory
pick line is created for that quantity. This means that the value in the Quantity to Assemble field is the same as
the value in the Qty. to Ship field. The Assemble to Order field is selected on the line.
If an assembly output flow is set up for the location, then the value in the Asm.-to-Order Shpt. Bin Code field
or the value in the From-Assembly Bin Code field, in that order, is inserted in the Bin Code field on the
inventory pick line.
If no bin code is specified on the sales order line, and no assembly output flow is set up for the location, then the
Bin Code field on the inventory pick line is empty. The warehouse worker must open the Bin Contents page
and select the bin where the assembly items are assembled.
In combination scenarios, where a part of the quantity must first be assembled and another must be picked
from inventory, a minimum of two inventory pick lines are created. One pick line is for the assemble-to-order
quantity. The other pick line depends on which bins can fulfill the remaining quantity from inventory. Bin codes
on the two lines are filled in different ways as described for the two different sales types respectively. For more
information, see the “Combination Scenarios” section in Understanding Assemble to Order and Assemble to
Stock.

See also
Inventory
Assembly Management
When the location is set up to require warehouse pick processing as well as warehouse shipment processing,
you use the warehouse pick documents to create and process pick information prior to posting the warehouse
shipment.
You cannot create a warehouse pick document from scratch because a pick activity is always part of a workflow,
either in a pull or a push scenario.
You can create warehouse pick documents in a pull fashion by opening an empty warehouse shipment
document, detect source documents that are released to shipment, and then create warehouse pick lines for
those shipments. You can use the Get Source Documents or Use Filter to Get Source Documents
functions to detect source documents that are ready for shipment.
Alternatively, you can use the Pick Worksheet page to pull and create pick lines in batch mode. For more
information, see Plan Picks in Worksheets.
You can also create warehouse pick documents in a push fashion from the Warehouse Shipment page by
selecting Create Pick .
NOTE
Picking for warehouse shipment of items that are assembled to the sales order being shipped follows the same steps as
for regular warehouse picks for shipment, as described in this topic. However, the number of pick lines per quantity to
ship may be many to one because you pick the components, not the assembly item.
The warehouse pick lines are created for the value in the Remaining Quantity field on the lines of the assembly order
that is linked to the sales order line that is being shipped. This ensures that all components are picked in one action.
For more information, see the “Handling Assemble-to-Order Items in Warehouse Shipments” section.
For information about picking components for assembly orders generally, including situations where the assembly item is
not due on a sales shipment, see Pick for Production or Assembly.
To pick items for warehouse shipment

1. Choose the icon, enter Picks , and then choose the related link.
If you need to work on a particular pick, select the pick from the list or filter the list to find the picks that
have been assigned to you specifically. Open the pick card.
2. If the Assigned User ID field is empty, enter your ID to identify yourself if necessary.
3. Perform the actual picking of items.
If the warehouse is set up to use bins, then the items’ default bins are used to suggest where to take the
items from. The instructions appear as two separate lines, at least one for each action type, Take and
Place.
If the warehouse is set up to use directed put-away and pick, then the bin ranking is used to calculate the
best bins to pick from, and those bins are then suggested on the pick lines. The instructions appear as two
separate lines, at least one for each action type, Take and Place.
4. When you have performed the pick and placed the items in the shipping area or shipping bin, choose the
Register Pick action.
The person responsible for shipment can now bring the items to the shipment dock and post the shipment,
including the related source document, on the Warehouse Shipment page. For more information, see Ship
Items.
In addition to picking for source documents, as described in this topic, you can take and place items between
bins without referring to source documents. For more information, see Pick and Put Away Without a Source
Document.
Handling Assemble-to-Order Items in Warehouse Shipments

In assemble-to-order scenarios, the Qty. to Ship field on warehouse shipment lines is used to record how
many units are assembled. The specified quantity is then posted as assembly output when the warehouse
shipment is posted.
For other warehouse shipment lines, the value in the Qty. to Ship field is zero from the start.
When workers in charge of assembly finish assembling parts or all of the assemble-to-order quantity, they
record it in the Qty. to Ship field on the warehouse shipment line and then choose the Post Shipment action.
The result is that the corresponding assembly output is posted, including the component consumption. A sales
shipment for the quantity is posted for the sales order.
From the assembly order, you can choose Asm.-to-Order Whse. Shpt. Line to access the warehouse
shipment line. This is convenient for workers who do not typically use the Warehouse Shipment page.
After the warehouse shipment is posted, various fields on the sales order line are updated to show progress in
the warehouse. The following fields are also updated to show how many assemble-to-order quantities remain to
be assembled and shipped:
ATO Whse. Outstanding Qty.
ATO Whse. Outstd. Qty. (Base)
NOTE
In combination scenarios, in which a part of the quantity must first be assembled and another must be shipped from
inventory, two warehouse shipment lines are created. One is for the assemble-to-order quantity, and one is for the
inventory quantity.
In that case, the assemble-to-order quantity is handled as described in this topic, and the inventory quantity
is handled as any other regular warehouse shipment line. For more information about combination
scenarios, see Understanding Assemble to Order and Assemble to Stock.

See also
Inventory
Assembly Management
Pick for Production or Assembly in Basic Warehouse
Configurations
How you put away your pick components for production or assembly orders depends on how your warehouse
is set up as a location. For more information, see Setting Up Warehouse Management.
Pick for Production in Basic Warehouse Configurations

Flushishing method also affects the flow of components in production. For more information, see Flush
Components According to Operation Output.
In advanced warehouse configurations where locations require both picks and shipments, you must use the
Warehouse Pick page to bring components with flushing method set to Manual, Pick + Forward, Pick +
Backward to production orders. For more information, see Pick for Production or Assembly in Advanced
Warehouse Configurations.
In basic warehouse configurations where the location requires pick processing but not shipment processing, you
can also use the Inventor y Pick page to organize and record the picking of components with flushing method
set to Manual. When you register an inventory pick for an internal operation, such as production, the
consumption of the picked components is posted at the same time. Alternatively you can use Inventor y
Movement with reference to a source document to bring components with flushing method set to Manual, Pick
+ Forward, Pick + Backward to production orders.
When production operations are integrated with warehouse processes, either by bins or by directed put-aways
and picks, the bin from which the components are consumed is the bin that is defined on each production order
component line. All required components must be available in that bin. Otherwise, the manual or flushed
consumption posting is stopped for that component.
Inventor y Movement with references to the source document and Warehouse pick cannot be used to pick
components with flushing methods Forward and Backward. Inventor y Pick cannot be used to pick
components with any flushing method but Manual. To handle remaining components, use Inventor y
Movement without reference to a source document. For more information, see Move Components to an
Operation Area in Basic Warehouse Configurations.
NOTE
The following important differences exist between inventory picks, inventory movements, and warehouse picks:
When you register an inventory pick for an internal operation, such as production, the consumption of the picked
components is posted at the same time. When you register an inventory movement or warehouse pick for an internal
operation, you only record the physical movement of the required components to a bin in the operation area without
posting the consumption.
When you use inventory picks, the Bin Code field on a production order component line defines the take bin from
where components are decreased when posting consumption. When you use inventory movements or warehouse
pick, the Bin Code field on production order component lines defines the place bin in the operation area where the
warehouse worker must place the components.
A system precondition for picking, or moving, components for source documents is that an outbound
warehouse request exists to notify the warehouse area of the component need. The outbound warehouse
request is created whenever the production order status is changed to Released or when a released production
order is created.
To pick production components in basic warehouse configurations

using Inventory Pick
In basic warehouse configurations where the location is set up to use picking only, you can pick components for
production activities with the Inventor y Pick page. For more information, see Pick Items with Inventory Picks.
2. To access the production order components, choose the Get Source Documents action, and then select the
3. Perform the pick, and then record the actual picking information in the Qty. to Handle field.
4. When the lines are ready for posting, choose the Post action. The posting creates the necessary warehouse
entries and posts the consumption of the items.
You can also create an Inventor y Pick directly from the released production order. Choose the Create
Inventor y Put-away/Pick/Movement action, select the Create Invt. Pick check box, and then choose the
OK button.
Alternatively, you can use the Inventor y Movement with reference to the source document to move items
between bins. You will need to register consumption separately. For more information, see Batch Post
Production Consumption
Pick for Assembly in Basic Warehouse Configurations

In advanced warehouse configurations where locations require both picks and shipments, you must use the
Warehouse Pick page to bring components to assembly orders. For more information, see Pick for Production
or Assembly in Advanced Warehouse Configurations.
In basic warehouse configurations, you can also pick for assembly orders with the Inventor y Movement page.
In basic warehouse configurations where the location requires pick processing but not shipment processing, the
Inventor y Pick page is also used to pick, assemble, and ship for sales order where items must be assembled
before they can be shipped. For more information, see Handling Assemble-to-Order Item with Inventory Picks.
Handling Assemble-to-Order Items with Inventory Picks

The Inventor y Pick page is also used to pick and ship for sales where items must be assembled before they
can be shipped. For more information, see Sell Items Assembled to Order.
Items to be shipped are not physically present in a bin until they are assembled and posted as output to a bin in
the assembly area. This means that picking assemble-to-order items for shipment follows a special flow. From a
bin, warehouse workers take the assembly items to the shipping dock and then post the inventory pick. The
posted inventory pick then posts the assembly output, the component consumption, and the sales shipment.
You can set up Business Central to automatically create an inventory movement when the inventory pick for the
assembly item is created. To enable this, you must select the Create Movements Automatically field on the
Assembly Setup page. For more information, see Move Components to an Operation Area in Basic
Warehousing.
Inventory pick lines for sales items are created in different ways depending on whether none, some, or all of the
sales line quantities are assembled to order.
In regular sales where you use inventory picks to post shipment of inventory quantities, one inventory pick line,
or several if the item is placed in different bins, is created for each sales order line. This pick line is based on the
quantity in the Qty. to Ship field.
In assemble-to-order sales where the full quantity on the sales order line is assembled to order, one inventory
pick line is created for that quantity. This means that the value in the Quantity to Assemble field is the same as
the value in the Qty. to Ship field. The Assemble to Order field is selected on the line.
If an assembly output flow is set up for the location, then the value in the Asm.-to-Order Shpt. Bin Code field
or the value in the From-Assembly Bin Code field, in that order, is inserted in the Bin Code field on the
inventory pick line.
If no bin code is specified on the sales order line, and no assembly output flow is set up for the location, then the
Bin Code field on the inventory pick line is empty. The warehouse worker must open the Bin Contents page
and select the bin where the assembly items are assembled.
In combination scenarios, where a part of the quantity must first be assembled and another must be picked
from inventory, a minimum of two inventory pick lines are created. One pick line is for the assemble-to-order
quantity. The other pick line depends on which bins can fulfill the remaining quantity from inventory. Bin codes
on the two lines are filled in different ways as described for the two different sales types respectively. For more
information, see the “Combination Scenarios” section in Understanding Assemble to Order and Assemble to
Stock.
Filling the Consumption Bin

This flow chart shows how the Bin Code field on production order component lines is filled according to your
location setup.

See also
Inventory
Assembly Management
Pick for Production or Assembly in Advanced
In advanced warehouse configurations where the location is set up to use picking as well as shipping, you can
pick components for production and assembly activities with the Warehouse Pick page.
Alternatively, you can use the Movement Worksheet page to move items between bins ad hoc, meaning
without reference to a source document. For more information, see Move Items in advanced warehouse
configurations.
For information about picking items for internal operations in basic warehouse locations that are set up for
picking only, see Move Components to an Operation Area in Basic Warehouse Configurations.
You cannot create a warehouse pick document from scratch because a pick activity is always part of a workflow,
either in a pull or a push scenario.
You can create the warehouse pick document in a push fashion by selecting Create Whse. Pick on the source
document, such as a released assembly order or warehouse shipment. For more information, see Pick Items
with Warehouse Picks.
Alternatively, you can create the warehouse pick document in a pull fashion by using the Pick Worksheet page
to detect pick requests, both for shipment and internal operations, and then create the required warehouse pick
documents.
The following procedure explains a pull scenario where you pick components for a released production order
through the Pick Worksheet page. The procedure also applies for an assembly order.
To create pick requests, both for pull and for push scenarios, the source documents in question must be
released. Release source documents for internal operations in the following ways.
SO URC E DO C UM EN T REL EA SE M ET H O D
Production Order Change order type to released production order.
Assembly Order Change status to Released.
To pick components using the pick worksheet

1. Choose the icon, enter Pick Worksheet , and then choose the related link.
2. Choose the Get Warehouse Documents action, and then select the component lines from the released
production order.
3. Inspect the lines, sort them to ensure an efficient picking round, and combine them with other worksheet
lines if necessary to make best use of employee time.
4. Choose the Create Pick action.
5. Define how to create the warehouse pick documents and how to sort pick lines by filling fields on the Create
Pick page.
6. Choose the OK button. Warehouse pick documents are created with pick lines for each component that is
required in the internal operation.
If the internal operation area, such as a production shop floor, is set up with a default bin for placement of
components to be used in the operation, then that bin code is inserted in the Place lines on the warehouse pick
document to instruct warehouse workers where to place the items. For more information, see the To-
Production Bin Code or the To-Assembly Bin Code field.
Filling the Consumption Bin

This flow chart shows how the Bin Code field on production order component lines is filled according to your
location setup.

See also
Inventory
Assembly Management
Plan Picks in Worksheets
If your warehouse is set up to require both pick and shipment processing, you can choose to make lines on
shipment documents available on pick worksheets instead of pick instructions.
NOTE
If warehouse pick instructions have already been created, and you want to combine them into one pick instruction, you
must delete the individual warehouse picks. The lines to be picked can now be listed on a pick worksheet.
On the Pick Worksheets page, you can set up pick lists that help employees gather items in the warehouse.
The page shows the quantities available in cross-dock bins, which is useful for planning work assignments in
cross-docking situations. Business Central will always propose a pick from a cross-dock bin first. The lines in the
worksheet can come from several source documents. For example, they might come from more than one sales
orders.
NOTE
Picking items that are assembled for a sales order being shipped follows the same steps as for regular warehouse picks for
shipments. However, the number of pick lines per quantity to ship may be many-to-one because you pick the
components, not the assembly item.
The warehouse pick lines are created for the value in the Remaining Quantity field on the lines of the assembly order
that is linked to the sales order line that is being shipped. This ensures that all components are picked in one action. For
more information, see Selling Inventory Items in Assemble-to-Order Flows.
For information about picking components for assembly orders generally, including situations where the assembly item is
not due on a sales shipment, see Pick for Assembly or Production in Advanced Warehouse Configurations.
Sorting Lines on a Pick Worksheet

You can sort lines by item, shelf number, source document, due date, or destination. Here are some examples of
how sorting can be useful.
If you sort by due date, you can choose to delete all lines except those that need immediate attention. The
less urgent lines are not deleted as such, but just sent back to the Pick Selection worksheet. When you
create the pick, the lines have already been sorted by due date, and you can choose to assign the pick to an
employee.
If your bins are numbered to match the physical layout of your warehouse, sorting lines by bin number can
make it easier to pick for several shipments at the same time.
If you use bin ranking, sorting by rank can save some time.
You can sort by destination, enabling you to assemble and ship orders per customer.
To plan picks in the worksheet

1. Choose the icon, enter Pick Worksheet , and then choose the related link.
2. Choose the Get Warehouse Documents action.
3. Select the shipments for which you want to prepare a pick. You can sort the lines, but the sorting won't be
applied to the pick instruction. You can also delete some of the lines to make a more effective pick. For
example, if there are multiple lines with items that are in cross-dock bins, you might create a pick for all of
the lines. The cross-docked items will be shipped, along with the other items on the shipments, and the
cross-dock bins will have space for more incoming items.
4. Choose the Create Pick action, and fill in the Create Pick page. The sorting you request here will order the
pick lines you create. For example, you can create one pick for each zone and sort the lines by bin ranking
within each pick.
5. Choose the icon, enter Warehouse Picks , and then choose the related link. The Warehouse Picks page
opens.
6. You can now find the pick assignment by selecting the pick with the highest number.
7. If needed, you can assign a different user, or sort the lines differently.
8. Choose the Print action to print the pick instructions.
9. After the pick is completed, choose the Register action.

See also
Inventory
Assembly Management
After items have been put away and before they are picked to fulfill the needs of a production order or
shipment, they are stored in the warehouse as part of available inventory.
Situations can arise where items must be taken out of the warehouse pick bins temporarily, perhaps to serve as
demonstration models in a sales presentation. These items are still owned by the company and are part of
inventory, but they are not available for picking. They are registered in a special purpose bin that you create for
this purpose; technically, the items are in the warehouse, but physically, they could be in a conference or
demonstration room.
In other situations, the production unit might unexpectedly need a few parts for a process. You can pick items for
the production bins using the internal pick. When the process is over and output is created, you post the
consumption of the items and empty the production bin, which in turn decreases the quantity of the item at
your location.
Likewise, items can be returned to the warehouse to be put away. The items may have been taken out of
available inventory for a production order, and then not used at all. To make them part of available inventory
again, they must be put away in the bin.
The Internal Put-aways enables you to perform put-aways without having to refer to a particular source
document. You can easily set up all the information you need to create a put-away warehouse instruction.
NOTE
If you are not using internal picks and internal put-aways, these adjustments can be performed using the methods to
move items from bin to bin or to post quantity adjustments in a bin.
When the location uses directed put-away and pick, and therefore uses bin types, you cannot manually move items in or
out of a bin of bin type RECEIVE, because items that are in a RECEIVE-type bin must be registered as being put away
before they are part of available inventory.
To create an internal pick

1. Choose the icon, enter Whse. Internal Pick , and then choose the related link.
3. Fill in the No. field, Location Code field, and the To Bin Code field on the General FastTab. The To Bin
Code field specifies the bin where you want to place the picked items. For production purposes, this bin
would be the inbound production bin or the open shop bin. For other purposes, choose a bin code of a bin
type that is not used for picking, most likely a staging, shipping, or special purpose bin.
4. Select an item in the Item No. field, and fill in the quantities you want to pick.
5. Choose the Create Pick action. A warehouse pick instruction is now ready for a warehouse employee to
perform. Alternatively you can choose the Release action and create warehouse picks using the Picks
worksheet . For more information see, Plan Picks in Worksheets
To create an internal put-away

1. Choose the icon, enter Whse. Internal Put-away , and then choose the related link.
3. Fill in the header of a new internal put-away with at least the No. and Location Code .
4. Fill in a line for each item you wish to move to the warehouse. You only have to fill in the Item No. and the
Quantity fields.
NOTE
When you choose the Item No. field, the Bin Contents List opens instead of the Item List . This is because you want
to put away an item that is in a particular bin - bin content - not just an item, and you already know the bin the item
should be taken from. 5. To fill the lines with the entire bin content or the filtered bin content of bins in the location,
choose the Get Bin Content action.
6. Choose the Create Put-away action. A warehouse put-away instruction is now ready for a warehouse employee to
perform. Alternatively you can choose the Release action and create warehouse put-aways using the Put-away
worksheet . For more information see, Plan Put-aways in Worksheets
See Also
Inventory
Assembly Management
Enable Picking Items by FEFO
First-Expired-First-Out (FEFO) is a sorting method that ensures that the oldest items, those with the earliest
expiration dates, are picked first.
This functionality only works when the following criteria are met:
The item must have a serial/lot number.
On the item’s item tracking code setup, the SN Warehouse Tracking field or the Lot Warehouse
Tracking field must be selected.
The item must be posted to inventory with an expiration date.
On the location, the Require Pick , Pick According to FEFO , and Bin Mandator y toggles must be turned
on.
When all the criteria are met, then serial/lot-numbered items to be picked are sorted with the oldest first in all
picks and movements, except for items that use SN-specific or lot-specific tracking.
NOTE
If some serial or lot-numbered items use specific tracking, then those are respected first and under them, the remaining,
non-specific, serial/lot numbers are listed according to FEFO.
If two serial or lot-numbered items have the same expiration date, then the application selects the item with the lowest
When picking serial or lot-numbered items in locations set up for directed put-away and pick, only quantities on bins of
type Pick are picked according to FEFO.
To enable movements according to FEFO, leave the From Bin field empty on the Inventor y Movement page or the
Movement Worksheet pages.
If the Strict Expiration Posting field is selected on the Item Tracking Code Card , only items that are not expired will
be included in the pick, and the lines are sorted according to the FEFO principle.
See Also
Picking Items
Inventory
Split Warehouse Activity Lines
In warehouse put-aways, movements, or picks, and in inventory put-aways and inventory picks, bins are
suggested for the picking or putting away of items. The actual quantity in the bin suggested may not be
sufficient, or there is not enough room in the suggested bin to put away the required quantity. In these cases,
you need to split the line, so that the items for one line are either taken from or placed into more than one bin.
The following procedure applies to warehouse documents, such as warehouse put-away, movement, and pick
lines, or inventory put-away, movement, and pick lines.
To split warehouse activity lines

1. Open a warehouse activity line where you are trying to handle an insufficient quantity.
2. In the Qty. to Handle field, enter the reduced quantity that you are able to handle.
3. On the Lines FastTab, choose the Actions action, choose the Functions action, and then choose the Split
Line action. A new line appears, which is a copy of the original line, except that the Qty. to Handle field
contains the quantity that you removed from the original line.
4. Assign an appropriate bin and, if you are using directed put-away and pick, a zone, to this new line, or
continue splitting the line as necessary until you find appropriate bins for all of the quantity.
NOTE
If the location uses directed put-away and pick and you split the lines, you must be familiar with the warehouse and be
able to choose a bin that matches the storage requirements of the item and that fulfills the general requirements of the
warehouse document. For example, you would not split a line on a pick document and place some items in the bulk
storage.
See Also
Inventory
Assembly Management
Walkthrough: Picking and Shipping in Basic
In Business Central, the outbound processes for picking and shipping can be performed in four ways using
C O M P L EXIT Y
L EVEL ( SEE
DESIGN DETA IL S:
A Post pick and X 2

shipment from
the order line
B Post pick and X 3

shipment from
an inventory
pick document

shipment from a
warehouse
shipment
document

warehouse pick
document and
post shipment
from a
warehouse
shipment
document
For more information, see Design Details: Outbound Warehouse Flow.

The following walkthrough demonstrates method B in the previous table.

In basic warehouse configurations where your location is set up to require pick processing but not ship
processing, you use the Inventor y Pick page to record and post pick and ship information for your outbound
source documents. The outbound source document can be a sales order, purchase return order, outbound
transfer order, or a production order with component need.
Setting up SOUTH location for inventory picks.
Creating a sales order for customer 10000 for 30 Amsterdam Lamps.
Releasing the sales order for warehouse handling.
Creating an inventory pick based on a released source document.
Registering the warehouse movement from the warehouse and at the same time posting the sales shipment
for the source sales order.
Roles
Warehouse Manager
Order Processor
Warehouse Worker
Story
Ellen, the warehouse manager at CRONUS, sets up SOUTH warehouse for basic pick handling where warehouse
workers process outbound orders individually. Susan, the order processor, creates a sales order for 30 units of
item 1928-S to be shipped to customer 10000 from the SOUTH Warehouse. John, the warehouse worker must
make sure that the shipment is prepared and delivered to the customer. John manages all involved tasks on the
Inventor y Pick page, which automatically points to the bins where 1928-S is stored.
Setting Up the Location

The setup of the Location Card page defines the company's warehouse flows. Use the Locations card to set up
a location with the code name SOUTH.
To set up the location SOUTH
2. Create a location card named SOUTH.
3. On the Warehouse FastTab, select both the Require Pick and Bin Mandator y fields.
4. Next, you must add posting setup in the Inventor y Posting Setup page for location SOUTH with
Inventor y Posting Group Code RESALE. For more information see Set Up Locations.
Setting Up the Bin Codes
Once you have the location set up, you must add two bins.
To setup the bin codes
1. Select the Bins action.
2. Create two bins, with the codes S-01-0001 and S-01-0002.
Making Yourself a Warehouse Employee at Location SOUTH
In order to use this functionality, you must add yourself to the location as a warehouse worker.
To make yourself a warehouse employee
2. Choose the User ID field, and select your own user account on the Warehouse Employees page.
3. In the Location Code field, choose SOUTH.
4. Select the Default field, and then select the Yes button.
Making Item 1928-S Available
To make item 1928-S available at the SOUTH location follow these steps:
2. Open the default journal, and then create two item journal lines with the following information about the
work date (January 23).
EN T RY T Y P E IT EM N UM B ER LO C AT IO N C O DE B IN C O DE Q UA N T IT Y
By default, the Bin Code field on the sales lines are hidden, so you must display it. To do this you need to
personalize the page. For more information, see To start personalizing a page through the Personalizing
banner.
3. Choose Actions , then Posting , and then choose Post .
4. Select the Yes button.
Creating the Sales Order

Sales orders are the most common type of outbound source document.
To create the sales order
3. Create a sales order for customer 10000 on the work date (January 23) with the following sales order
line.
IT EM LO C AT IO N C O DE Q UA N T IT Y
1928-S SOUTH 30
Proceed to notify the warehouse that the sales order is ready for warehouse handling.
4. Choose the Release action.
John proceeds to pick and ship the sold items.
Picking and Shipping Items

On the Inventor y Pick page, you can manage all outbound warehouse activities for a specific source
document, such as a sales order. Hover over a field to read a short description.
To pick and ship items
3. Select the Source Document field, and then select Sales Order .
4. Select the Source No. field, select the line for the sale to customer 10000, and then choose the OK
button.
Alternatively, choose the Get Source Document action, and then select the sales order.
5. Choose the Autofill Qty. to Handle action.
Alternatively, in the Qty. to Handle field, enter 10 and 20 respectively on the two inventory pick lines.
6. Choose the Post action, select Ship , and then choose the OK button.
The 30 Amsterdam Lamps are now registered as picked from bins S-01-0001 and S-01-0002, and a
negative item ledger entry is created reflecting the posted sales shipment.

See also
Pick for Production or Assembly
Ship Items
When you ship items from a warehouse that is not set up for warehouse shipment processing, you simply
record the shipment on the related business document, such as a sales order, service order, purchase return
order, or outbound transfer order.
When you ship items from a warehouse that is set up for warehouse shipment processing, you can only ship
items on the basis of source documents that other company units have released to the warehouse for action.
NOTE
If your warehouse uses cross-docking and bins, for each line, you can view the quantity of items that have been placed in
the cross-dock bins. The application calculates these quantities automatically whenever the fields on the shipment are
updated. If they are the items that apply to the shipment you are preparing, you can create a pick for all the lines and
then complete the shipment. For more information, see Cross-Dock Items.
To ship items with a sales order

The following describes how to ship items from a sales order. The steps are similar for purchase return orders,
service orders, and outbound transfer orders.
2. Open an existing sales order, or create a new one. For more information, see Sell Products.
3. In the Qty. to Ship field, enter the shipped quantity.
The value in the Qty. Shipped field is updated. If this is a partial shipment, then the value is lower than
the value in the Quantity field.
NOTE
If your organization does not use sales orders, then, when you post the sales invoice, Business Central assumes that you
have shipped the full quantity. If this contradicts with how your organization works, then we recommend that you use
sales orders and register shipments as explain in this article.
To ship items with a warehouse shipment

First you create a shipment document from a business source document. Then you pick the specified items for
the shipment.
To create a warehouse shipment
Typically, the employee who is responsible for shipping creates a warehouse shipment. The following procedure
describes how to create the shipment manually in the default version of Business Central, but your organization
might have automated part of the process, such as with the use of hand-held or mounted scanners that are
supported by external providers.
1. Choose the icon, enter Warehouse Shipments , and then choose the related link.
Fill in the fields on General FastTab. When you retrieve source document lines, some of the information
is copied to each line.
For warehouse configuration with directed put-away and pick, if the location has a default zone and bin
for shipments, the Zone Code and Bin Code fields are filled in automatically, but you can change them
as appropriate.
NOTE
If you wish to ship items with warehouse class codes other than the class code of the bin in the Bin Code field on
the document header, you must delete the contents of the Bin Code field on the header before you retrieve
source document lines for the items.
3. Choose the Get Source Documents action. The Source Documents page opens.
From a new or an open warehouse shipment, you can use the Filters to Get Source Docs. page to
retrieve the released source document lines that define which items to ship.
a. Choose the Use Filters to Get Src. Docs. action.
b. To set up a new filter, enter a descriptive code in the Code field, and then choose the Modify action.
c. Define the type of source document lines that you want to retrieve by filling in the relevant filter fields.
d. Choose the Run action.
All released source document lines that fulfill the filter criteria are now inserted in Warehouse
Shipment page from which you activated the filter function.
The filter combinations that you define are saved on the Filters to Get Source Docs. page until the
next time you need it. You can make an unlimited number of filter combinations. You can change the
criteria at any time by choosing the Modify action.
4. Select the source documents for which you want to ship items, and then choose the OK button.
The lines of the source documents appear on the Warehouse Shipment page. The Qty. to Ship field is filled
with the quantity outstanding for each line, but you can change the quantity as necessary. If you deleted the
contents of the Bin Code field on the General FastTab before getting the lines, you must fill in an appropriate
bin code on each shipment line.
NOTE
You cannot ship more items than the number in the Qty. Outstanding field on the source document line. To ship more
items, retrieve another source document that contains a line for the item by using the filter function to get source
documents with the item.
When you have the lines you want to ship, you can start the process that sends the lines to warehouse
employees to pick.
To pick and ship
Typically, a warehouse worker responsible for picking creates a pick document, or opens an already created pick
document.
1. Choose the icon, enter Warehouse Shipments , and then choose the related link.
2. Select the warehouse shipment that you want to pick for, and then choose the Create Pick action.
3. Fill in the fields in the request page, and then choose the OK button. The specified warehouse pick
document is created.
Alternatively, open an existing warehouse pick.
4. Choose the icon, enter Picks , and then choose the related link. Select the warehouse pick that you
want to work on.
If the warehouse is set up to use bins, then the pick lines have been converted to Take and Place action
lines.
You can sort the lines, assign an employee to the pick, set a break-bulk filter, if you are using directed put-
away and pick, and print the pick instructions.
5. Perform the actual picking of items and place them in the specified shipping bin, or in the shipping area, if
you do not have bins.
6. Choose the Register Pick action.
The Qty. to Ship field and the Document Status field on the header of the shipment document are
updated. The items you have picked are no longer available for picking for other shipments or for internal
operations.
7. Print your shipping documents, prepare the shipment packages, and then post the shipment.
For more information about picking for warehouse shipments, see Pick Items for Warehouse Shipment.
You can also use the pick worksheet to make several pick instructions into one instruction (for several
shipments) and thereby improve the efficiency of picking in the warehouse. For more information, see Plan Pick
in Worksheets.
NOTE
If you are waiting for particular items to arrive at the warehouse, and you use cross-dock functionality, then Business
Central calculates on each shipment or pick worksheet line the quantity of the item that is in the cross-dock bin. It
updates this field each time you leave and open the shipment document or worksheet. For more information, see Cross-
Dock Items.

See also
Inventory
Assembly Management
Find Your Warehouse Assignments
To find your warehouse assignments, open the card page for a selected item. If warehouse instructions have
been created, Take and Place lines are visible, and you can begin working on an assignment. In some
warehouses, the manager may have assigned specific instructions to each employee. For more information, see
Set Up Warehouse Employees.
To find an instruction assigned to you

1. Choose the icon, enter Warehouse Put-aways , Warehouse Picks , or Warehouse Movement , and
All three pages show assignments for all warehouse locations.
2. Sort the items by location. You can now see the instructions that have been assigned to you.
3. Select one of the lines with your initials in the Assigned User ID field and then choose the OK button.
The put-away assignment then appears on the page, with your initials in the Assigned User ID field on
the General FastTab.
You can use the Assigned User ID field on the header to claim work assignments, if the warehouse manager
does not assign particular instructions to individuals. Simply enter your user ID in the header of the warehouse
before you begin work on an instruction. Your co-workers can then choose to work on other instructions, and
the warehouse will avoid a duplication of effort.
See Also
Inventory
Setting Up Warehouse Management Assembly Management Design Details: Warehouse Management
Use Automated Data Capture Systems (ADCS)
NOTE
The Automated Data Capture System (ADCS) solution provides a way for Business Central to communicate with handheld
devices through web services. You must work with a Microsoft partner who can provide the link between the web service
and the specific handheld device.
You can use your automatic data capture system (ADCS) to register the movement of items in the warehouse
and to register some journal activities, such as quantity adjustments in the warehouse item journal and physical
inventories. ADCS typically involves scanning a barcode.
To use ADCS, you must give each item stored in the warehouse an item identifier. You must also set up
miniforms, handheld functions, data exchanges, and specify settings for fields that control ADCS. You specify
whether to use ADCS on the location card of a warehouse.
Based on the needs of your warehouse, you define the amount of information displayed in the miniform setup
for the particular handheld device. The following are examples of information that you can display:
Data from tables within Business Central, such as a list of pick documents from which the user can select.
Text information.
Messages to show confirmations or errors about activities performed and registered by the handheld device
user.
To enable Web Services for ADCS

To use Automated Data Capture System, you must enable the ADCS web service.
To enable and publish the ADCS web service

1. Choose the icon, enter Web Ser vices , and then choose the related link.
3. On the Web Ser vices page, enter the following information on a new line:
F IEL D VA L UE
Object Type Codeunit
Object ID 7714
Ser vice Name ADCS Impor tant: It is required that you name the
service ADCS.
4. Select the Published check box.

To set up a warehouse to use ADCS

To use ADCS, you must specify which warehouse locations use the technology.
NOTE
We recommend that you do not set up a warehouse to use ADCS if the warehouse also has a bin capacity policy.
1. Choose the icon, enter Locations , and choose the related link.
2. Select a warehouse from the list for which you want to enable ADCS, and then choose the Edit action.
3. On the Location Card page, select the Use ADCS check box.
To specify an item to use ADCS

Each warehouse item that you want to use with ADCS must be assigned an identifier code to link it with its item
number. For example, you can use the item's bar code as the identifier code. An item can also have multiple
identifier codes. You may find this useful in the case where an item is available in various units of measures,
such as pieces and pallets. In this case, assign an identifier code to each.
2. Select an item from the list that is part of your ADCS solution, and then choose the Edit action.
3. On the Item Card page, choose the Identifiers action.
4. On the Item Identifiers page, choose the New action.
5. In the Code field, specify the identifier for the item. For example, the identifier could be the item's bar
code number.
You can also enter a Variant Code and a Unit of Measure code.
6. If needed, enter multiple codes for each item.
8. To review the information, choose the Identifier Code field to open the Item Identifiers page.
To add an ADCS user

You can add any user as a user of an Automated Data Capture System (ADCS). When you do this, the user must
also provide a password. Optionally, you can also provide a connection that identifies the ADCS user as a
warehouse employee. The ADCS user password can be different from the Windows logon password of the user.
For more information, see Assign Permissions to Users and Groups.
1. Choose the icon, enter ADCS Users , and then choose the related link.
3. In the Name field, enter a name for the user. The name cannot contain more than 20 characters, including
spaces.
4. In the Password field, enter a password. The password is masked.
To specify that a warehouse employee is an ADCS user
2. If needed, add a new warehouse employee. For more information, see Set Up Warehouse Employees.
3. Choose the Edit List action.
4. Select a warehouse employee from the list. In the ADCS User field, choose the drop-down arrow, and then
select the name of an ADCS user from the list.
NOTE
The default warehouse for the employee must be one that uses ADCS.
To create and customize miniforms

You use miniforms to describe the information that you want to present on a handheld device. For example, you
can create miniforms to support the warehouse activity of picking items. After you create a miniform, you can
add functions to it for the common actions that a user takes with handheld devices, such as moving up or down
a line.
NOTE
To implement or change the functionality of a miniform function, you must create a new codeunit for the Handling
Codeunit field to perform the required action or response. You can learn more about ADCS functionality by examining
codeunits, such as 7705, 7706, 7712, and 7713.
To create a miniform for ADCS

1. Choose the icon, enter Miniforms , and then choose the related link.
3. In the Code field, enter a code for the miniform. Optionally, enter values in all other fields.
Select the Star t Miniform check box to indicate that the miniform is the first form that the user sees at
logon.
4. On the Lines FastTab, define the fields that appear on the miniform. The order in which you enter lines is
the order in which the lines appear on the handheld device.
When you have created a miniform, the next steps are to create functions and to associate functionality for
various keyboard inputs.
To customize miniform functions
1. Choose the icon, enter Miniforms , and then choose the related link.
2. Select a miniform from the list, and then choose the Edit action.
3. Choose the Functions action.
4. In the Function Code drop-down list, select a code to represent the function that you want to associate with
the miniform. For example, you can select ESC, which associates functionality with the press of the ESC key.
See Also
Inventory
Assembly Management
Service Management
NOTE
Functionality described in this topic and sub topics is only visible in the user interface if you have the Premium
experience. For more information, see Change Which Features are Displayed.
Providing ongoing service to customers is an important part of any business and one that can be a source of
customer satisfaction and loyalty, in addition to revenue. However, managing and tracking service is not always
easy, and Business Central provides a set of tools to help. These tools are designed to support repair shop and
field service operations, and can be used in business scenarios such as complex customer service distribution
systems, industrial service environments with bills of materials, and high volume dispatching of service
technicians with requirements for spare parts management.
With these tools you can accomplish the following:
Schedule service calls and set up service orders.
Track repair parts and supplies.
Assign service personnel based on skill and availability.
Provide service estimates and service invoices.
In addition, you can standardize coding, set up contracts, implement a discounting policy, and create route maps
for service employees.
In general, there are two aspects to service management: configuring and setting up your system, and using it
for pricing, contracts, orders, service personnel dispatch, and job scheduler.
TO SEE
Set up Service Management, including fault codes, policies, Setting Up Service Management
default documents and templates.
Manage service pricing, create service items, and understand Planning Service
how to monitor progress.
Create and manage contractual agreements between you Fulfilling Service Contracts
and your customers.
Provide service to customers, and invoice service orders. Delivering Service
See Also
Jobs
Start a free trial!

Planning Services
With Business Central, you can set up the standard tasks that you need to fulfill your customer service
requirements. To do this, you must determine what service items and offerings your service organization
supports, and at what price.
Business Central also provides some statistics tools that you can use to determine how well things are going,
and identify areas where you can improve.
TO SEE
Establish pricing for the services you provide. Managing Service Pricing
Set up and customize service items and service groups. This Create Service Items
includes establishing which skills a service requires and
troubleshooting guidance.
Know how to manage the status of repairs on service orders, Understanding Service Order and Repair Status
and how to identify their priority.
Understand the relationship between the status of a repair, Understanding Allocation Status and Repair Status
and the effect they have on allocated resources, and vice
versa.
Use statistics to analyze your service processes. Viewing Service Statistics
See Also
Fulfilling Service Contracts
Delivering Service
Set Up Service Items and Service Item Components
Setting Up Service Management
Service Price Management
The service price management functionality lets you apply the best price to service orders, set up personalized
service price agreements for customers, improve service employees' efficiency, and accelerate the invoicing
process.
Service price management lets you set up different service price groups so you can consider the service item or
service item group, in addition to the type of fault that the service task involves. You can set up these groups for
a limited period of time, or for a specific customer or currency. You can use price calculation structures as
templates to assign a specific price to a specific service task.
For example, this makes it possible to assign specific items included in the service price, in addition to the type
of work included. This also makes it possible to use different VAT and discount amounts for different service
price groups. To make sure that the correct prices are applied, you can assign fixed, minimum, or maximum
prices, depending on the agreements that you have with your customers.
Before adjusting the price of a service item on a service order, you are provided with an overview of what the
results of the price adjustment will be. You can approve of these results, or you can make additional changes, if
you want to have a different result. The whole adjustment is performed line by line, which means that there are
no additional lines created.
Finally, service price group statistics and standard reports let you keep track of the profitability of each service
price group.
Service Price Adjustment Groups

You use service price adjustment groups to set up the different types of price adjustments for service lines. For
example, you can set up a service price adjustment group that adjusts prices for spare parts, one that adjusts
prices for labor, one that adjusts prices for costs, and so on. You can also specify whether the service price
adjustment should be applied to just one specific item or resource, or to all items or resources.
The service price adjustment function does not apply to service items under the following conditions:
The item belongs to service contracts. You can only adjust the service prices of items that are part of a
service order.
If the service item has a warranty.
If the service line has been posted as invoice, either fully or partially.
When you run the service price adjustment function, all of the discounts in the order will be replaced by the
values of the service price adjustment.
Service Price Groups

You can set up service price groups to create groups of service items that receive the same special service
pricing. When you have set up service price groups, you can then assign them to service items on service item
lines. You can also assign service price groups to service item groups.
Before you can assign a service price group to a service item, you have to determine to which fault area,
currency, or service price adjustment group the service price group applies. You have to determine to which
amount the service price should be adjusted, and whether this amount should include VAT and discounts. You
also have to determine whether this adjustment concerns a fixed amount, or should only be applied under
certain conditions.
When you assign a service price group to a service item, all the special service pricing that you set up in this
group will then apply for this service item.
Service Pricing
You set up the actual types of service pricing (price adjustment type and price) for a combination of service price
groups and customer price groups. For each type of service pricing, you select a service price adjustment group.
You also specify the service price adjustment type, fixed, maximum, or minimum, and the actual price.
For example, you can set up types of service pricing for a radio service price group. For customers without a
price group, you can decide to have service pricing with maximum price on labor, which is the labor price
adjustment group. For customers with a particular price group, you can decide to have service pricing with a
fixed price on labor, the same labor price adjustment group.
Current Experience
1. Choose the icon, enter Ser vice Items , and then choose the related link.
2. Select the service item, expand the Prices and Sales FastTab, choose the Resource , Item , or G/L Account
action.
3. On the Job Resource Prices , Job Item Prices , or Job G/L Account Prices pages, fill in the fields as
necessary.
Service Price Adjustment

Service price adjustment lets you adjust the price of an item, resource, general ledger account, or cost on a
service order.
After you have entered an item on the service item line, you then enter all information about the costs of this
item on the service lines. When you run the Adjust Service Price function, you can preview the price
adjustments. You can make modifications if you have to. When you acknowledge the modifications, the
adjustments are calculated, and are then transferred to the service lines. You then post the service order.
Depending on the type of service price adjustment, the total amount of the adjustments is calculated.
The following table describes the calculations.
Fixed Price This means that you charge a fixed price for the service item,
resource, general ledger account, or cost, regardless of the
real costs or regular charges. Selecting this option means
that the service price adjustment will reach the exact amount
specified in the service price group.
Maximum This means that you put an upper limit on the charge to
your customer, regardless of the real costs or regular
charges. Selecting this option means that the service price
adjustment will only be performed if the total price exceeds
the amount specified in the service price group.
Minimum This means that you put a lower limit on the charge to your
customer, regardless of the real costs or regular charges.
Selecting this option means that the service price
adjustment will only be performed if the total amount is less
than the amount specified on the service price group.
See Also
Service Order Status and Repair Status
The Status field on the Ser vice Order page and the service item repair status, which is represented by the
Repair Status Code field on the Ser vice Order page have a certain relationship in Service Management. The
service order status reflects the repair status of all the service items in the service order.
NOTE
These two status field are not related to the Release Status field on the service order header, which determines how the
warehouse handles service items.
Each time the repair status of a service item is changed in a service order, the status of the order is updated. To
display the status that reflects the overall repair status of the individual service items, you must specify the
following:
The service order status that each repair status is linked to.
The level of priority of each service order status option.
When you convert a service quote to a service order, the repair status of each service item is changed in the
order to Initial and the service order status is changed to Pending .
NOTE
Before you can create service orders, you must set up repair statuses and service status priorities. For more information,
see Set Up Statuses for Service Orders and Repairs.
Specifying Service Order Status for Repair Status

Each repair status is linked to a particular service order status. The options for the service order status are as
follows:
Pending
In Process
On Hold
Finished
The repair status options are as follows:
Initial
In Process
Referred
Par tly Ser viced
Quote Finished
Waiting for Customer
Spare Par t Ordered
Spare Par t Received
Finished
Pending
The service order status Pending indicates that the service can start or continue at any time. Therefore, the
repair status options of Initial , Referred , Par tly Ser viced , and Spare Par t Received can be linked to this
service order status.
In Process
The service order status In Process indicates that the service is in process. Therefore, the repair status options
In Process and Spare Par t Ordered can both be linked to this service order status. If you link the Spare Par t
Ordered status to an In Process service order status, you must also link the Spare Par t Received status to
this service order status.
On Hold
The service order status On Hold indicates that the service is temporarily on hold because you are waiting for a
customer response or spare parts before the service can start. Therefore, the repair status options of Quote
Finished , Spare Par t Ordered , and Waiting for Customer can be linked to this service order status.
Finished
The service order status Finished indicates that the service has been completed. Therefore, the Finished repair
status is linked to this status.
Assigning Priority to Service Order Status

When a repair status of a service item is changed, the service order status options linked to the different repair
status options of all the service items in the order are identified. If the service items are linked to two or more
service order status options, the service order status option with the highest priority is selected.
You must decide which service order status contains the most important information about the status of the
service order and assign that status the highest priority, and so on.
Then, when you create a new service order and you add service items to it, the Priority field on the service
order header is updated based on the priorities on the service items.
Example
A typical priority level assignment could be as follows:
In Process - High
Pending - Medium high
On Hold - Medium low
Finished - Low
For example, if one service item has the repair status Initial , linked to the service order status Pending , another
has the repair status In Process , linked to the service order status In Process , and a third has the repair status
Spare Par t Ordered , linked to the service order status On Hold , the resulting service order status will be In
Process because this has the highest priority.
See Also
Allocation Status and Repair Status of Service Items
The repair status of service items and the allocation status of the allocation entries for the service items have a
certain relationship in Service Management. The allocation status changes when you change the repair status of
the service item to Finished or Par tly Ser viced and when you convert a service quote to a service order. The
repair status of the service item changes when you cancel the service item allocation or reallocate the service
item to another resource. You can view the repair status of service items on the Ser vice Tasks page and you
can update the repair status in the Repair Status Code field on the Ser vice Item Worksheet page. You can
view the allocation status in the Status field on the Resource Allocations page.
Changing Repair Status

When you change the repair status of a service item on a service item line, there is a search for a corresponding
allocation entry for this service item that has the status Active . If such an allocation entry is found, the status is
updated in one of the following ways:
If you change the repair status to Finished , the allocation status is changed from Active to Finished .
If you change the repair status to Par tly Ser viced , that is, some of the service has been completed, or
Referred , that is, no service has been done, the allocation status is changed from Active to Reallocation
Needed .
When a service order allocation entry is created that indicates that no resource has been allocated, the
Status field on the Resource Allocation page is set to Nonactive .
The allocation entry status is set to Canceled when you reallocate the referred service item in the service
order allocation entry, which indicates that the allocated resource or resource group has not attempted the
service task.
The allocation status reflects when the service process is finished, or when another resource is necessary in
order to finish the service of the service item.
Converting Service Quotes to Service Orders

When you convert a service quote to a service order, the service order, the service items in the order and their
allocation entries are updated in the following ways:
The repair status of the service items is changed to Initial .
The service order status is changed to Pending .
There is a search for allocation entries for all the service items in the service order that have the status
Active . If such allocation entries are found, their allocation status is changed from Active to Reallocation
Needed .
Canceling Allocations
When you cancel an allocation for a service item, Business Central updates the allocation status of the
corresponding allocation entry from Active to Reallocation Needed .
The repair status of the service item in the allocation entry is updated in the following ways:
If the repair status is Initial , the repair status is changed to Referred (no service has been started).
If the repair status is In Process , the repair status is changed to Par tly Ser viced (some service has been
completed).
Reallocating an Active Allocation Entry

When you reallocate a service item in an allocation entry that is Active , the allocation entry is updated in the
following ways:
If service was started when the allocation was Active (that is, if the repair status of the service item in the
entry was changed to In Process ), the allocation status is changed from Active to Finished .
If service was not started when the allocation was Active , the allocation status is changed from Active to
Canceled .
The repair status of the service item in the allocation entry is updated in the same way as if you had canceled
the allocation:
If the repair status is Initial , the repair status is changed to Referred (no service has been started).
If the repair status is In Process , the repair status is changed to Par tly Ser viced (some service has been
completed).
A new allocation entry that contains the new resource is created that has the status Active .
Reallocating a Service Item

When you reallocate a service item in an allocation entry that has the status Reallocation Needed , the
allocation entry is updated in the following ways:
If service was started when the allocation was Active (that is, if the repair status of the service item in the
entry was changed to In Process ), the allocation status is changed from Reallocation Needed to
Finished .
If service was not started when the allocation was Active , the allocation status is changed from
Reallocation Needed to Canceled .
A new allocation entry that contains the new resource is created that has the status Active .
See Also
Set Up Resource Allocations
Allocate Resources
Viewing Service Statistics
You can use statistics to analyze service documents and determine how well you are managing your service
processes. You can analyze service contracts, items, quotes, orders, invoices, and credit memos by choosing the
Statistics action. For service items and contracts, you can also use the Ser vice Item Trendscape or Contract
Trendscape to view a summary of service ledger entries for a specific service item.
Viewing Statistics for Service Orders

The service order statistics feature gives you a quick overview of the contents of the entire service order, the
details on the specific service lines, and information related to invoicing, shipping and consuming, and the
customer's balance.
The statistical data is displayed for a service order on the Ser vice Order Statistics page for the relevant order.
You can open the relevant statistics page from a service order. On the Ser vice Orders page, choose Statistics .
The FastTabs in this page show information such as quantity, amount, VAT, cost, profit, and customer credit limit.
The amounts on the page are in the currency of the service order, unless otherwise indicated.
View totals for a service order
You can view the total amount on the service lines, including and excluding VAT, VAT part, cost, and profit on the
service lines. The page also displays item-specific information, such as weight, volume, and the quantity of
parcels.
View shipping information
You can see information about the items, resources, or costs to be shipped. To provide the information, the
values specified in the Qty. to Ship field are used on each service line in the order.
View order details
You can view information about the items, resource hours, and costs to be invoiced and consumed. The
following table describes this information.
C O L UM N DESC RIP T IO N
Invoicing Displays amounts that are to be posted as invoiced from the

service order.
Consuming Displays the quantity and cost of items, or resources that will
be posted as consumed.
Total Displays the total amounts on the service order that result
from adding the invoicing amounts to the consuming
amounts.
Analyze service order lines

You can analyze the information by the types of service lines included in the service order. The amounts are
shown separately for:
Items
Resources
Costs and general ledger accounts
View customer information
See the balance on the customer's account, in addition to the maximum credit that can be endued to the
customer who you created the service document for.
Viewing Service Item Statistics

On the Ser vice Item Statistics page, you can see up-to-date information about a service item based the
following service ledger entry types:
Resources
Items
Service cost
Service contracts
Total
For each entry type, you can see the invoiced amount, usage (amount), cost amount, quantity, quantity invoiced
and quantity consumed, profit amount and profit percentage. The profit percentage is calculated according to
the following formula:
(Invoiced Amount - Usage (Cost)) x 100 / Invoiced Amount
Use Trendscapes
For service items and service contracts, the Ser vice Item Trendscape or Ser vice Contract Trendscape
pages provides a scrollable summary of service ledger entries in a period of time for a specific service item or
contract. To view the trendscape, open the service item or service contract, choose the Statistics action, and
then choose Trendscape .
When you scroll the list, the amounts are calculated in the local currency according to the specified time interval.
All amounts are calculated from service ledger entries, which are entries that are created when you post service
orders or service invoices.
You can filter the list by specifing the service items to include.
TIP
If you have set the time interval to Day and you want to scroll over a long period, you can do it faster by shifting to a
larger interval such as Quar ter . When you have found the desired period, you can shift back to the original interval to
see the data in more detail.
Viewing Gains and Losses on Contracts

A contract gain or loss entry is generated when a contract quote is converted to a service contract, when
contract lines are added or removed from a service contract, or when a contract is canceled. You can view
contract gains or losses on the following pages.
PA GE DESC RIP T IO N
Contract Gain/Loss (Contracts) To view the contract gain/loss by service contract.
Contract Gain/Loss (Groups) To view the contract gain/loss by service contract group.
Contract Gain/Loss (Customers) To view the contract gain/loss by customer.

PA GE DESC RIP T IO N
Contract Gain/Loss (Reasons) To view the contract gain/loss by reason code.
Contract Gain/Loss (Resp.Ctr) To view the contract gain/loss by responsibility center.
1. Choose the icon, enter the name of the page to display, and then choose the related link.
2. Fill in the filter criteria you want to apply. For example, on the Contract Gain/Loss (Reasons) page, choose
a value for Reason Code Filter .
Viewing Statistics for Posted Service Documents

The service statistics feature lets you gain a statistical overview of the contents of posted service documents,
such as a posted shipment, posted invoice, and posted credit memo.
The statistical information is displayed in the statistics page for the corresponding posted service document. You
can open the relevant statistics page from posted service shipment, posted service invoice, or posted service
credit memo documents. For each of these document types, choose the Statistics action. For example, from the
Posted Ser vice Invoices page, choose the Statistics action.
Posted Service Shipment Statistics
The Ser vice Shipment Statistics page provides an overview of a posted service shipment. This includes
information about the physical contents of the shipment, such as quantity of the shipped items, resource hours
or costs, and weight and volume of the shipped items.
Posted Service Invoice Statistics
You can see a statistical summary on a posted service invoice on the Ser vice Invoice Statistics page. You can
view the totals of the posted service invoice. The data includes total amount on the service lines (including and
excluding VAT) that has been posted as invoiced, VAT part, cost, and profit on the posted invoice. The page also
displays information about the following:
The items on the service invoice lines, such as weight, volume, and the quantity of parcels.
The balance on the customer's account, and the maximum credit that you can extend the customer.
Posted Service Credit Memo Statistics
You can use the Ser vice Credit Memo Statistics page to get a statistical overview of the lines in a posted
service credit memo. The overview can include:
The total amounts on the posted credit memo, displayed as quantity, amount, VAT, cost and profit. There is
also information about the items on the service lines of the posted credit memo, such as quantity, weight,
and volume.
General information about the customer, such as the customer's credit limit and balance on the account.
See Also
Create Service Items
Planning Service
One way to set up a service management business is to have standard contractual agreements between you and
your customers that describe the level of service and the service expectations. You can create contract templates
that include necessary information, such as customer, start date of contract, and invoice period.
After you set up the template, you can customize the resulting contract to keep track of service hours, or other
items that may vary from customer to customer. You can also set up a contract manually from a service contract
quote. Finally, you can adjust your service pricing to keep track of discounts that a specific customer qualifies for,
by specifying the discount amount on the Ser vice Contract page.
TO SEE
Handle a service item under multiple contracts. Multiple Contracts
Create service contracts either manually, or from a service Create Service Contracts and Service Contract Quotes
contract quote.
Adjust the annual amount of a service contract or contract Change the Annual Amount on Service Contracts or
quote, so make sure that you invoice the right amount. Contract Quotes
See also
Planning Service
Delivering Service
Create Service Contracts and Service Contract Quotes
Multiple Contracts
Depending on your service level agreements with a customer, you may have to handle a service item under
more than one service contract.
By handling a service item under multiple contracts, you can do the following:
Issue different contracts for the same service item.
Service parts separately.
Consider different skills that are required to service different aspects of a service item, such as mechanical
components and software.
Specify different response times and frequencies in servicing different parts of a service item.
Address different kinds of activities to be performed on a service item when the service item requires
different types of service in different time periods.
Select and assign an appropriate contract number to a service item line when you are creating a service
order.
Handle relevant financial information about service items and service level agreements.
You can consider the following examples of using the multiple contracts functionality.
Creating Multiple Contracts per Service Item

You can manually create a service contract or contract quote for service items already registered in non-
canceled contracts owned by the same customer. To do this, follow the standard procedure of creating service
contracts and service contract quotes. For more information, see Work with Service Contracts and Service
Contract Quotes.
When you add a service item on a contract line that is registered in other service contracts or contract quotes, a
warning message is displayed stating that the service item already belongs to one or more service contracts or
contract quotes. If you confirm this message, all relevant service item information is copied to a newly created
contract line.
Copying Documents
You can automatically create a service contract or contract quote for service items that are already registered in
other service contracts or contract quotes by using the Copy from Document action.
Creating Service Orders for Multiple Contracts

You can manually create a service order for a service item that is registered in multiple active contracts. A
service contract is active when it is signed and not expired.
See Also
Work with Service Contracts and Service Contract
Quotes
You can create a service contract either manually or from a service contract quote. You can use a service contract
quote as a forerunner of a service contract, in which your company makes an offer to the customer and obtains
customer approval before you can convert it to a service contract. The procedures for creating either a service
contract or service contract quote are similar.
To create a service contract or service contract quote

1. Choose the icon, enter Ser vice Contracts or Ser vice Contract Quotes ,and then choose the related
link.
2. Create a new service contract or service contract quote.
3. Fill in the No. field. A dialog box opens, asking whether you want to fill it with the common data from a
contract template. If you want to create such a service contract or service contract quote, choose the Yes
button. The Ser vice Contract Template List page opens.
4. Select the appropriate template, and then choose OK to use it to create the service contract or service
contract quote.
5. In the Customer No. field, choose the customer.
6. If you do not want an annual amount difference to be distributed automatically, choose the Allow
Unbalanced Amounts check box. The values in the Annual Amount and Calcd. Annual Amount fields
are not automatically equalized. If you want application to do automatically distribute any annual amount
difference that might occur from a change in the service contract, leave the Allow Unbalanced Amounts
check box clear.
7. Add contract lines to the service contract or service contract quote.
8. Fill in the rest of the fields as necessary.
To convert a service contract quote to service contract

When a customer has accepted a service contract quote, you convert it to a service contract. At the same time,
you can create a service invoice for the starting period of the contract if the starting date of the contract is
before the beginning of the next invoice period.
After you complete the following steps, a service contract is created with the status Signed . If a service invoice
is created for the starting period of the contract, the invoiced amount is calculated in the following way,
depending on whether the contract is detailed or not.
For detailed contracts, the invoiced amount is calculated as follows:
Invoiced amount = sum of the invoiced amount for each contract line.
Invoiced amount for each contract line = ((quote value ÷ 12) × number of months in the starting period) +
((quote value ÷ number of days in the year) × number of days left in the starting period).
If the contract line expires before the starting period ends, the expiration date becomes the ending date of
the starting period for the line.
For contracts that are not detailed, the invoiced amount is calculated as follows:
Invoiced amount = (annual amount ÷ number of days in the year) × number of days in the starting period.
If the contract expires before the starting period ends, the expiration date becomes the ending date of the
starting period.
1. Choose the icon, enter Ser vice Contract Quotes , and then choose the related link.
2. Open the service contract quote you want to convert to a service contract.
3. Choose the Make Contract action.
4. If the starting date of the contract is before the beginning of the next invoice period, you are asked if you
want to create an invoice for the starting period of the contract. Choose Yes .
The service invoice is posted to the service account of the contract, even if the contract is prepaid.
To create contract service credit memos

You can use a contract service credit memo when a customer cancels a prepaid service contract or removes a
service item from a prepaid contract. You can also use it to correct an erroneous service invoice.
1. Choose the icon, enter Ser vice Credit Memos , and then choose the related link.
2. Create a new service credit memo.
3. Fill in the No. field.
4. In the Customer No. field, enter the number of the customer in the service contract.
The Invoicing FastTab shows information copied from the Customer card. If you want to post the credit
memo to a different customer than the one specified on the General FastTab, enter the number of that
customer in the Bill-to Customer No. field.
NOTE
You can compare the credit memo to the original posted document on the Posted Ser vice Invoices page.
Choose the icon, enter Posted Ser vice Invoices , and then choose the related link.
5. Fill in the Posting Date and Document Date fields.

6. On the credit memo lines, enter information about the items that have been returned or removed, or the
allowance that will be sent. You can also use the Get Prepaid Contract Entries batch job.
To automatically create a credit memo when contract lines are removed from a service contract, on the Ser vice
Contract page, on the Invoice Details FastTab, select the Automatic Credit Memos check box.
To manually create a credit memo when contract lines are removed from a service contract, on the Ser vice
Contract page, choose the Credit Memo action.
Updating and evaluating contracts

Sometimes you have to change the terms of a contract after it has been created. In most cases, you open the
relevant contract on the Ser vice Contract page, and change it as necessary.
You can change the status of the contract, initially set to Locked , add and remove contract lines, and cancel a
contract. If you want to see how your business is doing as measured by gain and loss, you can do quick business
analysis using the contract trendscape feature.
To add a contract line to a service contract or contract quote

When a customer purchases a new item and wants to include it in the existing service contract or contract quote,
you can register the item as a service item and then add it as a new contract line to the contract or contract
quote.
1. Choose the icon, enter Ser vice Contracts , and then choose the related link.
2. Open the relevant service contract or service contract quote that you want to add a new contract line for.
3. Choose the Open Contract action to open the service contract or service contract quote for editing.
4. On the Invoice Details FastTab, select the Allow Unbalanced Amounts field if you want to change the
annual amount and distribute the annual amount difference manually on the contract lines. Otherwise, clear
the check box in the Allow Unbalanced Amounts field. This will distribute the annual amount difference
automatically on the contract lines after you change the annual amount.
5. On the Lines FastTab, add a service item or item, or text description, on each contract line. Alternatively, you
can add contract quote lines. Note that you can create multiple contracts per service item to have it included
in different service contracts or contract quotes at the same time.
6. Verify and correct the numbers in the Line Discount % , Line Discount Amount , Response Time ,
Ser vice Period , and other fields as needed.
To remove contract lines

You may need to remove contract lines from the service contract as you remove corresponding service items
from the service contract. Usually you remove a contract line that is expired or corresponds to the service item
that has broken down.
2. Open the service contract from which you want to remove contract lines.
3. Choose the Open Contract action to open the service contract for editing.
4. Choose the contract line you want to remove. Fill in the Contract Expiration Date field with the date as of
which you want to remove the line. For example, you could enter the date when the service item broke down.
5. Choose the Remove Contract Lines action. The Remove Lines from Contract page opens.
6. Fill in the default filters: Contract No., Ser vice Item No., and Contract Type . If needed, you can apply
more filters or change the existing ones.
7. Fill in the fields on the Options FastTab, and then choose the Delete Lines action.
NOTE
If the contract is not detailed, you must update the value in the Annual Amount field on the Invoice Details FastTab
on the Ser vice Contract page, reflecting the loss of the service item from the contract.
If the contract is detailed and prepaid, and you have posted invoices for the contract, you can create a credit memo for
the contract. Choose the Create Credit Memo action. This is unnecessary if the check box in the Automatic Credit
Memos field on the Invoice Details FastTab is selected. In that case, a credit memo is created automatically when you
remove a contract line.
Service Line Cost and Value

On a service contract lines, the amounts in the Line Cost and Line Value are calculated as described in the
following tables.
L IN E C O ST O P T IO N S DESC RIP T IO N
L IN E C O ST O P T IO N S DESC RIP T IO N
Ser vice item The cost is automatically retrieved from the Default
Contract Cost field in the Ser vice Item table and copied
into the Line Cost field. The following formula is used to
calculate the line cost:
Sales Unit Cost × Contract Value % ÷ 100
Item The cost is automatically retrieved from the Unit Cost field
in the Item table and the Contract Value % field value in
the Ser vice Mgt. Setup table. The following formula is
used to calculate the line cost:
Unit Cost × Contract Value % ÷ 100
Text description The value in the Line Cost field is set to zero.
L IN E VA L UE O P T IO N S DESC RIP T IO N
Ser vice item The price is automatically retrieved from the Default
Contract Value field in the Ser vice Item table and copied
into the Line Value field.
Item Depending on the value in the Contract Value Calc.

Method field in the Ser vice Mgt. Setup table, the
amount is retrieved from either the Unit Price or the Unit
Cost field in the Item table. After that, this value is
multiplied by the contents of the Contract Value % field in
the Ser vice Mgt. Setup table and divided by 100. This
amount is copied into the Line Value field.
NOTE: If the Contract Value Calc. Method field is set to

None , the contents of the Line Value field are not
calculated.
Text description The contents of the Line Value field are set to zero.
To add a contract discount to service contract quotes

You can add contract discounts on services for contract quotes and service contracts. The discounts can be on
spare parts in particular service item groups, on resource hours for resources in particular resource groups, and
on particular service costs.
1. Choose the icon, enter Ser vice Contract Quotes , and choose the related link.
2. Choose the quote to add discounts for.
3. Choose the Ser vice Discounts action. The Contract/Ser vice Discounts page opens.
4. To create a new contract discount, choose the New action.
5. Fill in the fields on the line as necessary. Hover over a field to read a short description..
TIP
To add contract discounts directly to a service contract, perform similar steps from the Ser vice Contract page.
To change the owner of a service contract

You may need to change the owner of a service contract. If a service item in a service contract is registered in
noncanceled multiple contracts owned by the same customer, then the owner of all service contracts that
include this service item and of all other service items included in these contracts is updated automatically.
NOTE
In this case, only noncanceled contracts are considered. The status of the contract quotes is not taken into account.
IMPORTANT
Service items and contracts can be related. Changing the owner of a service contract can affect these relationships.
For example, suppose service item No. 8 is included in contracts SC00003 and SC00015. Contract SC00015 also contains
service item No. 15, which is also included in the contract SC00080. In this case, the owner for all three contracts and
service items will be changed.
1. Choose the icon, enter Ser vice Contracts , and then choose the related link. Open the relevant service
contract whose owner you want to change.
2. Choose the Open Contract action to open the contract for editing.
3. Choose the Change Customer action. The Change Customer in Contract page opens.
4. In the Contract No. and Ser vice Item No . fields you can see the numbers of the contract and service item
owned by the selected customer. If the customer owns more than one contract with more than one service
item included, then the value of these fields will be Multiple . To see the list of related contracts or service
items, select these field values.
5. In the New Customer No. field, choose the new customer.
6. In the New Ship-to Code field, choose the address.
7. Choose the OK button to change the customer and ship-to code of the service contracts.
8. Choose the Lock Contract action to lock the contract and to make sure that the changes will be part of the
contracts.
To update a service contract price

You can update the prices on service contracts by specifying a price update percentage.
1. Choose the icon, enter Update Ser vice Contract Prices , and then choose the related link.
2. Choose the service contract.
3. In the Update to Date field, enter a date. The batch job will update prices for contracts with next price
update dates on or before this date.
4. In the Price Update % field, enter the percentage that you want to update the prices by.
5. In the Action field, select Update Contract Prices .
To post prepaid contract entries

If you work with prepaid service contracts, you must regularly post prepaid contract entries, thereby transferring
the prepaid payments from the prepaid contract accounts to the regular contract accounts.
Before you can post prepaid contract entries, you must specify a number series in the Prepaid Posting
Document Nos. field on the Ser vice Mgt. Setup page.
1. Choose the icon, enter Post Prepaid Contract Entries , and then choose the related link.
2. In the Post until Date field, enter a date. The batch job posts prepaid service ledger entries with posting
dates up to this date.
3. In the Posting Date field, enter the date you want to use as the posting date on the general journal line.
4. In the Action field, choose Post Prepaid Transactions .
5. Choose OK to post the entries.
Changing the Service Contract Status

After the service contract is signed, the Change Status field value is automatically set to Locked . If you want to
modify information in the service contract or service contract quote, first you have to change the status of the
contract or contract quote from Locked to Open . Note that you cannot create service invoices for the service
contract with the Open change status. After the contract or contract quote is modified, you have to change the
status back to Locked to make it possible to create service invoices and ledger entries for the service contract,
which includes the changes that you made to it.
NOTE
The Change Status field is not related to the Release Status field on the service order header, which governs the
warehouse handling of service items.
To cancel a service contract

You may need to cancel a service contract when the contract has expired or has been canceled by you or the
customer.
NOTE
You cannot reopen a contract after it is canceled.
2. Open the relevant service contract to cancel.
3. Choose the Open Contract action to open the service contract for editing.
4. In the Cancel Reason Code field, choose the relevant reason code. To add more reason codes, choose
the Advanced action.
If the check box in the Use Contract Cancel Reason field on the Ser vice Mgt. Setup page is selected,
you must specify a cancel reason code when canceling contracts.
5. In the Status field, choose Canceled .
6. If there are unposted invoices, credit memos, or opened prepaid entries for the contract, a confirmation
message will appear. In the message box, choose No to return to the contract and post the documents, or
Yes to continue the cancellation process.
Filing a service contract or contract quote

You can file service contracts and contract quotes at any time to record and archive a copy of the contract or
contract quote. Business Central files service contracts automatically when you convert contract quotes to
service contracts or cancel service contracts. You can file a contract or quote yourself by choosing the File
Contract action in the Ser vice Contracts or Ser vice Contract Quotes pages. If you want to view your
archived contracts of quotes by searching for Filed Contracts .
See Also
Set Up Service Contracts
Service Management
Convert Service Contracts that Include VAT Amounts
Change the Annual Amount on Service Contracts
or Contract Quotes
You can change the annual amount of the service contract or contract quote to correct the amount that will be
invoiced annually.
To change the annual amount of the service contract or contract

quote
1. Choose the icon, enter Ser vice Contracts or Ser vice Contract Quotes ,and then choose the related
link.
2. Choose the contract or contract quote.
3. Choose the Open Contract action to open the contract or contract quote for editing.
4. Choose the Allow Unbalanced Amounts check box if you want to change the annual amount and
distribute the annual amount difference manually on the contract lines. Otherwise, clear the check box to
automatically distribute the annual amount difference on the contract lines after you change the annual
amount.
5. Change the contents of the Annual Amount field. You cannot sign, that is, convert into a service contract if
you are working on a contract quote, or lock a service contract that has a negative annual amount. If you set
the annual amount to zero, the contents of the Invoice Period field must be None when either signing or
locking the service contract.
6. Depending on whether the Allow Unbalanced Amounts check box is selected, run either the manual or
automatic distribution of the annual amount difference. The contract lines will be updated so that the Calcd.
Annual Amount field value is equal to the new annual amount.
Distributing Differences Between New and Calculated Annual

Amounts
If you change the annual amount of a service contract or contract quote, you may want to distribute the
difference between its new and calculated annual amounts on the contract lines. There are three ways to
distribute amounts:
Even distribution
Distribution based on line amounts
Distribution based on Profit
Even Distribution
If you change the annual amount of the service contract or contract quote, you may want to distribute the
difference between its new and calculated annual amounts on the contract lines. Even distribution is one of the
automatic distribution methods that can help you spread equally the new and calculated annual amounts
difference between line amounts on the contract lines. The following list of distribution procedure steps describe
the main idea of this method:
1. The difference between the new Annual Amount and Calcd. Annual Amount field values is divided by the
number of the contract lines in the service contract or contract quote.
2. The Line Amount field value is updated by adding the result of the previous operation.
3. The contents in the Line Discount Amount , Line Discount % , and Profit fields are updated with regard to
the new value in the Line Amount field in the following way:
Line Discount Amount = Line Value - Line Amount.
Line Discount % = Line Discount Amount / Line Value * 100.
Profit = Line Amount - Line Cost.
The steps are repeated for each contract line.
Example
The Allow Unbalanced Amounts check box is not selected in the service contract that contains three contract
lines with such information.
L IN E
L IN E DISC O UN T L IN E
IT EM L IN E C O ST L IN E VA L UE DISC O UN T % A M O UN T A M O UN T P RO F IT
Item 1 30.00 40.00 0.00 0.00 40.00 10.00
Item 2 40.00 50.00 10.00 5.00 45.00 5.00
Item 3 50.00 70.00 10.00 7.00 63.00 13.00
The Annual Amount field value is equal to the contents of the Calcd. Annual Amount field, which is always
set to the sum of the line amounts. In this case, it is equal to the following: 40 + 45 + 63 = 148.
If you change the Annual Amount to 139, the amount is calculated that should be added to each Line
Amount field value. This amount is calculated by subtracting the Calcd. Annual Amount from the new
Annual Amount field value and dividing the result by the number of the contract lines in the service contract.
In this case, it will be equal to the following: (139 - 148) / 3 = -3. Then, the last calculated figure is added to each
Line Amount field value and the Line Discount % , Line Discount Amount , and Profit field values are
updated using the formulas in the procedure described above.
Finally, the contract lines will contain this data.
L IN E
Item 1 30.00 40.00 7.50 3.00 37.00 7.00
Item 2 40.00 50.00 16.00 8.00 42.00 2.00
Item 3 50.00 70.00 14.29 10.00 60.00 10.00
Distribution Based on Line Amount

difference between its new and calculated annual amounts on the contract lines. Distribution Based on Line
Amount is an automatic method that can help you spread the new and calculated annual amounts difference
between the line amounts on the contract lines. This distribution will be performed proportionally to their line
amount shares in the calculated annual amount. The following list of distribution procedure steps for each
contract line describe the main idea of this method:
1. The line amount percentage contribution is calculated as follows: the contents of the Line Amount field
is divided by the Calcd. Annual Amount field values on all contract lines.
2. The Line Amount field value is updated by adding to it the difference between the new and calculated
annual amounts, which is multiplied by the line amount percentage contribution.
3. The contents in the Line Discount Amount , Line Discount % , and Profit fields are updated with
regard to the new value in the Line Discount Amount field in the following way:
Line Discount Amount = Line Value - Line Amount
Line Discount % = Line Discount Amount / Line Value * 100
Profit = Line Amount - Line Cost
The steps are repeated for each contract line.
Example
L IN E
Item 1 15.00 17.00 3.00 0.51 25.00 1.49
Item 2 20.00 23.00 None 0.00 55.10 3.00
Item 3 24.00 27.00 3.00 0.81 112.70 2.19
The Annual Amount field value is equal to the contents of the Calcd. Annual Amount field which is always
set to the sum of the line amounts. In this case, it is equal to the following: 16.49 + 23.00 + 26.19 = 65.68.
If you change the Annual Amount to 60, the profit percentage contributions for each contract line is calculated:
Item 1 – 5 / (5 + 5.1 +12.7) = 0.2193 %
Item 2 – 5.1 / (5 + 5.1 + 12.7) = 0.2237
Item 3 – 12.7 / (5 + 5.1 + 12.7) = 0.557
The Line Amount field value is updated on each contract line using the following formula: Line Amount = Line
Amount + difference between the new and calculated annual amounts * Percentage Contribution. After that, the
Line Discount Amount , Line Discount % , and Profit field values are updated using the formulas described
in the procedure above.
L IN E
Item 1 15.00 17.00 11.41 1.94 15.06 0.06
Item 2 20.00 23.00 8.65 1.99 21.01 1.01
Item 3 24.00 27.00 11.37 3.07 23.93 -0.07
Distribution Based on Profit

difference between its new and calculated annual amounts on the contract lines. Distribution Based on Profit is
one of the automatic methods that can help you spread the new and calculated annual amounts difference
between the line amounts on the contract lines. This distribution will be performed proportionally to their profit
shares in the total contract or contract quote profit. The following list of distribution procedure steps for each
contract line describe the main idea of this method:
1. The profit percentage contribution is calculated as follows: the contents of the Profit field is divided by
the sum of Profit field values on all contract lines.
2. The Line Amount field value is updated by adding to it the difference between the new and calculated
annual amounts, which is multiplied by the profit percentage contribution.
3. The contents in the Line Discount Amount, Line Discount %, and Profit fields are updated with regard to
the new value in the Line Amount field in the following way:
Line Discount Amount = Line Value - Line Amount
Line Discount % = Line Discount Amount / Line Value * 100
Profit = Line Amount - Line Cost
Example
L IN E
Item 1 20.00 25.00 0.00 0.00 25.00 5.00
Item 2 50.00 58.00 5.00 2.90 55.10 5.10
Item 3 100.00 115.00 2.00 2.30 112.70 12.70
The Annual Amount field value is equal to the contents of the Calcd. Annual Amount field, which is always
set to the sum of the line amounts. In this case, it is equal to the following: 25.00 + 55.10 + 112.70 = 192.80.
If you change the Annual Amount to 180, the profit percentage contributions for each contract line are
calculated:
Item 1 – 5 / (5 + 5.1 +1 2.7) = 0.2193 %
Item 2 – 5.1 / (5 + 5.1 + 12.7) = 0.2237
Item 3 – 12.7 / (5 + 5.1 + 12.7) = 0.557
The Line Amount field value is updated on each contract line using the following formula: Line Amount = Line
Amount + difference between the new and calculated annual amounts * Percentage Contribution. After that, the
Line Discount Amount , Line Discount % , and Profit field values are updated using the formulas in the step
3 of the procedure described above.
L IN E
Item 1 20.00 25.00 11.24 2.81 22.19 2.19
Item 2 50.00 58.00 9.93 5.76 52.24 2.24
Item 3 100.00 115.00 8.20 9.43 105.57 5.57
See Also
Create Service Contracts and Service Contract Quotes
Delivering Service
Business Central provides features to help you deliver service according to the contracts that you have created
and the service orders that you have committed to fulfilling. Your service technicians or dispatcher will find
outstanding service orders easy to locate when they use the Dispatch Board . At a glance, the Dispatch Board
shows which orders are in progress and which orders are complete.
Another way to review pending service orders is to use the Ser vice Tasks page. In this view of your service
obligations, you can see where in your service workflow an order is and change that status to reflect interactions
with your customer.
A service management application must interface with a customer request for service. That service request
usually is translated into a service order. Business Central provides tools to create an order both directly in
response to a customer request or as part of the contract process, if that is how your application is set up.
If needed, you can manage a loaner program for your customers. You can also determine your pricing structure,
put service pricing offerings into logical groupings, and create price adjustments.
TO SEE
Create quotes that are drafts of service orders, and then Create Service Quotes
convert the quotes to service orders.
Create documents that contain information about a service, Create Service Orders
such as repairs and maintenance, on service items.
Plan the delivery of service by using the Dispatch Board . Allocate Resources
You can also use project management tools in the Jobs
department to help in planning.
Deliver service to customers by performing service tasks. Work on Service Tasks
Post service orders for services, so that your accounting is Post Service Orders and Credit Memos
up-to-date.
Create and post invoices for services that you have Create Service Invoices or Credit Memos
delivered.
Keep customers happy by lending them an item while you Lend and Receive Loaner Items
work on theirs.
See Also
Planning Service
Managing Projects
Create Service Quotes
You can think of service quotes as the basis for service orders. In fact, they are almost identical. They both
contain information such as who the customer is, the type of order, the item that needs service, billing and
shipping information, and information about the actual service work.
You can use a service quote as a preliminary draft for a service order, and then convert the quote to a service
order.
To create a service quote

1. Choose the icon, enter Ser vice Quotes , and then choose the related link.
2. Create a new service quote.
3. In the No. field, enter a number for the service quote. Alternatively, if you have set up a number series for
service quotes on the Ser vice Mgt. Setup page, you can press Enter to select the next available service
quote number.
4. In the Customer No. field, select the relevant customer from the list.
NOTE
The customer fields are filled in automatically with information from the Customer card. If a Customer card does not
exist for the customer, and you have set up a customer template, you can create the customer from the service quote. Fill
in the relevant fields, and then choose the Create Customer action.
5. Depending on the settings on the Mandator y Fields FastTab on the Ser vice Mgt. Setup page, you may
need to fill in the Ser vice Order Type field and the Salesperson Code field.
6. Fill in the service item lines.
7. Register estimated costs on the service lines.
See Also
Work on Service tasks
You can use the Ser vice Order page to create documents where you enter information about a service, such as
repairs and maintenance, on service items by customer request.
When creating a service order, you only have to fill in a few fields. Some fields are optional and many are
automatically filled in when you fill in related fields.
To create a service order

1. Choose the icon, enter Ser vice Orders , and then choose the related link.
2. Create a new service order.
3. In the No. field, enter a number for the service order.
Alternatively, if you have set up number series for service orders on the Ser vice Management Setup
page, you can press Enter to select the next available service order number.
4. In the Customer No. field, select the relevant customer from the list. The customer-relevant fields are
filled in with information from the Customer table.
5. Depending on the settings on the Mandator y Fields FastTab on the Ser vice Management Setup
page, you may need to fill in the Ser vice Order Type field and the Salesperson Code field.
6. Optionally, fill in the rest of the fields.
7. Register the service item lines.
To create a service order from a contract

You can automatically create service orders for the maintenance of service items based on service contracts.
1. Choose the icon, enter Create Contract Ser vice Orders , and then choose the related link.
2. On the Ser vice Contract Header FastTab, set the filters you want to apply.
3. On the Options FastTab, fill in the Star ting Date and Ending Date fields with the starting date and
ending date for the period that you want to create contract service orders for. The batch job creates
service orders that include service items in service contracts with next planned service dates within this
period.
NOTE
There is a limit to the number of days you can use as the date range each time you use this batch job. You set this
limit in the Contract Ser v. Ord. Max. Days field on the Ser vice Management Setup page.
4. In the Action field, choose Create Ser vice Order .

NOTE
You will not be able to create order with multiple service item, if you set One Ser vice Item Line/Order field on
the Ser vice Management Setup page.
To convert a service quote to a service order

When a customer has accepted a service quote, you convert it to a service order. The quote is deleted and a new
service order is set up with the same description as the service quote. The response date and time are
recalculated for the service order and the status is set to Pending . The repair status of the service items in the
order are changed to Initial .
Business Central searches for allocation entries for all the service items in the service quote that have the status
Active . If it finds such allocation entries, their allocation status is updated to Reallocation Needed . When you
reallocate the service items in the service order, the status of the allocation entries registered for the quote are
updated to Finished .
1. Choose the icon, enter Ser vice Contract Quotes , and then choose the related link.
2. Choose the service quote to convert to a service order.
3. Choose the Make Order action.
To check item availability for one or more orders

You can check and see if an item you need to fulfill an order is in stock, and if it is not, when the item will be in
stock. In addition, if an item is available to reserve, you can reserve it to make sure it is available for your use.
You can check availability for a particular order, or for all orders.
1. Choose the icon, enter Dispatch Board , and then choose the related link.
For a particular order, choose the order, and then choose the Demand Over view action.
For all orders, choose Show Document . The Ser vice Order page opens.
3. On the Demand Over view page, expand the item grouping, and view information about the availability
of the item. For example, you can see how many items are in inventory. You can also see if and when an
item will be available if it is on back order, that is, Source Type = Purchase, or whether it has been
reserved.
To reserve an item for a service order

If you need to be sure that an item is available for a service order, you can reserve the item.
1. In the Search box, enter Ser vice Orders , and then choose the related link.
2. Choose the service order, and then choose Edit .
3. Choose Actions , choose Order , and then choose Ser vice Lines .
4. On the Ser vice Lines page, choose the item to reserve, and then choose the Reser ve action.
5. On the Reser vation page, choose Reser ve from Current Line .
To insert lines based on standard service codes

If you have set up standard service codes and assigned them to service item groups, you can insert the standard
lines linked to the standard service codes on service documents. For more information, see Set Up Standard
Service Codes.
2. Create a new service order.
3. Fill in the fields as necessary..
4. Fill in the service item lines with the required information.
5. Choose the line with the service item that you want to create service lines for, and then choose Get Std.
Ser vice Codes . The Standard Ser v. Item Gr. Codes page opens with the standard codes for the service
item group specified on the line.
6. Choose the appropriate code, and choose the OK button to enter standard service lines.
NOTE
If the Ser vice Item Group Code field on the service item line of the document is blank, this means that the service
item does not belong to any service item group. In this case, the Standard Ser v. Item Gr. Codes page will contain a
list of all standard service codes. You should select from the list to insert standard service lines in the document. You may
also select from the list of standard service codes assigned to a specific service item group. To view the list, select the
relevant code in the Ser vice Item Group Code field on the Standard Ser v. Item Gr. Codes page.
To register internal or public comments

You can add comments that will be printed on service orders and service quotes to provide additional
information. You can add up to 80 characters, including spaces. If you need to enter additional text, choose
another line. To register a comment, choose a line, and then choose the Comments action.
To delete invoiced service orders

Orders are usually deleted automatically after having been fully invoiced. When an invoice is posted, a
corresponding entry is created on the Posted Ser vice Invoices page. The posted document can be viewed on
the Posted Ser vice Invoice page.
Service orders are not deleted automatically, however, if the total quantity on the order has been posted not
from the service order itself, but from the Ser vice Invoice page. Then you may need to delete invoiced orders
that were not deleted. You can do this by running the Delete Invoiced Ser vice Orders batch job.
1. Choose the icon, enter Delete Invoiced Ser vice Orders , and then choose the related link. The Delete
Invoiced Ser vice Orders batch job request page opens.
2. To select the orders to be deleted, you can set filters in the No., Customer No., and Bill-to Customer No.
fields.
3. Choose OK .
See Also
Service Posting
Post a Service Order
Allocate Resources
Create Service Invoices or Credit Memos
Ease in invoicing your service orders is a key feature of Business Central. You can set up your Business Central
so that a service technician in the field can create an invoice for a service that is not connected to a contract or
order. Alternatively, set up Business Central so that you invoice service contracts periodically. The invoice period
for each contract defines how often you invoice it.
To invoice several service contracts

1. Choose the icon, enter Create Ser vice Contract Invoices , and then choose the related link.
2. Set the filters you want to apply.
3. In the Posting Date field, enter the date to use as the posting date on the service invoices.
4. In the Invoice to Date field, enter the date up to which you want to invoice contracts. The batch job will
include the contracts with the next invoice dates, up to this date.
5. In the Action field, choose Create Invoices .
6. Choose OK to create the service invoices.
You can also invoice a service contract directly from the Ser vice Contract page, if the next invoice date on the
contract is earlier than the working date.
To invoice a service contract from the Service Contract page

2. Choose the service contract to invoice, and open the contract card.
3. Choose Create Ser vice Invoice action.
4. Choose Yes to create the service invoices.
NOTE
You cannot create service invoices for the service contract when the Change Status field value is set to Open .
To post an invoice from a service order

The following procedure describes how to define the part of service that you will charge the customer for.
2. Choose the service order to invoice, and open the order card.
3. Choose the Ser vice Lines action.
4. Find the required entries, and then specify the quantities for which you will charge the customer in the
Qty. to Invoice field.
NOTE
You can invoice the customer for the registered service either fully or in parts. If you choose to invoice the
customer fully, the value in the Qty. to Invoice field must be equal to the value in the Quantity field. You can
post a full invoice together with a full shipment, and you can post a full invoice for an already posted full shipment
that has been neither invoiced nor consumed previously.
When you post a partial invoice, there are two ways of specifying the quantity to invoice. If you are going to post
the service with the Ship and Invoice option, the value in the Qty. to Invoice field must be equal to that in
the Qty. to Ship field. If you want to invoice an already posted shipment, the quantity to invoice must be no
larger than the value in the Quantity Shipped field.
5. Choose Post , and then either Invoice or Ship and Invoice . For more information about these options,
see Posting in Service Management.
The service line you have selected is posted. You can post several service lines at once by selecting them all and
choosing Post . If you do this, make sure you have filled in all the necessary information on the lines you want to
post.
When you post the order with the Invoice option, a posted service invoice is created along with the
corresponding ledger entries and updates to the relevant fields on the service lines of the order. In addition,
previously posted shipment documents are updated with the quantities that have been invoiced. If you select the
Ship and Invoice posting option, a posted shipment is created.
To create a service invoice manually

Typically, after you post a service order with the Invoice or Ship and Invoice option, a service invoice is
posted automatically. Yet, you may need to issue an invoice that is not linked either to a service contract or to a
service order. This procedure explains how to issue an invoice at the same time that the customer receives the
service.
1. Choose the icon, enter Ser vice Invoices , and then choose the related link.
2. Create a new service invoice.
3. Fill in the No. field.
NOTE
If you have set up number series for service invoices on the Ser vice Mgt. Setup page, you can press Enter to
select the next available service invoice number.
4. In the Customer No. field, enter the number of a customer. Select the relevant customer from the list.
The customer fields are filled in with information from the Customer card.
5. Enter a date in the Posting Date field. This date will appear on the posted entries. This field is filled with
the current working date, but you can change it manually.
6. Fill in the Document Date field. The date you enter here will appear on the printed invoice and will be
used to calculate the due date.
7. Fill in the service lines of the invoice. Fill in the Type , No., and Quantity fields to register items,
resources and costs that have been used in servicing.
To create an invoice that combines posted shipment lines from one or

more service orders
You might need to create a service invoice for the service that has already been shipped, either from one or
several service orders, but not yet invoiced or consumed. You can fill in the invoice lines automatically with the
selected posted shipment lines for a specific customer.
1. Choose the icon, enter Ser vice Invoices , and then choose the related link.
2. Fill in the fields on the line as necessary. Hover over a field to read a short description.
3. Create invoice lines for services shipped but not invoiced. Alternatively, you can use the Get Shipment
Lines action to add posted shipment lines to the invoice.
4. Post the service invoice.
The posted service invoice and the corresponding ledger entries are created. Previously posted shipment
documents are updated with the invoiced quantities and the relevant quantities on the service lines of the
source orders.
To create a service credit memo

A service credit memo document is typically used when a customer returns an item, but it can also be used to
give a customer some compensation or to correct an erroneous invoice.
2. Fill in the fields on the line as necessary. Hover over a field to read a short description.
3. The Posting Date and Document Date fields display the work date. If needed, you can change it.
4. On the credit memo lines, enter information about the items that have been returned or removed, or the
compensation that will be given to the customer.
See Also
Post Service Invoices
Service Posting
Allocate Resources
The key element to service management is the people who supply service. You can set up Business Central to
assign the appropriate people to the appropriate jobs. Assignments can be based on service zones where the
people are located or where the service occurs. In addition, you can group resources together when responding
to service requests. For more information, see Set Up Resource Allocation.
You can allocate resources, for example, technicians, by using the Dispatch Board , or from a service order. You
can use resource availability to allocate resources to perform the service tasks in the orders or quotes.
You can allocate the same resource, for example, a technician, or resource group to all the service items in a
service order. Allocation entries are created for the other service items in the order with the same resource
number and allocation date as the line you allocated. The allocated hours are the hours you allocated divided by
the number of service items in the order. The Status field is automatically set to Active for all the entries that
were created.
To see an overview of service orders and service quotes

You may often need to see the list of service orders or service quotes that meet certain requirements to be able
to perform specific actions with them one by one. For example,you may need to allocate resources to service
orders that belong to a specific customer.
2. In the Document Filter field, choose the type of the documents you want to see.
3. To get a list of documents that contain service tasks a certain resource or resource group is allocated to,
fill in the Resource Filter and Resource Group Filter fields and press Enter.
4. To get a list of documents with a certain response date or response dates within a certain date period, fill
in the Response Date Filter field and press Enter .
5. To get a list of documents with a specified allocation state or document status, fill in the Allocation
Filter/Status Filter field and press Enter .
6. To get a list of documents that belong to a certain contract, customer, or zone, fill in the Contract
Filter/Customer Filter/Zone Filter field and press Enter .
7. Choose a line that corresponds to a service order or service quote, and then choose the Show
Document action.
The Ser vice Order or Ser vice Quote page opens, and you can work with the document. To return to
the Dispatch Board page, choose OK .
To allocate a resource using resource or resource group availability

1. Choose the icon, enter Dispatch Board , and choose the related link.
2. Choose the service order, and then choose the Resource Allocations action.
3. Choose the entry with the service task to which you want to allocate a resource.
4. Choose either the Resource Availability or Res. Group Availability action.
5. On the Res. Availability (Ser vice) page, choose Show Matrix .
6. Choose a resource to allocate. You can base your selection on whether the resource is skilled for the task,
whether it is located in the customer zone, and/or whether it is preferred by the customer.
7. Specify a date on which the resource has enough available hours for the task, and which is close to the
response date of the service order.
8. In the Qty. to Allocate field, enter the number of hours you want to allocate the resource to the service
task for.
9. Choose the Allocate action to allocate the selected resource on the selected date.
The Status field is automatically set to Active .
Repeat these steps for each date that you want to allocate the resource to the service task.
NOTE
For a service item in a service order, there can only be Active allocation entries with one resource or resource group at a
time.
To allocate a resource using a service order

After you have created and filled in a service order or service quote, you can allocate resources, for example,
technicians, to perform service tasks registered as service item lines in the document.
2. Choose the service order, and then choose Edit .
3. Choose the service item line corresponding to the service task you want to allocate a resource to.
4. Choose Resource Allocations .
5. On the Resource Allocations page, choose a nonactive allocation entry with the service task you want to
allocate the resource to. If the allocation entry does not exist, you can create a new one by choosing New .
6. Specify the service task by filling in the Ser vice Item No. field on the same line.
7. In the Resource No. field, choose the resource. If the resource is a member of a resource group, the number
of the resource group is entered automatically into the Resource Group No. field.
8. Fill in the Allocation Date and Allocated Hours fields. The Status field is set to Active . This means that
the resource is allocated to the service task.
9. Optionally, to assign the resource to all items, choose Allocate to All Ser vice Items .
NOTE
For a service item in a service order, there can only be active allocation entries with one resource or resource group at a
time.
To reallocate resources on a service order

You can reallocate resources directly from a service order or service quote when you are working with it. The
original entry will still exist, but its status is updated as follows:
If service was started while the allocation was Active , that is, if the repair status of the service item in the
entry was changed to In Process , the allocation status changes from Reallocation Needed to Finished .
If service was not started while the allocation was Active , allocation status changes from Reallocation
Needed to Canceled .
If you are reallocating a service order that you have converted from a quote, the status of the allocation
entries registered for the quote always changes to Finished when you reallocate the service items in the
service order.
2. Open the relevant service order.
3. Select the service item line corresponding to the service task you want to allocate a resource to, and then
choose the Resource Allocations action.
4. On the Resource Allocations page, select an allocation entry with the service task you want to reallocate
the resource to. In the Resource No. field, select the relevant resource. This overwrites the resource number
already in the field.
5. Press the Enter key. A dialog box opens, asking whether you want to reallocate this entry. Fill in the Reason
Code field if appropriate and choose the Yes button to confirm the reallocation.
6. Fill in the Allocation Date and Allocated Hours fields. The entry now contains the new resource and its
status is Active .
To reallocate a resource using the dispatch board

If the resource allocated to a service task cannot accomplish the work, it means that this service task needs
reallocation. Usually you reallocate resources to a service task by using the Dispatch Board .
2. In the Allocation Filter field, select Reallocation Needed . The Dispatch Board page now shows the
list of service orders that include service tasks that need reallocation.
3. Select the relevant service order, and then choose the Resource Allocations action. The Resource
Allocations page opens.
4. Select the allocation entry with the service task you want to reallocate a resource to.
5. In the Resource No. field, select the relevant resource. It overwrites the resource number already in the
field.
6. Press Enter. The Reallocation Entr y Reasons dialog box opens, asking whether you want to reallocate
this entry. Fill in the Reason Code field if appropriate and choose the Yes button to confirm the
reallocation.
7. Fill in the Allocation Date and Allocated Hours fields. The entry now contains the new resource and
its status is Active .
NOTE
The old entry still exists but the status is updated in the following ways:
If service was started while the allocation was Active , that is, if the repair status of the service item in the
entry was changed to In Process , the allocation status changes from Reallocation Needed to Finished .
If service was not started while the allocation was Active , the allocation status changes from Reallocation
Needed to Canceled .
If you are reallocating a service order that you have converted from a quote, the status of the allocation
entries registered for the quote always changes to Finished when you reallocate the service items in the
service order.
To register resource hours

When working on service items in service orders, you need to register the resource hours used for the service.
The following procedure shows how to register the resource hours on the Ser vice Item Worksheet page.
You can use the same procedure to register the hours on the Ser vice Lines page, which you can open from the
Service Order page. Open the relevant service card, and then choose the Ser vice Lines action.
If the same resource works on all the service items in the service order, you can register the total resource hours
for one service item only and then split the resource line to assign the resource hours to the other service items.
1. Choose the icon, enter Ser vice Tasks , and then choose the related link.
2. Select the line that includes the relevant service item, and then choose the Item Worksheet action.
To assign a resource to all service items in an order

If the same resource, for example a technician, works on all the service items in the service order, you can
register the total resource hours for one service item only and then split the resource line to divide the resource
hours onto the resource lines for the other service items.
The following procedure shows how to split resource lines on the Ser vice Invoice Lines page.
3. On the Lines FastTab, choose the Ser vice Lines action. The Ser vice Lines page opens.
4. Select the resource line you want to split. The contents of the Quantity field is divided between all the
service items in the order.
5. Choose the Split Resource Line action. Choose Yes to confirm.
Resource lines for the other service items in the order are created with the same resource number as the
line you split. The quantity is the quantity for the line you split divided by the number of service items in
the order.
To cancel an allocation
You can cancel resource allocations for service tasks without reallocating the tasks.
2. Choose the service order, and then choose the Resource Allocations action.
3. Choose the allocation entry with the service task that you want to cancel allocation for.
4. Choose the Cancel Allocation action.
5. In the Reason Code field, select the appropriate reason code.
6. Choose Yes to confirm the cancellation.
NOTE
In the Status field, the Reallocation Needed option is automatically selected. If the repair status of the service
item in the entry is Initial, the repair status is changed to Referred , that is, no service has been started. If the
repair status is In Process , it is changed to Par tly Ser viced , that is, some service has been completed.
See Also
Set Up Resource Allocation
Allocation Status and Repair Status
After you have created a service order or service quote, registered service item lines, and allocated resources to
the service items in the order or quote, you can start repairing and maintaining the service items.
Business Central features a Ser vice Tasks page that gives an overview of all the service items that need
attention. Think of it as your service dashboard where you can see what orders are pending, look for and
register spare parts, and keep your inventory up-to-date.
To track changes and get a graphical view of your service business, use Business Central statistics tools for
quick, automatically generated charting and analysis.
To work on a service task

2. If you want a list of service tasks a certain resource or resource group is allocated to, fill in the Resource
Filter or Resource Group Filter field and press Enter.
3. If you want a list of service tasks with a certain response date or response dates within a certain time
period, fill in the Response Date Filter field and press Enter.
4. If you want a list of service tasks with a certain allocation status or repair status, fill in the Allocation
Status Filter or Repair Status Code Filter field and press Enter.
5. Select the service task you want to work on. Choose the Item Worksheet action. The Ser vice Item
Worksheet page opens.
6. Register standard texts, spare parts, resource hours, and costs as appropriate using the corresponding
options in the Type field: <Blank>, Item , Resource , and Cost .
7. In the Repair Status field, select the appropriate status.
NOTE
Fill in the Repair Status field with the Finished or Par tly Ser viced status if the service item has been
completely serviced or another resource will continue servicing. The Finished or Reallocation Needed status is
specified automatically for the allocation entry corresponding to the service item.
To register service operations

When performing a service on a service order, you can register the details specifying the items used, costs
incurred, and the time spent. The data you specify is stored on the Ser vice Item Worksheet page. You can
update the data when necessary.
2. Open the service order to register the service for, and choose the item line.
3. Choose the Ser vice Item Worksheet action
4. On the lines, specify the items used, costs incurred, and the time spent on the service.
NOTE
You can also register service directly on the service lines linked to the service order.
To register spare parts

When working on service items in service orders, you may need to use spare parts for the service. The following
procedure shows how to register the spare parts you use on the Ser vice Item Worksheet page.
2. Choose the line that includes the relevant service item, and then choose the Item Worksheet action.
3. Enter a new service line.
4. In the Type field, choose Item .
5. In the No. field, choose the relevant spare part.
6. In the Quantity field, enter the quantity of items you want to use.
You can use a similar procedure to register the spare parts on the Ser vice Lines page, which you can open
from the Ser vice Order page.
To register spare parts from a service order

2. Open the service order you want to register spare parts for.
3. Choose the line that includes the relevant service item. Choose Actions , choose Order , and then choose
Ser vice Lines .
4. enter a new service line.
To replace a service item or a service item component

When you service a service item that is composed of components, you may need to replace a faulty component
with a new one. Every time that you enter a spare part for a service item with components, you have the option
of replacing a component or creating a new one. The new item is not registered as a component of the service
item until you post this service line or the service order.
2. Choose the line that includes the service item, and then choose the Item Worksheet action.
3. Enter a new service line.
4. In the Type field, choose Item .
5. In the No. field, choose the component to replace.
6. Press Enter . A dialog box opens with three options: Replace Component , New Component , and
Ignore . The following table describes the options.
Replace Component Changes the status of the component you are replacing
to not active, and it will appear on the replaced
component list for the service item.
New Component Enters the new component in the component list of the
service item.
Ignore Does nothing to the component list of the service item.
7. Choose Replace Component .

8. Choose the component to replace, and then choose OK .
To change the response time for a service item line

When you register a service item line in a service order or quote, depending on whether the service item is on a
service contract the response time in hours is automatically entered and the response date and time are
calculated accordingly. You can change the response time in hours and the response date and time if you need
to.
1. Choose the icon, enter Ser vice Orders or Ser vice Quotes , and then choose the related link.
2. Choose the service order or quote to open the card.
3. On the service item line you want to change the response time for, either in the Response Time (Hours)
field or in the Response Date and Response Time fields, enter the new response hours or response date
and time.
To register fault/resolution codes

After repairing a service item, you can register both the fault code and the resolution code for the item by
selecting a combination from the existing fault/resolution codes relationships. The fault and resolution codes
will appear in the corresponding fields on the Ser vice Item Worksheet page. You can also register the codes
directly in this page.
2. Choose the line that includes the relevant service item, and then choose the Item Worksheet action.
3. On the Ser vice Item Worksheet page, choose Fault/Resol. Codes Relationships . The
Fault/Resolution Codes Relationships page opens.
[!NOTE] Filters are set on the relationships that are shown on the page by copying the service item group
and the fault codes from the Ser vice Item Worksheet page.
4. Fill out the line. Choose the combination of fault and resolution codes, and then choose OK to copy it to the
service item. If an appropriate combination cannot be found, you can create a new combination on the page.
See Also
Set Up Fault Reporting Allocation Status and Repair Status
Service Posting
Service Posting
Service posting functionality lets you process your documents efficiently and maintain successful customer
service policy. You can create and update posted documents, and create ledger entries both in the service area
and in other modules to ensure the correct update.
NOTE
The following describes service posting regardless of how items are physically handled in the warehouse.
In a location that is not set up to require warehouse handling, you perform the posting actions directly from the Ser vice
Lines page. In locations that involve warehouse handling, the described posting actions, except Ship and Consume, are
performed indirectly through varying warehouse ship functions, depending on setup. For more information, see Pick
Items with Inventory Picks.
Ship
The ship option lets you register the relevant items and time entered on the lines of a service order after you
complete the service. A posted shipment is created and updates occur in the Inventory module and other
modules in Business Central to reflect that the items have been taken out of the inventory and sent to the
customer. In particular, the item ledger entries, value ledger entries, service ledger entries, and warranty ledger
entries are produced.
If the location is set up to require warehouse handling, then the shipping and moving of service line items
functions in the same ways as for other source documents. The only difference is that service line items can be
consumed either externally or internally, which requires two different release functions.
Invoice
You have to use the invoice option to issue an invoice to the customer you want to charge for the service.
Usually, it is the difference between the shipped quantity registered by the Post Shipment function and the
consumed quantity registered by the Post Consumption function that is subject to invoice. You cannot invoice
what has not been shipped. When you run the Post Invoice function, you create a posted service invoice and
update the documents posted before to make them consistent with the quantities that are contained in the
issued invoice. Like in other posting procedures, the relevant ledger entries that includes general ledger entries,
are generated.
Ship and Invoice

The ship and invoice option lets you issue both a service shipment and an invoice at the same time.
Ship and Consume

With the ship and consume option, you can register and post items, costs, or hours that have been used for
servicing but that cannot be included in the invoice to the customer. An invoice is not issued, but you can issue
both a service shipment and service consumption at the same time to reflect the fact that some items or hours
have been given to the customer free of charge. The corresponding ledger entries are also created to register
consumption.
NOTE
The service posting procedure enables you to perform partial posting. You can create a partial shipment or a partial
invoice by filling in the Qty. to Ship and Qty. to Invoice fields on the individual service lines of the service orders
before you post. Note that you cannot create an invoice for something that is not shipped. That is, before you can invoice,
you must have registered a shipment, or you must choose to ship and invoice at the same time.
After the posting has been completed, you will be able to view the posted service documents from the
corresponding Posted Ser vice Shipment and Posted Ser vice Invoice pages. The posted entries created can
be seen in various pages that contain posted entries, such as G/L Entries , Item Ledger Entries , Warehouse
Entries , Ser vice Ledger Entries , Job Ledger Entries , and Warranty Ledger Entries .
To view information about a posted service document

When you post a service invoice, a service shipment, or a service credit memo, the information on the
document is transferred to the Posted Ser vice Invoice , Posted Ser vice Shipment , or Posted Ser vice
Credit Memo pages respectively. You cannot enter, change, or delete anything in these pages. You can print a
shipment, invoice, or credit memo from these pages.
The following procedure uses a posted service invoice as an example, but the same procedure can apply to
posted service shipments and posted credit memos.
1. Choose the icon, enter Posted Ser vice Invoice , and then choose the related link.
2. Open the posted service invoice you want to view.
3. To get an overview of the posted invoice, choose the Statistics action.
The Ser vice Order Statistics page opens. The page displays information such as quantity, amount, VAT,
cost, profit, and customer credit limit for the posted document.
See Also
Post Service Orders
Post Service Orders and Credit Memos
When you have created a service order, filled in all the necessary information and made any modifications, you
can post the service order. The order must contain at least one service item line and one service line before you
can post it. Should the order contain more than one service line, all the lines are posted at one time.
If you have a large number of service orders, you can save time by using a batch job to post them at the same
time. You can run the batch job from any service order.
TIP
Before you post a service document, it's a good idea to use the Test Repor t action to to check for any errors or missing
information. If there are errors, you must correct the problem. You can print a new test report to verify the fix, and then
post the document.
To post a service order

3. On the Ser vice Order page, choose one of the following actions.
A C T IO N RESULT
Test Repor t Checks all parts of the document and presents the result
in a report. If the report indicates any errors or a lack of
information, you must correct the problem. You can then
print a new test report.
Post Posts the order without printing a shipment or an

invoice.
Post and Print Posts the order and prints a shipment (if you ship the
order without invoicing it) or an invoice (if you invoice
the order).
Post Batch Posts multiple service orders at one time once.
4. When you post the order, you must specify one of the following options for how you want to post the
order.
P O ST IN G O P T IO N RESULT
Ship Posts shipment of the items.
Invoice Invoices items that have already been shipped.
Ship and Invoice Invoices and ships the items.

P O ST IN G O P T IO N RESULT
Ship and Consume Posts shipment and consumption on the order. It

updates the relevant quantities on the service lines of
the order and on the previously posted service shipment
document.
You can post consumption only if the line contains a quantity that has shipped but not invoiced or consumed.
When posting the order, the corresponding ledger entries and posted documents are created. The relevant fields
are updated in the service order document.
To batch post service orders

2. Choose the Post Batch action.
3. You can set a filter to select specific service order numbers or an interval of order numbers for the batch job
to process.
4. Choose OK to start the batch job.
To post a service credit memo

When you have created a service credit memo and filled it in, you can post the credit memo. If there are errors
or a lack of information on the credit memo while posting, the process will be interrupted by an error message.
2. Create a new service credit memo. Choose the New action.
3. Fill in the necessary fields.
4. Choose the Post action. If you want to print the credit memo at the same time as you post, choose the Post
and Print action instead.
5. To test credit memos before you post them, choose Test Repor t . When you run the report, the posting dates
specified in the document are verified.
6. To post several service credit memos at the same time. run the Batch Post Ser vice Cr. Memos batch job.
This can be an advantage if you have a large number of credit memos that must be posted.
NOTE
It is important to enter all the necessary information on the credit memos before they are batch posted. Otherwise, it is
possible that they will not be posted. When the batch job has finished posting, a message is displayed that shows how
many of the service credit memos have been posted.
To post consumption from a service order

The following procedure describes how to post the items, resource hours, and or costs used for a specific service
operation for which you will not charge your customer. Note that you can post consumed items, hours, or costs
only for a posted shipment that has no posted invoices or consumption.
2. Open the service order to post consumption for.
3. Choose the service item. Choose the Ser vice Lines action.
4. Find the required entries, and specify the quantities for which you will post consumption in the Qty. to
Consume field. The quantity cannot be larger than the quantity already shipped and the quantity
remaining but not invoiced after partial invoicing of this shipment.
NOTE
To register consumption with respect to a job, fill in the Job No. , Job Task No. , and the Job Line Type fields on
the service line.
5. Choose the lines to post, and then choose the Post action. On the page that opens, select Ship and
Consume .
The service is posted as consumed either partially or fully, depending on the value in the Qty. to Consume
field, and the relevant ledger entries are created. In addition,previously posted service shipment documents are
updated chronologically with the consumed quantities. The relevant quantities will be updated on the service
lines of the order.
To post shipments from service orders

After specifying the details of a service, you can adjust and post the quantities of items used, time spent, and
costs incurred. As a result, Business Central makes the necessary changes to reflect the new state of your
inventory and current status of the specific order processing.
The following procedure shows how to post shipment of service line items in locations that are not set up to
require warehouse handling.
1. Choose the icon, enter Ser vice Order , and then choose the related link. 2. on the page for the
selected service order, choose Actions , Order , Ser vice Lines .
2. On the Ser vice Lines page, find the required entries and specify the quantity to be posted in the Qty. to
Ship field.
NOTE
The quantity to ship value depends on whether you want to post shipment fully or partially. If you choose to ship
fully, the value in the Qty. to Ship field must be equal to the value in the Quantity field. When you post a
partial shipment, you must specify the quantity you want to ship initially. If you have already shipped part of the
service on the order, make a note of the value in the Quantity Shipped field. The maximum quantity you can
enter in the Quantity to Ship field is the number of units that have not yet been shipped.
3. Choose the Post action. on the page that appears, choose the Ship button.
Business Central creates ledger entries (in the warranty ledger, item ledger, service ledger, or G/L), produces the
posted service shipment document, and updates the relevant fields on the service lines of the service order.
If the location is set up to require warehouse handling, then the shipping and moving of service line items
function in the same ways as for other source documents. The only difference is that service line items can be
consumed either externally or internally and therefore require two different release functions.
For information about shipping service line items in advanced warehouse configurations, see Picking Items for
Warehouse Shipment.
To undo posted consumption

You can cancel the consumption on the service orders. For example, because it was posted by mistake.
1. Choose the icon, enter Posted Ser vice Shipments , and then choose the related link.
2. Open the posted service shipment for which the erroneous consumption was posted.
3. Choose the Ser vice Shipment Lines action.
4. Choose the lines that contain the incorrect consumption, and then choose the Undo Consumption action.
A balancing service shipment line is inserted with negative values in the quantity fields for the selected lines.
NOTE
You cannot undo service consumption if:
The service order has been closed.

It has been posted to the Jobs area, so there are job ledger entries linked to it.
To post service lines

If you have to work on a service order for a considerable time without posting it, you may want to post some of
the service lines linked to it as a way, for example, of keeping your inventory updated. You can post by
specifying the relevant quantities on the lines to be posted. You may choose to post the lines one by one or by
selecting several lines at a time.
The following procedure describes shipment posting directly from a service order in locations without
warehouse handling set up. If the location is set up to require warehouse handling, then shipment posting
happens in a different warehouse document, depending on the location setup.
2. Open the service order, and then choose the Ser vice Lines action.
3. On the lines you are going to post, fill in the Qty. to Ship , Qty. to Invoice , and Qty. to Consume fields,
depending on how you will post the lines.
See Also
Posting in Service Management
Create a Service Order
Lend and Receive Loaners
You can lend customers loaners to temporarily replace service items that you have received for servicing.
To lend a loaner item

2. Open the relevant service order card.
3. Select the service item line with the service item you want to replace with a loaner.
4. In the Loaner No. field, choose the relevant loaner item.
5. Choose Yes to confirm the loan.
To receive a loaner
When you receive a loaner from a customer, you must register the receipt. You do this in the Ser vice Order ,
Posted Ser vice Shipment , and Loaner Card pages. This procedure shows how to receive loaners on the
Ser vice Order page.
3. Choose the service item line with the loaner you want to receive.
4. Choose Actions , choose Functions , and then choose Receive Loaner .
To register loaner comments

You can use the General Ser vice Comment Sheet page to register comments on registered loaners.
1. Choose the icon, enter Loaners , and then choose the related link.
2. Open the relevant loaner card.
3. Choose the Comments action. The General Ser vice Comment Sheet page opens.
4. In the Date field, enter a date.
5. In the Comment field, enter a comment. You can enter a maximum of 80 characters. If you need to enter
additional text, go to the next line. You can fill in as many lines as necessary.
See Also
Set Up a Loaner Program
Get Started with the Shopify Connector
Connect your Shopify store (or stores) with Business Central and maximize your business productivity. Manage
and view insights from your business and your Shopify store as one unit.
The Shopify connector includes the following capabilities:
Support for more than one Shopify shops
Each shop has its own setup, including a collection of products, locations used to calculate inventory,
and price lists.
Bi-directional synchronization of items or products
The connector will sync images, item variants, barcodes, vendor item numbers, extended texts, and
tags.
Export item attributes to Shopify.
Use selected customer price groups and discounts to define prices exported to Shopify.
Decide whether items can be created automatically or only allow updates to existing products.
Synchronization of inventory levels
Choose some or all of the available locations in Business Central.
Update inventory levels on multiple locations in Shopify.
Bi-directional synchronization of customers
Smart-map customers by phone and email.
Use country-specific templates when creating customers, which helps ensure that tax settings are
correct.
Import of orders from Shopify
During the import, you can automatically create customers in Business Central or decide to manage
the customers in Shopify.
Include orders created in other channels, such as Shopify POS or Amazon.
Shipping costs, gift cards, tips, shipping and payment methods, transactions, and risk of fraud.
Receive payout information from Shopify Payments.
Easy tracking of fulfillment information
Optionally choose to write item tracking information from Business Central into Shopify.
To use Shopify with Business Central, you have a couple of things to do first. This article serves as a guide to
complete the integration of your Shopify store with Business Central.
Prerequisites for Shopify

You must have:
A Shopify account
A Shopify online store
To create a new Shopify account or sign-up for a free 14-day trial, navigate to Shopify. For more information on
how to create and personalize your online store, see Shopify Help Center.
Other sales channels are supported, for example, Shopify POS.
Recommended settings
Deactivate Automatically archive the order in the Order Processing section of the Checkout settings
in your Shopify admin .
To know more about Shopify settings for demo and trial scenarios, see Test and training scenarios.
Prerequisites for Business Central

Make sure that the Shopify Connector app is installed.
The app is pre-installed for all new sign-ups and trials. Learn more about installing apps from the Market place
at Installing and Uninstalling Extensions. Follow the steps listed below if you don't have Business Central.
Installing the Dynamics 365 Business Central app to your Shopify

online store
For existing Business Central, this step is optional and can be skipped.
1. Locate the Dynamics 365 Business Central app on the Shopify AppStore
2. Choose the Add App button. Sign-in into your Shopify account if prompted. Select the required online shop
if you've more than one.
3. After reviewing privacy and permissions, choose the Install App button. You can find and open the installed
Dynamics 365 Business Central app in the Apps section on the sidebar of Shopify admin .
4. Choose Sign up now to start Business Central trial or Sign in if you already have Business Central. You'll be
redirected to your Business Central at Business Central.
5. The next steps should be done in Business Central.
Connecting Business Central to the Shopify online store

1. Go to search icon, enter Shopify Shop and choose the related link.
3. In the Code field, enter the desired code.
4. In Shopify URL field, type URL of your online shop, which needs to be connected. Use the following format:
https://{shop}.myshopify.com/ .
5. Activate Enabled toggle, review and accept the terms and conditions.
6. If prompted, sign-in into your Shopify account, review privacy and permissions, and then choose the Install
App button.
Repeat steps 2-6 for all online shops that you want to connect.
Next steps
Now your online shop is connected to Business Central. In the next steps, you'll define how and what to
synchronize.
Synchronize Items
Synchronize Customers
Synchronize Orders
See Also
Test and training scenarios.
Synchronize Items and Inventory
The Items in Business Central are equivalent to the products in Shopify, which includes physical goods, digital
downloads, services, and gift cards that you sell. There are two main reasons to synchronize the items:
1. Primarily, the data management is performed in Business Central, you need to export all or some data to
Shopify and make it visible. You can export item name, description, image, prices, availability, variants, vendor
details, and barcode. Once imported, the items can become immediately visible or they can be reviewed and
enhanced by a responsible person first.
2. When an order from Shopify is imported, the information about items is essential for further processing of
document in Business Central.
These two scenarios are always enabled.
A third scenario is to manage data in Shopify but import those items in bulk to Business Central. This scenario
can be useful for data migration events, when you want to connect an existing online shop with a new Business
Central environment.
To define item synchronizations

1. Choose the search icon, enter Shopify Shop . Open a shop for which you want to configure item
synchronization.
2. From the Sync item field, select the required option.
The following table outlines the difference among the options.
Blank Products are imported together with import of orders.

Products are exported to Shopify if a user runs the Add
Item action from the Shopify Products page. This process
is the default behavior.
To Shopify Select this option if, after initial sync triggered by Add Item
action, you plan to update products manually using Sync
Product action or via job queue for recurring updates.
Remember to enable Can Update Shopify Product field.
If not enabled, it's equal to Blank option. For more
information, see Export items to Shopify
From Shopify Choose this option, if you plan to import products from
Shopify in bulk; either manually using Sync Product action
or via job queue for recurring updates. If no option is
selected, it equals to Blank option. For more details about
import of items, see Import items from Shopify
Import items from Shopify

Either you import items from Shopify in bulk or together with import of orders, these items are added to the
Shopify Product and Shopify Variant tables first. The following settings let you manage the process:
Auto create unknown items When shopify products and variants are imported to
Business Central, the Business Central function always tries
to find matching record in the item list first. SKU Mapping
impacts how the matching is performed and creates new
item and/or item variant. Enable this option if you want to
create a new item or when a matching record doesn't exist.
The new item will be created using imported data and Item
Template Code . If this option isn't enabled, you'll need to
create an item manually and use Map Product action from
Shopify Products page.
Item Template Code Used together with Auto create unknown items .
Choose the template to be used for automatically created
items.
SKU Mapping Choose how you want to use SKU value imported from
Shopify during item/variant mapping and creation. For more
information, see How SKU and Barcode defined in Shopify
product affects mapping and creation of items and variants
SKU Field Separator Used together with SKU Mapping set to Item. No +
Variant Code option.
Define a separator that should be used to split SKU.
For example, if in Shopify you create the variant with SKU
'1000/001', type '/' in the SKU Field Separator field to get
the item number in Business Central as '1000' and the item
variant code as '001'.
Variant Prefix Used together with SKU Mapping set to Variant Code or
Item. No + Variant Code options as a fallback strategy
when the SKU coming from Shopify is empty.
If you want to create the item variant in Business Central
automatically, you'll need to enter a value in Code . By
default, the value defined in the SKU field imported from
Shopify is used. However, if the SKU is empty, it will generate
code starting with defined variant prefix and "001".
Shopify Can Update Item Choose this option if you want to update items and/or
variants automatically.
How SKUs and barcodes defined in Shopify product affects mapping and creation of items and variants in
Business Central
When products are imported from Shopify to Shopify Products and Shopify Variants tables, Business
Central tries to find existing records. The following table outlines the difference among the options in the SKU
Mapping field.
O P T IO N EF F EC T O N M A P P IN G EF F EC T O N C REAT IO N
Blank The SKU field isn't used in item No effect on creation of the item.
mapping routine. Prevents creation of variants. It's useful
when in sales order, only main item is
used. A variant can still be mapped
manually from Shopify Product
window.
O P T IO N EF F EC T O N M A P P IN G EF F EC T O N C REAT IO N
Item No. Choose, if the SKU field contains the No effect on creation of item without
item no. variants. For an item with variants,
each variant is created as a separate
item.
For example, if Shopify has a product
with two variants and their SKUs are
'1000' and '2000', in Business Central
system will create two items with
numbers '1000' and '2000'.
Variant Code The SKU field isn't used in the item No effect on creation of the item.
mapping routine. When an item variant is created, the
value of SKU field is used as a Code. If
the SKU is empty, a code is generated
using the Variant Prefix field.
Item No. + Variant Code Select if the SKU field contains an item When an item is created, the first part
no. and the item variant code of the value of the SKU field is used as
separated by value defined in the SKU No. . If the SKU is empty, an item no. is
Field Separator field. generated using number series defined
in the Item Template Code or Item
Nos. from the Inventor y Setup
window.
When an item is created, the variant
function uses the second part of value
of the SKU field as Code . If the SKU is
empty, a code is generated using the
Variant Prefix field.
Vendor Item No. Choose if the SKU field contains the If a corresponding vendor exists in
vendor item no. In this case, the Item Business Central, the SKU value will be
Vendor No. isn't used in the Item used as Vendor Item No. in the
card window, but Vendor Item No. Item Card and as Item Reference of
from the Item Vendor Catalog . If type Vendor.
the found Item Vendor Catalog record Prevents creation of variants. It's useful
contains a variant code, this variant when you want to use main item only
code is used to map the Shopify in the sales order. You'll still be able to
variant. map a variant manually from Shopify
Product window.
Barcode Choose if the SKU field contains a No effect on creation of the item.
barcode. A search is performed among Prevents creation of variants. It can be
Item References of type Vendor. If useful if only main item is used in the
the found Item Reference record sales order. A variant can still be
contains a variant code, this variant mapped manually from Shopify
code will be used to map the Shopify Product window.
variant.
The following table outlines the effect of Barcode field.
EF F EC T O N M A P P IN G EF F EC T O N C REAT IO N
A search is performed among Item References of the type Barcode is saved as Item Reference for item and item
barcode for the value defined in the Barcode field in Shopify. variant.
If the found item reference record contains a variant code,
this variant code will be used to map the Shopify variant.
NOTE
You can trigger mapping for the selected product/variants or all imported unmapped products by choosing Tr y Find
Product Mapping (for selected) or Tr y Find Mappings (for all).
Export items to Shopify

Choose the elements from your item list, which will be exported to Shopify. Use the Add Item action from the
Shopify Products window to add items to the Shopify products list.
The following settings let you manage the process of exporting items:
Customer Price Group Determine the price for an item in Shopify. The sales price of
this customer price group is taken. If no group is entered,
the price of the item card is used.
Customer Discount Group Determine the discount to be used for calculating the price
of an item in Shopify. Discounted prices are stored in the
Price field and full price is stored in the Compare at Price
field.
Sync Item Extended Text Select to sync the extended text of the item. As it will be
added to Description, it can contain HTML code.
Sync Item Attributes Select to sync the item attributes. Attributes are formatted
as a table and included in Description field on Shopify.
Language Code If selected, the translated versions are used for title,
attributes, and extended text.
SKU Mapping Choose how you like to populate the SKU field in Shopify.
Supported options are:
- Item No. to use item no. for both products and variants.
- Item No.+ Variant Code to create a SKU by
concatenating values of two fields. For items without
variants, the item no. is used only.
- Item Vendor No. to use item vendor number defined in
the Item Card for both products and variants.
- Barcode - uses Item Reference of barcode type. This
option respects variants.
SKU Field Separator Define a separator for Item. No + Variant Code option.
Inventor y Tracked Choose how the system should populate the Track
Inventor y field for products exported to Shopify. You can
update availability information from Business Central for
products in Shopify whose track inventory is enabled. For
more information, see Inventory.
Default Inventor y Policy Choose Deny to prevent negative stock of the Shopify side.
Can Update Shopify Products Define if Business Central can only create items or can
update items as well. Select this option, if you, after the initial
sync triggered by the Add Item action, plan to update
products manually using Sync Product action or via job
queue for recurring updates. Remember to select To
Shopify in the Item Sync field.
Fields mapping overview

SO URC E W H EN EXP O RT ED F RO M TA RGET W H EN IM P O RT ED TO
SH O P IF Y B USIN ESS C EN T RA L B USIN ESS C EN T RA L
Status According to the Status for Created Not used.

Products in the Shopify Shop Card .
For more information, see Ad-hock
updates of Shopify Products.
Title Description . If the language code is Description

defined and corresponding item
translation exists, item translation will
be used instead of description.
Description Combines extended texts and Not used.

attributes if corresponding toggles in
the Shopify shop card are enabled.
Respects language code.
SEO page title Fix value: empty, see Ad-hock updates Not used.
of Shopify Products.
SEO meta description Fix value: empty, see Ad-hock updates Not used.
of Shopify Products.
Media Image , for more information, see Sync Image

Item Images
Price The calculation of the end-customer Not used.

price includes the item price group,
item discount group, currency code,
and customer template code.
Compare at price The calculation of price without Not used.

discount includes the item price group,
item discount group, currency code,
and customer template code.
Cost per item Unit Cost Unit Cost
SKU See SKU Mapping in the Export See How SKU and Barcode defined in
items to Shopify Shopify product affect mapping and
creation of items and variants
Barcode Item References of barcode type Item References of barcode type

SO URC E W H EN EXP O RT ED F RO M TA RGET W H EN IM P O RT ED TO
SH O P IF Y B USIN ESS C EN T RA L B USIN ESS C EN T RA L
Track quantity According to the Inventor y Tracked Not used.

in the Shopify Shop Card . For more
information, see Inventory.
Continue selling when out of stock According to the Default Inventor y Not used.
Policy in the Shopify Shop Card .
Not imported.
Type Description of Item Categor y Item Categor y Code . Mapping by

Code . If type isn't specified on Shopify, description.
it will be added as a custom type.
Vendor Name of vendor from Vendor No. Vendor No. Mapping by name.
Weight Gross Weight . Not used.
Taxable Fixed value: Enabled. Not used.
Tax Codes Tax Group Code . Only relevant for Not used.
sales taxes. For more information, see
taxes.
Tags
Review the imported tags in the Tags FactBox in the Shopify Product page. To edit tags, choose the Tags
action in the Shopify Product page. If the To Shopify option is selected in the Sync Item field, assigned tags
are exported to Shopify at next synchronization.
Run item synchronization

Full or partial synchronization of items can be performed in many different ways.
Initial sync of items from Business Central to Shopify
1. Go to the search icon, enter Shopify Products and choose the related link.
2. Choose the Add Items action.
3. In the Shop Code field, enter the code. If you open the Shopify Product window from the Shop Card
window, the Shop Code will be populated automatically.
4. Define filters on items as required. For example, you can filter by item no. or item category code.
5. Choose OK .
The resulting items are automatically created in Shopify with prices but images and inventory levels aren't
included. The operation might take some time if a large number of items is added.
Sync products from Shopify to Business Central
1. Go to the search icon, enter Shopify Shop and choose the related link.
2. Select the Shop for which you want to synchronize items to open Shopify Shop Card page.
3. Choose the Sync Products action.
Alternatively, use the Sync Products action on the Shopify Products window or search for Sync Products
batch job.
You can schedule the task to be performed in an automated manner. For more information, see Schedule
recurring tasks.
Ad-hock updates of Shopify Products
When the records are updated in the Shopify Product table, the following changes are synchronized with
Shopify.
Update:
Status - you can choose between active, archived, or draft.
SEO Title
SEO Description
Deletion:
Based on the value in Action for Removed Products in Shopify Shop Card , the product gets updated in
Shopify when record is deleted from the Shopify Products page.
Blank - nothing will happen. If necessary, the user needs to perform the required action from Shopify Admin.
Status to Draft - status of product in Shopify is set to Draft.
Status to Archived - product is archived in Shopify.
Sync item images

Synchronization of images can be configured for synchronized items. You can choose from following options:
Blank - image synchronization is deactivated.
To Shopify - pictures of items are exported to Shopify
From Shopify - images from Shopify are imported to Business Central
Image synchronization can be initialized in two ways.
Sync product images from the Shopify shop window
1. Go to the search icon, enter Shopify Shops and choose the related link.
2. Select the Shop for which you want to synchronize images to open Shopify Shop Card page.
3. Choose the Sync Product Images action.
Sync product images from the Shopify products window
2. Choose the Sync Product Images action.
Image synchronization remarks
When exporting images from Business Central to Shopify, the new images are added to Shopify, keeping old
images intact. If an image is updated in Business Central, you'll need to delete old images in Shopify Admin.
Images that are exported to Shopify and don't comply with requirements defined by Shopify, won't be
imported. For more information, see Product Media Types on help.shopify.com
Sync prices with Shopify

Prices can be exported for synchronized items in the ways described below.
Sync prices from the Shopify products window
2. Choose the Sync Prices to Shopify action.
Price calculation remarks
For price calculation, it's important to have a value in the Default Customer Template field. Business
Central uses the value of the VAT Business Group field to calculate the price including VAT. You might want
to create a customer price group where you select the Price including VAT field and specify the relevant
value in the VAT Bus. Posting Gr. (Price) field.
Enter a Currency Code if your online shop uses different currency than LCY. The specified currency must
have exchange rates configured. If your online shop uses same currency as Business Central, leave the field
empty.
When determining a price, Business Central uses "Lowest price" logic. It means that if unit price defined in the
item card is lower than what is defined in the price group, the unit price from the item card is used.
Sync inventory to Shopify

Inventory synchronization can be configured for already synchronized items. There are two conditions that must
be met:
1. Inventory tracking must be enabled for a product in Shopify. If items are exported to Shopify, consider
enabling Inventor y Tracked toggle in the Shopify Shop card. For more information, see Export items to
Shopify.
2. Inventory synch must be enabled for Shopify Locations .
To enable inventory sync
1. Go to the search icon, enter Shopify Shop and choose the related link.
2. Select the Shop for which you want to synchronize inventory to open Shopify Shop Card page.
3. Choose the Locations action to open Shopify Shop Locations .
4. Choose the Get Shopify Locations action to import all the locations defined in the Shopify. You can find
them in the Locations settings in your Shopify admin .
5. In the Location Filter field, add locations, if you want to include inventory from specific locations only. For
example, you can enter EAST|WEST, so that inventory only from these two locations is available for sales via
online shop.
6. Deselect the Disabled toggle to enable inventory sync for selected Shopify locations.
You can initialize inventory synchronization in two ways.
Sync inventory from the Shopify shop window
1. Go to the search icon, enter Shopify Shops and choose the related link.
2. Select the Shop for which you want to synchronize inventory to open Shopify Shop Card page.
3. Choose the Sync inventor y action.
Sync inventory from the Shopify products window
2. Choose the Sync inventor y action.
Inventory remarks
The connector calculates the Projected Available Balance and export it to Shopify.
You can inspect the stock information received from Shopify in the Shopify Inventor y FactBox page. In
this FactBox, you get an overview of the Shopify Stock and the last calculated inventory in Business Central.
There's a record per location.
If the stock information in Shopify is different from Projected Available Balance in Business Central, then
stock will be updated in Shopify.
See Also
Get Started with the Connector for Shopify
Synchronize Customers
When an order is imported from Shopify, the information about the customer is essential for further processing
the document in Business Central. There are two main options and their combinations:
Use a special customer for all orders.
Import the actual customer information from Shopify. This option is also available when you export
customers to Shopify from Business Central first.
How the connector chooses which customer to use

The Import order from Shopify function tries to select the customer in the following order:
1. If the Default Customer No. field is defined in the Shopify Customer Template for the corresponding
country, then the Default Customer No. is used, regardless of the settings in the Customer Impor t From
Shopify and Customer Mapping Type fields. For more information, see Customer Template per Country.
2. If the Customer Impor t From Shopify is set to None and the Default Customer No. is defined in the
Shopify Shop Card , then the Default Customer No. is used.
The next steps depend on the Customer Mapping Type .
Always take the default customer , then the connector uses the customer defined in the Default
Customer No. field in the Shopify Shop Card page.
By EMail/Phone , the connector tries to find the existing customer by ID first, then by email, and then by
phone. If the customer isn't found - the connector creates a new customer.
By Bill-to Info , the connector tries to find the existing customer by ID first and then by the bill-to address
information. If not found - the connector creates a new customer.
NOTE
The connector uses information from the bill-to address and creates the bill-to customer in Business Central. Sell-to
customer is equal to bill-to customer.
Important settings when importing customers from Shopify

Either you import customers from Shopify in bulk or together with the import of orders, the following settings
let you manage the process:
Customer Impor t from Shopify Select All Customers if you plan to import customers from
Shopify in bulk; either manually using the Sync Customers
action or via the job queue for recurring updates. Regardless
of the selection, the customer information will always be
imported together with the order. However, the use of this
information depends on the Shopify Customer
Templates and settings in the Customer Mapping Type
field.
Customer Mapping Type Define how you want the connector to perform the
mapping.
- By Email/Phone if you want the connector to map the
imported Shopify customer to an existing customer in
Business Central using email and phone.
- By Bill-to Info if you want the connector to map the
imported Shopify customer to an existing customer in
Business Central using the address information of the party
that receives the invoice.
Select Always Take the Default Customer if you want
the system to use a customer from the Default Customer
No. field.
Shopify Can Update Customers Select if you want the connector to update customers that
are found, when By Email/Phone or By Bill-to Info
options are selected in the Customer Mapping Type field.
Auto Create Unknown Customers Select if you want the connector to create missing
customers, when the By Email/Phone or By Bill-to Info
options are selected in the Customer Mapping Type field.
A new customer will be created using imported data and the
Customer Template Code defined on the Shopify Shop
Card or Shopify Customer Template pages. Notice that
the Shopify customer must have at least one address. If this
option isn't enabled, you'll need to create a Customer
manually and link it to the Shopify customer. You can always
initiate creation of a customer manually from the Shopify
Order page.
Customer Template Code Used together with Auto Create Unknown Customers .
Choose the default template to be used for automatically
created customers. Make sure that the selected template
contains the mandatory fields, such as the Gen. Business
Posting Group , Customer Posting Group , VAT or Tax
related fields.
You can define templates per country/region in the Shopify
Customer Templates page, which is useful for proper tax
calculation. For more information, see Tax Remarks.
Customer template per country

Some settings can be defined at the country/regional level, or at a state/province level. The settings can be
configured in Shipping and Delivery at Shopify.
The Shopify Customer Template lets you do following for each country:
1. Specify the Default Customer No., which takes priority over the selection in the Customer Impor t from
Shopify and Customer Mapping Type fields. It's used in the imported sales order.
2. Define the Customer Template Code , which is used to create missing customers if Auto Create
Unknown Customers is enabled. If the Customer Template Code is empty, then the function uses the
Customer Template Code defined on the Shopify Shop Card .
3. In some cases, Customer Template Code defined for country isn't enough to ensure right calculation of
taxes. For example, for countries with sales tax. In this case, the Tax Areas could be a useful addition.
NOTE
The country codes are ISO 3166-1 alpha-2 country codes. For more information, see Country Code.
Export customers to Shopify
Existing customers can be exported to Shopify in bulk. As a result, a customer and one default address are
created. You can manage the process with the help of following settings:
Expor t customers to Shopify Select if you plan to export all customers with a valid e-mail
address from Business Central to Shopify in bulk; either
manually, using the Sync Customers action, or via a job
queue for recurring updates.
Can update Shopify Customers Used together with the Expor t customer to Shopify
setting. Enable it if you want to generate updates later from
Business Central for customers that already exist in Shopify.
NOTE
Once you have created the customers in Shopify, you might like to send direct invitations to customers. It will encourage
them to activate their account.
Populate customer information in Shopify

A customer in Shopify has a first name, last name, email, and/or phone number. You can populate the first name
and last name from the customer card in Business Central.
P RIO RIT Y F IEL D IN C USTO M ER C A RD DESC RIP T IO N
1 Contact Name Highest priority, if the Contact Name

field is filled and the Contact Source
field in the Shopify Shop Card
contains First Name and Last Name or
Last Name and First Name options,
defining how to split the values.
2 Name 2 If the Name 2 field is filled and the

Name 2 Source field in the Shopify
Shop Card contains First Name and
Last Name or Last Name and First
Name options, defining how to split
the values.
3 Name Lowest priority, if the Name field is

filled and the Name Source field in
the Shopify Shop Card contains First
Name and Last Name or Last Name
and First Name options, defining how
to split the values.
A customer in Shopify also has a default address, which in addition to the first name, last name, email and/or
phone may contain company and address. You can populate the Company field based on data from Customer
Card in Business Central.

1 Name Highest priority, if the Name Source

contains Company Name.
2 Name 2 Lowest priority, if the Name 2 Source

contains Company Name.
For addresses where the country/province is used, select Code or Name in the Countr y Source field in the
Shopify Shop Card to specify what type of data is stored in Business Central in the Countr y field.
Sync customers
1. Choose the icon, enter Shopify Shop , and then choose the related link.
2. Select the Shop for which you want to synchronize customers to open the Shopify Shop Card page.
3. Choose the Sync Customers action.
Alternatively, you can use the Star t Customer Sync action on the Shopify Customers window or search for
the Sync Customers batch job.
recurring tasks.
See also
Synchronize and Fulfill Sales Orders
This article describes the necessary settings and steps that you must perform to synchronize and fulfill sales
orders from Shopify in Business Central.
Set the import of orders on the Shopify Shop Card

A regular Shopify order can have extra amounts on top, such as shipping charges or, if enabled, tips. These
amounts will be posted directly to the G/L accounts. Choose the G/L account that should be used for specific
transactions:
Shipping Cost Account
Sold Gift Card Account , for more information, see Gift Card.
Tip account
Enable Auto Create Orders to automatically create sales documents in Business Central once the Shopify
order is imported. The sales document in Business Central contains a link to the Shopify order. If you select the
Shopify Order No. on Doc. Line field, then this information will be repeated in the sales lines of type
Comment.
In the Tax area source field, you can define priority on how to select tax area code or VAT business posting
group based on address. This step is relevant for countries with sales tax, but can be used for VAT countries. For
more information, see Tax remarks.
Shipment method mapping
The Shipment method code for sales documents imported from Shopify can be filled in automatically. You
need to configure the Shipment Method Mapping .
1. Choose the icon, enter Shopify Shops , and then choose the related link.
2. Select the Shop for which you want to define mapping to open the Shopify Shop Card page.
3. Choose the Shipment Method Mapping action. The records for shipping methods defined in the
Shipping settings in your Shopify admin gets created automatically.
4. In the Name field, you can see the name of the shipping method from Shopify.
5. Enter the Shipment Method Code with the corresponding shipping method in Business Central.
NOTE
If multiple shipping charges are associated with a sales order; only one will be selected as the Shipping Method and
assigned to the sales document.
Payment method mapping

To fill in the Payment method code for sales documents imported from Shopify automatically, you need to
configure the Payment method mapping .
2. Select the Shop for which you want to define mapping to open the Shopify Shop Card page.
3. Choose the Payment Method Mapping action.
4. In the Gateway and Credit Card Company fields, enter the name of the payment method from Shopify.
The record gets created automatically when you import shopify orders.
5. Enter the Payment Method Code with the corresponding payment method in Business Central.
6. Set the Priority for cases when the customer uses multiple means of payment. The payment method with
the highest priority gets selected in the sales document. If both payment methods have the same priority, the
payment method with the highest amount is used.
Location mapping
To fill in the Location Code for sales documents imported from Shopify automatically, you need to configure
the Shopify Shop Locations .
2. Select the Shop for which you want to configure the mapping of locations to open the Shopify Shop Card
page.
3. Choose the Locations action to open the Shopify Shop Locations .
4. Choose the Get Shopify Locations action to import all the locations defined in Shopify. You can find them
in the Locations settings in your Shopify admin panel. Note that the location marked as Default will be
used when importing unfulfilled Shopify orders.
5. Enter the Default Location Code with the corresponding location in Business Central.
NOTE
You must configure the location mapping if the Location Mandator y toggle is enabled in the Inventor y Setup card,
otherwise you won't be able to create sales documents.
Run the order synchronization

The following procedure describes how to import and update the sales orders.
NOTE
Archived orders in Shopify can't be imported. Deactivate the Automatically archive the order option in the Order
Processing section of the Checkout settings in your Shopify admin panel to make sure that all orders are imported
to Business Central. If you need to import archived orders, use the Unarchive Orders action in the Orders page of the
Shopify Admin panel.
2. Select the Shop for which you want to import orders to open the Shopify Shop Card page.
3. Choose the Orders action.
4. Choose the Sync Orders From Shopify action.
5. Define filters on orders as necessary. For example, you can import fully paid orders or the ones with a low
risk level.
Alternatively, you can search for the Sync Orders From Shopify batch job.
recurring tasks.
Review imported orders

Once the import is completed, you can explore the Shopify order and find all related information. For example,
find the payment transactions, shipping costs, risk level, or fulfillments if the order was already fulfilled in
Shopify. You can also see any order confirmation that has been sent to the customer by choosing the Shopify
Status Page action.
NOTE
You can navigate to the Shopify Orders window directly and you'll see orders with the open status from all shops. To
review completed orders, you need to open the Shopify Orders page from the specific Shopify Shop Card window.
Create sales documents in Business Central

If the Auto Create Orders toggle is enabled on the Shopify Shop Card , Business Central tries to create a
sales document once the order is imported. If the process runs into issues, such as if a customer or product is
missing, you'll need to fix the problem. Then you can try to create the sales order again.
To create sales documents
2. Select the Shop for which you want to synchronize orders to open the Shopify Shop Card page.
3. Choose the Orders action.
4. Select the order for which you want to create a sales document and choose the Create Sales Documents
action.
5. Choose Yes .
If the Shopify order requires fulfillment, a Sales Order will be created. For fulfilled Shopify orders, such as
those orders that contain only a gift card or which are already handled in Shopify, a Sales Invoice gets created.
A sales document is now created and can be managed by using the standard Business Central functionalities.
Manage missing customers
If your settings prevent creating a customer automatically and a proper existing customer can't be found, you'll
assign a customer to Shopify order manually. There are a few options:
You can assign the Sell-to Customer No. directly in the Shopify Order by choosing a customer from the
list of existing customers.
You can select a customer template code, create, and assign the customer via the Create new customer
action in the Shopify Orders page.
You can map an existing customer to the related Shopify Customer in the Shopify Customers window
and then choose the Find Mapping action in the Shopify Orders page.
Tax remarks
While the imported Shopify order contains information about taxes, the taxes get recalculated when you create
the sales document. That recalculation makes it important that the VAT/tax settings are correct in Business
Central.
Multiple product tax/VAT rates. For example, some product categories are liable for reduced tax rates.
Those items must exist in Business Central and be mapped to Shopify products. Otherwise, with
automatic creation of missing items, the VAT product posting group will be used.
Address-dependent tax rates. Use the Tax area priority field together with Customer Templates table
to overwrite standard logic that fills in the Tax Area Code in the sales document. The Tax area priority
field specifies the priority from where the function should take the information about the country/region
and state/province. Then the corresponding record in the Shopify customer templates is found and the
Tax Area Code , Tax Liable , and VAT Bus. Posting Group is used when a sales document is created.
Price including Tax. The Prices including Tax /Prices including VAT field in the created sales document
doesn't depend on the customer, but on the Customer Template from the Shopify Shop Card or
Customer template per country.
Impact of edits of orders
EDIT IM PA C T
In Shopify, change the fulfillment location Original location will be synched to Business Central.
In Shopify, edit an order and change quantity Order header and supplementary tables will be updated in
Business Central, lines won't.
In Shopify, edit an order and add new item Order header will be updated, lines won't.
In Business Central, change the location to another location, After synchronizing the fulfillment, location will be updated
mapped to the Shopify Locations. Post shipment. in Shopify.
In Business Central, change the location to another location, The fulfillment won't be synchronized to Shopify.
not mapped to the Shopify Locations. Post shipment.
In Business Central, change decrease quantity. Post The Shopify order will be marked as partially fulfilled.
shipment.
In Business Central, add a new item. Post shipment. The Shopify order will be marked as fulfilled. Lines won't be
updated.
Synchronize shipments to Shopify

When a sales order that is created from a Shopify order is shipped, you can synchronize the shipments to
Shopify.
1. Choose the icon, enter Sync Shipments to Shopify , and then choose the related link.
2. Define the filters on shipments as necessary. For example, you can update a shipment posted at a specific
date.
The order in Shopify will be marked as fulfilled. The customer automatically receives a shipment notice email or
text message (SMS). If a Shipping agent and a Tracking code are specified on the shipment, the tracking
information is included in the email.
NOTE
Remember to run Synchronize Orders from Shopify to update the fulfillment status of order in Business Central. The
connector functionality also archives completely paid and fulfilled orders in both Shopify and in Business Central provided
the conditions are met.
Shipping agents and tracking URL

If the Posted Sales Shipment document contains the Shipping Agent Code and/or Package Tracking No.,
this information will be sent to Shopify and to the end-customer in the shipping confirmation email.
The tracking company is populated based on the Shipping Agent record with the following priorities (from
highest to lowest):
Shopify Tracking Company
Name
Code
If the Package Tracking URL field is filled in for the Shipping agent record, then the shipping confirmation will
contain a tracking URL as well.
Gift cards
In the Shopify shop you can sell gift cards, which can be later used to pay for real products.
When dealing with gift cards, it's important to enter a value in the Sold Gift Card Account field in the
Shopify Shop Card window. The sold gift card will be synchronized together with orders in line. An applied
gift card will also be imported with the order, but now as a transaction. Notice that the gift card doesn't reduce
the amount to invoice.
To review the issued and applied gift cards, choose the icon, enter Gift Cards , and then choose the related
link.
Transactions
The payment transactions that took place at Shopify are synchronized together with the orders and can be
viewed from the Shopify Orders page.
To review all transactions, choose the icon, enter Transactions , and select the related link.
Payouts
If your store has Shopify payments enabled, you'll receive payments through Shopify Payouts when a customer
pays using Shopify payments and accelerated checkouts.
2. Select the Shop for which you want to synchronize payouts to open the Shopify Shop Card page.
3. Choose the Sync Payouts action.
To review all payouts, choose the icon, enter Payouts , and select the related link.
See also
Run Tasks in the Background
It's efficient to run some tasks simultaneously and in an automated manner. You can perform such tasks in the
background and can also set a schedule when you want those tasks to run automatically. To run tasks in the
background, two modes are supported:
Manually triggered tasks are scheduled immediately via Job Queue Entries
Recurring tasks are scheduled in Job Queue Entries
Run tasks in the background for a specific shop

1. Go to the search icon, enter the name of Shopify Shop , and choose the shop name from the list.
2. Select the Shop for which you want to synchronize items to open Shopify Shop Card page.
3. Enable Allow Background Syncs toggle.
Now, when the sync action is triggered, instead of a task running in the foreground, it will ask you to wait. When
it's completed, you can proceed to the next action. The task is created as Job Queue Entr y and starts instantly
in a non-blocking manner.
To schedule recurring tasks

You can schedule the following recurring activities to be performed in an automated manner. For more
information about scheduling tasks, see Job Queue.
TA SK O B JEC T
Sync orders from Shopify Report 30104 Sync orders from Shopify
Process Shopify orders Report 30103 Shopify create sales orders
Sync shipments to Shopify Report 30109 Sync shipment to Shopify
Sync products and/or prices Report 30108 Shopify sync products
Sync inventor y Report 30102 Sync stock to Shopify
Sync images Report 30107 Shopify sync images
Sync customers Report 30100 Shopify sync customers
Sync payments Report 30105 Shopify sync payments
See Also
Troubleshooting the Shopify and Business Central
Synchronization
It's possible to run into situations where you need to troubleshoot issues when synchronizing data between
Shopify and Business Central. This page defines steps to troubleshoot some common scenarios that may arise.
Logs
If a synchronization task fails, you can activate logging by enabling the Log Enable toggle in the Shopify Shop
Card . Manually trigger the synchronization task and review logs.
1. Choose the icon, enter Shopify Log Entries , and then choose the related link.
2. Select the related log entry and open the Shopify Log Entr y window.
3. Review the request, status code and description, and response.
Remember to switch off logging later to avoid negative performance impacts and increases in database size.
From the Shopify Log Entries window, you can trigger the deletion of all log entries or ones that are older
than seven days.
Data capture
Regardless of the Log Activated settings, some responses from Shopify always get logged that you can inspect
or download using the Data Capture List window.
Choose the Retrieved Shopify Data action in one of following pages:
Shopify order
Shopify order fulfillments
Shopify order shipping costs
Shopify order transactions
Shopify payouts
Shopify payment transactions
Shopify transactions
Reset sync
For optimal performance, the connector imports only customers, products, and orders created or changed since
last synchronization. On the Shopify Shop card , there are functions available to change the date/time of the
last synchronization or completely reset it. This function ensures that when the sync is run, all data is synced and
not just the changes since the last sync.
This function only applies to syncs from Shopify to Business Central and can be useful if you need to restore
deleted data such as products, customers, or deleted orders.
Request the access token

If Business Central can't connect to your Shopify account, try to request the access token from Shopify. This
request might be needed if there is a rotation of security keys or changes in required permissions (scopes).
2. Select the shop for which you want to get the access token to open the Shopify Shop Card page.
3. Choose the Request Access action.
4. If prompted, sign in to your Shopify account.
The Has AccessKey toggle will be activated.
Verify and enable permissions to make Http requests when running in a non-production environment
In order to work correctly, the Shopify Connector extension requires permission to make Http requests. When
testing in Sandboxes, the Http requests are prohibited for all extensions.
1. Choose the icon, enter Extension Management , and then choose the related link.
2. Select the Shopify Connector extension.
3. Choose the Configure action to open the Extension Setting page.
4. Make sure that the Allow HTTPClient Requests toggle is enabled.
Rotate the Shopify Access key

The following procedures describe how to to rotate the access token used by the Shopify Connector to access
your Shopify online shop.
In Shopify
1. From your Shopify admin , go to Apps.
2. In the row with the Dynamics 365 Business Central* app, select Delete .
3. In the message that appears, select Delete .
In Business Central
2. Select the shop for which you want to rotate the access token to open the Shopify Shop Card page.
3. Choose the Request Access action.
4. If prompted, sign-in into your Shopify account, review privacy and permissions, and then choose the Install
App button.
See also
FAQ for Technical Details
This article contains a list of frequently asked questions for the Shopify connector.
What is Shopify?
Shopify is a subscription-based software that allows anyone to set up an online store and sell their products. The
Shopify platform offers online retailers a suite of services including payments, marketing, shipping, and
customer engagement tools.
What is the Microsoft Dynamics 365 Business Central Shopify

connector?
The Shopify connector gives customers the ability to connect their Shopify store (or stores) with Business
Central to maximize business productivity. By using the Shopify connector, they can manage and view insights
from their business and their Shopify online store as one unit.
Why did Microsoft and Shopify form this partnership?

Dynamics 365 Business Central is teaming up with Shopify to help our customers create a better shopping
experience. While Shopify provides merchants with an easy-to-use commerce solution, Business Central offers
comprehensive business management across finance, sales, service, and operations teams within a single
application. Seamless connection between the two systems will synchronize orders, stock, and customer
information to ensure merchants can fulfill orders faster and better serve customers.
Availability
This feature is available only for Business Central online, starting with version 20.1. It isn't available for on-
premises deployments. The app with the connector is pre-installed for new envirnments. Organizations with
existing environments can download and install the app from AppSource. The organization must have both a
Business Central license and a Shopify license to use the connector. For more information about supported
countries, languages, and editions of Business Central, see Shopify Connector on the AppSource.
Support
The Shopify connector is covered by the current support model. For more information, see Technical Support (in
English only).
To get help with Shopify, start with General Shopify Help Center or 24/7 Support for your store as a Shopify
merchant.
Extensibility
Currently, this app is non-extensible. We expect to make it extensible at a time in the future that isn't currently
determined.
Contribution
This extension is open for contribution by the community. You can find the source code in the Microsoft AL
application add-ons repository.
See Also
Manage Work across Multiple Companies in the
Company Hub
Some people work in multiple companies in Business Central, and some also work in more than one
organization, such as external accountants, or employees and managers of corporations with multiple
subsidiaries. For these users, and many others, the company hub serves as a landing page for managing work
across the various environments that they work in, across companies, environments, and regions.
You can access the company hub by switching to the Company Hub role in My Settings, or by opening the
Company Hub page directly. You can do the same work in both places, but actions are placed slightly different
in menus.
NOTE
You can connect the company hub to as many companies as you need. However, you can only connect the company hub
to companies that are hosted in Business Central online.
Company hub home page

If you use the Company Hub role, your home page shows a list of companies that you have access to,
including information about key point of interest (KPI) data, and links to open each company. Choose the
Company Hub action to open the company hub, where you can work more closely with each company.
TIP
To access a specific company in Business Central, choose the name of the company, or choose the Go To Company
menu item - you are logged in automatically in a new browser tab.
You can add new companies, such as when you get a new client, or when your corporation adds a new
subsidiary. For more information, see Add Companies to Your Company Hub.
TIP
In order to refresh the data in the company hub, you must have access to the data in the companies that the data comes
from.
Assigned tasks
In Business Central, you can assign tasks to yourself and others, and others can assign tasks to you. The
company hub gives you an overview of assigned tasks for each company, and you can also access a list of all
assigned tasks by choosing My User Tasks on the Home page.
My user tasks
The My User Tasks list helps you prioritize your day by showing more information about tasks assigned to you
across all your companies.
You can sort by due date, for example, or any other type of data that helps you prioritize your day. By default, the
list shows all tasks that are assigned to you, but you can set up filters to only show tasks that are marked as high
priority, for example.
To pick up a task, simply choose it from the list of pending user tasks. In the ribbon, the link Go to Task Item
opens the page where you can do the work.
When you have completed a task, simply mark it as completed.
For more information about companies and environments, see Environment links.
Access the company hub
In order to access the company hub, you must have access through either the D365 COMPANY HUB user group
or through the D365 COMPANY HUB permission set. You must also have access to the companies that are listed
in your company hub, which means that you must be a user in those companies. For more information, see
Create Users According to Licenses.
IMPORTANT
The company hub is a company-wide list, so any user who is granted access to the company hub will be able to see all
companies in their own Business Central tenant, and all KPIs for the companies that they have access to.
If you cannot find the company hub, and you know that you have been granted access to it, then check with your
administrator if the company hub is listed in the Extension Management page. For more information, see
Customizing Business Central Using Extensions.
Set up the company hub

To start using the company hub, you must add one or more companies to your dashboard. For more
information, see Add Companies to Your Company Hub.
But to add a company, you must have been given access to one or more instances of Business Central in
addition to the company that you use the company hub in.
For example, if you are an accountant, your clients can invite you to their Business Central. For more
information, see Inviting Your External Accountant to Your Business Central.
Administrators can use the same assisted setup guide to add you to their Business Central, or they can add you
to the relevant Azure AD account in the Microsoft 365 admin center. For more information, see Manage users
and groups.
See also
Add companies to your company hub
The Company Hub for Business Central Extension
Add Companies to Your Company Hub
With the company hub, you can access your work from across multiple companies from multiple Business
Central environments. You can add a environments and companies manually, if your companies do not show up
automatically in the company hub.
Right in the company hub landing page, you find the Setup menu, from where you can access the
Environment Links page. Simply choose New , and then fill in the fields. Hover over a field to read a short
description.
NOTE
You can connect the company hub to as many companies as you need. However, you can only connect the company hub
to companies that are hosted in Business Central online.
Environment links
An environment link is a card where you specify the Business Central environment that hosts one or more
companies that you do work in. The data in the card for each environment is specified by you, and you can
change it as needed. However, the Environment Link field is critical - this is how you can access each company
in Business Central. Use the Test the connection action in the ribbon to test that you entered the right link. The
link that you must enter points at environment that hosts the company that you are adding, and it must include
the Azure Active Directory (Azure AD) ID, or the organization's domain name. For example, if they have specified
a domain such as MyBusiness.com, then the link to their Business Central is
https://businesscentral.dynamics.com/mybusiness.com?redirectedfromsignup=1 . Otherwise, it will look something
like this:
https://businesscentral.dynamics.com/1a23b456-789c-0123-45de-678910fg12h/production?redirectedfromsignup=1
The link is used when you choose the company in the company hub.
TIP
If you're working in the free trial version of Business Central, it is easy to add the companies in your tenant. You can find
the environment link by copying the Azure Active Directory ID from the Troubleshooting section of the Help & Support
page. The environment name is probably the default value, PRODUCTION. Add this information to the Environment
Link field, such as
https://businesscentral.dynamics.com/1a23b456-789c-0123-45de-678910fg12h/production?
redirectedfromsignup=1
, and then choose Test the connection . The evaluation company will be added to the list.
If you have moved to the thirty-day trial company, My Company, you can add that to the list by choosing the Reload /
Reload all Companies action in the list.
Load companies
When you have added your environments, your companies show up automatically. However, if you know that a
new company has been added to an environment, you can choose the Reload all companies action to refresh
the list. Use the same action to refresh data from across your companies.
TIP
In order to refresh the data in the company hub, you must have access to the data in the companies that the data comes
from.
See also
Troubleshooting Your Company Hub
Adding companies to the company hub dashboard is easy enough, but this article addresses issues that you
may have on the way.
Check errors
Use the Check Errors action to view a list of recent errors. You can see additional details for each error, and you
can clean up the log by deleting older entries.
Connection failed
There can be a couple of reasons why you cannot connect to a company, including the following:
The URL in the Environment Link field is not valid
Go to the Environment Links page, open the environment that you cannot connect to, and then choose
the Test the connection action.
The client's company is currently offline, for example if it being upgraded
In your dashboard, choose the Tools menu item, and then choose Check Errors . This opens a list with
technical details, so you might want to contact your administrator if you're seeing errors. For example, the
error message "The server has rejected the client credentials" suggests that you do not have access.
You do not have access to all companies in the environment that you are trying to connect to
In Business Central, an organization can have multiple business units called companies, and you might
not have access to all companies. Work with your administrator or client to make sure that you have
access to the companies that you have to work in.
Data does not refresh

When you add a company or request a refresh of the data, Business Central fetches the data. But you must
refresh the page yourself, such as choosing the Reload all companies action, refresh the browser page,
navigate away from the dashboard and then back again, or similar.
If you've added a company but it is not displaying in the list, you can also use the Reload all companies action
to update the list.
See also
Add companies to your company hub
Local Functionality in Dynamics 365 Business
Central
Business Central has a combined localization strategy inclusive of both Microsoft-led and partner-led models. In
this section, you can see descriptions of functionality that applies to the countries where Microsoft provides the
regulatory compliance and other local functionality.
For a list of currently supported markets, see Country/Regional Availability and Supported Translations.
Local Functionality
To learn about the local functionality for each country/region, choose the related link:
REGIO N C O UN T RY M O RE IN F O RM AT IO N
Europe
Austria Austria Local Functionality
Belgium Belgium Local Functionality
Czechia Czech Local Functionality
Denmark Denmark Local Functionality
Germany Germany Local Functionality
Finland Finland Local Functionality
France France Local Functionality
Iceland Iceland Local Functionality
Italy Italy Local Functionality
Netherlands Netherlands Local Functionality
Norway Norway Local Functionality
Spain Spain Local Functionality
Sweden Sweden Local Functionality
Switzerland Switzerland Local Functionality
United Kingdom United Kingdom Local Functionality
North America
REGIO N C O UN T RY M O RE IN F O RM AT IO N
Canada Canada Local Functionality
Mexico Mexico Local Functionality
United States United States Local Functionality
Asia Pacific
Australia Australia Local Functionality
India India Local Functionality
New Zealand New Zealand Local Functionality
Other Countries
Business Central is also available in other markets through localization apps. If a Microsoft partner has
developed a localization app for your country/region, you can find it in AppSource.
See Also
Compliance
Country/Regional Availability and Supported Translations
International availability of Microsoft Dynamics 365
Development of a Localization Solution
Australia Local Functionality
The following topics describe local functionality that is unique to the Australian version of Business Central.
Feature Availability
Tax
Tax Available Now
Withholding Tax Available Now
Set Up Withholding Tax Available Now
Set Up Revenue Types for Withholding Tax Available Now
Set Up Vendors Without ABN for Calculating the Withholding Tax Available Now
Calculate and Post Withholding Tax Settlements Available Now
View Withholding Tax Entries Available Now
View Posted Tax Invoices Available Now
View Posted Tax Credit Memos Available Now
Set Up Goods and Service Tax Posting Available Now
Calculate Goods and Services Tax on Prepayments Available Now
Adjust Settlement Exchange Rates for VAT Entries Available Now
Print Goods and Service Tax Settlement Reports Available Now
Banking & Payments
Compare Bank Cash Flow Available Now
Create Check Installments Available Now
Electronic Funds Transfer (EFT) Available Now
Print Bank Account Reconciliation Reports Available Now
Print Deposit Slip Reports Available Now
Core Finance
Set Up Business Units for Business Activity Statements Available Now
Print Balance Sheet Reports Available Now
Print Income Statements Available Now
Calculating Distribution Amounts Available Now
General
Addresses Available Now
Determine Sales Price by Cost Plus Percentage Available Now
Enter Australian Business Numbers Available Now
Payment Times Reporting Available Now
See Also
Country/regional availability and supported languages
Start a free trial!
Tax Overview
For information about tax in Australia, see the following topics:

See Also
Withholding Tax in the Australian Version
Withholding Tax (WHT) is tax withheld by a company when making a payment to a vendor, in which the full
amount owed to that vendor is reduced by the tax withheld. The withheld tax is then remitted to the Australian
Taxation Office (ATO) during the next Business Activity Statement (BAS) submission.
The Australian government requires taxes to be withheld from payment to vendors under the following
circumstances:
The vendor is a local supplier who has not supplied an Australian Business Number (ABN) before the
payment is processed, and the individual transaction amount is greater than the specified threshold
amount.
The vendor is a nonresident supplier, and the payment is to be made to this nonresident entity in the
form of interest, royalty, or dividend payments. Currently, there is no minimum threshold amount.
Withholding rates can vary due to payment or international tax treaties existing between Australia and
the vendor's country.
Fields within WHT Business Posting Groups and WHT Product Posting Groups must be set up on the
WHT Posting Setup page so that the correct WHT calculations are made for each vendor.
WHT Calculation Rule – This field controls how calculation applies to the WHT Minimum Invoice
Amount , or the invoice threshold amount. The following options exist:
Less than
Less than or equal to
Equal to
Greater than
Greater than or equal to
In Australia, WHT is not calculated if the individual invoice amount is less than or equal to the threshold amount.
Australian companies should select Less than or equal to .
WHT Minimum Invoice Amount – Enter the invoice threshold amount.
WHT % – Enter the relevant WHT rate for the particular combination of WHT Business Posting Group
and WHT Product Posting Group . If you do not want to calculate any withholding amount, enter 0.00.
Realized WHT Type – Select Payment to calculate only the withholding amount at the time of payment.
The other options of Invoice and Earliest do not apply to Australia.
Payable WHT Account Code – Enter the number of the G/L account to which you want to post
Purchase WHT for the particular combination of WHT Business Posting Group and WHT Product
Posting Group .
Purch. WHT Adjustment Account No. – Select an account number for Purchase CR/Adj Note
adjustments.
Revenue Types – Drill down to the WHT Revenue Types page. These values determine how the
combination of WHT Business Posting Group and WHT Product Posting Group are displayed in
reports. You must enter a value in order for this combination to appear in the WHT reports.
WHT for Suppliers Without an ABN
Ensure that there is a valid combination of General Business and General Product Posting Groups with the
correct threshold. For example, in Australia today the minimum threshold is $75 with a rate of 46.50%.
The percentage withheld is specified in WHT Posting Setup . The amount to be withheld is calculated
automatically at the time of payment. The WHT certificate is printed automatically, and then sent to the vendor
with payment. The WHT certificate explains the reasons for not sending the full invoiced amount.
WHT for Foreign Suppliers

Ensure that a valid combination of General Business and General Product PostingGroups has been
established for vendors for whom you need to withhold tax, other than for non-ABN.
See Also
Set Up Withholding Tax in the Australian Version
Withholding tax (WHT) is the tax withheld by a company when it makes a payment to a vendor, in which the full
amount owed to the vendor is reduced by the tax withheld. The withheld tax is then remitted to the Australian
Taxation Office (ATO) when the next Business Activity Statement (BAS) is submitted.
If a supplier without an Australian Business Number (ABN) provides an invoice, a withholding tax amount must
be withheld if the total amount of the invoice is more than the threshold amount. To use withholding tax, you
must first enable WHT in the General Ledger Setup page and set up product posting groups and business
posting groups for WHT.
To enable withholding tax

2. On the Local Functionalities FastTab, choose the Enable WHT field.
3. Optionally, choose the Round Amount for WHT Calc field.
If you choose this field, all WHT amounts will be rounded down to the nearest number. For example, if the
WHT amount on an invoice is calculated to be 33.90, and the Round Amount for WHT Calc field is
chosen in the General Ledger Setup, then the WHT amount will round to 33.
Set up WHT posting groups

To use withholding tax, you must set up the business posting groups and product posting groups for
withholding tax so that the correct WHT calculations are made for each vendor.
NOTE
As a prerequisite, you must have set up source codes for WHT settlement on the Source Code Setup page. For more
information, see Setting Up Source Codes and Reason Codes for Audit Trails.
The following procedure describes how to set up product posting groups for WHT, but the same steps also apply
to setting up business posting groups for WHT.
To set up a product posting group for withholding tax
1. Choose the icon, enter WHT Product Posting Group , and then choose the related link.
2. Fill in the fields as described in the following table.
Code Specify the code for the product posting group. You can
enter a maximum of 10 alphanumeric characters.
Description Specify the description for the product posting group.

You can enter a maximum of 50 alphanumeric characters.

Finally, you must set up how these posting groups must be used when documents are posted.
To set up posting for withholding tax
1. Choose the icon, enter WHT Posting Setup , and then choose the related link.
WHT Business Posting Group Specifies the business posting group code for
withholding tax.
WHT Product Posting Group Specifies the product posting group code for withholding
tax.
WHT Calculation Rule Specifies the calculation rule for WHT, which is used with
the amount specified in the WHT Minimum Invoice
Amount field. This will help identify the transactions for
which WHT will not be deducted.
For example, if you select the Less than option here

and enter 100 in the WHT Minimum Invoice
Amount field, then WHT will not be deducted for those
transactions with an amount less than 100.
WHT Minimum Invoice Amount Specifies the threshold amount that is below which WHT
will not be deducted.
WHT % Specifies the WHT rate. You must enter the rate without
the percent sign.
Realized WHT Type Specifies the mode of WHT calculation for purchases or
sales of items.
Prepaid WHT Account Code Specifies the general ledger account number to which
sales WHT is to be posted.
Payable WHT Account Code Specifies the general ledger account number to which
purchase WHT is to be posted.
WHT Repor t Specifies the withholding tax report type.
Bal. Prepaid Account Type Specifies the type of balancing account for sales WHT
transactions.
Bal. Prepaid Account No. Specifies the account number or bank name for sales
WHT transactions, based on the type selected in the Bal.
Prepaid Account Type field.
Bal. Payable Account Type Specifies the type of balancing account for purchase
WHT transactions.
Bal. Payable Account No. Specifies the account number or bank name for purchase
WHT transactions. This is based on the type selected in
the Bal. Payable Account Type field.
WHT Repor t Line No. Series Specifies the number series for the WHT report line.
Revenue Type Specifies the type of revenue.
Purch. WHT Adj. Account No. Specifies the account number on which to post purchase
credit memo adjustments.
Sales WHT Adj. Account No. Specifies the account number on which to post sales
Sequence Specifies the sequence in which the withholding tax

posting setup information must be displayed in reports.
See Also
Withholding Tax
Australian Taxation Office (ATO)
Set Up Revenue Types for Withholding Tax in the
Australian Version
Revenue types are used to categorize withholding tax (WHT) entries and are used for WHT certificates.
You can use the WHT Revenue Types page to set up the revenue types for withholding tax.
To set up revenue types for withholding tax

1. Choose the icon, enter WHT Revenue Types , and then choose the related link.
Code Specifies the unique code for the revenue type. You can
Description Specifies the description for the WHT revenue type.
Sequence Specifies the sequence in which you want to group the

revenue types. For example, a revenue type with
sequence 0 will be displayed before sequence 1.
See Also
Withholding Tax
Set Up Vendors Without ABN for Calculating the
Withholding Tax in the Australian Version
Withholding Tax (WHT) is calculated for local vendors who do not have an Australian Business Number (ABN), as
required by tax law.
To set up vendors without ABN for calculating the withholding tax

2. Choose the required vendor, and then choose the Edit action.
3. On the Vendor Card page, make sure the ABN field and the Foreign Vend field are empty.
NOTE
The WHT percentage is automatically withheld in accordance with what was specified on the WHT Posting
Setup page. The WHT certificate is produced for submission to the vendor. For more information, see Withholding
Tax.
See Also
Withholding Tax
Calculate and Post Withholding Tax Settlements in
the Australian Version
You can use the Calc. and Post WHT Settlement page to calculate and post the withholding tax (WHT).
You can close WHT entries that are open or not settled and transfer the corresponding amount to the WHT
settlement account.
The sum of all withheld amounts is reported as a truncated whole number to the Australian tax authorities.
NOTE
The truncated cents are accounted for in a rounding account.
To calculate and post withholding tax settlements

1. Choose the icon, enter Calc. and Post WHT Settlement , and then choose the related link.
Star ting Date The start date of the period for which WHT has to be
settled.
Ending Date The end date of the period for which WHT has to be
settled.
Posting Date The posting date of the WHT settlement entries.
Document No. The document number of the WHT settlement entries.
Description The WHT settlement description.
Settlement Account Type The settlement account type.
Settlement Account The account number based on the account type selected
in the Settlement Account Type field.
Rounding G/L Account The account to which the truncated amount is to be

posted.
Show WHT Entries Select to view the withholding tax entries for the
specified period.
Post Select to post the WHT settlement entries.
3. Choose the Print button to print the report, or choose the Preview button to view it on the screen.
See Also
Withholding Tax
View Withholding Tax Entries in the Australian
Version
You can view entries that have been posted with withholding tax (WHT) for a specified general ledger register.
On the WHT Entr y page, you can view details about the withholding tax, such as the base amount, the
calculated WHT amount, the WHT calculation method, and the unrealized WHT amount.
To view withholding tax entries

1. Choose the icon, enter G/L Registers , and then choose the related link.
2. Select the general ledger register for which you want to view WHT entries, and then choose the WHT Entr y
action.
You can view the posted WHT entries on the WHT Entr y page.
See Also
Withholding Tax
View Posted Tax Invoices in the Australian Version
In Business Central, you can use the Posted Sales Tax Invoice page and the Posted Purchase Tax Invoice
page to view the details of posted sales tax invoices and posted purchase tax invoices.
The following procedure describes how to view the posted sales tax invoice, but the same steps also apply to
viewing posted purchase tax invoices.
To view a posted sales tax invoice

1. Choose the icon, enter Posted Sales Tax Invoice , and then choose the related link.
2. View the FastTabs as described in the following table.
FA ST TA B DESC RIP T IO N
General General information about the invoice.
Posted Sales Tax Inv. Subform Posted sales tax invoice information.
Invoicing Invoice information.
Shipping Shipping information.
Foreign Trade Foreign trade information.
See Also
View Posted Tax Credit Memos in the Australian
Version
You can use the Posted Sales Tax Credit Memo page and Posted Purch. Tax Credit Memo page to view
details of sales tax credit memos and purchase tax credit memos that have been posted.
The following procedure describes how to view posted sales tax credit memos, but the same steps also apply for
viewing posted purchase tax credit memos.
To view a posted sales tax credit memo

1. Choose the icon, enter Posted Sales Tax Credit Memo , and then choose the related link.
General General information about the credit memo.
Posted Sales Tax Cr. Memo Sub Posted sales tax credit memo information.
See Also
Set Up Goods and Services Tax Posting in the
Australian Version
Goods and services tax (GST) is the tax that is applied on most goods and services. The GST that is paid and
received during a period is reported in the Business Activity Statement (BAS) that has to be submitted to the
Australian Taxation Office (ATO).
To set up posting details for GST, you must define the posting groups, rate of GST, and the accounts to which
GST is to be posted. You can set up this information for a particular combination of business posting groups and
product posting groups.
You must set up GST posting before you generate the BAS report.
To set up goods and sales tax posting

1. Choose the icon, enter VAT Posting Setup , and then choose the related link.
VAT Bus. Posting Group Specifies the VAT business posting group code.
VAT Prod. Posting Group Specifies the VAT product posting group code.
VAT Identifier Specifies the code that is used to group similar VAT
setups with similar attributes.
For example, you can group a number of VAT posting

setups that have a common VAT percentage.
VAT % Specifies the VAT rate.
VAT Calculation Type Specifies the method that is used to calculate the
purchase or sale of items.
Sales VAT Account Specifies the number of the general ledger account to
which you want to post the sales VAT.
If you have selected the Reverse Charge VAT option in

the VAT Calculation Type field, then do not enter a
value in this field.
Purchase VAT Account Specifies the number of the general ledger account to
which you want to post the purchase VAT.
Reverse Chrg. VAT Acc. Specifies the number of the general ledger account to
which you want to post the reverse charge VAT.
You can enter a value in this field only if you have

selected the Reverse Charge VAT option in the VAT
Calculation Type field.
See Also
Australian Local Functionality
in the Australian Version
When a partial payment or prepayment is made, you must calculate Goods and Services Tax (GST) for that
partial payment or prepayment based on the total invoice amount, instead of on a partial amount. If you
account for GST on a non-cash basis, you must report and pay GST on payments during the period in which you
receive partial payment or issue a tax invoice for payment.
To calculate GST on prepayments

2. On the Local Functionalities FastTab, select the Full GST on Prepayment check box to calculate GST for
the total invoice amount when a prepayment invoice is posted.
See Also
Adjust Settlement Exchange Rates for VAT Entries in
You can use the Adjust Settlement Exch. Rates batch job to settle VAT entries according to the government
exchange rate as defined in the Currency Exchange Rate table.
To adjust settlement exchange rates for VAT

1. Choose the icon, enter Adjust Settlement Exch. Rates , and then choose the related link.
Settlement Period Specifies the start date of the settlement period.
Ending Date Specifies the end date of the settlement period.
Posting Description Specifies the posting description.
Document No. Specifies the document number for which you want to
settle VAT entries.
Posting Date Specifies the posting date of the document.
Use Daily Settlement Exch. Rate Select if you want to use the daily settlement exchange
rate.

The VAT entries are adjusted, and you can view them in the VAT Register report.
See Also
Print Goods and Service Tax Settlement Reports in
You must submit a periodic report of goods and services tax (GST) settlement. You can create this settlement
from the BAS Calc. Schedule List page.
To print a goods and service tax settlement

1. Choose the icon, enter Calculate GST Statement , and then choose the related link.
Settlement Account No. The general ledger account number or vendor number,
based on the type selected in the Settlement Account
Type field.
Rounding G/L Account No. The account to which the truncated cents will be posted.
Posting Date The posting date for the settlement entries.
Document No. The document number of the settlement entries.
Description The settlement description.
Post Select to post the withholding tax settlement entries.
Inter Company Select if the posting is inter company.
3. On the BAS Calculation Sheet FastTab, select the appropriate filters.

See Also
Compare Bank Cash Flow in the Australian Version
You can use the Bank Detail Cashflow Compare report to compare the flow of cash in a particular bank for a
specified period.
The report displays the following details:
Posting date
Document type
Document number
Debit amount
Credit amount
Remaining amount
The debit and credit amounts are displayed in the local currency. You can also view the starting balance and
ending balance for each bank.
To compare bank cash flow

1. Choose the icon, enter Bank Detail Cashflow Compare , and then choose the relevant link.
Compare Star t Date Specifies the start date for the comparison.
Compare End Date Specifies the end date for comparison.
New Page per Bank Account Specifies if the details of each bank account will be
printed on a separate page.
3. Choose the Print button to print the report or choose the Preview button to view it on the screen.
See Also
Create Check Installments in the Australian Version
You can create check installments for post-dated checks. You can define the number of installments that a
payment will be divided into, the percent of interest, and the period in which the checks will be created.
To create a check installment

1. Choose the icon, enter Post Dated checks-Purchases , and then choose the relevant link.
2. Choose the relevant check, and then choose the Edit action.
3. On the Post Dated Checks-Purchase page, choose the Create Check Installments action.
5.
No. of Installments Specifies the number of installments into which the post-
dated check will be divided.
Interest % Specifies the percent of interest.
Period Length Specifies the period for which the installments will be
created. For example, if you want to divide the check into
monthly installments, enter 1M .
Star t Document No. Specifies the starting number of the document. Based on
the number of installments specified, the consecutive
numbers are allocated to the documents created.

The installment checks are created and displayed on the Post Dated Checks-Purchases page.
See Also
Electronic Funds Transfer (EFT) in the Australian
Version
You can pay vendors using the electronic funds transfer (EFT) system in Australia.
Setting up Electronic Funds Transfer

Business Central can export EFT files that you can then upload to your bank's website for additional processing.
To submit EFT files, you must set up the following information:
You must add EFT information to the bank account or bank accounts that you will use to pay vendors
electronically. The EFT-specific fields are on the Bank Account page.
For those vendors that you want to pay electronically, you must select the EFT Payment check box and
specify the vendor bank account in the EFT Vendor Bank Account Code field on the Vendor page.
When you have set up bank accounts and vendors, you can create EFT files that are based on entries in the
payment journal. When you create an EFT file, an entry is made in the EFT Register table. On the EFT Register
page, you can drill down to see the vendor ledger entries for the EFT file. On the Payment Journal page, you
can also import existing EFT register entries to the payment journal by using the Transfer EFT Register batch
job.
NOTE
Electronic Funds Transfer (EFT) uses posted and nonposted payments as the basis to calculate withholding tax amounts
for applied invoices. Payments that are not applied to an invoice can only be exported to an EFT file if the Skip WHT
check box is selected. During export of the EFT file, the payment journal lines are not deleted and cannot be deleted as
long as they have a reference to an EFT register. To remove the link between the EFT register and payment journal lines,
choose the Cancel Expor t action either on the EFT Register page or the Payment Journal page.
See Also
Print Bank Account Reconciliation Reports in the
Australian Version
The Bank Account Reconciliation report displays open bank ledger entries as unpresented checks or
unrecorded deposits.
To print a bank account reconciliation report

1. Choose the icon, enter Reconciliation , and then choose the related link.
2. On the Options FastTab, select the New Page per Bank Account check box.
3. On the Bank Account FastTab, select appropriate filters.
See Also
Print Deposit Slip Reports in the Australian Version
The Deposit Slip report displays cash and check details in a format required by the bank.
To a print deposit slip report

2. Select the Bank journal.
4. On the Cash Receipt Journal page, choose the Print Deposit Slip action.
5. On the Gen. Journal Line FastTab, select the appropriate filters.
See Also
Set Up Business Units for Business Activity
Statements in the Australian Version
In Business Central, you can consolidate the financial statements of various companies into one financial
statement.
You must set up a consolidation company to perform the consolidation. In this company, the total amounts for
all accounts in the group, from both the parent company and subsidiaries, are added together. You must also
indicate the general ledger accounts in the consolidated company to which the total should be transferred.
You can use the BAS Business Units page to set up the following:
Parent company
Subsidiaries
Affiliates
You must provide information on the General Ledger Setup page before you can set up business units.
To set up a general ledger for a business activity statement

2. Fill in the required fields as described in the following table.
BAS to be Lodged as a Group Select if you are logging a business activity statement for
a group of companies.
BAS Group Company Select if this company is the main company in the group
of companies for which you are logging a group business
activity statement.
To set a business unit for a business activity statement

1. Choose the icon, enter BAS Business Units , and then choose the related link.
Company Name Specify the name of the company that will be added to
the group company's business activity statement.
Document No. Specify the BAS document number that has to be

consolidated. This field is associated with the BAS
Version field.
BAS Version Specify the BAS version number in which the transaction
was included. This field is associated with the Document
No. field.
See Also
Print Balance Sheet Reports in the Australian
Version
Use the Balance Sheet report to view the company's balance sheet. This is a legal report that is required for
auditing accounts. You can use this report to view assets and liabilities.
To print a balance sheet report

1. Choose the icon, enter Balance Sheet , and then choose the relevant link.
2. On the Balance Sheet page, on the Options FastTab, fill in the fields as described in the following table.
Amounts in whole Specifies the nearest unit to which the amounts must be
rounded.
See Also
Print Income Statements in the Australian Version
You can use the Income Statement report to view the company's annual income statement.
This is a legal report that is required for auditing accounts. This report displays the details of revenues and
expenses for the current year and the previous year.
To print the income statement report

1. Choose the icon, enter Income Statement , and then choose the relevant link.
2. On the Income Statement page, fill in the fields as described in the following table.
Amounts in whole Specifies the nearest unit to which the amount must be
rounded.
Show Amounts in Add. Repor ting Currency Specifies if the amounts will be displayed in the
additional reporting currency.
See Also
Compare Bank Cash Flow Print Balance Sheet Reports
How to Calculate Distribution Amounts in the
Australian Version
You can reallocate the amount in one general ledger account to other general ledger accounts so that the
balances of your accounts remain proportionate to one another.
Use the Calculate Distribution Amount function to calculate the allocation percentage based on the balances
of the accounts or based on the net changes between the accounts. Run the Calculate Distribution Amount
function from the Allocation page for the Standard Balance and Reverse Balance recurring methods in the
Recurring Journal .
The net changes or balances of the accounts on the Allocation page determine the allocation percentage
calculated.
See Also
About addresses in the Australian Version
A single postal code can include multiple cities in the same region. At the same time, cities with the same name
are sometimes located in different states.
For example, Australian postal code 4069 covers the cities of Chapel Hill and Kenmore in the state of
Queensland. However, there is also a city named Chapel Hill in the state of South Australia, located in postal
code 5153.
To avoid confusion and improve address accuracy, available options display when you enter data in address
fields. For example, when you enter a postal code on a customer card, you can select from a list of all available
cities for that postal code in the City field drop-down list. Likewise, when you enter a city name, you can select
from a list of all available states in the State field drop-down list.
To enable this functionality, you must enter the data into the Post Code table. You can do this manually, or you
can download a copy of the Australian postal codes from the Australian Post Office website.
To increase postal efficiency in Australia, the postal department has introduced an address bar coding system in
which every address is assigned a unique identifier called a Delivery Point Identifier (DPID). From the DPID, a bar
code is generated and printed for each address. Companies can receive discounts on bulk mailings if they use
these bar codes. To retrieve a DPID, you must connect to the local postal database that uses authorized Address
Matching Approval System (AMAS) software. You can reduce your number of postal returns by validating
customer addresses using the AMAS database.
When you print an address that has a DPID, a bar code will be printed together with the address. If you cannot
print bar codes, the DPID will be printed together with the address.
Contact your Microsoft partner for information on how to obtain AMAS software.
See Also
Determine Sales Price by Cost Plus Percentage in
Use the cost plus percentage function to set a sales price based on the cost of an item. The cost of the item can
be calculated along with cost plus calculation. The discount will be based on this calculation. This functionality
eliminates the need for the use of spreadsheets in determining percentage discounts as they correspond to cost
plus percentage.
To determine sales tax by cost plus percentage

1. Choose the Receivables action.
2. Choose the Customers action.
–or–
Choose the New action.
NOTE
For a new customer, in the No. field, enter the customer number.
4. To open the Sales Prices page, choose the Prices action.

5. In the General section, fill in the fields as described in the following table.
Sales Type Filter Select one of the following options:
- Customer
- Customer Price Group
- All Customers
- Campaign
- None
Sales Code Filter The sales code.
Item No. Filter The item number.
Star ting Date Filter The starting date.
Currency Code Filter The currency code.

7. To send the details to a recipient, choose the Send To action, and then select one of the following
formats:
Recipient as Attachment
Microsoft Word
Microsoft Excel
See Also
An Australian Business Number (ABN) is a single identifier for all business dealings with the tax office, and for
dealings with other government departments and agencies.
ABNs and adjustment notes—or credit memos—are used to satisfy tax requirements.
ABN
All companies must register and apply for an ABN to report the details of payment summaries issued to their
payees during the financial year. The payment summary includes the Tax File Numbers (TFN) or business
numbers of the payees.
Adjustment Notes
Adjustment notes are issued by suppliers to a business when the amount of consideration for taxable supplies
changes. The recipient needs an adjustment note to claim more or less GST credits than previously claimed.
Section 19-10 of A New Tax System (Goods and Services Tax) Act 1999 defines an adjustment event as any
event that has the effect of:
Canceling a supply or acquisition.
Changing the consideration for a supply or acquisition.
Causing a supply or acquisition to start or stop being a taxable supply or creditable acquisition.
An adjustment event may result in an increase or decrease to your net amount for the tax period.
Adjustment notes—or credit memos—should be connected to an invoice.
Because credit memos are used for adjustment notes, each credit memo should satisfy all of the legal
requirements for an adjustment note. Each credit memo should have an original invoice number, date, and
reason code assigned to it. The following fields are included in the adjustment note:
Adjustment Applies to : The number of the document to which the adjustment note applies. If you use
the Copy Document function, this field populates automatically. You must enter a reason code before
the transaction can be posted. You can use this field to create an adjustment note for a paid or closed
transaction.
Adjustment Reference No : The number of the adjustment note. For Sales & Receivables , the
number assigned to the posted document populates automatically in this field.
Adjustment Note Date : Automatically populated from the document date.
Adjustment and BAS Adjustment : These entries populate automatically. Some credit memos are
Business Activity Statement (BAS) adjustments. Adjustment notes can only be applied against a single
document.
See Also
Enter Australian Business Numbers
Enter Australian Business Numbers in the Australian
version
You can enter an Australian Business Number (ABN) in the following pages:
Company Information
Vendor Card
An algorithm provided by the local tax office ensures that the number is in a valid format.
NOTE
All companies must register and apply for an ABN to report the details of payment summaries issued to their payees
during the financial year. The payment summary includes the Tax File Numbers (TFN) or business numbers of the payees.
To enter Australian business numbers

1. Choose the icon, enter Company Information or Vendors , and then choose the related link.
2. Select the required company or vendor.
3. Expand the Registration FastTab.
4. In the ABN field, enter the ABN.
5. In the ABN Division Par t No. field, enter the division part number of the ABN, if applicable.
See Also
Payment Times Reporting in the Australian Version
Businesses in Australia that have a group-wide revenue of AUD 100,000,000 or more must report to the
authorities how they pay their small business vendors. A company is considered a reporting entity if they exceed
that revenue threshold, or if a company has a revenue of AUD 10,000,000 or more while also being part of a
controlling corporation with a revenue of AUD 100,000,000 or more. Small businesses must register in a system
that is made available by the authorities, and reporting entities must look up their vendors in this system to
check if a given vendor qualifies as a small business vendor and report the relevant amounts. See more about
the reporting rules and registration at lookup in the Small Business identification tool here:
https://www.industry.gov.au/regulations-and-standards/payment-times-reporting-scheme.
Support for Payment Times Reporting in Business Central

Business Central supports Australian businesses in running their financial reporting. While Business Central
does not have a dedicated report for reporting according to the Payment Times Reporting Scheme, the data that
you need for the report is present. However, for more automated reporting, you must find and install an add-in
that is built by a Business Central partner.
Reporting the Payment Times

As a reporting entity, you must provide the authorities with two files:
A declaration document that states that the reported numbers are true, signed by a responsible member of
the reporting entity or controlling corporation.
A delimited text file that contains a line with the reported information in various fields.
Examples and descriptions of these files can be found on the Australian authorities' website:
https://www.industry.gov.au/regulations-and-standards/payment-times-reporting-scheme.
The information in the following sections relates only to the delimited text file. The content is intended as model
for getting some of the relevant information from Business Central in a manual fashion. Partner-provided
capabilities may exist that provide functionality to automate this.
Marking a vendor as a Small Business Vendor
Consider creating a new Vendor Posting Group to be set on vendors that are confirmed to be small business
vendors in the Small Business identification tool. You must look up a vendor in this tool to get this
confirmation. Once a vendor is set to this vendor posting group, the posting group will be propagated to the
vendor ledger entries, which is key for you to be able to find relevant entries for the report.
The reporting data
As you will see from the example template of the delimited text file, much of the information needed for
reporting is textual and has to do with trade agreements and explanations for various business decisions.
However, there are also numbers that must be reported.
From a reporting perspective, the interesting thing is how the reporting entity pays its small business vendors.
The authorities have defined buckets into which these payments fall and must be reported.
For example, in June 2021, these buckets are:
Invoices paid within 20 days after the day of receipt
Invoices paid between 21 days and 30 days after the day of receipt
Invoices paid more than 120 days after the day of receipt
As a scenario, you must report how many invoices from small business vendors have been paid between 21 and
30 days after the day of receipt of the invoice. You must also report the proportional invoice amount of those
invoices compared to the total number of invoices from small business vendors.
Finding the data for the Payment Times Report
As mentioned above, many fields and much of the data needed for the report does not reside in Business
Central. The invoice data does, and you can find this data in the vendor ledger entries. The following procedure
illustrates how you can find the relevant data.
To find vendor ledger entries
1. Choose the icon, enter Vendor Ledger Entries , and then choose the related link.
2. Filter the view to include entries within the reporting period.
3. Use the Filter Totals and use the Date Filter to specify a range that exceeds the reporting period. You
can use this to exclude invoices from the list that have not yet been paid, by comparing the Original
Amount and Remaining Amount fields.
4. Filter the list to show only invoices by setting a filter on Document Type .
5. Filter on the Vendor Posting Group to only see invoices from small business vendors.
You can now go through invoices one by one and select the Applied Entries action to see information
about payments that have been applied to the invoice.
6. In the Applied Entries page, make sure you look at records where Document Type is Payment , so you
do not report on invoices that have been closed by a credit memo, for example.
7. If there is a payment for the invoice, use the Posting Date to determine how many days have elapsed
since receipt of the invoice by comparing it to the Posting Date of the Invoice Vendor Ledger Entr y .
8. Note down how this invoice affects the bucket (such as 21 to 30 days) when it comes to the number of
invoices and the proportional number of small business vendor invoices.
As an alternative, consider exporting the full list of vendor ledger entries to Excel by using the action Page >
Open in Excel . In Excel, you can do more advanced calculations and formulas to find the applied entries and
payments for an invoice.
NOTE
Invoices and their corresponding payments are all vendor ledger entries. Using Excel to find the relevant payments for a
given invoice may be more convenient for you.
See Also
Austria Local Functionality
The following topics describe local functionality that is unique to the Austrian version of Business Central.
VAT
Create a VAT Statement Available Now
VAT Reporting Available Now
Banking & Payments
Print Vendor Payments List Reports Available Now
Purchasing
Delivery Reminders Available Now
Set Up Delivery Reminders Available Now
Set Up Delivery Reminder Terms, Levels, and Text Available Now
Assign Delivery Reminder Codes to Vendors Available Now
Generate Delivery Reminders Available Now
Create Delivery Reminders Manually Available Now
Issue Delivery Reminders Available Now
Print Test Reports for Delivery Reminders Available Now
General
Print General Ledger Setup Information Available Now
See Also
Start a free trial!

Create a VAT Statement
Business Central allows you to submit a periodic report of VAT transactions. The VAT statement is submitted as
an FDF file that corresponds with an editable PDF file from the tax authorities.
NOTE
As of July 1st 2020, the Austrian authorities changed VAT on certain hospitality services to 5% as a temporary measure
part of a plan to stimulate the eoconomy in areas that are hit hard by COVID-19. If you have customers or vendors in
the impacted areas, you must create VAT posting groups that reflect the correct VAT rate and use these for transactions
created on or after July 1st 2020. To make sure that the new 5% VAT transactions get included correctly in the VAT
statements, run the Update VAT Statement action from the Search field. This will rebuild the VAT statement and
include the 5% transactions, ready for reporting in the corresponding box in the official VAT statement PDF template.
Additionally, make sure that you aqcuire the official PDF template to use for VAT reporting.
IMPORTANT
You must fill in detailed information about your company address in the Company Information page before you create
the VAT statement. This includes information about street, building, floor, and room number. This information is included
in the FDF file.
To create a VAT statement

1. Choose the icon, enter VAT Statement AT , and then choose the related link.
Star ting Date Specifies the start date of the VAT period.
Ending Date Specifies the end date of the VAT period.
Include VAT Entries Specifies if you want to include VAT entries that are
either open or closed, or both open and closed entries.
Include VAT Entries Specifies if you want to include VAT entries that are from
the specified period or also include entries from before
the period.
Repor ting Type Select if this VAT statement is the quarterly report,
monthly report, or if it applies to another period.
Check Positions Select to verify the positions of the VAT statement during
the export.
Round to Whole Numbers Select to round amounts to whole numbers.
Surplus Used to Pay Dues Select to use a potential surplus to cover other charges.
Additional Invoices sent via Mail Select if you will send additional information.
Number §6 Abs. 1 Specify the number according to §6 section 1 if you want

to claim tax-free revenues without input tax reduction.

4. When prompted, choose to save or open the generated XML file and FDF file.
If your VAT statement does not contain errors, you can now submit the FDF file to the tax authorities. For more
information, see the Finanz-Online portal.
See Also
VAT Reporting
VAT Reporting in the Austrian Version
VAT Information Exchange System (VIES) reporting is required throughout the European Union (EU) and must
follow local requirements, such as specific formats and files. Paper reports and XML files are created for Austrian
VIES reporting.
You can print the following local VAT reports.
REP O RT DESC RIP T IO N
VAT Statement AT The Austrian VAT statement serves as the basis for VAT
registration for a selected period and is printed according to
the VAT statement in the VAT Statement Line table. You can
generate the report in three different formats. For more
information, see VAT Statement AT.
VAT-VIES Declaration XML Repor t Shows the VAT-VIES declaration for sales in other
countries/regions of the EU. This data is written to an XML
file, which you can submit to the Austrian tax authorities by
uploading it to the Finanz Online Portal. The report is based
on information in the VAT Entry table.
See Also
Report VAT to the Tax Authorities
Print Vendor Payments List Reports in the Austrian
Version
The Vendor Payments List report in Austria provides a list of payments for each vendor. The report can sort
payments chronologically or grouped by vendor.
NOTE
The Vendor Payments List report is available in the following markets: Austria, Germany, Switzerland.
To print the vendor payments list report

1. Choose the icon, enter Vendor Payments List , and then choose the related link.
Sor ting Specifies the sort order. You can sort by vendor or
chronologically. If you sort by vendor, you will see a
subtotal for each vendor. If you sort chronologically, you
will not see subtotals.
Layout Specifies the layout of the report.
The results can be displayed in the following layouts:
Standard
Displays the vendor number and vendor name, together
with posting details, such as the document number and
the amount in local currency.
FCY Amounts
Displays the vendor number, vendor name, document
number, payment status (O for open, PP for partial
payment, and C for closed), and payment amount.
Posting Info
Displays the vendor number, vendor name, cost center,
cost object, user ID, and payment amount.
At the end of the report, the number of processed payments is displayed.
See Also
Making Payments
Delivery Reminders in the Austrian Version
Delivery reminders are used to track overdue vendor shipments and to remind vendors about overdue
deliveries. To create delivery reminders, you must set up the following:
Delivery reminder terms
Delivery reminder terms are identified by a code that must be assigned to vendors. To use more than one
combination of settings, you must set up a code for each setting separately. You can set up any number of
delivery reminder terms.
Delivery reminder levels
For every delivery reminder term, you must set up delivery reminder levels. These levels determine how
often delivery reminders can be created for a specific term. Level 1 is the first delivery reminder that you
create for an overdue delivery. Level 2 is the second delivery reminder, and so on. When delivery
reminders are created, the number of reminders that were created previously is considered, and the
current number is used to apply terms.
Delivery reminder texts messages
You must set up delivery reminder text messages for every delivery reminder level. There are two types
of delivery reminder text messages: beginning and ending. The beginning text message is printed under
the header section, before the list of entries that are marked for reminder. The ending text message is
printed after this list.
After you have set up the delivery terms, levels, and texts, you must assign the relevant delivery reminder codes
to your vendors.
You can create delivery reminders manually or automatically. You can use the Create Deliver y Reminder
batch job to create delivery reminders automatically so that you can select the purchase orders for which
delivery reminders must be created.
You can also track documents in relation to purchase order lines and sales order lines.
Business Central provides the following reports:
Issued Deliver y Reminder - To view the delivery reminders for vendors.
Deliver y Reminder - Test - To verify the delivery reminders before you issue them.
See Also
Set Up Delivery Reminders in the Austrian Version
In Business Central, you can use purchase delivery reminders to remind vendors about overdue deliveries. To
create delivery reminders for vendors, you must set up base data for delivery reminder creation and number
series for the delivery reminders on the Purchases & Payables Setup page.
To set up delivery reminders

2. In the Default Del. Rem. Date Field field, specify one of the options described in the following table.
Requested Receipt Date Specifies that the date value in the Requested Receipt
Date field on the purchase order line will be used as the
default date for creating delivery reminders.
Promised Receipt Date Specifies that the date value in the Promised Receipt
Expected Receipt Date Specifies that the date value in the Expected Receipt
3. Fill in additional fields as described in the following table.
Deliver y Reminder Nos. The number series code for delivery reminders.
Issued Deliver y Reminder Nos. The number series code for issued delivery reminders.
See Also
Delivery Reminders
Set Up Delivery Reminder Terms, Levels, and Text in
the Austrian Version
To create delivery reminders, you must set up the following:

Delivery reminder text messages
Each delivery reminder term has two or more delivery reminder levels, and for each delivery reminder level,
you can specify text that will be part of the delivery reminder.
To set up delivery reminder terms

1. Choose the icon, enter Deliver y Reminder Terms , and then choose the related link.
Code The code for the delivery reminder term. You can enter a
maximum of 10 alphanumeric characters.
Description The description for the delivery reminder term. You can
Max. No. of Deliver y Reminders The maximum number of delivery reminders that can be
created for an order.
NOTE: This is the maximum number across all reminder

levels for this reminder term. For example, if you have set
up three levels, and you set Max. No. of Deliver y
Reminders to 5, the first reminder is created at level 1,
the second at level 2, and the last three at level 3.
To add delivery reminder levels to a delivery reminder term

1. On the Deliver y Reminder Terms page, select the delivery reminder term for which you want to set up
levels, and then choose the Levels action.

No. The delivery reminder level number. This field is filled in

automatically.
Due Date Calculation The formula for the due date calculation for the delivery
reminder. You can enter a combination of numbers from
0 to 9,999, and date codes (D for day, WD for weekday,
W for week, M for month, Q for quarter, or Y for year).
The date codes denote the calculation for the delivery
reminder due date. You can enter a maximum of 20
characters for the due date calculation formula.

For each delivery reminder level, you can define text messages that are added to the delivery reminder. You can
define beginning text that is added before the description of the overdue purchase order, and ending text that is
added after the description of the overdue purchase order.
The following procedure describes how to set up beginning text messages, but the same steps apply for setting
up ending text messages.
To set up delivery reminder text messages

1. On the Deliver y Reminder Levels page, select a level, and then choose the Beginning Text action.
3. In the Description field, enter the beginning text message for the delivery reminder.
See Also
Delivery Reminders
Assign Delivery Reminder Codes to Vendors in the
Austrian Version
In order to enable delivery reminders for overdue purchases, you must assign delivery reminder terms to
vendors.
To assign delivery reminder codes to vendors

2. Select the vendor for whom you want to set up delivery reminders, and then choose the Edit action.
3. In the Deliver y Reminder Terms field, select a delivery reminder terms code for the vendor.
See Also
Delivery Reminders
Generate Delivery Reminders in the Austrian
Version
In Business Central, you can create delivery reminders when a purchase has not been delivered as expected. You
can generate delivery reminders for all overdue deliveries, or you can create a single delivery reminder
manually.
NOTE
To create delivery reminders, you must have set up the delivery reminder terms, levels, and texts.
To generate delivery reminders for all overdue deliveries

1. Choose the icon, enter Deliver y Reminder , and then choose the related link.
3. On the Deliver y Reminder page, choose the Create Deliver y Reminder action.
4. Select the appropriate filters.
If there are overdue deliveries that match the filters that you have set, delivery reminders are created. You can
now issue and print the delivery reminders.
See Also
Delivery Reminders
Create Delivery Reminders Manually in the Austrian
Version
can create a single delivery reminder manually, or you can generate delivery reminders for all overdue
deliveries.
NOTE
To create a delivery reminder manually

3. On the Deliver y Reminder page, fill in the fields as described in the following table.
No. The unique identification number for the delivery

reminder.
Vendor No. The number of the vendor for whom you want to post
the delivery reminder.
When you select the vendor number, the Name ,

Address , Post Code/City , and Contact fields are filled
in automatically.
Posting Date The posting date for the delivery reminder. This date is
copied to all of the delivery reminder ledger entries.
Document Date The document date for the delivery reminder. This date is
also used to calculate the due date for the delivery
reminder. You can modify the posting date if required.
Reminder Level The delivery reminder level. This value is based on the
number of delivery reminders that have already been
sent.
Reminder Terms Code Specify the delivery reminder terms code that is set up
for the vendor.
Due Date The due date for the delivery reminder.

If there are overdue deliveries from the specified vendor, these are added to the delivery reminder.
The delivery reminder is created. You can now issue and print the delivery reminder.
See Also
Delivery Reminders
Issue Delivery Reminders in the Austrian Version
After you have created delivery reminders, you must issue and print them so that you can send reminders to
vendors. Before you issue the delivery reminders, you can print a test report.
When you issue the delivery reminders, delivery reminder ledger entries are created. You can view the created
ledger entries on the Deliv. Reminder Ledger Entries page.
To issue delivery reminders

2. On the Deliver y Reminder page, select the delivery reminder that you want to issue, and then choose
the Edit action.
3. Choose the Issue action.
4. On the Issue Deliver y Reminder page, fill in the fields as described in the following table.
Print Select to print the delivery reminders when they are

issued.
Replace Posting Date Select to replace the existing posting date for the
delivery reminder.
Posting Date The posting date for the delivery reminder.
This posting date is used for all delivery reminders if you

have selected the Replace Posting Date check box. If
the Replace Posting Date check box is cleared, this
date will be used for only those delivery reminders for
which a posting date is not available.
5. Optionally, on the Deliver y Reminder Header FastTab, select the appropriate filters.
NOTE
You can remove filters and issue all delivery reminders at the same time.

You can view the issued reminders on the Issued Deliver y Reminder page. Optionally, you can now print a
delivery reminder.
To view delivery reminder ledger entries

2. Select the purchase order for which you want to view the reminder status, and then choose the Edit action.
3. Choose the Deliv. Reminder Ledger Entries action.
On the Deliv. Reminder Ledger Entries page, you can view the delivery reminder ledger entries for the
selected purchase order.
See Also
Delivery Reminders
Print Test Reports for Delivery Reminders in the
Austrian Version
After you have created delivery reminders and made any needed modifications, you can either print the test
reports or issue the delivery reminders.
A test report is a document that lets you review and modify a delivery reminder before you issue it.
To print test reports before issuing delivery reminders

2. On the Deliver y Reminder List page, choose the Deliver y Reminder - Test action.
3. On the Deliver y Reminder - Test page, set a filter if you want to print only selected delivery reminders.
See Also
Delivery Reminders
Print General Ledger Setup Information in the
Austrian Version
Before you use Business Central for daily business tasks, you can run the G/L Setup Information report to
display the master data that you have set up. You can look over this master data so that you have a baseline to
compare to, and then verify that you have set up posting groups correctly, for example.
To print general ledger setup information

1. Choose the icon, enter G/L Setup Information , and then choose the related link.
2. In the Setup Information field, select the master data area as described in the following table.
G/L Setup - Company Data - Consolidation Displays tables for general ledger setup, company
information, and business units.
Posting Groups Displays customer posting group tables, vendor posting

group tables, inventory posting group tables, and bank
account posting group tables.
Posting Matrix Displays general business posting group tables, general

product posting group tables, and general posting group
tables.
VAT Setup Displays VAT business posting group tables, VAT product
posting group tables, and VAT posting setup tables.
Source Code - Reason Code Displays source tables, source code setup tables, and
reason codes tables.
Check Number Series Select to provide an overview of the use of number

series so that you can identify number series that are
problematic for the data export for the Grundsätze zum
Datenzugriff und zur Prüfbarkeit digitaler Unterlagen
(GDPdU). The report will show number series with one of
the following issues:
- The number series allows manual document numbers.

- The number series is not chronological.
- The number series is used in more than one table or
field.
See Also
Setting Up Finance
Belgium Local Functionality
The following topics describe local functionality that is unique to the Belgian version of Business Central.
VAT
Belgian VAT Available Now
Set Up Non-Deductible VAT Available Now
Make Manual Corrections to VAT Available Now
Print Periodic VAT Reports Available Now
Set Up Belgian Tariff Numbers Available Now
Belgian Intrastat Reporting Available Now
Set Up Intrastat Establishment Numbers Available Now
Print the Intrastat Form Report Available Now
Set Up Declaration Types Available Now
Export Intrastat Third-Party Declarations Available Now
Service Declarations F01DGS and F02CMS 2022 release wave 2
Banking & Payments
Set Up Bank Accounts for CODA Available Now
Apply CODA Statements Available Now
Automatically Transfer and Post CODA Statements Available Now
CODA Bank Statements Available Now
Belgian Electronic Banking Available Now
Set Up Electronic Banking Available Now
Set Up Export Protocols Available Now
Belgian Electronic Payments Available Now
Set Up IBLC-BLWI Transaction Codes Available Now
Set Up Vendors for Automatic Payment Suggestions Available Now
Create Payment Journal Templates and Batches Available Now
Test Electronic Payments Available Now
Generate Payment Suggestions Available Now
Import CODA Statements Available Now
Manually Transfer and Post CODA Statements Available Now
Print Payment Files Available Now
Activate SEPA Payments Available Now
File Non-Euro SEPA Payments Available Now
Direct Debit Using Domiciliation Available Now
Set Up Domiciliations Available Now
Edit and Delete Domiciliation Lines Available Now
Test Domiciliations Available Now
Export and Post Domiciliations Available Now
Generate Domiciliation Suggestions Available Now
Summarizing Payment Lines and General Journal Lines Available Now
Core Finance
Apply and Unapply General Ledger Entries Available Now
Create Financial Journals Available Now
Export to Accon Available Now
[Make Journal Templates Mandatory] Available Now
General
Enterprise Numbers and Branch Numbers Available Now
Limit the Posting Period Available Now
Set the Work Date as the Posting Date Available Now
Make Journal Templates Mandatory Available Now
See Also
Start a free trial!

Belgian VAT
Business Central includes Belgian extensions to the VAT reporting capabilities so that you can print VAT
transaction details. You must send the following reports to the Belgian tax authorities:
Monthly/Quarterly declaration - This report is used to create monthly or quarterly VAT declarations,
depending on your company revenue.
VAT annual listing (on paper/disk)
This report is used to annually report all amounts invoiced for both goods and services to all Belgian
companies with a registered VAT number.
EC sales list
This report is used to report the sales of goods to other countries in the European Union. For more
information, see About the EC Sales List Report.
You are also required to provide a printed statement detailing the VAT transactions to the Belgian tax authorities.
For more information, see VAT Statement.
Non-Deductible VAT
In Belgium, VAT can be fully or partially deductible. Expenses such as representation cost or purchases of cars
are only partially deductible, and the transaction must specify how much of the VAT is non-deductible. For
example, you create a general ledger account for fixed assets such as cars, and another account for
representation cost. For each account, you specify how much of the reported VAT is non-deductible by setting
the Percentage Non deductible VAT field. Then, when you post a transaction, the deductible VAT will post to
the corresponding VAT account, and the non-deductible VAT will be added to the base amount and posted to the
same account as a tangible or intangible asset.
For fixed assets, the non-deductible VAT depreciates just like the base acquisition cost of the fixed asset. You
must set up separate fixed asset posting groups for each percentage of non-deductible VAT. You must do this
because each fixed asset posting group posts to a general ledger account where the Percentage Non
deductible VAT field specifies how much VAT must post to the same account as the fixed asset.
If you select the Incl. Non Deductible VAT field in a VAT statement line, non-deductible VAT is included in the
VAT amount. The Calc. and Post VAT Settlement report adds the non-deductible part of that amount to the
Non Ded. VAT Amount and Non Ded. Source Curr. VAT Amt. fields in the resulting VAT entries.
See Also
Set Up Non-Deductible VAT in the Belgian Version
You can calculate VAT amounts for specific types of expenses that can be partially declared as VAT. For example,
on the G/L Account Card page, if you enter 75 in the % Non-Deductible VAT field, then 75 percent of the
regular VAT amount is considered an additional cost and will be added to the net amount during posting. The
remaining 25 percent will be posted as regular VAT.
NOTE
If no value is entered in the % Non-Deductible VAT field, the VAT amount is 100 percent deductible.
To set up the non-deductible VAT percentage

2. Select a general ledger expense account that requires the partial deduction, and then choose the Edit action.
3. Enter the amount in % Non deductible VAT field.
See Also
Belgian VAT
Make Manual Corrections to VAT in the Belgian
Version
You can make corrections to posted VAT entries without posting the correction into the VAT or general ledger
entries. This is useful if you need to make a change to the total sales or purchases VAT amounts without
changing the VAT base. For example, you can manually correct VAT if you receive an invoice from a vendor who
has calculated VAT incorrectly.
To make manual corrections to VAT

1. Choose the icon, enter VAT Statement Preview , and then choose the related link.
2. Select the line that needs to be corrected. You can make the VAT correction on both the Row Totaling
and VAT Entr y Totaling row Type .
3. To make the correction, choose the Correction Amount field. The Manual VAT Correction List page
opens.
4. Choose the Edit List action. On the Manual VAT Correction List page, fill in the fields as described in
Posting Date Enter the posting date of the VAT correction.
Amount Enter the amount of the VAT correction. You must enter
the correction amount, not the new amount. For
example, if the amount is 1,000.00 and should be
1,200.00, enter 200.00.
Additional-Currency Amount This field displays the amount of the VAT correction in
the additional reporting currency.
The field is automatically calculated, based on the

contents of the Amount field and the current exchange
rate.

6. Refresh the VAT Statement Preview page to see your corrections.
7. To view a report related to the preview of the VAT information, choose one of the following actions:
Detailed Repor t Opens the VAT Statement report. For more

information, see VAT Statement.
Form/Inter vat Declaration Opens the VAT – Form report.
The Form/Inter vat Declaration report is based on

the VAT Statement template that is defined in the
general ledger setup. Therefore, it might export data that
is not the same as what is shown on the VAT
Statement Preview page.
Declaration Summar y Repor t Opens the VAT Statement Summar y report.
See Also
Belgian VAT
Print Periodic VAT Reports in the Belgian Version
The VAT reporting feature enables you to print VAT transaction details. You must send the following VAT reports
to the Belgian tax authorities:
Monthly/Quarterly declaration
VAT annual listing (on paper/disk)
VAT-VIES listing (on paper/disk)
To print the monthly/quarterly declaration

1. Choose the icon, enter Form/Inter vat Declaration , and then choose the related link.
2. On the VAT – Form page, fill in the fields.
Wrong Enterprise No. Specifies if you want to print the report that has
erroneous enterprise numbers.
VAT Annual Listing Specifies if you want to print the VAT Annual Listing
report.
Year Enter the year of the period for which you want to print
the report. You should enter the year as a four-digit
code. For example, to print a declaration for 2013, you
should enter "2013" (instead of "13").
Minimum Amount Enter the customer's minimum year balance to be

included in the report. If the yearly balance of the
customer is less than the minimum amount, the
customer will not be included in the declaration.
Include Customers From Select to include customers from all countries/regions or

from a specific country/region in the report.
Countr y/Region Select the country/region to include in the report.
Choose the Cancel button to save the information without printing the report.
To print the VAT annual listing on disk

1. Choose the icon, enter Annual Listing – Disk , and then enter the related link.
2. On the VAT Annual Listing – Disk page, fill in the fields as described in the following table.

Year Enter the year of the VAT declaration. You should enter
the year as a four-digit code. For example, to print a
declaration for 2013, you should enter "2013" (instead of
"13").
Minimum Enter the customer's minimum year balance to be

included in the report.
If the yearly balance of the customer is less than the

minimum amount, the customer will not be included in
the declaration.
Test Declaration Specifies if you want to create a test declaration.
If selected, an attribute test is written to the file that uses

value 1, which indicates that this is a test file. If you want
to test the XML file before sending it, you can upload
this file to the Intervat site. The file is then validated
without being stored on the server, and you receive a
notification if the file is valid. Also, the unique sequence
number in the XML file is not increased when a test
declaration is created, which means that you can create
as many internal test declarations as you want.
Add Representative Specifies if you want to include the VAT declaration

representative.
A representative is a person or an agency that has

license to make a VAT declaration for your company.
ID Enter the ID of the representative who is responsible for

making the VAT declaration.
File Name Enter the path and name of the file to which you want to
create the declaration.
To print the VAT-VIES declaration report to disk

1. Choose the icon, enter the VAT – Vies Declaration Disk , and then choose the related link.
2. Enter the required information, and choose the OK button to start the batch job, which will create a .xml file.
For more information, see VAT- VIES Declaration Disk.
3. If you have to make a correction, Choose the icon, enter VAT – VIES Correction , and then choose the
related link.
4. Choose the Edit List action, and then enter the information that has to be adjusted. Choose the OK button.
See Also
Belgian VAT
Set Up Belgian Tariff Numbers in the Belgian
Version
The Belgian customs and tax authorities have established an eight-digit item code for various tariff items.
To set up tariff numbers

1. Choose the icon, enter Tariff Numbers , and then choose the related link.
3. On the Tariff Numbers page, fill in the fields as described in the following table.
Conversion Factor Enter the conversion factor for the tariff number. The
conversion factor is the factor by which you have to
multiply the item unit to obtain the unit imposed by
Intrastat. The conversion factor can be used when the
item unit differs from the imposed Intrastat unit. The
field is available when Supplementar y Units is
selected.
Unit of Measure Enter the unit of measure for the tariff number. The field
is available when Supplementar y Units is selected.
Weight Mandator y Select this field to show the weight of the items.
See Also
Export Intrastat Third-Party Declararations
Companies in the European Union (EU) are required to report trade with other countries in the EU. This
reporting process is through Intrastat reporting or VIES (VAT Information Exchange System). There are two
types of Intrastat declarations:
Simplified declaration
Extended declaration
To determine the type of declaration that you should use, visit the National Bank of Belgium website.
Submitting the Intrastat Report

In Business Central, you can export the Intrastat declarations to a file that you can then submit to the OneGate
portal. For more information, see Export Intrastat Third-Party Declararations.
See Also
Set Up Intrastat Reporting
Set Up Intrastat Establishment Numbers in the
Belgian Version
The Intrastat establishment number is a company identification number that is printed on the Intrastat
declaration.
To set up an Intrastat establishment number

2. Enter the Intrastat establishment number in the Intrastat Establishment No. field.
See Also
Print the Intrastat Form Report in the Belgian
Version
The Intrastat - Form report must be used for reporting to Intrastat. In Belgium, you must report the
movement of goods to the statistics authorities every month, and the report must be sent to the tax authorities.
Before you print the Intrastat - Form report, you can also print the Intrastat Checklist report to verify the
contents of the report.
To print the Intrastat form report

1. Choose the icon, enter Intrastat – Form , and then choose the related link.
Name Enter the company name.
Address Enter the address.
Post Code + City Enter the postal code and the city.
Contact Enter the name of the contact person.
Telephone Enter the telephone number of the contact person.
Telefax Enter the telefax number.
International VAT number Enter the international VAT registration number.
Nihil declaration Select if you do not have any trade transactions with EU
countries and want to send an empty declaration. When
selected, the message "NIHIL" displays in the Message
field.
Message Enter a message to be printed on the Intrastat

declaration, such as "regular declaration" or "replacement
declaration".
See Also
Set Up Declaration Types in the Belgian Version
In Business Central, there are two types of declaration:

Simplified declaration
Extended declaration
The type of declaration depends on the amount of shipped or received goods. To determine the type of
declaration that you should use, visit the National Bank of Belgium website.
When using the extended declaration, you will also need to set up an Incoterm in Intrastat Declaration for each
shipping method. If you do not see the Incoterm in Intrastat Decl. field on the Shipment Method page, you
might need to customize the page and add the field.
To set up declaration types

2. Select the Simplified Intrastat Decl. check box to set up a simplified declaration type. Clear this field to use
extended declaration.
See Also
Export Intrastat Third-Party Declarations in the
Belgian Version
In Belgium, you must have a third-party declarant fill out the Intrastat declaration. The third-party declarant
must be an external person or company.
To export the third-party declaration

Before you export the file, it's a good idea to preview the report. For more information, see Print the Intrastat
Form Report.
1. Choose the icon, enter Intrastat Journals , and then choose the related link.
2. Choose the Create File action.
Nihil declaration Select if you do not have any trade transactions with
European Union (EU) countries/regions and want to send
an empty declaration.
Counter par ty info Check this field to include counter party information in
the Intrastat file (new requirement from 2019). The
counter party information added to the file is taken from
the Countr y/Region of Origin Code and Par tner ID
fields from the Intrastat Journal.
Enterprise No./VAT Reg. No. Enter the enterprise or VAT registration number.

Next, submit the declaration to the OneGate portal.
See Also
Belgian Electronic Banking
In the Belgian version of Business Central, you can exchange data with Belgian financial institutions
electronically. This speeds up processing time and helps avoid errors caused by manual data entry or
processing.
You can use electronic banking to perform the following functions:
Send electronic payments.
Process bank statements with CODA.
Process direct debits with domiciliations.
Setup
Before you can process electronic payments and statements, you must set up electronic banking in the
Electronic Banking Setup page as described in the following table.
Summarize Gen. Jnl. Lines Select to indicate if you want to group the payment journal
lines for each vendor. Payments with a structured message
will not be grouped.
Cut off Payment Message Texts Select to indicate if you want to truncate long payment
messages. Messages will be truncated if greater than 106
characters for domestic payments and less than 140
characters for international payments.
For information about the impact of the two fields on how payment journal lines are transferred to the general
journal, see Summarizing Payment Lines and General Journal Lines.
See Also
Belgian Electronic Payments
Direct Debit Using Domiciliation
In the Belgian version of Business Central, you can the following types of electronic payments:
EL EC T RO N IC PAY M EN T DESC RIP T IO N
Domestic These payments are in the local currency (LCY) and are
processed by a local financial institution for beneficiaries who
have accounts that have a local financial institution. The
validity of the bank account numbers will be verified by
Business Central.
International These payments are either in foreign currencies or in LCY

and are processed by a local financial institution for
beneficiaries who have accounts that have foreign financial
institutions. The validity of the bank account numbers will
not be verified by Business Central.
SEPA These payments are in euro and are processed in

countries/regions that accept SEPA payments. The validity of
the bank account numbers will be verified by Business
Central.
Non-Euro SEPA These payments are in currency other than euro and made
to a country/region outside the European Economic
Association (EEA). The validity of the bank account numbers
will be verified by Business Central.
Because the standard for electronic payments is different for countries/regions, electronic payments created in
the Belgian version of Business Central can only be processed by financial institutions in Belgium. For
international payments, the local financial institutions will then have to process the payment with the foreign
institutions.
NOTE
Credit memos cannot be processed separately because payments must not have a negative balance. To process a credit
memo, the credit memo must be added to one or more invoices by summarizing payments.
Before you can make electronic payments, you must set up use electronic banking. For more information, see
Setup. You must also specify the relevant export protocols. For more information, see Set Up Export Protocols.
Activate SEPA Payments in the Belgian Version

To submit vendor payments electronically in Single Euro Payments Area (SEPA) ISO 20022 payment format, you
must set up prerequisites for enabling SEPA payments in your company.
Your version of Business Central uses the generic functionality for SEPA payments but is optimized for local
requirements. To set up countries, bank accounts, vendors, vendor bank accounts, and the payment journal, see
Setting Up SEPA Credit Transfer. Hover over a field to read a short description.
You can now make SEPA payments. For more information, see Exporting Payments to a Bank File. If you do not
use the AC Banking 365 capability, you can export payment journal lines to a file. For more information, see
Export Payment Files.
File Non-Euro SEPA Payments

In Business Central, you can file non-euro SEPA payments with the bank. This is useful when you make
payments to other countries that do not use SEPA and for currencies other than the euro.
Before you can file a non-euro SEPA payment you must complete the following administration tasks:
Set up a new export protocol for a non-euro SEPA.
In the Countr y/Region table, clear the SEPA Allowed field for each country that belongs to the EEA zone.
In the General Ledger Setup page, verify that the Currency Euro field is blank, and that the SEPA Non-
Euro Expor t field is selected.
Verify that the vendor's Preferred Bank Account field in the Vendor table contains the IBAN and SWIFT
code.
To file a non-euro SEPA payment

1. Choose the icon, enter File Non Euro SEPA Payments , and then choose the related link.
Journal Template Name Specify the general journal template for the non-euro
SEPA payment report.
Journal Batch Specify the general journal batch for the non-euro SEPA
payment report.
Post General Journal Lines Specify if you want to transfer the payment lines to the
general ledger.
Include Dimensions Enter the dimensions that you want to include in the
non-euro SEPA payment report. The option is available
only if the Summarize Gen. Jnl. Lines field on the
Electronic Banking Setup page is selected.
Execution Date Enter an execution date if you want an execution date

that differs from the posting date on the payment lines.
File Name Enter the name of the file, including the drive and folder,
to which you want to print the report.
Correcting Payment Lines

You must correct all errors before you can post the electronic payment lines. You can correct payment lines in
the following ways.
C O RREC T IO N DESC RIP T IO N

C O RREC T IO N DESC RIP T IO N
Add a payment journal line If the payment journal already contains many lines and you
want to add an additional line, you can enter the journal line
manually. For example, if you want to reimburse a credit
memo to a customer. These types of customer payments are
not suggested automatically by the Suggest Vendor
Payments batch job.
Edit a payment journal line If you have not assigned a bank account to the payment
journal or if you have not specified a preferred bank account
on the Vendor card, you will have to manually enter this
information on each journal line before posting the journal. If
you specify a bank account for a vendor, the bank account
will be copied to all payment journal lines for that vendor.
For more information, see Setup.
Delete a payment journal line The Suggest Vendor Payments batch job creates
payment suggestions for all vendors matching the specified
criteria. If you want to prevent payment for a specific vendor
ledger entry or vendor, you can delete the corresponding
journal lines.
See Also
Print Payment Files
Set Up Export Protocols in the Belgian Version
Before you can use electronic banking, you must set up export protocols. Export protocols define the file format
that is generated when you export payment history to be processed by the bank. Each line contains an export
protocol identified by a code and a description. You can set up as many export protocols as necessary. You must
set up an export protocol for domestic payments, international payments, SEPA payments, and non-Euro SEPA
payments.
With export protocols, you can assign the codeunit that defines the check that should be performed before
exporting the payment lines to a file and the report that defines the payment format. For example, you might
have an export protocol named DOM1 . This export protocol contains the Check Domestic Payments check
codeunit and the File Domestic Payments report. Each export protocol has both a check codeunit and a
matching report, as shown in the following table.
C H EC K O B JEC T ID EXP O RT O B JEC T ID
2000002 Check Domestic Payments Report 2000001 File Domestic Payments
2000003 Check International Payments Report 2000002 File International Payments
2000004 Check SEPA Payments Report 2000005 File SEPA Payments
2000005 Check Non Euro SEPA Payments Report 2000006 File Non Euro SEPA Payments
If you do not want this option, set it to zero; otherwise, XMLport 1000 (SEPA pain.001.001.03 Payments)
select another option.
After you have set up export protocols, you can use them in your electronic banking payment journals.
To set up an export protocol

1. Choose the icon, enter Expor t Protocols , and then choose the related link.
3. On the Expor t Protocols page, fill in the fields as described in the following table.
Code Specify a code that uniquely identifies the export

protocol.
Description Specify a description for the export protocol entry. You

can enter a maximum of 50 characters, both numbers
and letters.
Code Expenses Specify the code that describes the type of expenses
associated with the export protocol entry. Code
expenses include blank , SHA , BEN, and OUR. For
international payments, SHA is the default.
Check Object ID Specify the identification number of the codeunit that

you want to use to perform a check on the object before
the payment file is exported.
Check Object Name Specify the name of a verification process that is used to
perform a check on the object before the payment file is
exported. After you select the Check Object ID , this
field will display the Check Object Name .
Expor t Object Type Specify the type of the object that defines the export
format of the payment file export. After you select the
Expor t Object ID , this field will display the Expor t
Object Type .
NOTE: To set the export protocol up for SEPA

pain.001.001.03, select XMLPor t .
Expor t Object ID Specify the identification number of the object that

defines the export format of the payment file export. For
example, if you select 2000002 , the export format for
the payment file will be File International Payments .
NOTE: To set up the export protocol for SEPA

pain.001.001.03, select XMLport 1000 .
Expor t No. Series Specify the number series that is used to assign
identification numbers to the payment file export.
See Also
Summarizing Payment Lines and General Journal
Lines in the Belgian Version
Business Central summarizes payment lines and journal line across the following types of payments:
Domestic payments
International payments
SEPA payments
Non-euro SEPA payments
How Payment Journal Lines are Transferred to the General Journal

When you export the payment journal lines to a file, Business Central transfers the payment journal lines to the
specified general journal. By default, a general journal line is created for each payment journal line.
The following two fields on the Electronic Banking Setup page affect how the payment lines are summarized:
Summarize Gen. Jnl. Lines
Cut off Payment Message Texts
If you have selected the Summarize Gen. Jnl. Lines check box on the Electronic Banking Setup page,
Business Central summarizes all payment journal lines for a specific vendor into one general journal line. The
general description "Payment %1," where %1 is the vendor number, is used for the summarized journal line
description. A separate payment line and a separate general journal line are created to handle:
Payment journal lines that contain partial payments, with both the Par tial Payment and the Separate
Line fields selected.
Payment journal lines that contain a standard format message (passes the MOD97 test), which sets
Standard Format Message to True in the electronic banking journal.
Example 1
In this example, you export payment lines, and the Summarize Gen. Jnl. Lines check box is selected. Business
Central creates:
One combined payment line in an XML file that has a concatenated payment message. White space is the
delimiter.
One payment line in the general journal with a generic description that includes the vendor name.
Example 2
In this example, you export payment lines, and the Summarize Gen. Jnl. Lines check box is selected. The Cut
off Payment Message Texts check box is cleared, and the combined SEPA and non-euro SEPA payment lines
exceed 140 characters in the payment message. Business Central creates:
Two combined payment lines in an XML file. The first payment line contains the first concatenated
payment messages. The second payment line contains the payment message from the third line.
Example 3
In this example, you export payment lines, and the Summarize Gen. Jnl. Lines check box is selected. The Cut
off Payment Message Texts check box is also selected, and the combined SEPA and non-SEPA payment lines
exceed 140 characters in the payment message. Business Central creates:
One combined payment line in an XML file that has two concatenated payment messages. An ellipsis (…)
is used to indicate that the message is truncated.
Based on the XML structure, the payments are summarized per account number, beneficiary bank account
number, and bank account number. The bank account filter can be empty.
The EndToEndId in the SEPA message is taken from the payment message and can be truncated to the maximum
length of 45 characters.
See Also
Set Up Electronic Banking
Setting Up Finance
Record Purchases
in the Belgian Version
You can set up each vendor so that unpaid invoices from that vendor are automatically included in payment
suggestions. For each vendor, you must decide whether you want to automatically generate payment
suggestions. If you do not want to generate payment suggestions for a vendor, you should not select the
Suggest Payments check box. This way the outstanding ledger entries for the vendor will not be included in
payment suggestions.
To set up a vendor to be included in the payment suggestion batch

2. On the Vendors page, select a relevant vendor, and then choose the Edit action.
3. Select the Suggest Payments check box.
If this field is not selected, no payment suggestions will be generated for the vendor.
See Also
Print Payment Files
Create Payment Journal Templates and Batches in
the Belgian Version
In Business Central, payment suggestions are generated and posted in payment journals. The structure of the
payment journal is similar to the structure of other journal types. However, the payment journal contains some
fields that are specific for processing payments. Before you can start generating payment suggestions, you have
to set up a payment journal template and a payment journal batch.
You can assign a specific page and a test report to each journal template. This way, you can manage your
domestic and international payments from this adjusted page. The specified source code will be copied to all the
journal lines that are created based on the journal template. The code is also copied to the entries when they are
posted. This way, you can always see where an entry has been posted from.
If you assign a bank account to the payment journal template, the bank account will be inserted on all payment
journal batches and payment journal lines that are created by using this template. By specifying a bank account
for the journal template, you can reduce the time that is required for checking the payment suggestions.
To create a payment journal template

1. Choose the icon, enter Payment Journal Templates , and then choose the related link.
3. On the Payment Journal Templates page, fill in the fields.
IMPORTANT
If the Page ID and Test Repor t ID fields are not shown, you must add them through personalization. The fields
must be filled in before you continue. For more information, see Personalize Your Workspace.
4. Repeat step 2 for any additional templates.

You can create multiple journal batches under each journal template. Several journals, each with its own name,
can display the same page. For example, this can be practical if every user must have a dedicated journal.
To add payment journal batches to the journal template

1. On the Payment Journal Templates page, choose the Batches action.
2. On the Paym. Journal Batch page, fill in the fields.
NOTE
To have the journal name update numerically, include a number in the journal batch name. For example, the name
KBC1 will increment by one number with every posting to KBC2, KBC3, and so on.
Next, you can test the configuration. For more information, see Test Electronic Payments.
See Also
Set Up Electronic Banking
Set Up IBLC-BLWI Transaction Codes
Make Journal Templates Mandatory
Test Electronic Payments in the Belgian Version
After you have set up electronic banking and generated payment suggestions, you can test the payment journal
lines for errors before posting them.
Some of the information that is validated includes:
Whether bank account numbers are valid.
Whether positive payment lines are present.
Whether domestic and international payments are made from only one bank account.
Whether only one bank account can be used for Interbanks Standards Association Belgium (Isabel).
Whether payment lines are in euro for Single Euro Payments Area (SEPA).
Whether a number series has been defined for SEPA.
You can view any errors on the Expor t Check Error Logs page.
IMPORTANT
You have to correct all errors before you can post the lines.
To test payment journal lines

1. Choose the icon, enter Payment Journals , and then choose the link to open the EB Payment Journals
page.
2. In the Batch Name field, select the required journal batch.
3. In the Expor t Protocol field, select the export protocol.
4. Enter the payment journal line information, and then choose the Check Payment Lines action to validate
the payment journal lines. The validation that is performed on the journal lines depends on the type of check
that is specified on the Expor t Protocols page.
See Also
Print Payment Files
Export Payment Files in the Belgian Version
After you have printed a test report and corrected all errors, you can export the payment journal lines to a
payment file.
A payment file contains either domestic, international, SEPA, or non-euro SEPA payments. The file can be sent to
a bank electronically. You can create only one file for each posting date and each currency code. When you
export the payments to a file, an accompanying note is printed, which can also be sent to the bank.
In the payment journal, the Status field on the exported lines will be set to Posted .
To print a payment file

1. Choose the icon, enter Payment Journal, and then choose the link to open the EB Payment Journal
page.
3. In the Expor t Protocol field, select the export protocol.
Export protocols control which payment file will be generated in the payment journal. You can have a
mixture of export formats in a single batch, such as domestic, international, SEPA, or a combination of
these. However, when exporting the payment lines to a file, you can use only one export format, or export
protocol.
NOTE
By defining the export protocol, you also define the type of validation that will be performed in the payment
journal.
4. Enter the payment journal line information.

a. Choose the Suggest Vendor Payments action.
b. In the Suggest Vendor Payments EB page, set the relevant filters and options.
This batch job processes open vendor ledger entries and creates a payment suggestion as lines in
a payment journal. Open vendor ledger entries result from posting invoices and finance charge
memos.
Only the ledger entries of vendors where the Suggest Payments field is selected on their
Vendor card are included in the batch job. The suggestions are registered in a payment journal.
You must specify a last payment date that will be used in the batch job.
In addition, only vendor entries that are not marked as On Hold in the Vendor Ledger Entries
page are included in the batch job. You can also run the batch job so that it also includes payments
for which you can obtain a discount.
When you enter an available amount, the vendors will be ordered by Priority .
You can define what is included in the report by setting filters. To set additional fields on the tab,
choose the field. Hover over a field to read a short description.
c. Delete or modify the lines as appropriate.
d. If no bank account is indicated on the payment journal template, indicate a bank account to pay
with on each line.
5. Choose the Check Payment Lines action.
The Expor t Check Error Logs page displays any errors that exist. If there are errors, you must fix them
before you can continue.
6. If there are no errors, choose the Expor t Payment Lines action.
The report that you specified in the relevant export protocol will process the payment lines and generate
the file.
See Also
Direct Debit Using Domiciliation
A domiciliation is a financial agreement between you and your customers, allowing you to automatically collect
the payments for customer's invoices through a preferred bank account. Domiciliations can only be processed
for domestic customers with domestic bank accounts. Domiciliations in foreign currencies or involving foreign
banks are not supported.
Direct debit domiciliation is useful for companies with many customers or subscribers, such as a utility company
or a publishing company.
Before you can start using electronic banking for domiciliations, you must enter certain basic information.
Domiciliation number - This is a unique code obtained from the bank which identifies the domiciliation
agreement between you, your customer, and the bank. The contract contains details regarding payment
frequency, bank account numbers, and amounts. When you send your payments to the bank, the bank
will use the domiciliation number to identify all parties involved.
Preferred bank account - The preferred bank account will be suggested as a default bank account on all
domiciliation suggestions for that customer. If necessary, you can change the bank account before
posting the domiciliation suggestions. For more information, see Generate Domiciliation Suggestions.
Set Up Domiciliations
Before you can use electronic banking for domiciliations, you must enter the customer's domiciliation number
and preferred bank account.
NOTE
You should use one bank account per customer for all domiciliations.
To set up domiciliation
2. Select the customer, and then choose the Edit action.
Domiciliation Enter the domiciliation number for the customer. This

number will be used when you create domiciliations for
this customer.
Preferred Bank Account Enter the preferred bank account for transactions with
this customer. This account will be used when you create
a payment suggestion for this customer.
Generate Domiciliation Suggestions

After you have set up domiciliations, you can start generating domiciliation suggestions. In Business Central,
you can create domiciliation suggestions for domestic customers only.
To generate domiciliation suggestions
1. Choose the icon, enter Domiciliation Journal , and then choose the related link.
2. In the Batch Name field, select the required journal batch, and then choose the Suggest
Domiciliations action.
3. Fill in the fields as displayed in the following table.
Due Date Enter the due date to be included in the batch job. Only
entries that have a due date before or on this date will
be included.
Take Payment Discounts Select if you want the batch job to include customer
ledger entries for which you can receive a payment
discount.
Payment Discount Date Enter the date that will be used to calculate the payment
discount.
Select Possible Refunds Select if you want the batch job to include refunds.
Posting Date Enter the date that will appear as the posting date on
the lines that the batch job inserts in the domiciliation
journal.
4. Enter any additional filter criteria.

When the batch job is finished, the domiciliation journal contains all open customer ledger entries that match
the filters.
NOTE
The domiciliation suggestions will include only customers who have a Domiciliation number set up. For more information,
see the Set Up Domiciliations section.
Edit and Delete Domiciliation Lines

After you have generated domiciliation suggestions, you might want to change the domiciliations lines. For
example, you might want to reassign a bank account or prevent payment for a specific customer or customer
ledger entry.
After you have modified the journal lines, print the Domiciliation Journal - Test report to test all journal lines.
The Suggest Domiciliations batch job creates domiciliation suggestions for all customers matching the
specified criteria.
To edit a journal line
1. Choose the icon, enter Domiciliation Journals , and then choose the related link.
3. Select the journal line, and edit the fields.
To delete a journal line
1 Choose the icon, enter Domiciliation Journals , and then choose the related link.
3. Select the journal line, and then choose the Delete action.
Test Domiciliations
To test the domiciliation journal lines, you can use the Domiciliation Journal - Test report. This report prints
an overview of all journal lines, along with any errors such as missing fields or incorrect bank accounts. You
have to correct all errors before you can post the lines.
To print a domiciliation test report
1. Choose the icon, enter Domiciliation Journal , and then choose the related link.
Export and Post Domiciliations

You can submit domiciliations to your bank by exporting the data to a file. When you export to a file, you can
choose to automatically post the lines to the general ledger.
Depending on setup of the SEPA Direct Debit Exp. Format field on the Bank Account Card page, the File
Domiciliations action opens either of these request pages:
Create Gen. Jnl. Lines page – for the SEPA Direct Debit format.
File Domiciliations page – for domestic formats.
To export and post domiciliations
1. Choose the icon, enter Domiciliation Journals , and then choose the related link.
2. In the Batch Name field, select the required journal batch, and then choose the File Domiciliations
action.
3. On the Create Gen. Jnl. Lines page, fill in the fields. Hover over a field to read a short description.
If your company is set up to use the ISABEL format, the File Domiciliations page appears instead.
4. Choose the OK button to export the file.
5. Choose an appropriate location from where you upload the file to your bank, and then choose Save .
6. Choose the Yes button to automatically post the domiciliation journal lines.
If you did not select the Post General Journal Lines check box, you will have to post the domiciliations
manually in the general journal.
NOTE
After you have posted domiciliations in the general journal, delete the posted domiciliations on the Domiciliation
Journal page. To do this, select all lines with status Posted , and then choose the Delete action.
See Also
Belgian CODA Bank Statements in the Belgian
Version
The Coded Statement of Account (CODA) is a national banking standard, designed by the Belgian Banker's
Association, which allows you to automatically process electronic bank statements.
Each type of transaction in a CODA statement is assigned a unique code. Business Central uses this code to
interpret transactions and apply them to the corresponding ledger entries.
Applying Statement Lines

When you have imported a CODA statement, you can apply the statement lines to existing ledger entries, based
on the information in the Transaction Coding table.
If the transaction coding of the statement line is not found, Business Central will stop processing and continue
with the next statement line. If you select the Default Posting field, the statement line will be used as a default
posting.
If the transaction coding of the statement line is found, the statement lines will be matched to the following
account types and corresponding account numbers:
General ledger - If the account type is a general ledger account, the statement line is posted on the
corresponding general ledger account.
Customer or vendor - If the account type is customer or vendor, a matching customer or vendor ledger
entry is found based on the following criteria:
If a ledger entry is found using the standard format, the ledger entry will be matched to the
statement line, and the application status will be set to Applied . If the ledger entry does not use
the standard format, the bank account number of the customer or vendor is used to find the
customer or vendor.
If no ledger entry with a matching remaining amount is found, the customer or vendor account is
used, and the application status will be set to Par tly Applied .
If the bank account number is used to find the customer or vendor, a matching ledger entry is
found based on the amount of the statement line. If the amount is found, the statement line is
matched to the corresponding ledger entry, and the application status will be set to Applied .
If the bank account number cannot be used to find the customer or vendor, Business Central will
either stop processing the current line or use the line as a default posting, before continuing with
the next statement line.
You can run the process as many times as you like. Only statement lines with a blank application status will be
applied.
When you have applied all statement lines to a general ledger account or to a matching customer ledger entry
or vendor ledger entry, you are ready to post the CODA statement lines. For more information, see
Automatically Transfer and Post CODA Statements.
Extending the CODA integration

The current support for CODA bank statements can be used in Business Central online and on-premises.
However, partners cannot extend the capabilities in an app for Business Central online. The code is not
deprecated but can only be extended or customized for on-premises deployments.
See Also
Set Up Bank Accounts for CODA
Apply CODA Statements in the Belgian Version
After a CODA statement has been imported, the statement lines can be accessed from the Bank Account Card
page. The application status on each line will be blank because the statement amounts have not been applied to
outstanding ledger entries.
Statement amounts can be applied to outstanding ledger entries by:
Manually applying CODA statement lines.
Automatically applying CODA statement amounts to the appropriate ledger entries and accounts. Automatic
processing of CODA statement lines is recommended.
To manually apply the CODA statement lines

2. Select the bank account, and then choose the CODA Statements action.
3. Select the CODA statement, and then choose the Edit action.
4. For each statement line, fill in the fields as described in the following table.
Account No. Enter the number of the general ledger account, bank,
customer, vendor, or fixed asset that the bank account
statement line is linked to.
Description Business Central automatically retrieves the description

from the imported CODA file, but you can modify the
contents of this field.
To automatically apply the CODA statement lines

4. Choose the Process CODA Statement Lines action.
Default Posting Select if you want the batch job to post statement
amounts that cannot be linked to existing ledger entries.
Print List Select to print a list of statement amounts that cannot

be linked automatically.
When you start the batch job, statement amounts will be applied to existing ledger entries based on the
transaction codes. For more information, see Set Up Bank Accounts for CODA.
See Also
in the Belgian Version
After you have applied and processed all CODA statement lines, you can transfer the CODA statement lines to a
financial journal.
After transferring the statement lines, you can post the lines in a corresponding general journal. If no such
general journal exists, you cannot transfer the lines. You can create a journal to handle CODA statements. For
more information, see Create Financial Journals.
Alternatively, you can manually transfer and post CODA statements. For information, see Manually Transfer and
Post CODA Statements.
To automatically transfer statement lines

4. Choose the Transfer to General Ledger action.
The batch job will now transfer the CODA statement lines to the financial journal.
After transferring the statement lines to the journal, you can post the statement lines in the corresponding
financial journal.
See Also
Manually Transfer and Post CODA Statements in the
Belgian Version
After you have applied and processed all CODA statement lines, you can manually transfer the CODA statement
lines to a financial journal. The financial journal lets you enter a starting balance and an ending balance and
automatically calculate the difference between the two balances. Posting is not allowed if the statement line
amounts do not balance with the statement ending balance.
For information about how to automatically transfer statements, see Automatically Transfer and Post CODA
Statements.
To manually transfer and post statement lines

2. Select the journal, and then choose the OK button.
3. Enter the Statement Ending Balance field.
4. Manually enter each line of the statement.
See Also
Import CODA Statements in the Belgian Version
When you receive a CODA statement from your bank, you must import it into Business Central. For more
information, see Set Up Bank Accounts for CODA.
To import a CODA statement

2. Select the bank account, and then choose Impor t CODA File action.
3. Enter the name of the file to import, and then choose the OK button.
This imports the CODA statement. Next, you must process the CODA statement lines. For more information, see
Apply CODA Statements.
See Also
Apply and Unapply General Ledger Entries in the
Belgian Version
By applying temporary general ledger entries, companies can work with temporary and transfer accounts in the
general ledger. Temporary and transfer accounts are used to store temporary ledger entries that are waiting for
further processing into the general ledger.
You can use temporary accounts for:
Money transfers from one bank account to another.
Financial transaction transfers from one system to another in which part of the information temporarily
resides on the original system.
Transactions for which you have issued a sales invoice to a customer but have not yet received the
corresponding purchase invoice from the vendor.
When the ledger entries have been processed, you can use the Apply Entries function to update the posted
ledger entries and the posting account type.
You can unapply the applied general ledger entries and then open the closed entries to make changes.
To apply general ledger entries

2. Select a general ledger register, and then choose the General Ledger action.
3. On the General Ledger Entries page, choose the Apply Entries action.
All open ledger entries for the general ledger account are displayed on the Apply General Ledger
Entries page.
NOTE
By default, the Include Entries field is set to Open . You can change the value of the Include Entries field to All
or Closed . You can only apply general ledger entries that are Open .
4. Select the relevant general ledger entry, and then choose the Set Applies-to ID action.
The Applies-to ID field is updated with the user ID. The remaining amount is displayed in the Balance
field on the Apply General Ledger Entries page.
You can post the application even if the balance amount is equal to 0. When posted, the Remaining
Amount field is affected as follows:
If the Balance is equal to 0, then the Remaining Amount field on all ledger entries is set to 0.
If the Balance is not equal to 0, then the amount in the Balance field is transferred to the
Remaining Amount field for the general ledger entry that was selected when you posted the
application.
For all other general ledger entries, the Remaining Amount field is set to 0 and the Open ,
Closed by Entr y No., Closed by Amount , and Closed at Date fields are updated.
NOTE
When posted, the general ledger entries which update the Applies-to ID field are deleted.
To view the applied general ledger entries

3. Select the relevant general ledger entry, and then choose the Applied Entries action.
You can view all the applied general ledger entries.
To unapply general ledger entries

3. Select the general ledger entry that you want to unapply, and then choose the Undo Application action.
The applied general ledger entries are unapplied.
NOTE
If an entry is applied to more than one application entry, you must unapply the latest application entry first. By
default, the latest entry is displayed.
See Also
Create Financial Journals in the Belgian Version
Financial journals are used to register bank account transactions. A financial journal lets you enter a starting
balance and an ending balance and automatically calculate the difference so that you can verify that all of the
transactions have been registered.
To create a financial journal

1. Choose the icon, enter Journal Templates , and then choose the related link.
Type Select Financial for the type of journal.
Bal. Account Type Select Bank Account for the type of balancing account.
Bal. Account No. Select the number of the balancing account.
See Also
Belgium Local Functionality Make Journal Templates Mandatory
Export to Accon in the Belgian Version
The Link to Accon report enables you to create a file that can be imported into ACCON Plus to generate an
annual income statement. The report exports the total balances of the general ledger accounts for a specific
period.
To export the Link to Accon report

1. Choose the icon, enter Link to Accon , and then choose the related link.
2. Choose the Show Amounts in Add. Repor ting Currency check box so that amounts print in the
additional reporting currency. If the check box is cleared, the amounts will be printed in local currency.
3. Enter the filter information.
See Also
Enterprise Numbers and Branch Numbers in the
Belgian Version
Companies receive a unique enterprise number and one or more branch numbers from the Belgian Crossroads
Bank for Enterprises. These numbers are used in all correspondence to simplify communication with the Belgian
administrative and legal authorities.
Enterprise Numbers
The enterprise number replaces the existing VAT number. For existing companies with a VAT registration number,
the enterprise number is set as the VAT registration number preceded by a leading zero. New companies will
receive a new enterprise number.
The enterprise number is printed on the following documents:
Outgoing sales and purchase documents
Financial statements
Reminders and finance charge memos
Intrastat forms and files
The enterprise number is set up in the following locations:
Company Information table
Contact card
Customer table
Vendor table
Branch Numbers
A branch number is given to a company to identify an address where at least one of the company’s activities is
exercised, for example, a workshop, office, warehouse, agency, or subsidiary. Unlike the enterprise number, there
is no legal requirement to print the branch number.
All branches of a company will receive a unique number that is different from the enterprise number. The branch
number is transferable to another company, such as after a merger or takeover.
The branch number is set up in the following locations:
Company Information table
Location table
See Also
Belgium Local Functionality Crossroads Bank for Enterprises
Limit the Posting Period in the Belgian Version
In Business Central, you can limit the period by which posting is permitted on three different levels: by
company , by user , and by template .
Limiting posting periods can be useful when a company closes its sales journal at the end of each month. This
keeps salespeople from registering sales documents from the previous month. At the same time, the purchase
journal may stay open to register incoming purchase invoices from the previous month.
When you post on the General Journal Templates page, the contents of the Allow Posting From field and
Allow Posting To field are checked for a date interval. The date interval indicates when you can post to a
journal template. If the field is blank, the User Setup page is checked for a date interval for the current user. If
the User Setup page does not contain an interval, the Allow Posting From field and the Allow Posting To
field on the General Ledger Setup page is checked for a date interval at the company level.
To limit the posting periods by company

2. To specify the start of the period, choose the Allow Posting From field, and then enter the earliest date on
which posting to the company is enabled.
3. To specify the end of the period, choose the Allow Posting To field, and then enter the last date on which
posting to the company is enabled.
To limit the posting periods by user

which the user can post to the company.
3. To specify the end of the period, choose the Allow Posting To field, and then enter the last date the user will
be able to post to the company.
To limit the posting periods by template

1. Choose the icon, enter General Journal Templates , and then choose the related link.
which the user can post to the company.
3. To specify the end of the period, choose the Allow Posting To field, and then enter the last date the user will
be able to post to the company.
See Also
Set the Work Date as the Posting Date in the
Belgian Version
You can set up the general ledger to use the work date as the posting date for customer or vendor open entries
on an invoice, payment, or credit memo.
To set the work date as the posting date

2. Select the Use Workdate for Appl./Unappl. field.
See Also
Make Journal Templates Mandatory in the Belgian
Version
You can use journals to post purchase and sales documents and make other general ledger entries. Journal
templates can then help you structure different types of entries. In the Belgian version of Business Central, you
must specify if journal templates are required in the current company.
To make journal templates required in a company

2. On the General FastTab, select the Journal Template Name Mandator y field. This field specifies if users
must specify a journal template when they post general ledger transactions.
NOTE
If the Journal Template Name Mandator y field is not selected, Business Central will not use template names in the
posted documents and entries.
Use journal templates in sales and purchase documents

If your organization decides to switch on the Journal Template Name Mandator y field, you must configure
which journal templates will be used as default in sales and purchase documents.
TIP
Before you post a transaction, you can change the suggested template name in the Journal Template Name field. This
way, the transactions are assigned another document number, as defined by the template.
To use journal templates in sales documents

2. On the Journal Templates FastTab, choose the journal templates you want to use as default for all sales
documents.
To use journal templates in purchase documents
2. On the Journal Templates FastTab, choose the journal templates you want to use as default for all purchase
documents.
See Also
Create Financial Journals in the Belgian Version
Local Functionality in the Canadian Version
The following topics describe local functionality that is unique to the Canadian version of Business Central.
Tax
Reporting Sales Tax and Goods/Services Tax in Canada Available Now
Reporting Sales Tax in Canada Available Now
Set Up Unrealized Sales Tax and Sales Payment Discounts Available Now
Set Up Use Tax and Purchase Tax Available Now
Banking & Payments
Create Deposits Available Now
Make Electronic Payments Available Now
General
Print Troubleshooting Reports Available Now
Work With GIFI Codes Available Now
See Also
Start a free trial!

Reporting Goods/Services Tax and Harmonized
Sales Tax in Canada
In Canada, when a vendor does not have a business presence in the province in which purchases are made, the
vendor will charge the Goods and Services Tax (GST) or Harmonized Sales Tax (HST) only. However, if the
province has a Provincial Sales Tax (PST), then the purchaser must still calculate the PST and pay it directly to the
province. When a Provincial Tax Area Code is selected, Business Central uses it to calculate the PST and post it so
that there is a tax liability in both the general ledger and the tax entry records. Therefore, the tax area code
selected here should be one where only the PST is included, not the GST.
Submitting the GST/HST File

The tax information in purchase documents is used to generate a GST/HST online file transfer that you must
provide to the tax authorities. This file includes goods and services tax (GST) and harmonized sales tax (HST).
The file is created in a .tax file format, which can be transferred online. Use the GST/HST Internet File Transfer
batch job to generate the .tax file.
See Also
Canada Local Functionality
Finance
Setting Up Finance
Reporting Sales Tax in Canada
Work with Business Central Set Up Calculations and Posting Methods for Value-Added Tax
When you first start using Business Central, you can run an assisted setup guide to quickly and easily set up
sales tax information for your company, customers, and vendors. In a matter of minutes, you are ready to create
sales documents and purchase documents with sales tax calculated correctly. Just search for the Set Up Sales
Tax assisted setup guide, and then follow the steps in the guide. This includes specifying the accounts that you
want to use for sales tax for sales and purchases.
We recommend that you choose to apply the new tax area to your own company information. If you also choose
to apply it to customers or vendors, you'll be asked if you want to set a filter for which customers or vendors
you want to apply the information to. For example, you can choose to apply the tax area to those customers that
are in your own city or county, or to all customers.
Who you assign the tax area codes to will determine the taxes that are calculated on your sales and purchasing
transactions.
If you move to the empty My Company, we recommend that you start by using each of the assisted setup
guides, including the one for sales tax. If you prefer to set up sales tax yourself, this article explains what you
have to take into consideration. But we recommend that you work closely with your tax advisor.
Tax Groups, Tax Areas, and Tax Jurisdictions

In Business Central, a tax group represents a group of inventory items or resources that are subject to identical
tax terms. For example, you can set up a tax group for taxable items and another for nontaxable items. You must
assign tax group codes to inventory items and general ledger accounts. Similarly, you must assign tax area
codes to customers, locations, and to your own company settings. The assisted setup guide helps you do this.
Each tax area is a grouping of sales tax jurisdictions based on a particular geographic location. For example, the
tax area for Miami, Florida, includes three sales tax jurisdictions: city (Miami), county (Dade), and state (Florida).
Business Central includes a limited set of tax areas with a default configuration, but you can change them and
add new tax areas.
If you set up new tax areas and tax jurisdictions, you must make sure that you fill in the fields correctly. In
Canada, the federal government and provinces can charge sales tax. Companies collect and remit sales tax to
these government authorities for products sold to end users. Sales tax can also be charged to existing sales tax.
For example, tax can be calculated on a sales invoice amount that already includes the tax from other
jurisdictions.
In Canada, tax amounts must be detailed in documents for each tax jurisdiction. Up to four jurisdictions can be
displayed in a document, and jurisdictions that have the same print order are combined when they are printed.
Tax Details
The Tax Details page shows different combinations of sales tax jurisdictions and sales tax groups to establish
sales tax rates. For each tax jurisdiction, we recommend that you set up one tax group for normal sales tax,
another tax group for items or services that are not taxed, and an additional tax group for every type of item or
service that is handled with a different sales tax rate in that jurisdiction. Hover over a field to read a short
description.
See Also
Finance
Setting Up Finance
Sales Tax and Goods and Services Tax in Canada
Set Up Sales Tax - Watch a Video
Set Up Unrealized Sales Tax and Sales Payment
Discounts in the Canadian Version
You can use the General Ledger Setup page to set up unrealized sales tax. You can also set up maximum
correction tax amounts so that you can limit the tax correction amounts that are entered for sales and purchases.
This allows you to overwrite the calculated tax when there are rounding differences between what is calculated
on the purchase order, and what is calculated on the purchase invoice from the vendor.
NOTE
If you work with excise tax, the system does not allow you to change the Tax Amount field on the Statistics page for an
invoice, for example to adjust for rounding. Therefore, if you have set up an excise tax with more than two decimals and
you experience a rounding difference compared to your vendor's invoices, then you must handle the rounding difference
by posting an extra G/L entry so that the total matches the document amount. This posting could be made to an expense
account dedicated to amount rounding.
To set up unrealized sales tax

2. On the General Ledger Setup page, on the General FastTab, fill in the fields as described in the
following table.
Pmt. Disc. Excl. Tax Select to calculate the payment discount on amounts
excluding sales tax.
Adjust for Payment Disc. Select to recalculate the tax amounts when you post
payments that trigger payment discounts.
This field is used in the context of VAT, not sales tax.
Unrealized VAT Select if any of your sales tax jurisdictions allow you to
pay your sales tax after you have been paid. If you do
not select this check box this function will be blocked for
all sales tax jurisdictions.
To set up unrealized tax for jurisdictions

1. Choose the icon, enter Tax Jurisdictions , and then choose the related link.
2. On the Tax Jurisdictions page, choose the Edit List action.
Unrealized Tax Type <Blank> – The unrealized tax feature is not used for this
tax jurisdiction.
–or–
Percentage – Each payment covers both tax amounts

and invoice amounts in proportion to the remaining
invoice amount. The paid tax amount is transferred from
the unrealized tax account to the tax account.
–or–
First – Payments cover the tax first, and then the invoice
amount.
–or–
Last – Payments cover the invoice amount first, and

then the tax amount. In this case, nothing will be
transferred from the unrealized tax account to the tax
account until the total invoice amount—exclusive of tax
—has been paid.
–or–
First (Fully Paid) – Payments cover the tax first, but

nothing is transferred to the tax account until the full tax
amount has been paid.
–or–
Last (Fully Paid) – Payments cover the invoice amount

first, but nothing is transferred to the tax account until
the full tax amount has been paid. Impor tant: This field
is available on the Tax Jurisdiction page, but it is not
shown by default. To select the field, you must first add
the column that shows this field. You can change how
certain UI elements are displayed. For more information,
see Personalize Your Workspace.
Unreal. Tax Acc (Sales) The general ledger account that you want to use to post
calculated unrealized tax on sales transactions.
Impor tant: This field is available on the Tax
Jurisdiction page, but it is not shown by default. To
select the field, you must first add the column that
shows this field. You can change how certain UI elements
are displayed. For more information, see Personalize Your
Workspace.
Unreal. Tax Acc (Purchases) The general ledger account that you want to use to post
calculated unrealized tax on purchase transactions.
Impor tant: This field is available on the Tax
Jurisdiction page, but it is not shown by default. To
select the field, you must first add the column that
shows this field. You can change how certain UI elements
are displayed. For more information, see Personalize Your
Workspace.
Unreal. Rev. Charge (Purch.) The general ledger account that you want to use for
posting calculated unrealized reverse-charge tax on
purchase transactions. Impor tant: This field is available
on the Tax Jurisdiction page, but it is not shown by
default. To select the field, you must first add the column
that shows this field. You can change how certain UI
elements are displayed. For more information, see
Personalize Your Workspace.
To set up adjustments for payment discounts in a tax posting group

1. Choose the icon, enter Tax Posting Setup , and then choose the related link.
3. On the Tax Posting Setup Card page, select the Adjust for Payment Discount check box.
IMPORTANT
This field is available on the VAT Posting Setup page, but it is not shown by default.
To set up maximum tax correction amounts

2. On the Sales Receivables Setup page, on the General FastTab, select the Allow Tax Difference check
box.
5. On the Purchases & Payables Setup page, on the General FastTab, select the Allow Tax Difference
check box.
8. On the General Ledger Setup page, in the Max. Tax Difference Allowed field, enter the maximum
tax correction amount that is allowed for the local currency.
NOTE
In this field, if you enter USD 5, you may correct tax amounts by up to five dollars. To use the tax difference
function, an amount must be entered in the Max. Tax Difference Allowed field.
See Also
Finance
Setting Up Finance
Set Up Use Tax and Purchase Tax in the Canadian
Version
Sales tax includes taxes that companies pay for using items:
Use tax (United States) – Use tax is a United States sales tax that is paid on items that are purchased by a
company and are used by that company instead of being sold to a customer. The company must pay sales tax
for those items to the government, in the form of use tax.
Purchase tax (Canada) – Purchase tax is a Canadian sales tax that is paid by a company on items that are
purchased from a vendor. When a company purchases items for use by the company itself, the vendor
charges the appropriate sales tax for the items.
To set up use tax for a purchase order

2. On the Purchase Orders page, choose the New action.
3. On the Lines FastTab, fill in the fields as necessary. Hover over a field to read a short description.
4. On the Invoicing FastTab, fill in the fields as described in the following table.
Tax Liable Select to set up tax liability. Impor tant: This field is
available on the Purchase Header page, but it is not
Tax Area Code The tax area code of the vendor. Impor tant: This field is
Tax Exemption No. The company's tax exemption number. You can enter a
maximum of 30 alphanumeric characters. Impor tant:
This field is available on the Purchase Header page,
but it is not shown by default. To select the field, you
must first add the column that shows this field. You can
change how certain UI elements are displayed. For more
Provincial Tax Area Code The tax code for the province. Impor tant: This field is
To set up use tax details

1. Choose the icon, enter Tax Details , and then choose the related link.
2. On the Tax Details page, choose the New action.
3. On the New - Tax Details page, fill in the fields as described in the following table.
Tax Jurisdiction Code The tax jurisdiction code for the tax detail entry.
Tax Group Code The tax group code for the tax detail entry.
Tax Type Sales and Use Tax – To apply both sales tax and use
tax to the tax detail entry.
–or–
Excise Tax – To apply excise tax to the tax detail entry.
–or–
Sales Tax Only – To apply only sales tax to the tax detail
entry.
–or–
Use Tax Only – To apply only use tax to the tax detail
entry.
To set up purchase tax for a company

2. On the Company Information page, on the Tax FastTab, fill in the fields as described in the following
table.
Tax Area Code The company's tax area code. The tax area code is used
in conjunction with a tax group code field and the Tax
Liable field to find the necessary information for
calculating sales tax.
Provincial Tax Area Code The tax code for the province.
To set up purchase tax for a location

2. On the Locations page, select the required location, and then choose the Edit action.
Do Not Use For Tax Calculation Select to specify whether the tax information included on
this location record is to be used for sales tax calculations
on purchase documents.
Tax Area Code The tax area code for the location. The tax area code is
used in conjunction with a tax group code field and the
Tax Liable field to find the necessary information for
calculating sales tax.
Provincial Tax Area Code The tax code for the province.
To set up purchase tax for non-recoverable tax

1. Choose the icon, enter Tax Details , and then choose the related link.
2. On the Tax Details page, choose the New action.
3. Select the Expense/Capitalize check box.
NOTE
This check box must be selected if the tax paid is not recoverable.
See Also
Finance
Setting Up Finance
Create Deposits in the Canadian Version
NOTE
New capabilities for creating bank deposits are available in Business Central 2022 release wave 1 for a lot of country
versions. If you were using Business Central in the United States, Canada, or Mexico before that release, you might be
using the earlier capabilities. You can continue, but the new capabilities will replace the old ones in a future release. To
start using the new features right away, your administrator can go to the Feature Management page and turn on
Feature Update: Standardized bank reconciliation and deposits . For more information, see Create Bank Deposits.
You can make bank deposits to maintain a transaction record that contains information that can be applied to
outstanding invoices and credit memos.
The Deposits page specifies bank deposit information such as the bank account number, total deposit amount,
deposit lines, posting date, document date, department code, currency code, and bank deposit notes. You can
use the page to create new bank deposits, post deposits, print deposits, view deposit comments, or view a report
that shows the deposit amount to reconcile.
The Deposit report displays customer and vendor deposits with the original deposit amount, the amount of the
deposit that remains open, and the amount applied. The report also shows the total posted deposit amount to
reconcile.
Bank deposit lines contain information about the individual deposited items, such as checks from customers.
This information includes the document date and number, account type and number, and amount. The total of
After you have filled in the deposit information and lines, you must post it in order to update the relevant
ledgers, such as the bank ledger, general ledger, or customer ledger. Posted deposits are stored for future
reference and can be viewed on the Posted Deposits page.
To create a deposit
1. Choose the icon, enter Deposits , and then choose the related link.
3. On the General FastTab, fill in the required fields as described in the following table.
No. The unique identification number for the deposit.
Bank Account No. The bank account number for the deposit.
Total Deposit Amount The total deposit amount posted to the bank ledger.
You can post this deposit only if the sum of the deposit
lines is equal to the value in this field.
Posting Date The posting date for the deposit.

Document Date The deposit document date.
4. On the Lines FastTab, fill in the required fields as described in the following table.
Account Type The account type.
Account No. The unique identification account number that is

associated with the selected account type, to which the
entry will be posted.
Description The journal line entry description.
Document Date The journal line entry document date.
Document Type The journal line entry document type.
Document No. The journal line entry document number.
Credit Amount The total credit amount on the journal line.
5. Optionally, choose the Dimensions action, and then add dimensions on the Dimension Set Entries
page.
TIP
To post a bank deposit as single bank account ledger entry with the total sum of amounts in the bank deposit
lines, turn on the Post as Lump Sum toggle on the bank deposit. To post as lump sums for new bank deposits
by default, on the Sales & Receivables Setup page, turn on the Post Bank Deposits as Lump Sum toggle.
NOTE
You can post a deposit only if the amounts in the Total Deposit Lines and Total Deposit Amount fields are
equal.
Next, you can use the Deposit Test and Deposit reports to reconcile your posted deposits with outstanding
invoices and credit memos.
See Also
Finance
Setting Up Finance
NOTE
NOTE
journal lines.


methods
TIP

format.
NOTE
currency.

Transfer format.
check box.
or methods

NOTE
NOTE
exported.
TIP
NOTE
steps.
NOTE

See Also
Managing Payables
Print Troubleshooting Reports in the Canadian
Version
The following troubleshooting reports are available to assist Microsoft Certified Partners with troubleshooting
issues:
License Information report – This report contains the license number, the name of the licensed user, which
application granules they have purchased, and when the license expires, if applicable.
Data Dictionar y report (report #10315) – This report allows you to print detailed table reference, field
reference, and table properties for table objects.
You must have access to Business Central Object Designer, which is available only to administrators and only in
Business Central Spring 2019 and earlier.
You can print these reports and send them to your Microsoft Certified Partner to help resolve issues with your
Business Central implementation.
To print the License Information report

1. In Business Central Object Designer, on the Tools menu, choose License Information .
2. On the License Information page, you can preview the license information, or you can choose the Expor t
button to print the License Information report.
To print the Data Dictionary report

1. In Business Central Object Designer, on the Tools menu, choose Object Designer .
2. Choose the Repor t button.
3. In the Type column, find ID 10315, which is the Data Dictionar y report.
4. On the Object Designer page, choose the Run button to open the Data Dictionar y report.
5. On the Options tab, enter the relevant information into the fields.
See Also
Finance
Setting Up Finance
Work With GIFI Codes in the Canadian Version
Fiscal information can include general ledger accounts, reports, income statements, balance sheets, and
statements of retained earnings. Fiscal information is classified using codes. The use of codes helps the
government to process information, prepare for electronic filing, and validate tax information electronically. The
use of codes also helps statistical organizations to work more efficiently, as financial information is more readily
available. For more information, see the Canada Revenue Agency website.
The Canada Revenue Agency uses General Index of Financial Information (GIFI) codes to collect, validate, and
process financial and tax information electronically. It is a best practice to assign GIFI codes only to posting
accounts, so that all totaling is done by your tax preparation software.
When an account is associated with a GIFI code, it is reported to the revenue agency under that code. Multiple
accounts can all have the same GIFI code, but each account can have only one GIFI code.
You can export balance information by GIFI code and save the exported file in Excel, which is useful for
transferring information to your tax preparation software.
To set up GIFI codes

In Business Central, you must set up GIFI codes for general ledger accounts, reports, balance sheets, income
sheets, and statements of retained earnings.
1. Choose the icon, enter GIFI Codes , and then choose the related link.
2. On the GIFI Codes page, choose the New action.
3. Set up GIFI codes by filling the fields. Hover over a field to read a short description.
To associate GIFI codes with G/L accounts

To report financial information by GIFI code, each GIFI code must be associated with the appropriate accounts in
the chart of accounts.
2. Select a relevant general ledger account, and then choose the Edit action.
3. On the Cost Accounting FastTab, in the GIFI Code field, select an appropriate GIFI code.
To view account balances using the GIFI code report

You can review your account balances by GIFI code by using the Account Balances by GIFI Code report.
1. Choose the icon, enter Account Balances by GIFI Code , and then choose the related link.
2. Specify what to include in the report by filling the fields. Hover over a field to read a short description.
3. Choose the Print or the Preview button.
To export balance information using GIFI codes

You can export balance information using GIFI codes and save the exported file in Excel. You can modify, save, or
delete the file. You can use the file to transfer information to your tax preparation software.
1. Choose the icon, enter Expor t GIFI Info. to Excel , and then choose the related link.
2. Specify what to export to Excel by filling the fields. Hover over a field to read a short description.
NOTE
The Excel file has the following characteristics:
The balance is rounded to the nearest percentage, but the cell value maintains the same percentage as it does
in the general ledger.
Negative numbers are represented as positive number in brackets. Accordingly, -123 is represented as (123).
See Also
Finance
Setting Up Finance
Czech Local Functionality in the Czech Version
The following topics describe the local functionality in the Czech version of Business Central.
Core Localization Pack for Czech (Extension) Available Now
Advanced Localization Pack for Czech (Extension) Available Now
General
General Available Now
Best Practices Available Now
Core Finance
Finance Available Now
Year Close Operations Available Now
General Ledger Entries Application Available Now
Exchange Rate Update Available Now
VAT
Finance - VAT Available Now
VAT Control Report Available Now
Fixed Assets
Fixed Assets Available Now
Fixed Asset Localization for Czech (Extension) Available Now
Bank Feature Available Now
Cash Desk Management Available Now
Cash Desk (Extension) Available Now
Registration of Sales (EET) Available Now
Advances Available Now
Payables and Receivables Available Now
Intrastat Available Now
Compensation (Extension) Available Now
Inventory
Inventory Available Now
See Also
Start a free trial!
Core Localization Pack for Czech (Extension)
This extension adds features to Business Central that help companies meet the requirements of Czech
accounting and tax legislation and best practices.
Finance
Corrections Posting (red storno) Available Now
Statutory Company Information Available Now
Internal Financial Documents Available Now
Accounting Output Documents Available Now
Account Schedule feature Available Now
Statutory Statements Available Now
Year Closing Operations Available Now
Exchange Rate Updating Available Now
WIP Extended Posting Available Now
VAT
VAT Date Available Now
VAT Statement Available Now
Supplementary VAT Statement Available Now
VIES Available Now
VIES - CZ Export Available Now
Unreliable Payer Available Now
VAT Exchange Rate Available Now
Reverse Charge - setup and posting Available Now
VAT Control Report Available Now
VAT Reports Available Now
VAT correction in Local Currency Available Now
Electronic registration of sales (EET) Available Now
Local Banking Feature - symbols and payments Available Now
Exchange Rates Adjustment feature Available Now
Multiple payables/receivables accounts Available Now
Customers/Vendors Reconciliations Available Now
Sales correcting documents Available Now
Contacts Actualization from ARES Available Now
New design of output documents Available Now
Intrastat
Intrastat Engine Setup Available Now
Posting Sales, Purchase or Transfer transaction Available Now
Preparing Intrastat Journal Available Now
Intrastat Report Export to CSV Format Available Now
Inventor y
Rounding Account in Inventory Available Now
Inventory – G/L reconciliation Enhancements Available Now
Advanced features of the physical inventory Available Now
Inventory Operations Document Available Now
Inventory Counting Document Available Now
General
Extended User Control Available Now
G/L Account Group – Multi-circuit Accounting Available Now
Check of Posting Group changing – Customer, Vendor, item, bank account Available Now
Check of output in inventory – time sequence Available Now
Inventory Movement Templates Available Now
Templates for inventory Operations – Stockkeeping Unit Templates Available Now
See Also
Czech Local Functionality
Finance
Advanced Localization Pack for Czech (Extension) in
the Czech Version
This extension adds features to Business Central that help companies meet the requirements of Czech
accounting and tax legislation and best practices.
Finance
General Ledger Entries Application Available Now
Inventor y
Posting groups in transfer orders Available Now
Small regulator y features and best practices
Mandatory returning of exact costs in Manufacturing Available Now
Default Business Posting Group in Manufacturing Available Now
Default Business Posting Group in Assembly Orders Available Now
Automatic creation and update of dimensions Available Now
Additional fields on item ledger entries and value entries Available Now
Gen.Prod.Posting Group from SKU Available Now
Skip Update SKU on Posting Available Now
Nonstock Item Numbering Available Now
See Also
Finance
Finance in the Czech Version
In the Czech Republic, there are specific Business Central features that you can use to track and manage your
finances.
Corrections Posting (Red Storno)

According to legal requirements, costs and revenues are usually posted only to either the debit or the credit side
of a G/L account. Companies in Eastern Europe usually enforce accounting policies to post certain inventory and
GL transactions as corrections. The reason for this is that auditors and revenue authorities conduct accounting
controls against this rule.
The purpose of the feature is:
To allow the accounting manager to enforce corrective posting on desired G/L accounts
To allow the accounting manager to enforce corrective posting in inventory postings (negative transfer
entries, expected costs posting)
To allow the accounting manager to enforce corrective posting of canceling in fixed assets
To allow the user to enforce corrective posting with one click (in G/L, inventory, and job postings)
Statutory Company Information

Many documents are circulating within and outside company structures. The minimum necessary requirements
of such documents are set by local legislations. It is possible to divide such requirements roughly into three
groups:
Company officials' names must be present on some internal and external documents.
Document footers – The majority of external documents must contain basic company information in
document footers, usually in the company's partner language.
Registration numbers must be visible in internal and external documents.
This feature allows users to define company officials and designate them as General Manager, Accounting, and
Finance Managers for usage in internal and external documents.
Users can define document footers in different languages. Such footers can be used in different reports and
documents.
Additional company registration numbers and other registration information can be stored on the Company
Information page and used in documents.
Internal Financial Documents

Users perform general ledger operations and must have the possibility to print documents for these operations
with layout in compliance with the legal requirements. Users also want to print a document for posted general
ledger operations.
For the reasons above, this feature provides the following reports:
General Journal – Test Report - used to print documents from G/L journals
General Ledger Document Report - used to print posted general ledger operations
Accounting Output Documents
In order to comply with the legislation, reporting features, and local reporting practices of Czech companies, this
feature provides the following reports:
General Journal
General Ledger
Accounting Sheets
Turnover report by Global Dimension
Open G/L Entries to date
Inventory Account to date
Joining Bank Account Adjustment
Joining G/L Account Adjustment
G/L VAT Reconciliation
All payments on hold
Open Customer Entries at date
Open Vendor Entries at date
Fiscal Year Balance – standard report adjusted
Trial Balance by Period – standard report adjusted
Account Schedule Feature

As one of the most extensively used features for analysis and reporting, Eastern European countries often ask
for the following improvements of the standard Account Schedules feature:
Common list of expressions – A common list of expressions contains named lines that can be used in
formulas of all account schedules. This is done by defining one of the account schedules as a common list of
expressions called a Shared Account Schedule.
Saving results (current state) of analysis – This improvement allows users to store results of analysis done by
using account schedules, modification of results, and retrieval of results later on.
Formulas drill-down – This improvement allows users to drill down on the results of formulas. Drill-down is
now accessible for Totalling type formulas. Drilling down on the result of the formula shows the user a new
page containing the list of elements used to calculate the results and their description.
Additional data sources – Apart from being able to perform analysis on GL entries, the user can perform
analysis on VAT, customer, vendor, and value entries.
Statutory Statements
Companies must create financial statements according to the Accounting Law 563/1991. They must create the
balance sheet and the profit and loss statement. This feature provides the following reports:
Balance Sheet
Income Statement
These reports use the Account Schedule feature with the statement structure defined.
The Acc. Schedule Name table contains this new field in the Czech version:
Acc. Schedule Type – Balance Sheet or Income Statement option
The Acc. Schedule Line table contains these new fields in the Czech version:
Row Correction – links to another line for balance sheet setup
Assets/Liabilities Type – Assets or Liabilities for Balance Sheet setup
Calc – Always, Never, When positive, When Negative options
The balance sheet and the profit and loss statements are often prepared in Excel file templates with the
necessary design for statement printout. Users want to map defined account schedules to prepared Excel
templates.
For the reasons above, this feature provides the new setup of Excel templates and statement file mapping. Based
on this setup, users can export account schedule data to Excel files.
WIP Extended Posting

The Czech legal Work in Progress (WIP) posting scheme includes the following new general ledger accounts:
Consumption Account
Change in Inventory of WIP Account
Change in Inventory of Product Account
This feature allows you to correctly perform Czech WIP and production posting. It is therefore possible to set up
a combination of location and inventory posting group for the accounts Consumption, Work in Progress,
Change of Semi-finished Product, Change of Product.
This new posting scheme is used in the following transactions:
Consumption posting in the consumption journal
Posting the costs of capacities in the output journal
Finishing orders and automatic production reporting
Additional Finance Features

Use the following table to learn more about the additional finance features that are available for the Czech
Republic.
TO P IC DESC RIP T IO N
Year Closing Operations To comply with accounting legislation at the end of the fiscal
year, certain account books must be closed or opened.
General Ledger Entries Application Apart from application of Customer and Vendor Ledger
Entries, a new functionality of General Ledger Entries
Application has been introduced. Application of General
Ledger Entries is typically used to allow companies to work
with temporary and transfer accounts in the General Ledger.
Exchange Rate Updating Possibility to automatically update currency exchange rates

from the external service provided by the Č NB (Czech
National Bank).
See Also
Year Closing Operations in the Czech Version
To comply with accounting legislation (Accounting Law 563/1991 §17) at the end of the fiscal year, the following
account books must be closed or opened:
Close Profit and Loss Accounts (Close Income Statement)
Close Balance Sheet Accounts (new Close Balance Sheet report)
Open Balance Sheet Accounts (new Open Balance Sheet report)
Changes Included
Close Income Statement – Standard report Close Income Statement improved.
Close Balance Sheet – Report Close Balance Sheet added. This report creates lines in General Journal. These
lines contain posting to the Closing Balance Sheet account.
Open Balance Sheet – Report Open Balance Sheet added. This report creates lines in General Journal. These
lines contain posting to the Opening Balance Sheet Account.
See Also
Core Localization Pack for Czech
Finance
General Ledger Entries Application in the Czech
Version
Apart from the application of customer and vendor ledger entries, a new functionality for general ledger entry
application has been introduced. Application of G/L entries is typically used to allow companies to work with
temporary and transfer accounts in the general ledger. Temporary and transfer accounts are used as a
temporary “storage” and contain amounts (ledger entries) pending further processing. The new application
functionality enables the user to match general expenses to distributed expenses (transferred earlier from
account general for all amounts) by using the new applying and unapplying functions, and for companies to see
analytic subtotals by using the new Open G/L Entries on Date or Inventor y Account to Date reports for a
specific date.
The G/L entries structure has been redesigned by adding the new storage for application information of a G/L
entry. The Detailed G/L Entr y table contains all entries related to the original G/L entry and stores the
application amount, while the G/L Entr y table contains overalls of this amount in the Applied Amount
FlowField.
The Apply Entries and Unapply Entries functions on the G/L Entries page have been added to the user
interface.
Partial application is allowed. The remaining amount for applying is shown on the G/L entry. Users can apply
G/L entries before posting the general journal or the cash desk.
User can run batch application by using the G/L Entr y Applying report .
See Also
Finance
Updating Exchange Rates in the Czech Version
The company is allowed to automatically update currency exchange rates using the exchange rate service.
These have been improved by the ability to automatically update currency exchange rates from the CNB (Czech
National Bank).
The user can define the http service address and other exchange rate update parameters in the exchange rate
service settings.
See Also
Finance
Finance - VAT in the Czech Version
VAT Date
The VAT date is important for tax documents according to §28 of VAT Law 235/2004. The VAT date can be
different from the posting date or the document date. The VAT date is an important field for the VAT reporting.
This feature focuses on improving the following:
Setup of the VAT Date Feature
Enabling VAT date usage in the system generally.
Select the way the system will default the VAT date’s value in different areas (Posting Date or Document
Date).
Periods for reporting VAT and company accounting periods are often different. To allow users to seamlessly
report and post VAT according to VAT periods, and to issue internal and other statutory reporting based on
accounting periods, this VAT Date feature introduces VAT periods.
Allow VAT Posting From/To – enter a date range in from/to fields to prevent mistakes of posting to closed
accounting or VAT periods.
Posting Sales, Purchase, and Service Transactions with VAT Date
To post transactions using a VAT date, the user must fill in the VAT Date field on the document headers and
journal lines throughout the application. After the posting of the VAT date, it becomes a part of the posted
documents and G/L entries and VAT entries.
Calculating and Posting VAT Settlement
The system filters VAT entries by the VAT Date field (instead of Posting Date ) by selecting the VAT period and
preparing a report showing which entries will be transferred to the Settlement account. Printouts also contains
VAT date information.
Reconciling VAT and G/L Entries
Users frequently reconcile amounts kept in VAT entries and VAT amounts posted to GL entries. Amounts shown
in new Net Change (VAT Date) columns on all the following pages will always be filtered by the VAT Date field:
Chart of Accounts form
G/L Balance form
G/L Account Balance form
VAT Statement
The VAT Statement report contains many improvements which enable the user to:
Add Stat. Reporting Setup with general setup for VAT reporting.
Add two new operation rows (Row Division and Row Multiplication) in the Type field.
Add setup for VAT from advances.
Filter the VAT Entries selection for the VAT statement line by the EU Triangular Trade field. This is required,
as EU (European Union) triangular trade (middle person – 1 debtor) must be reported in separate rows.
Print the VAT Statement report with a new option to round off calculated amounts in the VAT statement to
the nearest whole value.
Filter data based on VAT date using VAT periods.
Filter data for the posted VAT statement of later date.
More VAT statement types – Recapitulative, Corrective, Supplementary (by §43 part 1 of VAT Law 235/2004)
– payer can submit a supplementary VAT statement.
Export the VAT statement to an .xml file.
Add comments and attachments to export to the tax authorities.
Supplementary VAT Statement

According to §43 part 1 of VAT Law 235/2004, the payer can submit a supplementary VAT statement. In case the
user wants to issue the Supplementar y VAT Statement report, they must choose the Supplementar y type
of VAT statement when exporting the statement. In the Calculate and Post VAT Settlement functionality, the
posted document number is stored in closed VAT entries in the VAT Settlement No. field for further filtering in
VAT statements and reports. This feature allows calculation and printing VAT statement for different VAT
statements posted and submitted in one VAT period.
VIES
The VIES report is used for sales declaration to tax authorities in EU (European Union) countries. According to
§102 of VAT Law 235/2004, payers are obliged to submit VIES declaration („Souhrnné hlášení“). The VIES
declaration has to be submitted to the tax authorities electronically. The VIES functionality allows you to:
Set up state reporting
Select combinations of VAT business/product posting group (on the VAT Posting Setup page) to include in
the VIES reporting
Keep the VIES reporting history
Input all information needed for electronic file submission
Suggest Lines for VIES reporting
Support corrective declarations
Export data into file for electronic submission
Unreliable Payer
The amendment of VAT Law 235/2004 (§106a) introduced the concept of Unreliable Payer. The treasury
department is obliged to publish the names of unreliable payers.
This feature uses this service to obtain published information and indicate payer status on vendor cards and
purchase documents. The treasury department also publishes information about registered bank accounts of
the payer (only these accounts are allowed for payments). Information about payer registered bank accounts is
stored on the vendor bank account cards and used in cash management.
VAT Exchange Rate

The exchange rate is located in documents, but Czech Republic requires the possibility to set different exchange
rates for posting and VAT in sales and purchase documents. This feature adds the VAT Currency Code and VAT
Exchange Rate fields in documents. Users can change the exchange rate for VAT before document posting.
VAT Control Report

Business Central functionality has been extended by the VAT Control Report. VAT items are loaded by the VAT
date or posting date (according to the general ledger setup) into the page for the selected period. To process the
control report, you must set up VAT control report sections, tariff numbers, VAT statement, stat. reporting setup,
and extend the VAT posting setup.
VAT Reports
To fulfil the requirements in legislation reporting and local reporting practices of Czech companies, this feature
provides the following reports:
Calc. and Post VAT Settlement – standard report adjusted
Documentation for VAT
VAT Document List
VAT List on Sales Adv. Letter
VAT List on Purch. Adv. Letter
See Also
VAT Control Report in the Czech Version
The Business Central functionality has been extended with the VAT Control Report feature. The basic page is the
VAT Control Repor t Card page. VAT items are loaded by the VAT date or posting date (according to the
general ledger setup) into the page for the selected period. The basic setup, i.e. distribution of combinations of
VAT posting groups into the individual sections of control report, is determined by the VAT statement.
To process the control report, you must set up the VAT control report sections, tariff numbers, VAT statement,
stat. reporting setup, and extend the VAT posting setup.
Key features
VAT Control Repor t Card page - allows you to select report period.
Control Repor t Lines Suggestion function - loads control report lines of a selected period.
Control performance - VAT Control Repor t - Test report - prints an overview according to individual
sections.
Control report export - Expor t function exports control report to the file.
Closing lines - Close lines function fills the Closed by Document No. field on control report lines.
See also
Core Localization Pack for Czech
VAT Statement
Finance
Fixed Assets in the Czech Version
Fixed Assets Tax Depreciation

The Fixed Assets Tax Depreciation feature calculates and posts tax depreciation in compliance with the Income
Tax Act (Law 586/1992 §26 - §33). This feature has a special setup for tax depreciation groups to enable entering
rates and coefficients for new depreciation methods with fixed assets tax depreciation.
Each long-term tangible fixed asset belongs to a depreciation group. These groups determine minimal
depreciation periods and parameters used for calculating depreciation. The following depreciation methods are
provided for long-term tangible fixed asset (FA) depreciations for tax purposes:
Regular – This method is based on the acquisition value and percentage (straight line).
Accelerated – This method is based on the book value and coefficient (declining balance).
Regular based on the acquisition value and percentage (straight-line intangible).
Each long-term fixed asset belongs to a depreciation group. These groups determine minimal depreciation
periods and parameters that will be used for calculating depreciation.
Calculation of Depreciation Basis in Fixed Assets

Due to Czech legislation, it is necessary to calculate tax depreciations from the depreciable basis which can be
different from acquisition costs. According to the requirements, a depreciation basis by the Czech declining-
balance depreciation method for the second and following years of a fixed asset's life should be calculated by
the new formula defined in the Income Tax Act.
Changes have been made in the calculation of depreciation amounts by the CZ declining-balance depreciation
method for the second and following years of a fixed asset's life by the formula stated above. The tax
depreciation is calculated annually and the Force No. of Days option is recommended for calculating the
correct depreciation amount.
Fixed Assets Depreciation Holidays

The Fixed Asset Depreciation Holidays feature (according to the Income Tax Act – Law 586/1992 §26 part 8)
enables user to discontinue depreciation for selected fixed assets and for specified periods. The system
determines the depreciation schedule after the break period ends. The list of depreciation methods for which the
discontinuing of depreciation has been implemented is as follows:
Straight line
Regular
Accelerated
Straight line for intangible fixed assets
Enhanced depreciation methods and straight-line methods to pick up the threads of the depreciation
schedule end after the break depreciation period.
Users can open the FA depreciation book and fill in the Depreciation Interrupt and Depreciation Interrupt
up to fields. The Keep Depr. Ending Date field defines if you want to maintain the depreciation schedule.
Two-Step Fixed Asset Acquisition

There are two steps to accomplish when acquiring a fixed asset in Czech accounting. When a company gets an
invoice for a fixed asset acquisition, it must be posted. Since the initial use of the fixed asset, the used fixed asset
is posted. Both the acquisition and put-to-use steps are required and connected with G/L entries. Fixed assets are
not depreciated until they are put to use.
For this process, use the Custom 2 fixed asset posting type for the first step (acquisition) and Acquisition fixed
asset posting type for the second step (put to use). Select the Fixed Asset Acquisition as Custom2 check box
on the Fixed Asset Setup page to start using this feature.
The value Custom 2 is renamed in Czech language from "Vlastní 2" to "Pořízení" for correct FA purchase
identification and better accountant understanding.
Fixed Asset Posting of Disposal

Czech accounting standards require specific posting when a fixed asset is being disposed of or being sold. After
selling or posting fixed assets, the posting of disposal ensures the fixed asset value remains the same as that of
the acquired value after depreciation.
The fixed asset remains unchanged even after it is put to use. When the fixed asset is depreciated periodically, a
corresponding sum is debited from the acquired cost at the time of disposal. The balance amount is the current
fixed asset value.
On the Depreciation Book page, select the Corresponding G/L Entries on Disposal check box to make
this feature operational. Also select the Corresponding FA Entries on Disposal check box to retain the
correspondence between G/L entries and FA entries.
Different Types of Disposal and Maintenance

In Czech accounting, it is necessary to post different types of disposal and different types of maintenance of
fixed assets to specific G/L accounts. A standard way offers only one method of disposal and maintenance
posting.
A new setup is added for this, namely the FA Extended Posting Group table. This table allows to set up each
FA posting group:
Posting disposals to different accounts in combination with Reason Code field for disposals
Posting maintenance in combination with the Maintenance Code field for maintenance
Fixed Assets Clasification

Classification Code
The Tax of Income Law 586/1992 insists on sorting fixed assets by production classification marked CZ-CPA and
by building operations classification marked CZ-CC. The new Classification Code table and the Classification
Code field are added. The field is used for FA classification to the tax group.
Fixed Asset Location/Responsible History Report

This feature provides users with the ability to track changes to the location and responsible employee for fixed
assets.
With the addition of this feature, users are able to control location history of the fixed asset and the history of
employees responsible for the fixed asset. This feature also provides reports for company verification where a
specific fixed asset is/was located or to whom it is/was assigned.
To enable FA Location and responsible-employee tracking (FA history), user must first enable this feature by
selecting the Fixed Assets Histor y check box on the Fixed Asset Setup page. User can then start to track
changes in fixed assets' location and responsible employees. The changes are stored in the FA Histor y Entr y
table.
Items of fixed assets:
Save changes in FA evidence
Include time and user stamp changes
New reports for transactions and history documentation added:
FA Assignment/Discharge
FA History
Fixed Assets Reporting

In order to comply with the requirements in legislation reporting features and local reporting practices of Czech
companies, this feature provides the following reports:
Fixed Asset Card – combines data from the standard FA List and FA Details reports, grouping details per
FA depreciation book.
FA Receipt – is printed when a particular fixed asset is received to be put to use. Such document must be
signed by company officials.
FA Disposal – is printed when a particular fixed asset is disposed of or damaged.
FA – Analysis G/L Account – used to compare it with G/L account.
Fixed Asset – Analysis 2 – users can define 3 columns for date, 4 columns for amount field, group totals,
and export to Excel.
Fixed Asset – Analys. Dep. Book – user can choose 2 depreciation books for comparison.
FA Phys. Inventor y List – companies are obliged to reconcile the physical state of fixed assets and book
value in order to prepare the financial statement.
FA Inventor y List – prints the fixed assets inventory per responsible employee or location code.
The following standard reports have been adjusted for the Czech Republic (new Group total, etc.):
Fixed Asset – Analysis
Fixed Asset – Book Value 01
Fixed Asset – Book Value 02
Fixed Asset – Projected Value
Fixed Asset – G/L Analysis
Maintenance – Analysis
See Also
Finance
Fixed Asset Localization for Czech (Extension)
This extension adds Fixed Asset features to Business Central that help companies meet the requirements of
Czech accounting and tax legislation and best practices.
Fixed Assets Tax Depreciation Available Now
Calculation of depreciation basis in Fixed Assets Available Now
Fixed Assets Depreciation Holidays Available Now
Two steps Fixed Asset acquisition Available Now
Fixed Asset Posting of Disposal Available Now
Fixed Assets Clasification - Clasification codes Available Now
Fixed Asset location/responsible history report Available Now
Fixed Assets Reporting Available Now
See Also
Local Banking Feature in the Czech Version
This feature provides improved efficiency and prevents users from making mistakes when entering the
customer and vendor bank account data by capturing the bank specific information and eliminating the need to
re-enter it every time. Such functionality is needed even more as more bank transactions are executed
electronically.
Banking Setup
The new banking setup introduces:
General Information – assigning to bank account number
Numbering – Payment order numbers, bank statement numbers
Import, Export Information
Information for posting and applying
Settings for payment orders and bank statements
New fields are added on the Bank Account , Customer Bank Account and Vendor Bank Account pages.
Company Default Bank Account

The Default Bank Account Code field is added on the Company Information page.
Sales Documents and Bank Accounts

It is quite common for companies to have multiple bank accounts open with multiple banking institutions in
order to lower the cost of financial transactions. For that purpose Business Central needs to enable users to
select the preferred bank account to be printed on sales documents.
The Bank Account Code field is added on sales documents, and information from the selected bank account is
transferred to the sales header.
Additional fields for payment identification are added to the sales header, such as Specific Symbol , Variable
Symbol , and Constant Symbol . This information is transferred to the posted document and customer ledger
entry during posting. This allows you to apply payments to invoices precisely.
Purchase Documents and Bank Accounts

It is quite common for vendors to have multiple bank accounts open with multiple banking institutions. For this
purpose Business Central needs to enable users to select a vendor bank account for payment on purchase
documents.
The Vendor Bank Account Code field is added on purchase documents and information from the selected
vendor bank account is transferred to the purchase header.
Additional fields for payment identification were added to the purchase header, such as Specific Symbol ,
Variable Symbol , and Constant Symbol . This information is transferred to the posted document and vendor
ledger entry during posting. This allows you to use this information for payments suggesting and application.
Bank Statement and Payment Orders

This allows you to create payment orders and bank statements. An unlimited number of bank accounts can be
registered for various banking institutions and in different currencies. You can import and export files (listings
and orders) from banking software.
Main Features:
Create, post and export a payment order
Create, import, and post a bank statement
Bank statement rollover into a payment reconciliation journal
Pairing entries in the payment reconciliation journal and posting
Other Supported Features:
The Payment Order and Bank Statement pages can be used in addition to their own import/export
functions and standard tools for the definition of import and export formats of banking components.
Only the standard payment reconciliation journal is used to process statement files. The standard options for
automatic alignment of the options are extended by specification. For example, the O variable symbol has
been extended for payment comparison rules.
Additional information and rules for calculating payments and text-based account mapping.
Text mapping of accounts - for automatic matching of bank statement entries from the text given in the
description, extension and mapping of accounts according to the variable symbol, constant symbol, specific
symbol, bank account, IBAN code, and SWIFT.
Payment reconciliation journal - the option to start and change automatically.
See Also
Finance
Banking Documents Localization for Czech
(Extension)
Provides functionality for Banking Documents in Business Central for the Czech Republic. Banking Documents
app allows you to create Payment Orders and Bank Statements documents in a form that respects local
practices. You can use an unlimited number of bank accounts of various banking institutions and in different
currencies. You can import and export bank files from/to the banking software. This feature provides improved
efficiency and prevents users from making mistakes when entering the customer and vendor bank account data
by capturing the bank specific information and eliminating the need to re-enter it every time.
The extension provides the following key features:
Create, issue and export a payment order
Create, import, and issue a bank statement
Bank statement rollover into a payment journal
Pairing entries in the payment journal and posting
See Also
Finance
Cash Desk Management in the Czech Version
The Cash Desks and Cash Documents features allow you to define cash accounts and cash desks for the physical
receipt and money withdrawal. Each cash desk must have a separate number series of the cash documents. You
can set up separate number series for the receipt cash documents and withdrawal cash documents. The cash
desk cases are pre-defined cases to simplify data entry. You can specify individual user authorized to operate
with the particular cash desk and transmit cash desks between users.
The main functionality of the Cash Desk feature is:
Cash desk setup, cash desk users
Receipt cash document, withdrawal of cash documents and their posting
Cash desk cases used as templates for usual accounting transactions
Payment application with customer and vendor ledger entries
Payment Application with advance invoices
Cash desk inventory
Output documents (receipt cash document, withdrawal cash document)
Reports - Cash Desk Account Book, Cash Desk Book, Cash Desk Hand Over
The cash desk card contains basic cash register information, such as number, currency, contact details, etc. It also
includes billing settings, definitions for checks and limits, and numeric series presets for cash receipts.
Cash documents are receipt or withdrawal, and can be in different currencies according to the cash register. The
documents also enable the releasing, posting and printing of exit documents.
You can run the apply entries feature from the cash document rows to select customer or vendor entries for
alignment. Similarly, features are available for off-setting backup invoices.
See Also
Finance
Cash Desk Localization for Czech (Extension)
In the Czech version of Business Central, the Cash Desk functionality helps companies with the legislation
requirements and best practices in cash desk operations.
The Cash Desks and Cash Documents features allow you to define cash accounts and cash desks for the physical
receipt and money withdrawal. Each cash desk must have a separate number series of the cash documents. You
can set up separate number series for the receipt cash documents and withdrawal cash documents. The cash
desk cases are pre-defined cases to simplify data entry. You can specify individual user authorized to operate
with the particular cash desk and transmit cash desks between users.
Key features
Cash desk setup, cash desk users
Receipt cash document, withdrawal of cash documents and their posting
Cash desk cases used as templates for usual accounting transactions
Payment application with customer and vendor ledger entries
Payment Application with advance invoices
Cash desk inventory
Output documents (receipt cash document, withdrawal cash document)
Reports - Cash Desk Account Book, Cash Desk Book, Cash Desk Hand Over
The cash desk card contains basic cash register information, such as number, currency, contact details, etc. It also
includes billing settings, definitions for checks and limits, and numeric series presets for cash receipts.
Cash documents are receipt or withdrawal, and can be in different currencies according to the cash register. The
documents also enable the releasing, posting and printing of exit documents.
You can run the apply entries feature from the cash document rows to select customer or vendor entries for
alignment. Similarly, features are available for off-setting backup invoices.
See Also
Finance
Registration of Sales (EET) in the Czech Version
Registration of sales (EET) is registration of sales coming from business activities and paid in cash. Information
about these transactions are sent to the tax authorities. At the time of payment is created data message and sent
online to the server of Tax office. As answer from the server is message with unique transaction ID, which has to
be printed on the receipt for customer.
Payment methods included in EET:
In cash
By card
Check
Bill of Exchange
Other similar types like gift cards, coupons, bitcoin etc.
For more information see official portal www.etrzby.cz.
How it Works in Business Central

The following sales documents are covered in Business Central:
Sales invoice payment
Payment of prepayment invoice
Refund sales credit memo
Refund of prepayment invoice
Cash desk receipt for sales to the G/L account (without source sales document)
With posting of defined documents (and with defined payment method) is created EET ledger entry and based
on the functionality regime is processed:
Online – An EET entry is created and stored in Business Central. A message to the tax authorities is generated
and sent to the server. An answer from the server is processed and stored and on the customer’s receipt is
printed a unique transaction ID generated by tax authorities.
Off-line - An EET entry is created and stored in Business Central. On the customer’s receipt is printed a
unique ID generated in Business Central (identification of company and document). EET records are
processed later by batch job.
Main Parts of the Feature

EET ledger entries – the table where registered documents are stored and processed. Each record contains
sales data required by the tax authorities, which is needed for printing on receipts and for data from
electronic communication. New records are created automatically by posting of source documents.
EET service settings.
Certificate settings.
EET POS terminals – identification of registered places.
See Also
Finance
Advance Payments and Invoices in the Czech
Version
The Advance Invoices and Payments feature is used to generate invoices and to make payments before goods or
services have been delivered or before the production has begun. The Advance Invoices and Payments feature
includes advance invoices, advance payments, advance payments subject to VAT, and tax documents. The
document types and document requirements for this feature are listed below:
Advance Invoices
Used to request money in advance.
The document is not accounted and does not have a tax voucher.
Documents are created in advance of invoices templates (document groups) with predefined accounting and
number series of related documents.
Advance invoice templates define whether or not you are obliged to post VAT.
Advance invoices can be created from purchase orders, invoices, or as a separate document with no links to
any documents.
Free advances can be additionally linked with documents before posting the final invoice.
Life Cycle of Advance invoice

An advance invoice has its own life cycle, which is defined by states:
Open - an advance invoice can be edited.
Prepayment - payment of advance invoice is expected.
Invoice preparation - a tax receipt for the received/issued payment is expected.
Preparation of the final invoice - the advance invoice is ready to be drawn.
Closed - final status after the advance invoice has been exhausted.
Advance Payments
The payment made against an advance invoice.
Proportional advance payments with regard to posting and billing, in journals and banknotes.
Received advance payments are not receivables, they are liabilities.
Issued advance payments are not payables (liabilities), they are receivables.
Advance payments may be subject to VAT. Czech legislation lays down rules for whether the advance
payments are subject to VAT.
Received advance payments are classified based on the date of receipt.
Issued advance payments are classified based on the date of tax documents receipt.
Any unspent part of advance payments can be returned.
Posting payment for a payment can be made on the basis of an advance invoice.
Posted invoice with a link to advance invoice can be disconnected.
The advance invoice can be paid by multiple payments.
Received advance invoices are posted as liabilities.
Advance payments in foreign currency based on agreed data.
Tax Documents (Tax Credit Memo)
Documents specifying the paid VAT from received advance payments.
It is not possible to claim VAT from advance payments without receiving tax documents issued for advance
payments.
VAT calculation improvements comply with the legislation of the Czech Republic.
Documents are declaring the VAT paid on the advance payments received/issued.
Tax documents/tax credits are created in relation to the advance invoice to which the payment was made.
The module includes functions for automatically generating tax documents when posting an advance
payment.
For advance payments, it is possible to correct the tax documents before they are posted because of their
billing based on the received document from the creditor.
The Advance Invoice mode without a tax document allows VAT to be applied only on the final invoice,
provided that its performance meets the conditions of Section 28 of the Value Added Tax Act.
The tax document for the released payment can be charged only on the basis of the received document from
the creditor, therefore the purchase advance invoice allows the change of the regime with / without VAT also
during its processing.
Calculation of VAT on advance invoices based on the Value Added Tax Act (§ 37a, § 92).
The new module also works with VAT in the payer registration mode in another EU country.
Deduction of Advance
Deduction of advance payments and already paid or claimed VAT from final invoices.
Deduction is done when posting final invoice proportionally.
The module offers a tool for linking advance invoices with the final document.
It is possible to change/supplement/cancel the linking of the advance invoice with the final document before
it is posted.
It is possible to link multiple advance invoices to the final document in one step.
The tool parameters can be influenced by how the final deferral is interconnected with advance invoices.
For better control/correction of the final invoice tax, order statistics and invoices have been expanded to
include bookmarks informing you of your payment usage and VAT paid/claimed.
Deduction of the advance invoice from the final invoice can be canceled with all accounting entries that were
used for the deduction.
When using an advance invoice in a foreign currency, the exchange rate differences are quantified.
Linking Tool for an Advance Invoice and a Final Document

The tool provides a choice of different ways to link the lines of the final document to the lines of backup
payments:
Mode of linking advance invoices paid/unpaid.
Linking by amounts remaining or billing the final document.
Linking based on VAT rates.
FactBoxes - Customer/Vendor Statistics

The customer and vendor card statistical information windows were supplemented with information about
advances:
Invoiced Amount of Advance
Advances - Open
Advances - Prepare Payments
Advances - Preparing an Invoice
Advances - Preparing the end Invoices
Internal and Output Documents Printout

A set of documents are created that take into account Czech legislation and practices.
Output Documents:
Advance Invoice
VAT Document to Received Payment
VAT Document to Tax Credit Memo
Sale Invoice
Internal Documents:
Sales Advance Letter List
Purch. Advance Letter List
VAT List on Purch. Adv. Letter
VAT List on Sales Adv. Letter
See Also
Finance
Advance Payments Localization for Czech
(Extension)
The Advance Payments extension is used in Business Central to create invoices and make payments before
goods or services are delivered. The Advance Payments solution helps companies meet regulatory requirements
for registration and posting Advanced Payments (Prepayments) include VAT requirements in the Czech Republic.
The Advance Payments functionality allows you to receive Advance Invoices from suppliers, issue Advance
Invoices to customers, make Advance Payments including payments subject to VAT and drawdown Advance
Payments on receipts. It also provides tax documents required by legislation, outputs for financial statements
and VAT reports.
The module includes:
Sales and Purchase Advance Invoices
Advance Payments received and issued
Tax Documents and Tax Credit Notes for Advance Payments received or issued
Main functions of the module:
Creation of Sales or Purchase Advance Invoices according to the settings of Advance Payment Templates
Create advances from Sales Orders based on a percentage or amount entered
Proposing advances into a Payment Order and, on the other side, payment of advances by the bank
Connection to the Cash Desk module for the possibility of paying advances by cash
Issue and print Advance Tax Documents for Advance Payments automatically or manually
Managing the use of paid advances by the final invoice
The ability to close unused advances including a tax settlement
Working with foreign currency, exchange rate differences between Advance Payment and Invoice
Possibility to unassign payment to Advance Invoice or additional linking
Option to unlink final invoice to Advance Payment or additional linking
Reports for recapitulation of payments and drawdown of advances, reports for recapitulation of VAT on
advances
See Also
Finance
Payables and Receivables in the Czech Version
Credits
Sometimes, a company's customers are also to some extent company vendors. In such situations, it is quite
common for companies to compensate their receivables and payables.
The main features of the Credits functionality are:
View Balance as Vendor/Balance as Customer – to view the balance as vendor on a customer card and the
balance as customer on a vendor card, users must set a customer and vendor business relation with a
contact to indicate to the system that even though particular company is registered as a vendor and as a
customer, it is in fact the same company.
Credits Setup – Credit Nos., Credit Bal. Account No., etc.
Credit Maintaining on Credit Card – choose Customer/Vendor, suggest lines/entries for compensation.
Agreement printout.
Credit posting – posted credit is created, entries application is posted.
entries to be counted can be entered manually or automatically from the Credit Card. In addition, there are
functions to mark entries to count and balance the balance. There is also a print of the Agreement on Mutual
Settlement of Receivables and Payables under Czech legislation.
Exchange Rates Adjustment Feature

The majority of companies in the Czech Republic request the following improvements to be implemented in
Exchange Rates Adjustment:
Ability to run Exchange Rates Adjustment for Customers, Vendors and Bank Accounts separately
Ability to have Exchange Rates Adjustment batch post adjustments in detail as well as summarized per
currency
Ability to run Exchange Rates Adjustment just as simulation (without posting) in Test Mode
On standard report Adjust Exchange Rates is now possible to:
Set Bank Account, Customer, Vendor filter for adjustment
Choose adjustment for Customer or Vendor or Bank Account
Choose the test mode
Choose summarizing entries
Choose the method for dimension transfer
The Adjust Exchange Rate report feature also modifies the calculation principle for implemented gains and
losses based on the Income Tax Act. This feature calculates the implemented gain or loss against the recently
adjusted amount.
This feature in the standard version of Microsoft Business Central reverses the non-implemented gain or loss
first, and calculates the implemented gain or loss afterwards. The calculation is expressed against the amount in
the initial exchange rate during the application of the payment and the invoice.
The new calculation principle is implemented for fluctuation in the already adjusted exchange rate. The Adjust
Exchange Rates batch job has been for Czech Advance Payments has also been extended.
Multiple Payables/Receivables Accounts
Users often post transactions like bad debt or other types of Receivable/Payable transactions that need to be
recorded in Customer and Vendor Ledgers, but at same time posted to different Receivable/Payable GL Account,
other than the one specified on Customer or Vendor posting groups. The easiest way to enable such
functionality is to allow users to change Customer and Vendor posting groups in the moment of posing a
particular transaction.
Customers/Vendors Reconciliations
At the end of each fiscal year (or another period, when requested), companies send a statement of balances to
Customers and Vendors in order to reconcile them with Customer and Vendor records. Customers and Vendors
either confirm the statement or not and send it back with corrections, based on their own information. This
feature allows users to prepare such report in Business Central.
Sales Correcting Documents

According to the VAT law amendment, it is necessary to differentiate types of Sales Credit-Memo documents.
This feature allows users to set up the following Credit Memo Types:
Corrective Tax Document
Internal Correction
Insolvency Tax Document
This Credit Memo Type defines how is handled Postponed VAT on Sales Credit-Memo documents.
Contacts Actualization from ARES

ARES stands for Access to Register of Economic Subjects. ARES is an information system allowing retrieval of
information on economic entities registered in the Czech Republic.
The user can fill in ARES Http in Reg. No. Validation Service Setup. It is possible to run ARES actualization from
Contact, Vendor and Customer Card. It is possible to search the company and decide which fields can be
updated in Business Central(Name, Address, City, Post Code).
New Design of Output Documents

A new set of printed reports for external documents is created. All documents have the same layout design
(headers, footers, font type and size, etc.). Additionally to standardization, Dynamics NAV documents were
extended according to all requirements required by the Czech legislation:
Registration No., VAT Registration No.
Deduction of advances with information about invoice and date of payment received
VAT specification printout grouped by VAT Identifier
Naming of tax corrective documents based on Credit Memo type
Printout of documents related to advance payments
List of Reports in the CZ Document Set:
Sales – Advance Letter CZ
Sales – Advance Invoice CZ
Sales – Advance Credit Memo CZ
Purchase – Advance Letter CZ
Purchase – Advance Invoice CZ
Purchase – Advance Cr. Memo CZ
Purchase – Quote CZ
Order CZ
Return Order Confirmation CZ
Sales – Quote CZ
Order Confirmation CZ
Sales – Invoice CZ
Sales – Credit Memo CZ
Sales – Shipment CZ
Sales – Return Receipt CZ
Charge Memo CZ
Reminder CZ
Ser vice - Contract CZ
Ser vice - Contract Quote
Ser vice - Quote CZ
Ser vice - Order CZ
Ser vice - Invoice CZ
Ser vice - Credit Memo CZ
Ser vice - Shipment CZ
See Also
Finance
Intrastat in the Czech Version
The standard Intrastat feature does not transfer all and only valid transactions into Intrastat journal. This results
into a lot of manual work necessary to exclude/include the excess/missing transactions, often rendering a lot of
errors. According to the requirements of the Czech Republic, the following improvements are needed for the
Intrastat feature:
Particular options in the Intrastat engine need to be parameterized
Handling of supplementary measure units needs to be improved
Calculation of Intrastat amount and statistical amounts must be improved
The Get Intrastat Entries batch needs to be improved
Exporting of Intrastat reports to .csv files according to local requirements
This feature adds improvement of data transferred into Intrastat journal and prepares the environment for
correct Intrastat reporting.
Intrastat Engine Setup

Additional Intrastat engine general parameters setup allows to:
Set mandatory fields of Intrastat transactions in sales, purchase, and transfer transaction
Set where the particular parts on Intrastat data related to items should be taken from (item or posted entry)
and which item attributes will be mandatory in sales, purchase, and transfer transaction
Set if any item charges related to sales, purchase, and transfer transaction will be ignored by the system (i.e.
not including them in Intrastat or statistical amounts)
Define if the statistical amount is calculated and calculation method for it
Select Intrastat rounding type to set how Intrastat and statistical amounts will be rounded
Set foreign currency exchange rate for Intrastat reporting
Set object for Intrastat report export
New Setup Tables Added for:
Statistic Indications
Specific Movements
Intrastat Delivery Groups
Additional Setup for Intrastat Enables:
Set a country/region code for Entry/Exit Point
Set Tariff Number Supplementary Units of Measure if Tariff numbers have to be reported in Supplementary
Units of Measure
Set if particular item charges have to be included in either Intrastat Amount or Intrastat Statistical Value or
both
Set Intrastat behavior for Shipment Methods – select if item charges should be included/excluded for
particular Shipment Methods and Intrastat Delivery Group for reporting
Set Area value in Location Card
Set default values and enforce company policies following additional Intrastat data available on Customer
and Vendor Cards
Define on the Item Card additional Intrastat data – Statistic indication and Specific movement
Make special foreign Currency Exchange Rate setup and object for export setup for each Registration
Country
Posting Sales, Purchase or Transfer Transaction

To identify and enter attributes of sales transaction that will be used in Intrastat reporting user, follows these
steps:
User verifies Intrastat data (Transaction Type, Specification and Transport Method, etc.) on the Foreign Trade
tab. These were transferred to the document header from the relevant Customer or Vendor card and can be
manually edited.
Intrastat Transaction field (non-editable) informs the user whether the particular transaction is qualified as
Intrastat transaction.
Identification of the Physical Movement in the correction (Credit-Memo) documents using the Physical
Transfer field.
User can manually exclude an Intrastat Transaction from Intrastat reporting using the Intrastat Exclude field.
User verifies Intrastat Data (Tariff No., Statistic Indication, Country/Region of Origin and Net Weight) in the
document lines. These were transferred to the line from the relevant Item card and can be manually edited.
User assigns Item Charge to the sales line and includes/excludes its value to Intrastat Amount and Statistical
Amount.
During the posting, system transfers all Intrastat relevant information to Item Ledger Entry.
During the posting, system displays an error if any Intrastat field set as mandatory in Stat. Reporting Setup
form is not filled in. This will prevent the user from posting the transaction.
Preparing Intrastat Journal

The Intrastat Journal contains the following new fields and functionalities:
Shipment Method Code
Statistic Indication
Specific Movement
Supplementary Units of Measure Calculation
Declaration Numbering
Declaration types for Statement Classification – Primary, Null, Replacing, Deleting
Registration Country entries filtering
The fastest way to prepare the Intrastat journal and make sure all the rules set in the previous steps are followed
is by using the Get Entries batch job. During the execution of the Get Entries batch job, the system will take
care of the following:
System considers Item and Job Ledger Entries created by transaction identified as Intrastat transactions
System ignores sales and purchase Intrastat transactions with the EU-3 Party Trade flag
System makes sure to include Intrastat transactions with Entry/Exit Points in EU Country
System makes sure to include sales and purchase documents (i.e. Credit Memos) posted with the
Correction check box as inserted in the Intrastat journal with the same type as documents they are
correcting, but with opposite sign for Non-physical Transfer documents and with the opposite type for
documents marked as Physical Transfer
System makes sure the reversed Intrastat transactions (i.e. using Undo Receipt/Shipment) are excluded from
reporting (both revered and reversing Intrastat transactions)
System makes sure the Item Charges are (not) included, adjusted and calculated in Intrastat Amount and
Statistical Amount according to the user’s setup in Stat. Reporting Setup, Item Charges, Shipment Methods
and Item Charge Assignments
System makes sure the Supplementary Units of Measure are used while preparing Intrastat Journal lines
System makes sure the correct data source is used for Tariff No., Net Weight and Country/Region of Origin
according to Stat. Reporting Setup
Intrastat Report Export to CSV Format

Export of Intrastat reports to .csv files according to local requirements (for INSTATDESK and INSTATONLINE
applications) was added to Intrastat Journal. Export use object for export based on setup in Stat. Reporting Setup
or Registration Country.
See Also
Finance
Compensation Localization for Czech (Extension)
The Compensation solution helps companies for offsetting receivables and payables. Compensations are used
when the company's customer is also its supplier.
Entries to be counted can be entered manually or automatically from the Compensation Card. In addition, there
are functions to mark entries to count and recalculating the balance.
There is also a print-out of the Agreement on Mutual Settlement of Receivables and Payables under Czech
legislation.
Key features
View Balance as Vendor/Balance as Customer – to view the balance as vendor on a customer card and
the balance as customer on a vendor card, users must set a customer and vendor business relation with a
contact to indicate to the system that even though particular company is registered as a vendor and as a
customer, it is in fact the same company.
Compensation Setup – Compensation Nos., Compensation Bal. Account No., etc.,
Compensation Card – lines for compensation,
Function - Suggest lines for compensation , Release,
Agreement on Mutual Settlement of Receivables and Payables printout,
Compensation posting – posted Compensation is created, entries application is posted.
See Also
Finance
Inventory in the Czech Version
Posting Groups in Transfer Orders

Czech posting rules require location transfers to be posted with the defined Inventory Adjmt. Account different
from other item Journal postings. In the Transfer Orders functionality, fields for Gen. Bus. Post. Groups for Ship
and Receive posting were added. This feature enables you to post different transfer orders with different General
Posting Setup and also different from postings in item Journal.
In Transfer Route, fields for Gen. Bus. Post. Groups for Ship and Receive posting were added. This setup is
automatically copied to transfer the order based on the used transfer route.
Rounding Account in Inventory

The Rounding Account in the Inventory feature enables you to post all rounded costs (rounding entries in the
Value Entry table) to another General Ledger Account instead of the Inventory Adjustment Account. This feature
enables you to post a rounded cost on a different Account than the acquisition cost.
Inventory – G/L Reconciliation Enhancements

According to the Czech specific requirements, the Inventory – G/L Reconciliation matrix form must into account
take the Czech specific inventory posting Accounts: Inventory Rounding Account and Intermediate WIP Account.
Since the Czech localized application contains modifications in the inventory posting, special Account for
rounding functionalities, and special intermediate WIP accounts, must also be included in the Inventory – G/L
Reconciliation matrix form.
These modifications have been introduced to the interface and the calculation procedures have been modified.
Advanced Features of the Physical Inventory

To comply with the legislation, companies require differentiation of accounting of deficits and surpluses. Thanks
to the setting of default Whse. Net Change Template for these inventory movements in the Inventory Setup, the
user can easily change Gen. Business Posting Group depending on the type of inventory movements.
Companies need to distinguish the posting of inventory movements of the same goods so they require line-
break of physical inventory Journal line. Such accounting is required for legal reasons. For example, they need to
have a different account for deficits in the limit, and another account for deficits over the limit.
Inventory Operations Document

Users perform inventory operations such as: write down, reclassification and revaluation. They must have the
possibility to print documents for these operations with the layout in compliance with the legal requirements.
Users also want to print a document for posted inventory operations.
Inventory Movement Report is used to print documents from inventory Journals.
Posted Inventory Document Report is used to print posted inventory operations.
Inventory Counting Document
At the end of the period, users perform physical inventory counting to reconcile the actual (physical) value of
inventory with the one registered in the system. At the end of the counting process, accounting department
needs to archive final Inventory Counting Document containing posted values with names of company officials
who under liability confirm with their signature that the quantities and amounts stated in the document
correspond to ones physically present in company's inventory locations.
Phys. Inventory List Report is used to print documents from Phys. Inventory Journals (existing report
improved).
Phys. Invt. Counting Document Report is used to print posted Phys. Inventory operations.
See Also
Finance
Extended User Control in the Czech Version
The majority of companies in the Czech Republic request the following improvements to be implemented in
user setup and control.
New functionality on the User Setup page in combination with the new User Setup Lines table allows you to
set and provide the following control:
Assign a user to an employee number.
Set the Cash Resp. Ctr. filter for cash desk operations
Check document date at posting against work date or system date
Check posting date at posting against work date or system date
Check access to payment orders – checks allowed bank accounts for payment orders (on lines)
Check access to bank statements – checks allowed bank accounts for bank statements (on lines)
Check bank accounts allowed for posting (on lines)
Check access to journal templates – check allowed journal templates for all journal types (on lines)
Check dimension values allowed for posting (on lines)
Check location code allowed for posting separately for quantity increase and quantity decrease (on lines)
Check location code allowed for document release separately for quantity increase and quantity decrease (on
lines)
Check usage of warehouse net change templates at posting in item journals
Allow posting to closed periods
Allow complete job
Allow item un-apply functionality
See Also
Small Regulatory Features and Best Practices in the
Czech Version
Smaller regulatory features and local practices of Czech companies include the following features:
G/L account groups – for multi-circuit accounting
Check on posting group change – for customer, vendor, item, and bank account
Check of output in inventory – time sequence
Whse. Net Change Templates - templates for inventory operations –
Mandatory return of exact costs in Manufacturing
Default Business Posting Group in Manufacturing
Check balance in G/L journal – additional feature for disabling balance check by document type
Default Business Posting Group in Assembly management
Automatic creation and update of dimensions
Marking the latest version of the sales and purchase archive
Additional fields on item ledger entries and value entries
Gen. Prod. Posting Group from SKU and Skip Update SKU on posting
See Also
Denmark Local Functionality
The following topics describe the local functionality in the Danish version of Business Central.
Accounting
Digital Vouchers (Changes to the Danish Bookkeeping Act) 2022 release wave 2
VAT
Print VAT Reconciliation Reports Available Now
VAT-VIES Reporting Available Now
VAT Registration Number Setup for Intrastat
Banking & Payments
FIK Details in the Payment Reconciliation Journal Available Now
The Payments and Reconciliations (DK) Extension Available Now
Overview of OIOUBL Electronic Invoicing Available Now
Set Up OIOUBL Electronic Invoicing Available Now
Set Up Customers for OIOUBL Available Now *
The OIOUBL Extension for Electronic Invoicing Available Now
Create Electronic Documents in an OIOUBL Format Available Now
Payroll
Payroll Data Definitions (DK) Available Now
See Also
Start a free trial!

In Business Central, you can use the VAT Reconciliation report to view a list of general ledger accounts with
their base amounts and VAT amounts. These amounts are grouped by VAT type to help with VAT settlement
reconciliation.
To print a VAT reconciliation report
1. Choose the icon, enter VAT Reconciliation , and then choose the related link.
Show Details Select to print all transaction amounts in the report.
If you do not select this field, a single cumulative line is

printed for each general ledger account.
Show Transactions without VAT Select to print a line for each general ledger account that
transactions are posted to. You can use this option for
both single accounts and multiple accounts.
The default is No . The report includes only those

transactions that include VAT entries. If you select this
field, the report includes all transactions.
3. On the G/L Entr y FastTab, select the appropriate filters.

See Also
VAT-VIES Reporting in the Danish Version
Danish companies must submit VAT declarations for trade of goods or services with other EU countries/regions.
You can create the required file by using the EC Sales List report.
Set up VAT registration numbers

To report VAT-VIES correctly, you must enter a plain VAT registration number in the VAT Registration No. on
Customer and Vendor cards. That means you cannot add country codes or other shortcuts since the VAT-VIES
reporting requires plain VAT number for clients. It's different for Intrastat, so you can set up exactly how you
want VAT registration numbers to be generated for Intrastat in the Intrastat Setup page. For more information,
see VAT Registration Number Setup for Intrastat.
Reporting EU Sales
In order to track VAT for the trade of goods or services between EU countries/regions, you must submit
information about this trade to the Danish Listesystem. The EC Sales List report creates a file that you can then
upload to the tax authorities at the www.skat.dk site. Before you create the file, you can verify your customers’
VAT registration number online. The tax authorities also recommend that you do not submit large files to the
online portal. If your declaration consists of more than 1,000 lines, it is recommended that you submit several
smaller files instead. For more information, see the tax authorities’ website.
See Also
About the EC Sales List Report
VAT Registration Number Setup for Intrastat in the
Danish Version
In Denmark, the VAT-VIES requirements mean that you specify a unique VAT number in the VAT Registration
No field on the customer or vendor cards. But reporting for Intrastat requires a VAT registration number in the
submitted files that consists of the country code and the VAT registration number.
To set up VAT registration numbers for Intrastat

1. Choose the icon, enter Intrastat Setup , and then choose the related link.
2. To specify how the VAT number for customers will be created in the Intrastat file, choose one of the available
options in the Customer VAT No. on File field. Hover over a field to read a short description.
3. To specify how the VAT number for vendors will be created in the Intrastat File, choose one of the available
options in the Vendor VAT No. on File field.
You can choose between the following options:
VAT registration number
Country code + VAT registration number
VAT registration number without the country code
Depending on your choices, the relevant numbers will be concatenated from the values of the VAT Reg. No.
and EU Countr y Code fields.
See Also
FIK Details in the Payment Reconciliation Journal
The Transaction Text field on the Payment Reconciliation Journal page shows information about the
automatic application of payments using the Danish FIK standard. For more information, see Reconcile
Payments Using Automatic Application.
The following table describes the six values that may be shown in the Transaction Text field.
T RA N SA C T IO N T EXT DESC RIP T IO N
Matching Amount The amount paid covers exactly the remaining amount on an
unpaid sales invoice that is identified by the FIK number.
Par tial Amount The amount paid is less than the remaining amount on an
Excess Amount The amount paid is more than the remaining amount on an
No Matching FIK Number The system has not found any unpaid or paid sales invoices
with a FIK number that matches the FIK number on the
payment.
Duplicate FIK Number The system has discovered that there are payments that
have similar FIK numbers.
Invoice Already Paid The system has discovered that a FIK number on a payment
matches a sales invoice that is fully applied and closed.
See Also
The Payments and Reconciliations (DK) Extension
Make fast, error-free payments by exporting files that are formatted specifically for exchanges with your vendor
or bank. These files speed up the payment and reconciliation processes, and eliminate errors that can happen
when you manually enter the information on a bank website.
This extension supports file formats for several Danish banks. When you export payment information to a file,
the extension packages the data into the format that your bank requires. For example, the formats include
Bankdata-V3, BEC, SDC, and FIK, which many different banks use, and some that are more specialized for certain
banks, for example, Danske Bank and Nordea. The extension also includes some formats for importing and
reconciling bank statements.
NOTE
To use the extension, you must know the format that your bank or vendor requires. Some banks or vendors provide this
information on their websites; however, you might need to contact their customer service to get the information.
Supported Bank Formats

This extension can apply the following file formats for payment files:
BANKDATA-V3
BEC-INDLAND
BEC-CSV
DANSKEBANK-CMKV
DANSKEBANK-CMKXKSX
DANSKEBANK
FIK71
NORDEA-ERHVERV-CSV
NORDEA
NORDEA-UNITEL-V3
SDC
SDC-CSV
To set up the extension

There are a few steps to get started.
Allow payment data exports. To help protect your data, this is not readily available.
Set up purchase and payables so that you do not require external document numbers on invoices. If needed,
you can use the reference number to refer to a specific invoice.
Specify the payment method for each vendor. Payment methods define how you pay invoices from the
vendor. For example, Bank, Cash, Check, or Account.
Specify the type of format to use for each of your bank accounts. For example, NORDEA, DANSKEBANK, SDC,
and so on.
Additionally, you must assign vendors to a domestic Gen. Bus. Posting Group and a Vendor Posting Group .
The Country/Region setting for the vendor must be Denmark (DK). For more information, see Setting Up Posting
Groups.
To allow Business Central to export payment data
2. On the Edit Payment Journal page, choose the Bank batch.
3. Choose the Allow Payment Expor t check box.
To specify a payment method for a vendor
The following table shows the combinations of FIK and GIRO payment methods that Business Central supports.
C O M B IN AT IO N T Y P E 01 T Y P E 04 T Y P E 71 T Y P E 73
Giro Account No. or Giro Account No. Giro Account No. FIK Creditor No. FIK Creditor No.
FIK Creditor No.?
Allows Message to Yes No No Yes

Recipient?
Contains Payment No Yes, 16 digits. Yes, 15 digits. No

Reference number?
2. Open the card, expand the Payments tab, in the Payment Method field choose the payment method.
3. Depending on your selection, you must complete other fields. See the table above for a description of the
combinations.
To specify the format to use for a bank account
2. Open the card for the bank account.
3. In the Payment Expor t Format field, choose the format for your export file.
Choosing the FIK or Giro payment information for vendor invoices

2. Choose the vendor. Remember, this must be a Danish vendor with an address in Denmark.
3. Create an invoice. The Payment Method and Vendor Number fields are filled in based on settings on
the Vendor card. You can change them if you want.
4. In the Payment Reference field, enter the 15-digit number from the vendor invoice.
TIP
You only have to add the last 11 digits of the number. Business Central will add four zeros to the beginning of the
number.
To use the extension to export payment data

2. Choose the Suggest Vendor Payment Journals action.
TIP
If you want to export only specific payments, use the options for filtering the data.
3. If needed, you can add filters to export only specific payments.

4. In the Bank Payment Type field, choose Electronic Payment .
See also
Customizing Business Central for Business Central Using Extensions
OIOUBL Electronic Invoicing Overview
Companies must send sales invoices, credit memos, finance charge memos, and reminders to the Danish public
sector electronically in the Offentlig Information Online UBL (OIOUBL) format. If a company does not send these
documents electronically, the authorities can deny payment.
For more information about OIOUBL electronic invoicing, see oioubl.info.
Implementation in Business Central

The current requirements for sending electronic invoices are based on OIOUBL, which is based on the Universal
Business Language (UBL) version 2.0 standard. For more information, see the OASIS UBL web site. The
generated XML documents can then be sent to the customer.
To send documents electronically, you must assign European Article Numbering (EAN) location numbers and
account codes to the relevant customers on the Customer Card page. For more information, see Set Up
Customers for OIOUBL. These numbers are the included when you create documents, and post or issue them.
After the documents have been posted or issued, you can create electronic versions to be sent to the customer.
You can submit the following types of documents:
Sales invoice
Service invoice
Sales credit memo
Service credit memo
Finance charge memo
Reminder
The electronic documents are stored in the locations that are defined in the Sales & Receivables Setup.
OIOUBL Profiles
Your customers can use a profile that is based on the Danish OIOUBL definitions, or they can use a profile that is
based on the OIOUBL implementation of the Northern European Subset (NES) definitions. Some profiles require
responses to be sent when an electronic document is received. You can set up which profile most of your
customers use. If a customer uses a different profile, you can change that in the customer card. For example, you
can specify that the default profile is Procurement-OrdSim-BilSim-1.0, but that customer 10000 requires profile
urn:www.nesubl.eu:profiles:profile5:ver2.0. For more information, see Set Up OIOUBL.
For more information, see the entry on OIOUBL profiles in the frequently asked questions section at
Digitaliseringsstyrelsen.
See Also
Set Up OIOUBL
Create Electronic Documents by Using OIOUBL
To create Offentlig Information Online UBL (OIOUBL) documents for customers in the public sector, you must
add OIOUBL information to the relevant customers.
This topic only describes fields that apply to OIOUBL. For more information, see Register New Customers.
To set up customers for OIOUBL
2. Open the customer that you want to enable for OIOUBL.
GLN Enter the customer's Global Location Number, which

uniquely identifies the billing address. A GLN has a fixed
length of 13 digits. It includes an assigned company
prefix, a location reference, and a check digit.
Account Code Enter the account code for the customer.
Customers in the public sector provide an account code

when they place an order or requisition. Based on the
value of this field, the account code is included in the
OIOUBL documents that you create in Business Central.
In accordance with Lov om Offentlige Betalinger and
related statutes, the customer is entitled to withhold
payment until they receive an invoice with the relevant
account code.
OIOUBL Profile Code Specifies the profile that this customer requires for
electronic documents if this is different from the default
profile that you specified on the Sales & Receivables
Setup page.
OIOUBL Profile Code Required Specifies if this customer requires a profile code for
electronic documents. Tip: If the OIOUBL Profile
Code Required field is selected, you cannot post a sales
document for this customer unless you have specified a
profile.
These fields are specific to OIOUBL. The values are used in all OIOUBL documents that you create for this
customer. For more information, see OIOUBL Electronic Invoicing Overview.
See Also
Set Up OIOUBL
Set Up OIOUBL
You must define a location for storing Offentlig Information Online UBL (OIOUBL) files when you create
electronic documents such as invoices or credit memos. You must also define payment methods, payment
terms, and item charges, and you must set up relevant customers for OIOUBL.
Set up payment terms and item charges.
Set up customers for OIOUBL.
About OIOUBL Profiles
OIOUBL profiles are adaptations of business processes for various types of transactions, and differ depending
on the types and contents of the documents that are exchanged. In Denmark, the two profiles that are required
are the Simpel fakturaproces (Procurement-OrdSim-BilSim-1.0) and Billing Basic
(urn:www.nesubl.eu:profiles:profile5:ver2.0) profiles. The Billing Basic profile is based on the Northern European
Subset (NES). Your customer must be able to receive documents in one of these profiles. If you are not sure, ask
your customer about the profile they require. For more information, see the entry on OIOUBL profiles in the
frequently asked questions section at Digitaliseringsstyrelsen.
The default profile for all customers is the Simpel fakturaproces profile, which is chosen on the Sales &
Receivables Setup page. You specify the profile for a specific customer on the Customer card. If you want to
use the Billing Basic profile you will need to add it. To do so, on the Sales & Receivables Setup page, choose
the button in the Default Profile Code field, and then choose New . Enter a name for the code, and then in the
Profile field, enter urn:www.nesubl.eu:profiles:profile5:ver2.0 . You can then choose the profile either as
the default profile, or for one or more customers.
##To set up payment terms If you set up payment terms for customers, the electronic documents will include
discounts you give for early payments.
1. Choose the icon, enter Payment Terms , and then choose the related link.
2. In the OIOXML Code field, choose a code for each payment term that you will use for electronic invoices.
To set up customers for OIOUBL
You can use the Offentlig kunde (OIOXML) customer template to apply standard settings for OIOUBL to a
new customer, or the Apply Template function to apply the settings in the template to an existing customer.
The following steps describe how to manually complete the required fields for OIOUBL.
2. Open the customer that you want to enable for OIOUBL.
3. Enter the customer's address. Make sure that you specify a country/region code, and the contact
information for the sell-to contact.
4. In the Document Sending Profile field, choose the OIOUBL profile.
TIP
To display all of the fields, you might need to choose the Show more for the Invoicing FastTab.
GLN Enter the Global Location Number for the customer.

OIOUBL documents that you create in Business Central.
In accordance with Lov om Offentlige Betalinger and
related statutes, the customer is entitled to withhold
payment until they receive an invoice with the relevant
account code.
Profile Code Specifies the profile that this customer requires for
electronic documents if this is different from the default
profile that you specified on the Sales & Receivables
Setup page.
Profile Code Required Specifies if this customer requires a profile code for
electronic documents.
Tip
If the Profile Code Required field is selected, you
cannot post a sales document for this customer unless
you have specified a profile.
6. In the Payment Terms field, choose the terms under which you expect the customer to pay.
For more information about how to set up a customer, see Register New Customers.
To set up item charges

2. For each item charge, in the Charge Categor y field, select a category.
Finally, you must specify EAN numbers and account codes for the relevant customers. For more information, see
Set Up Customers for OIOUBL.
See Also
The OIOUBL Extension for Electronic Invoicing in
Denmark
When you sell goods or services to customers in the Danish public sector, you must submit documents to the
customer electronically in an XML file that is structured to meet the requirements of one or more Offentlig
Information Online - Universal Business Language (OIOUBL) profiles.
The OIOUBL extension in Business Central makes it easy to generate these XML documents for posted sales and
service invoices, credit memos, and issued reminders (which include finance charge memos).
The current requirements for sending electronic invoices are based on UBL version 2.0 standard. For more
information, see the https://aka.ms/OasisUblSite web site.
For more information about OIOUBL in general, see the website for Online OIOUBL Documentation, and the
Digitaliseringsstyrelsen website.
Getting Started with the OIOUBL Extension

By default, the OIOUBL extension is installed in Business Central. However, there are a few things to do before
you can use the extension:
Set up payment methods, payment terms, and item charges.
Set up customers for OIOUBL by specifying an account code, the OIOUBL profile to use to exchange
documents, and the customer's Geographic Location Number (GLN).
For more information, see Set Up the OIOUBL Extension.
See Also
Set Up the OIOUBL Extension
Create Electronic Documents in an OIOUBL Format
When you sell goods or services to a customer in the public sector, you must submit documents electronically. In
Business Central, you can create electronic documents for invoices, credit memos, reminders, and finance charge
memos. Before you can create the electronic documents, you must have set up file locations and information
about the customers. For more information, see Set Up Customers for OIOUBL.
You can create an electronic document after you post the sales or service document. The following sections
describe how to post a sales invoice with the required information and then create an electronic sales invoice,
but the same procedure applies to sales and service credit memos and reminders.
To post a sales invoice

2. Open the sales invoice that you want to post.
3. Make sure that the External Document No. field contains the document number that the customer
supplied. OIOUBL electronic documents require this number.
NOTE
For service documents, you must fill in the Your Reference field.
4. On the Invoicing FastTab, fill in the GLN and OIOUBL Account Code fields.
For reminders and finance charge memos, the fields are on the Posting FastTab.
To create an electronic sales invoice

After you post a document, you can create an electronic invoice in an OIOUBL format. The following steps
describe the process for posted sales invoices, but the process is the same for other documents.
2. Open the relevant posted sales invoice.
3. Choose the Create Electronic < document type > action.
4. Optionally, in the Create Electronic < document type > page, set additional filters, and then choose the
OK button.
This generates an XML file that is stored at the default download location on your device.
NOTE
With the online version of Business Central, the XML file is automatically created in the Download folder on the pc.
See Also
Set Up OIOUBL
The Payroll Data Definitions (DK) Extension
If your business uses the Danl¯n, Datal¯n, L¯nservice, Multil¯n, or Prol¯n payroll service providers in Denmark,
the Payroll Data Definitions (DK) extension can help you quickly and accurately register payroll transactions
from these providers. The extension contains data exchange definitions that enable you to import payroll
transactions in files that the providers send to you. For more information about data exchange definitions, see
Set Up Data Exchange Definitions.
Getting Started
The first step is to map the types of payroll transactions to the general ledger accounts that you want to post
them to in Business Central. For example, you might want to post retirement plan contributions to an account
named Pension, and the taxes paid on the contributions to an account named Pension Tax. This happens outside
of Business Central, for example, you might use an Excel worksheet to visualize the mapping. Work with the
payroll service provider to ensure that the file they export contains the mapping. Typically, you can find
information about how to configure export files on the provider's website.
After you install the extension, the next step is to specify the format for the payroll data file from the payroll
service provider. To do that, go to the General Ledger Setup page and choose the provider in the Payroll
Trans. Impor t Format field.

2. Choose the journal to use, and then use the Impor t Payroll File action to import the data file from the
payroll service provider.
See Also
Finland Local Functionality
The following topics describe local functionality that is unique to the Finnish version of Business Central.
VAT
Print Finnish Intrastat Reports Available Now
Print VAT Information on Invoices Available Now
VAT-VIES Declaration in Finland Available Now
Banking & Payments
Electronic Banking in Finland Available Now
Set Up Bank Reference Files Available Now
Generate Payment Files Available Now
SEPA Credit Transfer Payments Available Now
Disregard Payment Discounts Available Now
Core Finance
Set Up Automatic Account Posting Groups Available Now
Automatic Account Codes Available Now
Posting Depreciation Differences Available Now
See Also
Start a free trial!

Print Finnish Intrastat Reports
Companies in the European Union (EU) must report the extent of their trade with other EU countries/regions
according to specific rules. You must report the movement of goods to the Intrastat authorities in their
respective countries/regions.
The completed entries can be sent in a file to the Intrastat authorities, or you can print a report and manually
enter the information on the forms from the Intrastat authorities.
To print a Finnish Intrastat report

1. Choose the icon, enter Intrastat Journal , and then choose the related link.
2. Enter the batch name for the Intrastat report.
3. Choose the Print action, and then choose the Checklist Repor t action.
4. Choose the Print action.
See Also
Set Up Intrastat Reporting
Print VAT Information on Invoices
You can use posting groups to print VAT information for each item on the sales invoice.
To print VAT information on an invoice

1. Choose the icon, enter VAT Posting Group , and then choose the related link.
2. Enter an item code and description.
3. Select Print VAT info on Invoice to print the VAT information for each item on the respective sales invoice.
4. Create and post a sales invoice. Choose the Preview button to review the invoice and verify that it contains
VAT information for each row from the posting group.
See Also
Set Up Posting Groups
VAT-VIES Declaration in Finland
Business Central provides Finnish enhancements to comply with regulations for VAT and European Union (EU)
sales reporting. The VAT-VIES Declaration Tax Auth report and the EC Sales List report include the EU
Ser vice field, which allows you to print service-related sales amounts separately from item-related sales
amounts based on different posting groups. This information is required in VAT reports for EU third-party trade
transactions in 2010 and all subsequent years.
See Also
About the EC Sales List Report
The Business Central electronic banking feature allows you to process electronic customer and vendor
payments. This feature supports domestic payments (LM03) and foreign payments (LUM2) for transferring
electronic bank payments. To export or import electronic payments, you must first set up bank reference files to
determine how payment files are processed.
Customer Payments
Domestic customer payments can be imported from the bank and linked to the associated accounts receivable
entry with a reference number. This type of automation enables incoming payments to be linked directly to open
receivables without a delay in manual processing. The following steps explain how to import customer
payments into a file from the bank and how to link these payments to invoices through their reference numbers.
Create a sales invoice and assign a unique reference number to the invoice. This reference number will be
used by the customer when paying the invoice.
Import the payment files that contain customer payments into the cash receipt journal. These files contain
the reference numbers received from the bank. The payments are linked to the accounts receivable entry
through their reference numbers.
Post the cash receipt journal and close the open accounts receivable entries with the applied payments
from the file.
Reference Number
A reference number is automatically created when an invoice is posted or when an order is posted for invoicing.
However, you can enter a reference number manually on a sales journal transaction. This reference number is
not based on the reference number options on the Sales & Receivables Setup page. If you enter a reference
number for the sales journal, only the validity of the reference number is checked.
Vendor Payments
To send electronic bank payments to vendors, you can export domestic or foreign vendor payments into a
transfer file that can be sent to the bank. The following steps show how to export vendor payments.
Use the Bank Payments to Send page to select the vendors for which you want to create payment files.
Enter payment information for each transaction in the payment journal or use Suggest Vendor Payments
to create suggested payments.
Generate and preview the payment report.
Create a transfer file for domestic or foreign vendor payments.
Send the payment transfer file to the bank.
See Also
Generate Payment Files in the Finnish Version
To send electronic payments to vendors, you must first generate a payment file for domestic or foreign
payments.
To generate a payment file

1. Choose the icon, enter Bank Payments to Send , and then choose the related link.
2. In the Vendor No. column, select the vendors to include in the payment file.
3. Enter payment information for each vendor, or choose Suggest Vendor Payments to create suggested
vendor payment information.
4. Choose the Domestic payments or Foreign payments action.
5. Choose the Yes button to create a payment file.
See Also
Set Up Bank Reference Files in the Finnish Version
To process electronic payments, you must first set up bank reference files to determine how payment data
should be imported or exported.
To set up a bank reference file

1. Choose the icon, enter Bank Reference File Setup , and then choose the related link.
No. Specifies a bank account code.
Inform. of Appl. Cr. Memos Select to display credits applied to invoices on the payment
recipient's account statement.
3. On the Foreign Payments FastTab, fill in the fields as described in the following table.
Due Date Handling Select how due date processing should be applied to foreign
payments.
Batch – All payments in the file receive the same payment

date.
–or–
Transaction – Each payment in the file receives a

transaction-specific payment date. Contact your bank to
determine whether this setting should be used.
Default Ser vice Fee Code Select a default service fee code for foreign banks.
Default Payment Method Select a default payment method for foreign payments.
Exchange Rate Contract No. Enter the exchange rate contract number.
Allow Comb. Foreign Pmts. Select to combine all foreign payments made to one
recipient in one day from the same bank account.
4. On the SEPA FastTab, fill in the fields as described in the following table.
Bank Par ty ID Enter a SEPA bank party ID. Note: This field is only used for
the SEPA pain.001.001.02 standard.
File Name Enter the full path of the SEPA payment file. Note: This field
is only used for the SEPA pain.001.001.02 standard.
IMPORTANT
To export vendor payments using the SEPA standard, you must fill the Payment Expor t Format field on the Bank
Account Card page.
See Also
SEPA Credit Transfer Payments in the Finnish
Version
Business Central includes Finnish enhancements to allow you to create Single Euro Payments Area (SEPA) credit
transfer files to send vendor payments to banks. A SEPA credit transfer is a payment that is transferred
according to the file format specified by the European Payments Commission.
See Also
Use the disregard payment discount at full payment feature to accept payments when the following conditions
are true:
Payment discount date < payment date <= payment tolerance date
Full amount >= payment amount >= full amount - payment discount
To disregard a payment discount

2. Select the line with the payment term for which you want to activate or deactivate payment discounts.
3. Select the Disreg. Pmt. Disc. at Full Pmt check box to initiate activation for this feature. To deactivate, clear
the check box.
NOTE
When you apply one payment to multiple invoices, the feature to ignore payment discount at full payment is not
supported.
See Also
Set Up Automatic Account Posting Groups in the
Finnish Version
To use automatic account codes, you must create an automatic account posting group.
To set up automatic account posting groups

1. Choose the icon, enter Automatic Account Groups , and then choose the related link.
No. Enter a unique alphanumeric number for the automatic

account posting group.
Description Enter a description for the automatic account posting

group.
4. On the Automatic Acc. Line FastTab, fill in the fields as described in the following table.
Allocation Percentage Enter the percentage of the source line amount that is to
be allocated.
G/L Account No. Enter the general ledger account number to which the
allocation should be posted.
NOTE
The Total Balance field totals the Allocation Percentage field for automatic account lines in a posting group. If
the total allocation percent for a posting group does not balance to zero, an error message will be displayed when
the item is posted.
See Also
Finance
Automatic Account Codes in the Finnish Version
You can use customized posting groups to automate recurring transactions in journals, sales documents, or
purchase documents. These posting groups can be used throughout Business Central to trigger automatic
postings and allocations across different accounts or dimensions.
Automatic account codes can be used to automate postings related to payroll overhead. For example, when
posting total salary expenses at the end of the month, you can use automatic account codes to assign a
percentage of the total salary to automatically post as overhead expenses.
You can also use automatic account codes to trigger cost or revenue allocations across different dimensions. For
example, you can set up an automatic account group to divide total expenses across three departments when
posting an invoice.
See Also
Finance
Posting Depreciation Differences in the Finnish
Version
In Finland, the following depreciation methods are commonly used for fixed assets:
Straight-line depreciation which posts fixed assets to the general ledger.
Declining balance depreciation which does not post fixed assets to the general ledger.
If two depreciation methods are used, Finnish tax legislation requires that the difference in accumulated
depreciation between the different depreciation methods be calculated and posted to the general ledger.
See Also
Fixed Assets
France Local Functionality
The following topics describe local functionality that is unique to the French version of Business Central.
VAT
Export General Ledger Entries for Tax Audits Available Now
Export General Ledger Entries to an XML File Available Now
Requirements for Reporting Declaration of Trade in Goods Available Now
Reporting Declaration of Services DES 2022 release wave 2
Banking & Payments
Set Up Payment Addresses Available Now
Set Up Payment Statuses Available Now
Set Up Payment Steps Available Now
Set Up Payment Classes Available Now
Archive Payment Slips Available Now
Create Payment Slips Available Now
Export Payments Available Now
Export or Import Payment Management Setup Parameters Available Now
Payment Management Available Now
Post Payment Slips Available Now
Core Finance
Apply General Ledger Entries Available Now
Unapply General Ledger Entries Available Now
Close a Year Available Now
Close Income Statement Accounts Available Now
Fiscally Close Accounting Periods Available Now
Fiscally Close Years Available Now
Fiscal Periods and Fiscal Years Available Now
General Ledger Available Now
Open a New Fiscal Year Duplicate Available Now
Post the Year-End Closing Entry Available Now
Overview of Year-End Processes Available Now
Print General Ledger Reports Available Now
Reopen Accounting Periods Available Now
Specify Posting Periods Available Now
View Ledger Reconciliations Available Now
Fixed Assets
Set Up Accelerated Depreciation Available Now
Accelerated Depreciation Available Now
Calculate Accelerated Depreciation Available Now
See Also
Start a free trial!

Export General Ledger Entries for Tax Audits in the
French Version
In France, companies must provide corporate tax and VAT information, such as transactions and general ledger
postings, for audits in a file format that is specified by tax authorities. In Business Central, this information is
recorded in a standard audit file that is designed to provide information about account types that include posted
entries.
You can include opening balances in the file, but these are not actual posted entries. Business Central calculates
opening balance by using account entries up to the starting date that you specify for the file. The calculation also
includes the closing entries that are generated by closing the prior year. The opening balances are mapped to
the required fields in the report.
If you do not close your fiscal year or do not run the Close Year action before generating the report, the file will
include balances from income statement accounts.
NOTE
Opening balances are included in the report only for accounts with balances that are not equal to zero. To identify
opening balances, look for the following values in the following fields:
JournalCode = 0
JournalLib = BALANCE OUVERTURE
EcritureNum = 0
EcritureLib = Accounts prefixed with BAL OUV
ValidDate = Start date specified on the report's request page
NOTE
Before exporting general ledger entries, make sure you have marked G/L Accounts to be detailed when exporting
opening balances. This is usually a requirement for bank, customer and vendor G/L Accounts. This is done by enabling the
checkbox in the field Detailed Balance on th G/L Account Card page.
To export general ledger entries to a text file for a tax audit

1. Choose the icon, enter Expor t G/L Entries – Tax Audit , and then choose the relevant link.
2. On the Expor t G/L Entries – Tax Audit page, on the Options FastTab, fill in the fields as described in
Star ting Date Enter the date to use as the starting date for the time
period to be covered by the audit.
Ending Date Enter the date to use as the ending date for the time
period to be covered by the audit.
Include Opening Balances Select if you want to include opening balances in the
audit report file. The balances are calculated as of the
date before the first date of the period covered by the
report.
3. Choose the OK button to export the file.

When you create the report, Business Central sorts the information in the report by the No. and Creation Date
fields in the general ledger register.
The report will have the following name: <taxpayername>FEC<YYYYMMDD>
See Also
Close Years
You can export financial transactions for a particular period to an XML file for external archiving. After the
closing of the fiscal year, you can export the general ledger transactions for the closed year by applying the
correct date filter and then exporting the financial transactions within the specified period to the XML file. The
XML file includes all the general ledger transaction information, such as document posting date, document type,
document number, account type, account number, credit amount, and debit amount retrieved from the General
Journal page.
To export general ledger entries to an XML file

1. Choose the icon, enter Expor t G/L Entries to XML , and then choose the relevant link.
2. On the Expor t G/L Entries to XML page, on the Options FastTab, fill in the fields as described in the
following table.
Star ting Date Sets the starting date to export the financial
transactions.
Ending Date Sets the ending date to export the financial transactions.
3. To export the file, choose the OK button.

You can save the generated file to a specified location, or you can open the file.
WARNING
If you have set the start date and end date to include the entire fiscal year, the process can take several minutes.
See Also
Requirements for Reporting Declaration of Trade in
Goods in the French Version
In this article, we describe how you can set up your Business Central for reporting the Declaration of Trade in
Goods (DEB) report in France.
The following fields are required for reporting DEB:
CISD from the Company Information table.
Registration No. from the Company Information table.
VAT Registration No. from the Company Information table.
Name from the Company Information table.
Date for the statistics period from the Intrastat Jnl. Line table.
Transaction Specification from the Intrastat Jnl. Line table.
Quantity from the Intrastat Jnl. Line table must be greater than 0.
Statistical Value from the Intrastat Jnl. Line table must be greater than 0.
NOTE
The Expor t DEB DTI report exports shipments and receipts in one batch. If you want to report only shipments or
receipts, then you must set a filter to remove the lines that are not needed in the Intrastat Journal table.
Intrastat requirements for DEB

For France, Intrastat management implies to separate the declaration data for the statistical reporting and for
the fiscal reporting (recapitulative statement of VAT). It is required that Intrastat exports separetely files based on
configured obligation level.
1. To export Intrastat lines correctly, choose the icon, enter Intrastat Journals and then select the action
Suggest Lines . New Intrastat journal lines will be created for the selected period.
2. On the journal lines, fill in the necessary fields, and then choose the Expor t DEB DTI+ action.
The Expor t DEB DTI runs. You must specify the obligation level that you want to report. The
Transaction Specification Filter field on the request page has a predefined value that depends on the
specified obligation level. The value of this field is a filter that is applied to the Transaction
Specification field of the Intrastat journal lines.
When the report is run, only Intrastat journal lines with a value of the Transaction Specification field that
matches the Transaction Specification Filter field are processed. The field Transaction Specification Filter
is editable, so you can change its value according to your needs. The following table outlines the currently
supported values:
L EVEL F ILT ER
Obligation Level 1 11 | 19 | 21 | 29
L EVEL F ILT ER
Obligation Level 2 “” (a blank filter, so that all Intrastat journal lines are
processed)
Obligation Level 3 “”
Obligation Level 4 <>29&<>11&<>19 (lines with Transaction Specification 29, 11,

19 are not processed)
Obligation Level 5 <>11&<>19
Validate Intrastat lines

Run the Advanced Intrastat Checklist report to check Intrastat journal lines before they are exported to XML.
The check is run inside the Expor t DEB DTI report.
To enable the check
1. Choose the icon, enter Intrastat Setup and then choose the relevant link.
2. Select the Use Advanced Checklist field.
3. Choose the Advanced Intrastat Checklist Setup action.
4. Add the necessary lines with the Object Type field set to Report, and the Object Id field set to 10821. Then
set the Field No. field to a field that must be checked for a non-empty value. Fill in the Filter Expression
field if needed.
See Also
Payment Management in the French Version
Business Central allows you to manage bills of exchange, electronic payments, and vendor payments using the
payment management function.
You can manage customer and vendor payments using payment slips. Before you create a payment slip, you
must set up the following prerequisites:
Payment class – The type of payment that you want to perform, for example, bill of exchange, electronic
payment, or check. For more information, see Set Up Payment Classes.
Payment status – The progress level of a payment document. You must define a set of statuses for each
payment class. For more information, see To set up payment statuses for a payment class.
Payment steps – A payment that is executed at a specified time. After a payment step is completed, you
can move the payment document from one status to another. If a step involves posting debit or credit
entries, you must define additional actions in the Payment Step Ledger table. For more information,
see To set up payment steps for a payment class.
Payment address for vendors and customers – The address that is used for a vendor or a customer at the
time of settlement. The payment address can be different from the vendor's or customer's default
address. For more information, see Set Up Payment Addresses.
You can also transfer your payment management setup information to an external disk so that you can use the
same parameters for another company with similar requirements.
Managing Payment Slips and Files

You can create payment slips to manage customer payments and vendor payments. After creating the payment
slip, you must post it.
These payment slips can then be converted into payment files, which can be sent to the bank electronically.
For more information, see Create Payment Slips.
Archiving Payment Slips

You can separate a fully processed payment slip from the active payment slips by archiving it. You can manually
archive an individual payment slip or you can automatically archive a batch of payment slips. For more
information, see Archive Payment Slips.
See Also
Post Payment Slips
Making Payments
Set Up Payment Addresses in the French Version
To use payment management, you must set up payment addresses that will be used for vendors and customers
at the time of settlement. The payment address can differ from the default address.
The following procedure describes how to set up a payment address for a vendor, but the same steps apply to
setting up a payment address for a customer.
To set up a payment address

1. Choose the icon, enter Vendors , and then choose the relevant link.
2. Select a vendor, and then choose the Edit action.
3. Choose the Payment Addresses action.
4. Fill in the required fields as described in the following table.
Code The payment address code.
Default Value Select to use this address as the default payment

address. You can select one default payment address.
Name The name associated with the payment address.
Address The payment address.
NOTE
If a payment address is not set up, the address in the vendor or customer card is set as the default value.
See Also
Payment Management
Post Payment Slips
To use payment management in the French version of Business Central, you must set up payment classes to
define operation types, such as bills of exchange, electronic payments, or checks. Payment classes are defined in
the Payment Slip Setup page.
For each operation type, you then define the various statuses that the operation type can have, and you
associate each status with steps to define how the payment changes from one status to the another.
To set up a payment class

1. Choose the icon, enter Payment Slip Setup , and then choose the relevant link.
2. On the Payment Slip Setup page, choose the New action.
Enable Select to enable usage of the payment class.
Code The unique identification code for the payment class.
Name The payment class description.
Header No. Series The number series code for the payment slip header.
Line No. Series The number series code for the payment slip lines. If you
leave this field blank, the number for each payment line
is created based on the payment header number.
Suggestions The type of payment proposals that can be created

automatically on a payment slip.
Unrealized VAT Reversal Specify the method to handle unrealized VAT.
If you select Application , VAT will be realized when you

post the invoice application and payment application.
If you select Delayed , you must define the payment

step during which VAT must be realized, by selecting the
Realize VAT field on the Payment Step Card page.
SEPA Transfer Type Specify the SEPA export format, either Credit Transfer
or Direct Debit . You specify the export format for SEPA
transfers in payment steps for the payment class.
To set up payment statuses for a payment class

1. In the Payment Slip Setup page, select a payment class, and then choose the Status action.
2. On the Payment Status page, choose the New action.
3. Fill in the fields. Hover over a field to read a short description.
For example, the RIB field indicates that information about the Relevé d'Identité Bancaire (RIB) statement
for the customer or vendor must be displayed in the payment lines. The RIB information includes the
bank branch number, agency code, bank account number, bank name, RIB key, and key verification.
4. When you have defined the statuses you want for this payment class, return to the Payment Slip Setup
page.
Next, you must define steps for each payment class. The payment steps define how the payment moves from
one state to the next, such as Creation of documents, Documents created, and Creation of payments.
To set up payment steps for a payment class

1. In the Payment Slip Setup page, select a payment class, and then choose the Steps action.
2. In the Payment Step list, add the relevant steps for this payment class. For each step, you can enter a
3. Choose the first step, and then choose the Edit action.
4. On the Payment Step Card page, fill in the fields. Hover over a field to read a short description.
TIP
The Previous Status field defines the previous status, from which the step was last executed. The default value is 0, and
the first step will have 0 as the value of the Previous Status field.
To make a step optional and potentially repeatable, set the previous status to be equal to the next status.
The Action Type , Expor t Type , and Expor t No. fields play together. For example, for SEPA credit transfer files, set
Expor t Type to XMLpor t , and then set the Expor t No. field to 1000. For SEPA direct debit files, specify XMLpor t , and
then set the Expor t No. field to 1010.
If the action type of the payment step is Ledger , you must set up extra ledger information for the payment step.
To set up ledger information for a payment step
1. On the Payment Step Card page for the payment step, choose the Ledger action.
2. On the Payment Step Ledger page, choose the New action.
3. Fill in the fields as appropriate. Hover over a field to read a short description.
See Also
Payment Management
Post Payment Slips
You can create payments slips to manage vendor and customer payments. Before you create payment slips, you
must set up payment classes. For more information, see Set Up Payment Classes.
The following procedure describes how to create payment slips for vendor payments, but the same steps also
apply to creating payment slips for customer payments.
To create a payment slip for vendors

1. Choose the icon, enter Payment Slips , and then choose the relevant link.
3. On the Payment Slip page, choose a field to open the Payment Class List page.
4. Select a payment class, and then choose the OK button.
Currency Code Specify the currency code to be used for the payment
lines.
Posting Date Specify the posting date.
Document Date Specify the document date.
Amount (LCY) The total amount from the payment lines. This field is
updated automatically when the net line amounts are
changed.
6. On the Lines FastTab, fill in the fields as described in the following table.
Account Type The account type to which the payment line is posted.
Account No. The unique identification number for the account to

which the entry will be posted.
7. In the Bank Account Code field, select a bank name from the list, and then choose Advanced .
8. Optionally, for SEPA, on the Select – Vendor Account List page, and then choose the Edit action.
Fill in the following fields if needed:
Countr y/Region Code . In the list, choose Advanced , and make sure that the SEPA Allowed check
box is selected for the code that you select.
Swift Code
IBAN
Choose the OK button to close the page.
9. Optionally, for SEPA, choose the Header RIB action. Select the Bank Countr y/Region Code field, and
then choose Advanced . Make sure the SEPA Allowed check box is selected. Also make sure that the
IBAN and SWIFT Code fields are filled in.
10. Choose the Suggest Vendor Payments action.
NOTE
You can also manually fill in the payment lines.
11. In the Suggest Vendor Payments batch job, on the Options FastTab, fill in the fields as described in the
following table.
Last Payment Date The last payment date for the vendor ledger entries that
are to be included in the batch job.
Find Payment Discounts Select to include vendor ledger entries for which you can
receive a payment discount.
Summarize per The criteria for summarizing the payment line.
Use Vendor Priority Select to sort the suggested payments based on the
value in the Priority field on the vendor cards. For more
information, see Priority.
Available Amount (LCY) The maximum amount that is available for payments in
local currency.
Currency Filter The code for the currency to be included in the batch
job.
12. On the Vendor FastTab, select the appropriate filters.

The payment lines are automatically created.
14. On the Payment Slip page, on the Posting FastTab, fill in the fields as described in the following table.
Source Code The source code for the payment slip.
Depar tment Code The relevant dimension code.
Project Code The relevant dimension code.
Account Type The account type to which or from which the payments
will be transferred.
Account No. The account number to which or from which the

payments will be transferred.
15. Optionally, for SEPA, in the Account No. field, choose the Advanced option.
a. On the Bank Account List page, choose the Edit action.
b. Fill in the following fields if needed:
General FastTab
Countr y/Region Code
Transfer FastTab
Swift Code
IBAN
RIB FastTab
Payment Expor t Format : SEPA
SEPA CT Msg. ID No. Series : Bank
After you create a payment slip, you can generate payment files and send them to the bank electronically.
NOTE
A payment file can be created if the payment slip displays File for the Action Type field.
To create a payment file

2. Select a payment slip, and then choose the Edit action.
3. On the Payment Slip page, choose the Generate file action.
4. Choose the Yes button, and then choose the OK button.
The payment file is generated and exported according to the export type that is specified on the
Payment Step page.
5. In the case of error, review the errors listed in the File Expor t Errors FactBox, and take the appropriate
action.
See Also
Payment Management
Set Up Payment Statuses
Set Up Payment Steps
Post Payment Slips
Export Payments
The Payment Management module allows you to export your payments electronically via a text file or XMLport.
To export payments
2. On the Payment Class page, select a payment class, and then choose the Steps action.
3. On the Payment Step page, fill in the Name field.
4. Choose the Edit action to open.
5. On the Payment Step Card page, fill in the fields.
6. In the Action Type field, select the File option, and then in the Expor t Type field, select the Repor t or the
XMLpor t action.
7. In the Expor t No. field, specify the object that will export the payments.
The next time you make a payment that is based on this payment step, the payments will be exported to a file as
specified.
See Also
Post Payment Slips in the French Version
You must post payment slips to complete a payment transaction and to create the related financial data. You can
post a payment slip if the payment slip's Action Type is set to Ledger .
Before you post a payment slip, you must create the payment slip. For more information, see Create Payment
Slips.
To post a payment slip

2. Select a payment slip, and then choose the Edit action.
3. On the Payment Slip page, choose the Post action.
The payment slip is posted.
See Also
Payment Management
Archive Payment Slips in the French Version
When a payment slip has been processed, you can separate it from the active payment slips by archiving it.
You can archive the payment slip by using the following methods:
Manually – for individual payment slips.
Automatically – for a batch of payment slips.
To archive a payment slip

2. Select the relevant payment slip, and then choose the Edit action.
3. On the Payment Slip page, choose the Archive action.
4. Choose the Yes button to archive the payment slip.
NOTE
If the current status of the payment slip does not allow archiving, a message is displayed.
To archive a batch of payment slips

1. Choose the icon, enter Archive Payment Slips , and then choose the relevant link.
2. On the Archive Payment Slips page, on the Payment Header FastTab, select the appropriate filters.
The payment slips are archived.
NOTE
This batch job will only archive payment slips that have the Archiving Authorized check box selected on the Payment
Status page. For more information, see Set Up Payment Statuses.
See Also
Payment Management
Post Payment Slips
Export or Import Payment Management Setup
Parameters
You can export or import payment management setup parameters to an external disk so that you can use the
same parameters for another company with similar requirements.
To export or import payment management setup parameters

2. On the Payment Class page, choose the Expor t Parameters action.
To import a parameter, choose the Impor t Parameter action, select the file, and then choose the Open
button.
3. Choose the Save button to open the Save As page and navigate to the location where the file should be
saved.
See Also
Payment Management
General Ledger in France
General ledger functionality for France is described in the below topics.

Export General Ledger Entries for Tax Audits
See also
Apply General Ledger Entries in the French Version
You apply general ledger entries to justify ledger balances on asset and liability accounts. For example, you can
apply transactions on the bill of exchange accounts to get a clear picture of which bills make up the balance of
the account.

2. On the Char t of Accounts page, select the account that you want to apply entries for, and then choose the
Apply Entries action.
3. On the Apply G/L Entries page, select the ledger entries that you want to apply.
4. Choose the Set Applies-to ID action to populate the Applies-to ID field with the user ID of the current
user.
This effectuates the application by setting the Letter and Letter Date fields.
NOTE
Applied entries can be identified by having the same three-letter combination and the same date.
See Also
Apply Vendor Payments Manually
Unapply General Ledger Entries in the French
Version
You can unapply general ledger entries in a very straightforward way.

2. On the Char t of Accounts page, select the account you want to unapply entries for, and then choose the
Apply Entries action.
3. On the Apply G/L Entries page, select the ledger entries you want to unapply.
4. Choose the Unapply Entries action.
See Also
General ledger reports meet financial accounting standards, and they contain information about ledger entries,
customer entries, vendor entries, and bank entries.
To print general ledger reports

1. Choose the icon, enter General Ledger , and then choose the relevant link.
2. Choose the Repor ts and Analysis action, choose the France action, and then choose one of the
following reports.
Journals - Shows all of the general ledger transactions.

- Shows the subtotals of the transactions per period.
For more information, see Journals.
G/L Journal Shows the subtotals for each source code per month.
For more information, see G-L Journal.
G/L Trial Balance Shows opening debit and credit balances, period debit
and credit balances, and final debit and credit balances
for all general ledger accounts.
For more information, see G-L Trial Balance.
G/L Detail Trial Balance - Shows the general ledger transactions for all general
ledger accounts.
- Shows the subtotals of the transactions per general
ledger account.
For more information, see G-L Detail Trial Balance.
Customer Journal - Shows the transactions of all customer accounts.

- Show the subtotals of the customer transactions per
period.
For more information, see Customer Journal.
Customer Trial Balance Shows opening debit and credit balances, period debit
for all customer accounts.
For more information, see Customer Trial Balance.
Customer Trial Balance - Shows all of the transactions for all customer accounts.
- Shows the subtotals of the customer transactions per
account.
For more information, see Customer Trial Balance.

Vendor Journal - Shows the transactions for all vendor accounts.

- Shows the subtotals of the vendor transactions per
period.
For more information, see Vendor Journal.
Vendor Trial Balance Shows opening debit and credit balances, period debit
for all vendor accounts.
For more information, see Vendor Trial Balance.
Vendor Detail Trial Balance - Shows transactions for all vendor accounts.
- Show the subtotals of the vendor transactions per
account.
For more information, see Vendor Detail Trial Balance.
Bank Account Journal - Shows transactions for all bank accounts.

- Shows the subtotals of the bank transactions per
period.
For more information, see Bank Account Journal.
Bank Account Trial Balance Shows opening debit and credit balances, period debit
for all bank accounts.
For more information, see Bank Account Trial Balance.
Bank Acc. Detail Trial Balance - Shows transactions for all bank accounts.
- Shows the subtotals of the transactions per account.
For more information, see Bank Acc. Detail Trial Balance.
3. On the Options FastTab, enter information in the relevant fields, and then select the appropriate filters.
NOTE
The Options FastTab is not available for the G/L Journal batch job.
See Also
Business Central includes two reports that can help you reconcile general ledger entries with customer ledger
entries and vendor ledger entries. The reports print a separate page for each customer or vendor that sums up
amounts from general ledger transactions based on payments and posted invoices.
The following procedure applies to viewing reconciliation between the general ledger and the customer ledger,
but the same steps apply to reconciliation with the vendor ledger.
To view general ledger reconciliation with the customer ledger

1. Choose the icon, enter General Ledger , and then choose the related link in General Ledger .
2. Choose the Repor ts action, choose the France action, and then choose the GL/Cust. Ledger
Reconciliation action.
3. On the GL/Cust. Ledger Reconciliation page, set the appropriate filters.
NOTE
You must specify a date filter.
4. Choose the Preview button.

You can now view the debit and credit amounts for each customer, and you can see the document numbers that
resulted in each general ledger transaction.
See Also
Specify Posting Periods In the French Version
When you specify posting periods, you limit the period in which posting is allowed.
To specify posting periods

2. On the General Ledger Setup page, in the Allow Posting From field, specify the start date of the
posting period.
3. In the Allow Posting To field, specify the end date of the posting period.
The dates are validated against the allowed posting ranges to make sure that they belong to open fiscal
years. For more information, see Allowed Posting Range.
4. To verify what the allowed posting range is, choose the Get Allowed Posting Range action.
The dates that you define here apply to the whole company, that is, to all users.
NOTE
You can define different posting periods for different users and apply a posting period to a user on the User Setup page.
If you enter dates here, the dates entered on the General Ledger Setup page will not apply to these users.
See Also
Fiscal Periods and Fiscal Years in the French Version
A fiscal year is typically divided into 12 monthly fiscal periods. In Business Central, you can have two fiscal years
open at the same time. You cannot create a third fiscal year if there are two fiscal years open.
To close a fiscal year, you must close the accounting periods within that year.
You can only reopen a closed accounting period if the period falls within an open fiscal year. For more
information, see Close Years. You cannot reopen a closed fiscal year.
Closing Fiscal Periods and Fiscal Years

After a fiscal year is complete, you must close the accounting periods within that fiscal year. This is to ensure that
general ledger entries are not posted for that period. For more information, see Fiscally Close Accounting
Periods.
A fiscal year can be closed if all of the following criteria are met:
The posting dates on the User Setup page and the General Ledger Setup page do not fall within the
year that you are closing. For more information, see Specify Posting Periods and Understanding the
General Ledger and the COA.
The fiscal year has been closed using the Close Year function on the Accounting Periods page. For
more information, see Closing Years and Periods.
All the unposted journal lines for the year have been posted or deleted.
All closing entries are up to date.
When you close a fiscal period, the earliest open fiscal period is closed. The Allow Posting From field on the
General Ledger Setup page is updated with the start date for the next open period, if the existing date in this
field is not already a later date. If the Allow Posting To field on the General Ledger Setup page is within the
closed period, then the value in the Allow Posting To field is updated with the end date for the first open fiscal
period. For more information, see Understanding the General Ledger and the COA.
At the end of the year, you must do the following:
Close the fiscal year using the Close Year function.
Generate a year-end closing entry.
Post the year-end closing entry, along with the offset equity account entries.
Close the fiscal year using the Fiscally Close Year function.
See Also
Year End Processes Overview in the French Version
Year end closing in Business Central involves three steps:

1. Closing the fiscal year. For more information, see Fiscally Close Accounting Periods.
2. Generating a year-end closing entry using the Close Income Statement option along with the offsetting
equity account entries. For more information, see Posting the year-end closing entry.
3. Fiscally closing the fiscal year. For more information, see Fiscally Close Years.
According to the French law NF Logiciel compatibilité informatisée the system has to refuse the creation of a
third open fiscal year, so only two open fiscal years are allowed at the same time.
So in time you are required to close a year. You also do not have to worry about losing details of transactions
when you close because all details are retained, even after you (fiscally) close the year.
When you close at the end of the year, the system moves your earnings from calculated earnings, or the Current
Earnings account, to a posted account, or the Retained Earnings account. The system also marks the fiscal year
as "closed," and marks all subsequent entries for the closed year as "prior year entries."
The system then generates a closing entry, but it does not post the entry automatically. You are given the
opportunity to make the offsetting equity account entry or entries, which allows you to decide how to allocate
your closing entry. For example, if your company has several divisions, you can let the system generate a single
closing entry for all the divisions, and you can then make an offsetting entry for each division's equity account.
Once a year has been fiscally closed you will not be able to post in this fiscal year.
See Also
Posting the year-end closing entry
When a fiscal period is complete, you can fiscally close the period to make sure that no more general ledger
entries can be posted.
To fiscally close accounting periods

1. Choose the icon, enter Accounting Periods , and then choose the relevant link.
2. On the Accounting Periods page, choose the Close Fiscal Period action.
If more than one fiscal period is not fiscally closed, the earliest one should be fiscally closed. A message
appears to identify the period that should be closed and explains the consequences of closing it.
3. To fiscally close the period, choose the Yes button.
When the period is fiscally closed, the Fiscally Closed field is selected, and the Fiscal Closing Date field is
updated for the period.
See Also
Close Years
Close Income Statement Accounts in the French
Version
Before you can run the Close Income Statement batch job, you must close the fiscal year. For more
information, see Fiscally Close Years.
To close the income statement accounts

1. Choose the icon, enter Close Income Statement , and then choose the relevant link.
2. On the Close Income Statement page, on the Options FastTab, specify the conditions of the batch job.
When the batch job is finished, you must close the accounts.
4. Choose the icon, enter General Journals , and then choose the relevant link.
5. Select the general journal that contains the closing entries.
6. Enter one line with a balancing entry that posts the net income to the correct general ledger account
under owners' equity on the balance sheet.
See Also
Close Years in the French Version
When a fiscal year is over, you must close the periods that it comprises.
To close a year
2. Choose the Close Year action.
If more than one fiscal year is open, the earliest one should be closed. A message appears to identify the
year that should be closed and explains the consequences of closing it.
3. To close the year, choose the Yes button.
When the fiscal year is closed, the Closed and Date Locked fields are selected for all the periods in the year. At
this point the fiscal year cannot be opened again, and you cannot clear the Closed or Date Locked fields.
WARNING
You cannot close a fiscal year before you create a new one. When a fiscal year has been closed, you cannot change the
starting date of the following fiscal year.
Even though a fiscal year has been closed, you can still post general ledger entries to it until you fiscally close
the fiscal year. When you do this, the entries will be marked as posted to a closed fiscal year, and the Prior-Year
Entry field will be selected. For more information, see Fiscally Close Years.
After a fiscal year is closed, you must close the income statement accounts and transfer the year's results to an
account in the balance sheet. You can repeat this each time you post to the closed fiscal year.
After a fiscal year is fiscally closed, it cannot be opened again, and general ledger entries cannot be posted.
See Also
Year End Processes Overview
When a fiscal year is complete, you must fiscally close the periods that it comprises to make sure that no more
general ledger entries can be posted.
Before fiscal closing is allowed the following must be done:
The fiscal year has been closed first. For more information, see Close Years.
All journal lines that are not posted for the year are either posted or deleted before the year is fiscally closed.
All closing entries are up-to-date.
To fiscally close years

2. Choose the Fiscally Close Year check box.
If more than one fiscal year is not fiscally closed, the earliest one should be fiscally closed. A message
appears that identifies the year that should be closed and explains the consequences of closing it.
3. To fiscally close the year, choose the Yes button.
When the fiscal year is fiscally closed, the Fiscally Closed field for all the periods in the year is selected. The
fiscally closed year cannot be opened again, and you cannot clear the Fiscally Closed field.
See Also
Close Years
Open a New Fiscal Year in the French Version
Before you can post in a fiscal year, you must open the fiscal year and define its accounting periods.
To open a new fiscal year

2. Choose the Create Year action.
3. On the Options FastTab, define the structure of the fiscal year. The fiscal year is usually 12 periods of one
month each, but you can also divide it in other ways.
4. Fill in the fields.
The accounting periods are created, and the result is shown. The Star ting Date field and the Name field are
filled in with the name of the month from the starting date.
After the last period in the fiscal year, an accounting period is inserted with the New Fiscal Year field selected.
IMPORTANT
In concordance with French law no more than two open fiscal years are allowed.
See Also
Close Years
Post the Year-End Closing Entry in the French
Version
After you use the Close Income Statement batch job to generate the year-end closing entry or entries, you
must open the journal you specified in the batch job, and then review and post the entries.
To post the year-end closing entry

2. Review the entries.
4. In the posting confirmation page, choose the Yes button.
If an error is detected, an error message is displayed. If the posting is successful, the system removes the posted
entries from the journal.
Once posted, an entry is posted to each income statement account so that its balance becomes zero and the
year's result is transferred to the balance sheet.
See Also
Close Years
When a single fiscal period has been fiscally closed it might be necessary to reopen it to post general ledger
entries.
NOTE
After the year that the accounting period belongs to is fiscally closed, you cannot reopen it.
To reopen accounting periods

2. Choose the Reopen Fiscal Period action.
If more than one fiscal period is fiscally closed, the last one should be reopened. A message appears that
identifies the period that should be reopened and explains the consequences of reopening it.
3. To fiscally open the period, choose the Yes button.
When the period is reopened, the Fiscally Closed field is cleared, and the Period Reopened Date field is
updated for the period.
See Also
Close Years
To use the accelerated depreciation calculation, you must set up the following depreciation books for fixed
assets:
The accounting depreciation book (integrated with the general ledger).
The tax depreciation book (not integrated with the general ledger).
NOTE
When you post an acquisition, depreciation, or disposal for the accounting depreciation book, the transaction is
duplicated and posted in the tax depreciation book when the fixed asset journal is posted.
The difference between the accounting depreciation book and the tax depreciation book is managed through the
settings on the Integration FastTab on the deprecation book card as indicated in the following table.
DEP REC IAT IO N B O O K P URP O SE VA L UE O F T H E DERO GATO RY F IEL D
Accounting depreciation Switched on
Tax depreciation Switched off
The Derogator y field specifies if you want derogatory entries that are posted to this depreciation book to be
posted both to the general ledger and the FA ledger. If you have placed a check mark in the field, you must use
the FA G/L journal to post derogatory entries.
You specify the G/L accounts that must be used in the FA Posting Group page. In the Depreciation Book
page, you specify the posting group that must be used.
If you do not place a check mark in the field, you must use the FA journal to post derogatory entries, which will
be posted only to the FA Ledger Entry table.
For the tax depreciation book, on the General FastTab, you then specify the relevant accounting depreciation
book in the Derogator y Calculation that will calculate derogatory depreciation. The Used with Derogator y
Book field in the accounting depreciation book is updated with the tax depreciation book code.
Derogatory calculation
The Derogator y Calculation field on a depreciation book specifies if this book is used as tax depreciation
book to calculate derogatory depreciation. The specified code for the accounting depreciation book establishes a
derogatory setup.
As for the tax book, only FA entries will be posted, the check boxes on the Integration tab cannot be checked.
When the field is blank, Business Central will use the depreciation book in a standard way. If it is not blank, the
system will calculate derogatory depreciation.
See Also
Accelerated Depreciation in the French Version
Accelerated depreciation is calculated based on the differences between the accounting depreciation book and
the tax depreciation book fixed asset, during the life of the fixed asset.
Fixed assets that have higher tax depreciation and lower accounting depreciation are depreciated using the
accelerated depreciation method, as allowed by the tax authorities.
Companies must use the accelerated depreciation method to post the extra tax amounts if they meet at least two
of the following criteria:
They have more than 50 employees.
They have at least two million euros in assets.
They have at least four million euros in sales.
Depreciation Book
The accelerated depreciation method helps you to calculate and post differences between tax depreciation
amounts and accounting depreciation amounts that are allowed for fixed assets. To calculate accelerated
depreciation for fixed assets, the following depreciation books must be set up:
The accounting depreciation book (integrated with the general ledger).
The tax depreciation book (not integrated with the general ledger).
You must set up the tax book as a derogatory book by using an accelerated depreciation setup parameter. If this
parameter is set, differences between the tax book and the accounting book are calculated and posted as
accelerated depreciation amounts. For more information, see Set Up Accelerated Depreciation.
Example
If you have a fixed asset valued at 1,000 euros that is depreciated in the accounting depreciation book over five
years, and depreciated in the tax depreciation book over three years, then the accounting depreciation for the
first year is 200 euros (1,000/5) and the tax depreciation for the first year is 333.33 euros (1,000/3). The
accelerated depreciation amount is the difference between these two amounts: 133.33 euros (333.33 - 200).
Accelerated Depreciation Accounts

Accelerated depreciation uses the derogatory fixed asset posting type. Statistics and reports use this posting
type to report the accelerated depreciation calculation. For more information, see Set Up Fixed Asset
Depreciation.
There are two accounts to set up for derogatory amounts:
Positive accelerated depreciation amounts (increase of accelerated depreciation):
Derogatory account
Derogatory expense account
Negative accelerated depreciation amounts (decrease of accelerated depreciation):
Derogatory Acc. on Disposal
Derog. Bal. Acc. on Disposal
If you post an acquisition, depreciation, or disposal for the accounting depreciation book, the transaction is
automatically duplicated and posted in the tax depreciation book when the journal is posted.
After you set up the tax depreciation book and the accounting depreciation book, the accelerated depreciation is
calculated automatically for fixed assets using the calculate depreciation batch job in the accounting
depreciation book. For more information, see Calculate Accelerated Depreciation.
See Also
Fixed Assets
Calculate Accelerated Depreciation in the French
Version
In Business Central, you calculate periodic depreciation for fixed assets by using the Calculate Depreciation
batch job. The fixed asset depreciation book that is linked to the fixed asset defines the depreciation method, the
starting date for depreciation, and the fixed asset posting group that is used in the batch job.
If a fixed asset depreciation book is integrated with the general ledger, then it is called an accounting
depreciation book. If a fixed asset depreciation book is not integrated with the general ledger, then it is called a
tax depreciation book.
You can only calculate the accelerated depreciation for fixed assets that have an accounting depreciation book
and a tax depreciation book. For more information about setting up tax depreciation books and accounting
depreciation books for fixed assets, see Set Up Accelerated Depreciation.
Entries are transferred to the fixed asset general journal when you select an accounting depreciation book in the
batch job. Entries are transferred to the fixed asset journal when you select the tax depreciation book.
To calculate accelerated depreciation

1. Choose the icon, enter Calculate Depreciation , and then choose the relevant link.
2. On the Calculate Depreciation page, on the Options FastTab, fill in the fields as described in the
following table.
Depreciation Book The unique identification code for the accounting

depreciation book.
FA Posting Date Specify the ending date for the depreciation calculation, if
this is the first depreciation entry for the asset. The
depreciation starting date that is defined on the FA
Depreciation Books page is used as the starting date
for the depreciation calculation. If you have already
depreciated the asset, the fixed asset posting date of the
last depreciation entry is used as the starting date for
the depreciation calculation.
Use Force No. of Days Select to use the number of days in the Force No. of
Days field for the depreciation calculation.
Force No. of Days The number of days for the depreciation calculation. You
can only enter a number in this field if the Use Force
No of Days check box is selected.
Posting Date The posting date for the calculated depreciation.
You can leave this field blank if the Use Same FA + G/L
Posting Dates field in the accounting depreciation
book is selected. The posting date is copied to the
resulting journal lines.
Document No. The document number for the fixed asset journal batch.
Leave this field blank if you have set up a numbering
series for the fixed asset journal batch on the No. Series
page. For more information, see No. Series.
Posting Description The posting description for the fixed asset journal entries.
Inser t Bal. Account Select to automatically insert balancing accounts in the

resulting journal. The Calculate Depreciation batch
job only uses balancing accounts that are defined in the
FA Posting Group.
3. On the Fixed Asset FastTab, select the appropriate filters.

The accelerated depreciation for the fixed asset is calculated.
See Also
Fixed Assets
Germany Local Functionality
The following topics describe local functionality that is unique to the German version of Business Central.
VAT
Set Up Reports for VAT and Intrastat Available Now
Set Up VAT Reports Available Now
VAT Reporting Available Now
Create VAT Reports Available Now
Correct VAT Reports Available Now
Sales VAT Advance Notifications Available Now
Declare VAT-VIES Tax Available Now
EU Sales List in Germany Available Now
Banking & Payments
Print Vendor Payments List Reports Available Now
Core Finance
Export and Print Intrastat Reports Available Now
Post a Negative Entry Available Now
Process for Digital Audits Available Now
Set Up Data Exports for Digital Audits Available Now
Export Data for a Digital Audit Available Now
GDPDU Filter Examples Available Now
Upgrade a .DTD Definition File Available Now
Walkthrough: Exporting Data for a Digital Audit Available Now
Purchasing
Set Up Delivery Reminders Available Now
Set Up Delivery Reminder Terms, Levels, and Text Available Now
Delivery Reminders Available Now
Assign Delivery Reminder Codes to Vendors Available Now
Create Delivery Reminders Manually Available Now
Generate Delivery Reminders Available Now
Issue Delivery Reminders Available Now
Print Test Reports for Delivery Reminders Available Now
General
Currency Exchange Rates Available Now
Include Company Registration Numbers on Sales Reports and Purchase Reports Available Now
Print General Ledger Setup Information Available Now
See Also
Certification of Business Central for German market (document is in German)
Start a free trial!

In Business Central, you can specify which reports to use to create the documents that you must submit to the
authorities, such as the VAT statement and the Intrastat form.
To set up reports for VAT
1. Choose the icon, enter Repor t Selections VAT , and then choose the related link.
2. On the Repor t Selection – VAT page, in the Usage field, select the type of document that you want to
specify reports for. This includes the VAT statement and the VAT statement schedule.
3. Specify the report or batch job that must run when a user starts the activity for the document type that
you specified in the Usage field. Fill in the fields as described in the following table.
Sequence Specifies where a report is in the printing order.
Repor t ID Specifies the ID of the report that prints for this

document type.
Repor t Name Specifies the name of the report that prints for this
document type. The Repor t Name field updates based
on the selection in the Repor t ID field.

To set up reports for Intrastat
NOTE
Intrastat reports can use either the XML or ASCII formats. Depending on the format you use, enter the material number
in one of the following fields on the Company Information page.
F O R M AT FIELDS
XML Company No.
ASCII Sales Material No., Purchase Material No.
1. Choose the icon, enter Repor t Selection , and then choose the related link.
2. On the Repor t Selection – Intrastat page, in the Usage field, select the type of document that you
want to specify reports for. This includes the Intrastat checklist and Intrastat form.
3. Specify the report or batch job that must run when a user starts the activity for the document type that
you specified in the Usage field. Fill in the fields as described in the following table.
Sequence Specifies where a report is in the printing order.

Repor t ID Specifies the ID of the report that prints for this

document type.
Repor t Name Specifies the name of the report that prints for this
document type. The Repor t Name field updates based
on the selection in the Repor t ID field.
See Also
VAT Reporting
Set Up VAT Reports in the German Version
Information from various invoice types is used to feed data into the EU Sales List report. To file a VAT report
under the ELMA5 system from Business Central, you need to set up report parameters.
To set up a VAT report

2. On the General FastTab, select the Modify Submitted Repor ts check box to let users modify VAT
reports that have been submitted to the tax authorities.
If the field is left blank, users must create a corrective VAT report instead.
3. Select the Expor t Cancellation Lines check box if you want to include information about cancellation
lines when you export data for the VAT report of EU sales. For more information, see Correct VAT Reports.
4. On the Numbering FastTab, specify the number series that will be used for standard VAT reports. This
will be the default numbering series that is used on any VAT Report that you then create.
Depending on the requirements, you can use the same number series for all VAT reports, or separate
number series for each type of VAT report.
For example, if your company uses separate number series for standard and corrective VAT reports, this
number series is the default number series. Users can select a different number series in the No. field
when they create corrective reports.
5. On the ZIVIT FastTab, specify information for the fields.
See Also
VAT Reporting
Create VAT Reports
VAT Reporting in the German version
You can report VAT to the German tax authorities on the Elektronische Steuererklärungen (ELSTER) online portal.
You can generate and export your VAT declaration as an XML file that you send to the German ELSTER portal.
For more information, see Sales VAT Advance Notifications.
You can print the following local VAT reports.
VAT Statement Germany A simple VAT report. The main VAT reporting is handled by
the ELSTER functionality. The amounts are differentiated by
taxable base and taxable amount.
Serves as the basis for VAT registration for a selected period,

and is printed according to the VAT statement in the VAT
Statement Line table.
Use this report in conjunction with VAT correction.
Sales VAT Adv. Not. Acc. Proof Confirms that entries in the VAT statement form are also
posted in general ledger accounts.
To verify VAT in sales VAT advance notifications, select the

same settings for the VAT statement form and the sales VAT
advance notification.
VAT Statement Schedule This report can be retrieved from the VAT Statement page.
Prints the settings in the VAT statement. Using this report,

you can print the characteristics of the Sales VAT Adv.
Not. Acc. Proof .
See Also
Sales VAT Advance Notifications
Report VAT to the Tax Authorities
Create VAT Reports in the German Version
You can configure different types of VAT reports based on requirements. Then, when you have to submit a VAT
report, you can create it on the VAT Repor t page and then export it in electronic format that conforms to the
ELMA5 format requirements.
To create a VAT report

1. Choose the icon, enter VAT Repor t , and then choose the related link.
2. Fill in the fields in the General FastTab, including the fields that are described in the following table.
No. Specify the report number.
Depending on the type of report, and the configuration

in your company, you can use the automatically
generated number, select a different number series, or
enter a different number manually.
VAT Repor t Type Select the appropriate VAT Report type. The default
setting is Standard . If the report is an update to an
existing report, choose Corrective .
Trade Type Specify the type of trade that the report is to describe.
The default is Sales . Other options are Purchases or
Both .
Star t Date Specify the start date of the report period.
End Date Specify the end date of the report period.
EU Goods/Ser vices Specify whether the report applies to Goods , Ser vices ,
or both. The default is Both .
Repor t Period Type Specify the time period that the report applies to:
- Month
- Quarter
- Year
- Bi-Monthly
Repor t Period No. Specify the number of the VAT period.
Repor t Year Specify the year that the VAT report covers.
Processing Date Specify the date that the VAT report is created.
3. Fill in the fields in the Sign-off FastTab, including the key fields that are described in the following table.
Sign-off Place Specify the location where the VAT report was signed off.
Sign-off Date Specify the date that the VAT report has been signed off.
Signed by Employee No. Specify the number of the employee who signed the VAT
report from the lookup list.
Created by Employee No. Specify the number of the employee who created the
VAT report from the lookup list.
4. Import the VAT ledger entries that must be included in the VAT report.
5. Choose the Suggest Lines action.
This adds VAT entries to the page. For each line, in the Amount field, you can drill down to see the VAT ledger
entries that are the source of the line.
After you create the VAT report, you have to submit it to the tax authorities.
To submit a VAT report

1. On the VAT Repor t page, choose the Release action.
2. Confirm that you want to release the report.
Business Central validates that the VAT report is set up correctly. If the validation fails, the errors are
shown on the VAT Repor t Error Log page so that you can make the appropriate changes. For example,
an error displays if you try to release a standard VAT report but you have not yet added any lines to the
report.
When you mark a VAT report as released, it becomes non-editable. If you must change the report after
marking it as released, you must first reopen it.
3. Choose the Expor t action to create a VAT report of EU Sales List data in ELMA5 format. Save a copy of
the report, which has the required name specified by ELMA5.
You can now submit the report to the tax authorities.
4. Choose the Mark as Submitted action.
See Also
Correct VAT Reports
Set Up VAT Reports
Correct VAT Reports in the German Version
If you have to submit a corrective VAT report or delete a submitted VAT report, you must create a new VAT
report. According to the legislation, a corrective report must be submitted within a month of the initial report.
When you create a corrective report, the report will contain two line types per corrected line. In one line type,
Cancellation, the base value of the VAT is reported as a cancellation. All other information remains the same, and
cannot be edited. On a new line, Correction type, you can make corrections as needed to the VAT amount. The
Suggest Lines action, however, will suggest the correct amount based on the filters and posted documents. You
cannot correct or modify the VAT Registration No. Each period being corrected needs its own corrective
report.
The Suggest Lines action recalculates the values to report. The Correct Lines action is used to make manual
changes. You can combine the effects of the two actions to correct your report.
Example corrections scenarios

1. If you post additional VAT entries after you submit the Standard report in the report period, choose
Suggest Lines in the Process group to get the updated amounts.
NOTE
If you manually changed the amount for a customer or vendor, this amount will be overwritten when additional
VAT entries are posted. Update the amount accordingly.
2. If you want to change the amount of a report line that has already been submitted and no new VAT
entries are posted, choose the Correct Lines action. On the VAT Repor t Lines page, select the lines that
you want to correct, and then choose the OK button.
For each entry, two lines are displayed: Cancellation and Correction. You can now change the amount on
the Correction line.
NOTE
The Correct Lines action will not suggest the amount based in VAT entries. If you have new VAT entries for the
customer or vendor, instead use the Suggest Lines action.
3. If you used the wrong filters, for example, the wrong VAT product posting group, choose the Suggest
Lines action, and then set filters as needed.
Suggest Lines will create entries to account for the difference between the filters.
NOTE
If the updated filters exclude a customer or vendor, Business Central creates a Cancellation line for the previous
reported amount and a Correction entry with amount 0.
To correct a VAT report

1. Create a new VAT report. For more information, see Create VAT Reports.
2. Fill in the fields in the General FastTab, and set the VAT Repor t Type field to Corrective.
3. In the Original Repor t No. field, select the report that you want to correct. You can only select reports
of type Standard that have been marked as Submitted.
4. Create your correction VAT report line entries.
Choose the Suggest Lines action. Set filters as needed.
On each line you can drill down on the amounts to see which VAT entries make up the amount. Change
the amount if needed. You cannot edit, however, the VAT Registration No..
5. If the Suggest Lines action does not provide suggestions to correct the amounts that you intended, use
the Correct Lines action to insert cancellation and correction lines for the customer or vendor.
6. Continue with the VAT report creation process, and release the report.
See Also
Set Up VAT Reports
Set Up and Export Sales VAT Advance Notifications
A sales VAT advance notification is an XML file that you can use to report VAT to the German tax authorities on
the Elektronische Steuererklärungen (ELSTER) online portal. Business Central generates an XML file with tax and
base amounts, and information about your company in the format and layout that German tax authorities
require.
NOTE
Most of the functionality is included in the ELSTER VAT Localization for Germany extension. Make sure that this is
installed in your Business Central. For more information, see Customizing Business Central Online Using Extensions.
Set up and export sales VAT advance notifications

To create valid sales VAT advance notification, you must set up the following information:
The company registration information and tax office information.
Basic sales VAT advance notification on the Electronic VAT Decl. Setup page.
The VAT statement.
2. On the Company Information page, fill in the fields. Hover over a field to read a short description.
Specifically for sales VAT advance notifications, in the VAT Representative field, enter the contact person
for VAT-related information.
To set up the electronic VAT declaration
1. Choose the icon, enter Electronic VAT Decl. Setup , and then choose the related link.
Sales VAT Adv. Notif. Nos. Choose the number series to use to assign identification
numbers to new sales VAT advance notifications.
Sales VAT Adv. Notif. Path Enter the path and name of the folder where you want to
store the XML files.
XML File Default Name Enter the name of the file.
To set up a VAT statement for sales VAT advance notifications

1. Choose the icon, enter VAT Statement , and then choose the related link.
2. On the VAT Statement page, in the Name field, choose the drop-down arrow.
3. On the VAT Statement Names page, in the line for the appropriate VAT statement name, select the
Sales VAT Adv. Notification field.
NOTE
The VAT statement must have a VAT statement line for each key figure required by the tax authority, where the
Row No. field contains the key figure and the Amount Type field specifies whether this is a base amount or a tax
amount. Ask your tax office if you have questions concerning the key figures and their definition.
To create an XML document for Sales VAT advance notification

1. Choose the icon, enter Sales Vat Advanced Notification List , and then choose the related link.
2. On the Sales Vat Advanced Notification List page, choose the New action.
3. On the Sales VAT Adv. Notif. Card page, fill in the fields. Hover over a field to read a short description.
Cau t i on
If you have submitted a sales VAT advance notification as a test notification by selecting the Testversion
field, you cannot change it into a real notification later. The tax authority will not accept the same XML file
if it is submitted with the Testversion field cleared.
Optionally, choose the Preview statement action to see a VAT statement that shows the data that will be
in the XML that you will submit to the ELSTER portal. This view shows an amount for each element in the
XML file in a human-readable format.
NOTE
In versions older than version 19.3 and other updates that are made available in January and February 2022), the
Sales VAT Adv. Notif. Card page shows fields and actions based on deprecated functionality in both the ELSTER
portal and Business Central. Specifically fields that are tied to stylesheets are no longer in use, because the ELSTER
portal no longer provides such stylesheets.
4. Choose the Create XML-File action.

5. On the Create XML - VAT Adv. Notif. page, in the XML-File field, choose either the Create or the
Create and Expor t option.
If you choose the Create and Expor t option, the XML file is generated and saved to your device. If you
choose the Create option, data is generated in Business Central that will be generated as an XML file
when you choose the Expor t action on the Sales VAT Adv. Notif. Card page.
After the sales VAT advance notification document is created, all fields in the Sales VAT Adv. Notif. Card page
can no longer by modified, except the Description field, because they define the content of the XML document.
If you have created an XML document and want to create a new XML document for the same period without
transmitting the existing document to the tax authority, you must delete the existing XML file and then create the
new document.
See Also
VAT Reporting
Declare VAT-VIES Tax in the German Version
Business Central includes the EC Sales List report and t, which you can use to submit information about sales
transactions with other European Union (EU) countries/regions to the customs and tax authorities' list system.
The report displays information in the same format that is used in the customs and tax authorities' declaration
list.
Depending on the volume of sales of goods or services to other EU countries/regions, you must submit
monthly, bi-monthly, or quarterly declarations. If your company has sales of more than 100,000 euros per
quarter, you must submit a monthly declaration. If your company has sales of less than 100,000 euros per
quarter, you must submit a quarterly declaration. For more information, see the BZSt website.
The report is based on the VAT Entry table.
To declare VAT-VIES tax

1. Choose the icon, enter VAT-Vies Declaration Tax – DE , and then choose the related link.
2. On the VAT-Vies Declaration Tax – DE page, on the Options FastTab, fill in the fields as described in
Repor ting Period Select the time period that the report applies to. This can
be a month, a two-month period, a quarter, or the
calendar year.
Date of Signature Enter the date on which the VAT-VIES declaration is sent.
Corrected Notification If selected, this field indicates that this is a corrected

version of an already delivered VAT-VIES declaration.
Show Amounts in Add. Repor ting Currency If selected, the amounts of the report will be in the
additional reporting currency. For more information, see
Additional Reporting Currency.
Change to monthly repor ting If selected, your company has sales of more than
100,000 euros per quarter and you must migrate from a
quarterly report to a monthly report. Impor tant: Only
select this field the first time that you submit a monthly
report.
Revoke monthly repor ting If selected, you want to switch from monthly reporting
to another reporting period.
For example, if you have previously submitted monthly

declarations but the EU sales are less than 100,000
euros per quarter, select this field and then select one of
the quarters in the Repor ting Period field.
3. On the VAT Entr y FastTab, select the appropriate filters.

NOTE
In order to run this report, you must select the Posting Date as a filter, and enter the posting date value.
See Also
VAT Reporting
Print Vendor Payments List Reports in the German
Version
The Vendor Payments List report provides a list of payments for each vendor. The report can sort payments
chronologically or grouped by vendor.
NOTE
The Vendor Payments List report is available in the following markets: Austria, Germany, Switzerland.
To print the vendor payments list report

1. Choose the icon, enter Vendor Payments List , and then choose the related link.
Sor ting Specifies the sort order. You can sort by vendor or
chronologically. If you sort by vendor, you will see a
subtotal for each vendor. If you sort chronologically, you
will not see subtotals.
Layout Specifies the layout of the report.
The results can be displayed in the following layouts:
Standard
Displays the vendor number and vendor name, together
with posting details, such as the document number and
the amount in local currency.
FCY Amounts
Displays the vendor number, vendor name, document
number, payment status (O for open, PP for partial
payment, and C for closed), and payment amount.
Posting Info
Displays the vendor number, vendor name, cost center,
cost object, user ID, and payment amount.
At the end of the report, the number of processed payments is displayed.
See Also
Making Payments
Intrastat reporting is required throughout the European Union (EU) and must follow local requirements, such as
specific formats and files. All companies in the EU must report their trade with other EU countries. The
movement of goods must be reported to the statistics authorities (Statistisches Bundesamt) every month, and a
report must be delivered to the tax authorities.
For Intrastat reporting, you must provide paper reports and files, which must be in ASCII format for Germany.
Business Central includes reports and batch jobs that generate all of the information that must be sent to the
German tax authorities. This information automatically includes both receipt and delivery of goods. The Intrastat
file contains information from the lines in the Intrastat journal.
To print the German Intrastat checklist

2. In the Batch Name field, select the required journal batch name.
3. Choose the Checklist Repor t action.
4. On the Intrastat - Checklist DE page, on the Options FastTab, select the Show Intrastat Journal
Lines check box.
IMPORTANT
If you clear the Show Intrastat Journal Lines check box, the report displays only the information that must be
reported to the tax authorities, and not the lines in the journal.
5. Optionally, on the Intrastat Jnl. Batch FastTab, select the appropriate filters.
6. Optionally, on the Intrastat Jnl. Line FastTab, select the appropriate filters.
7. Choose the Print button to print the Intrastat checklist or choose the Preview button to view it on the
screen.
To print the German Intrastat form

3. Choose the Form action.
4. Optionally, on the Intrastat Jnl. Batch FastTab, select the appropriate filters.
5. Optionally, on the Intrastat Jnl. Line FastTab, select the appropriate filters.
6. Choose the Print button to print the Intrastat checklist or choose the Preview button to view it on the
screen.
To export Intrastat information to a disk

3. Choose the Make Diskette action.
4. On the Options FastTab, in the Path field, enter the full path and the name of the file to which you want
to write the information.
Optionally, on the Intrastat Jnl. Batch FastTab, select the appropriate filters.
5. To export the file, choose the OK button.
The Intrastat information is exported, and you can either save the data to a file, or you can open the file in the
appropriate program.
When the file is exported, the Repor ted check box on the Intrastat Jnl. Batches page will be selected, and the
Internal Ref. No. field on every entry in the journal will be filled in. You can manually change the contents of
the field. For example, you can make changes when you need to run the report again. For more information, see
Intrastat Jnl. Batch.
See Also
VAT Reporting
Post a Negative Entry in the German Version
You can use the Correction field to post a negative debit instead of a credit, or to post a negative credit instead
of a debit on an account. To meet legal requirements, this field is visible by default in all journals. The Debit
Amount and Credit Amount fields include both the original entry, and the corrected entry. These fields have
no effect on the account balance.
To post a negative entry

1. Choose the icon, enter General Journals , and then choose the related link
2. In the Batch Name field, select the required batch name.
4. In the journal line that you want to activate for negative entries, select the Correction check box.
5. To post the journal, choose the Post action, and then choose the Yes button.
See Also
Process for Digital Audits (GoBD/GDPdU)
You can export data from Business Central according to the process for digital audits (GoBD/GDPdU), which is
based on German tax law.
Overview
Section 146 and 147 of the German Fiscal Code (Abgabenordnung, AO) allows tax authorities to assess the data
of electronic accounting systems digitally. They may do this with a data storage device submitted to them or by
direct or indirect access to the system. In the data storage device scenario, the tax liable company (or the person
or entity entrusted with accounting and tax duties) must provide appropriate data storage devices with the data
in computer-readable form. This means for the tax authorities that they will be able to access at will all stored
data, including the master data and connections with sort and filter functions. To provide data that can be used
and evaluated in this manner, you must define and standardize the file formats for submission by data storage
device.
Tax authorities in Germany use analysis software, IDEA, which imports data from ASCII files. The IDEA software
can import data in variable length or fixed length format. It requires an XML file, index.xml, that describes the
structure of the data files. For more information, see the Audicon website for GDPdU.
Defining GDPdU Export Data

You can configure Business Central to export data to meet your needs. You can export large sets of data, and you
can export small sets of data. You can export data from a single table or a table and related tables.
For each data export, you define the tables and fields that you want to export. This depends on the auditor's
requests. The selected information is exported to the ASCII files. A corresponding XML file, INDEX.XML, is also
created to describe the ASCII file structure.
The elements in the INDEX.XML file define the names of the tables and fields that are exported. Because the
current auditing tool has restrictions on these field names, such as the length and the characters that are used,
Business Central removes spaces and special characters and then truncates the names to match the 20 character
limitation. You can change the suggested table and field names when you add fields to a table definition.
In most cases, you will set up GDPdU data export one time, and then a person in your company can run the
export when the auditor requests new data. It is recommended that the setup is handled by people with an
understanding of the database structure and the technical hardware in your company, but also in collaboration
with people who understand the business data, such as the accountant.
Configuration
You can set up different GDPdU data exports depending on the type of data that you want to be able to export.
For example, you can create two GDPdU data exports:
One exports high-level information about all general ledger entries, customer ledger entries, vendor ledger
entries, and VAT entries.
The other exports detailed information about the general ledger entries.
NOTE
How to set up the GDPdU data exports depends on your company’s needs and the auditor’s requests.
For an example of how to set up data exports for GDPdU, see Walkthrough: Exporting Data for a Digital Audit.
Data Export Filters
When you set up a data export, you can filter data on different levels as described in the following table.
F ILT ER L EVEL DESC RIP T IO N
Period filters You can specify a start date and end date for the data that
will be exported. You can then use this period filter to filter
the data. For example, if you set a period filter for the export,
you can then set table filters that use the period.
Table filters You can set filters on each table in the export. For example,
you can include only open ledger entries, or entries that
have a posting date in the specified filter. You can also set a
filter that is based on FlowFields, such as Net Change
(LCY) , to only export customers where there has been a
change, for example. Impor tant: You cannot set a table
filter that is based on a FlowFilter.
When you add table filters, you can increase performance by

specifying the fields that the exported data will be sorted by
the value of the Key No. field for the record definition.
Which keys to use depends on the table. For example, if the
table only has two key fields and relatively few entries, then
the sort order does not affect the speed of the export. But
for a table such as G/L Entry, the export is faster if you
specify the key in advance, such as the
G/L Account No.,Posting Date key. If you do not specify
a key, then the primary key is used, which might not be the
best choice.
Other tables in which it can be useful to specify the key

include the Cust. Ledger Entry and Vendor Ledger Entry
tables.
FlowField filters You can include FlowFields in the export and set filters based
on the period. For example, you can apply the period filter to
the Balance at Date field on the G/L Account table.
If you include a FlowField such as the Net Change (LCY) field on the Customer table, you can specify that the
entries must be filtered based on the remaining amount at the end date of the GDPdU period. If you add this as
a field filter, then the calculation formulas are based on the dates that are specified during the export.
For more information, see GDPdU Filter Examples.
Export Performance
If you want to export large sets of data, it can take a very long time. We recommend that you set up data exports
based on advice from your tax advisor to establish your business needs, and the requirements of the tax auditor.
The number of records in a table is also something that you should consider.
See Also
Set Up Data Exports for Digital Audits
Walkthrough: Exporting Data for a Digital Audit
Set Up Data Exports for a Digital Audit
(GoBD/GDPdU) in the German Version
You must set up data export record sources to be able to export data for a digital audit according to the
Grundsätze zum Datenzugriff und zur Prüfkbarkeit digtaler Unterlagen (GDPdU). For each data export type, you
must define one or more record sources, where each source is a table from which you want to export data.
To set up a data export

1. Choose the icon, enter Data Expor ts , and then choose the related link.
3. On the Data Expor ts page, fill in the fields as described in the following table.
Code Specify the unique code for the data export, such as
Expor t-1 .
Description Specify the description for the data export.
You must add record definitions to the data export. Each record definition represents a set of data that will be
exported.
To add a record definition to a digital audit definition group

1. On the Data Expor ts page, choose the Record Definitions action.
2. On the Data Expor t Record Definitions page, fill in the fields as described in the following table.
Data Expor t Code Select the data export code.
If no data export code exists, you can create a new one.
Description Specify the description for the record definition.
Expor t Path Specify the path where the exported files will be stored.
Next, you must add the relevant .dtd file that is required according to the GDPdU, such as gdpdu-01-08-
2002.dtd . If you must import a new DTD file to replace an existing file, you must first export the existing
DTD file.
3. Choose the Impor t action.
4. On the Impor t page, navigate to the location of the relevant DTD file, and then choose the Open button.
Next, you must specify the source for the data that will be exported.
To add source tables to a data export
1. On the Data Expor t Record Definitions page, choose the Record Source action.
2. On the Data Expor t Record Source page, fill in the fields as described in the following table.
Table No. Select the number of the main table to export data from.
When you enter a value in the Table No. field, the Table
Name field is updated.
Expor t Table Name Optional. Change the suggested name of the table to be
used in the INDEX.XML file during the export.
The value of the Expor t Table Name field is used to

generate the INDEX.XML file during the GDPdU data
export. The default name is the name of the table
without special characters due to the requirements of
the auditors' tool.
Tip: In most cases, the Expor t Table Name and

Expor t File Name fields are based on the same value.
There may be cases where you specify exporting the

same table more than once. You can choose different
Export Table Names for each table entry, and the Export
File Name will be automatically adjusted to match. You
can then change the Export File Name as long as it is
unique.
Business Central automatically names the files as follows.
Table Name: G/L Account
Expor t Table Name : GLAccount
Expor t File Name: GLAccount.txt
Table Name: G/L Account
Expor t Table Name: GLAccount1
Expor t File Name: GLAccount1.txt
Period Field No. Specify a filter for which date field will be used in setting
the start date and end date of the report.
For example, if you select the G/L Entr y table as your

data export source, you can select one of the date fields
that are available in that table.
Table Filter Specify a field on which you want to set a filter.
On the Table Filter page, enter filter settings in the

Field Filter column.
For example, you can specify a field that conveys

information about the amount. You can also specify a
date field and set a filter for it if you want to filter on a
time period other than Start Date .. End Date. However,
you cannot specify a date field and set a filter for it if the
same field is already used in the Period Field No.
Date Filter Field No. Specify a date filter field if the table has one.
If the table has more than one date filter, do not specify
one in this field.
Date Filter Handing Specify how the date filter is to be handled:
- <blank>: No filter is set.
- Period: Use the specified Start Date and End Date.
- End Date Only: Use the batch job's End Date.
- Start Date Only: Use the batch job's Start Date - 1.
Expor t File Name Specify the name of the file that data from this table will
be exported to.
For example, if the table is the G/L Account table, the

value of the Expor t Table Name can be GL Account ,
and the value of the Expor t File Name field can be
GL Account.txt .
Key No. Optional. Specify the key field.
For more information, see GDPdU Filter Examples.

Next, you must specify the fields that data will be exported from.
3. In the Fields pane, choose the Add action.
4. On the Data Exp. Field List page, select one or more fields that you want to export, and then choose the
OK button.
a. To change the order of the fields, choose the Move Up or the Move Down action.
b. To remove a field from the list of selected fields, choose the Delete action.
You have added the main table from which to export. Optionally, you can add one or more related tables.
To add related tables to a data export source

1. On the Data Expor t Record Source page, in the line below the line for the main table, add the related
table.
2. Choose the Indent action.
3. Select the indented table, and then choose the Relationships action.
4. On the Data Expor t Table Relation page, fill in the fields as described in the following table.
From Field No. Contains the number of the field in the parent table. You
can specify that this field is related to a field in the
subordinate table.
To Field No. Contains the number of the field in the subordinate

table. You can specify that a field in the parent table is
related to this field.
NOTE
The From Field Name and the To Field Name fields are populated automatically.

After you have added tables and fields, you must validate that the structure of the data export source is correct.
To validate the data export source

On the Data Exp. Record Source page, choose the Validate action.
This validates the list of fields against the keys for the tables. If you select a primary key after you select a
secondary key, an error message displays, and you must change the order of the fields in the Fields pane.
See Also
Export Data for a Digital Audit in the German
Version
You can export financial data and tax data according to the process for digital audits (GoBD/GDPdU). You can
also select various options to be included in an XML file.
If there is no data to export, Business Central creates empty files.
To export data for a digital audit
1. Choose the icon, enter Expor t Business Data , and then choose the related link.
2. On the Data Expor t page, on the Options FastTab, fill in the fields as described in the following table.
Star ting Date Specifies the start date for the data export.
NOTE: If the data export source includes period fields,

the start date and the end date are used as filter values
for the period fields.
Ending Date Specifies the end date for the data export.
Include Closing Date Specifies if the data export must include the closing date
for the period.
3. On the Data Expor t Record Definition FastTab, select the appropriate filters to identify the data export
and data export record type. For more information, see Process for Digital Audits (GoBD/GDPdU).
4. To export the data, choose the OK button.
WARNING
During the export, any existing files, including the log file, will be overwritten. If you export the same data twice,
the files from the first export are overwritten
You will be notified when the export completes. If you cancel the export, or if you close the page, you will also be
notified that the export has completed, but the log folder will be empty. However, depending on your
configuration, some files may have been exported, but the export might not be complete.
See Also
GDPdU Filter Examples in the German Version
The following topic provides examples of how you can use and combine different filter types when you set up
your GPDdU exports. By setting filters appropriately, you can improve performance.
The following examples use the G/L Entry and Cust. Ledger Entry tables for data. They assume that you have
specified the following date in the Expor t Business Data batch job.
Start Date = 01/01/2013
End Date = 12/31/2013
Setting Up Export Record Source Examples

Period Field No.
On the Data Expor t Record Source page, the set up is as described in the following table.
TA B L E N O. TA B L E N A M E P ERIO D F IEL D N O. P ERIO D F IEL D N A M E TA B L E F ILT ER
17 G/L Entry 4 Posting Date No filter set.
21 Cust. Ledger Entry 4 Posting Date No filter set.
Results of the export:

G/L Entries with Posting Date between 1/1/2013 and 12/31/2013.
Cust. Ledger Entries with Posting Date between 1/1/2013 and 12/31/2013.
Table Filter
In this example, in addition to Period Field No. information, you also specify a table filter. This is useful when you
want to not only include a starting date and ending date for your export, but also include an additional filter to
specify other criteria, for example, amounts.
TA B L E N O. TA B L E N A M E P ERIO D F IEL D N O. P ERIO D F IEL D N A M E TA B L E F ILT ER
17 G/L Entry 4 Posting Date
21 Cust. Ledger Entry Cust. Ledger Entry:

Posting
Date=..31-12-13

G/L Entries with Posting Date between 1/1/2013 and 12/31/2013.
Cust. Ledger Entries with Posting Date earlier than 01/01/2014.
Date Filter Field No. and Date Filter Handling
The following example demonstrates setting Date type FlowFilters. If a table has more than one date FlowFilter,
you cannot specify one to use, but you can specify how the date filter should be handled.
P ERIO D F IEL D P ERIO D F IEL D DAT E F ILT ER
TA B L E N O. TA B L E N A M E N O. NAME TA B L E F ILT ER H A N DL IN G
18 Customer Customer: Net Period

Change (LCY) =
<>0
21 Cust. Ledger 4 Posting Date Cust. Ledger End Date Only

Entry Entry:
Remaining
Amt. (LCY) =
<>0

Customers that have Net Change (LCY) <> 0 in the period from 1/1/2013 and 12/31/2013.
Cust. Ledger Entries with Posting Date between 01/01/2013 and 12/31/2013 that have Remaining Amt. (LCY)
<> 0 at 12/31/2013.
Date Filter Handling for the Same Table
In this example, you set multiple filter definitions for the same table.
TA B L E N O. TA B L E N A M E TA B L E F ILT ER DAT E F ILT ER H A N DL IN G
18 Customer Customer: Net Change Period

(LCY) =<>0
18 Customer Customer: Net Change Star t Date Only

(LCY) =<>0

Customers that have Net Change (LCY) <> 0 in the period from 1/1/2013 and 12/31/2013.
Customers that have Net Change (LCY) <> 0 on the day before the start date.
See Also
Set Up Data Exports for a Digital Audit (GoBD/GDPdU)
Upgrade a .DTD Definition File for Digital Audits in
the German Version
You can explicitly validate a .dtd file after you import one in order to address upgrade issues. This is useful when
you have an existing setup that needs to be updated to reflect the current version of Business Central.
To upgrade and validate a .dtd file

1. Choose the icon, enter Data Expor ts , and choose the related link.
2. Choose the Record Definitions action.
3. Set up a record definition, and choose the Impor t action.
4. Select a file to import, and then choose the Validate action.
See Also
Walkthrough: Exporting Data for a Digital Audit in
the German Version
You can export business data for auditing purposes. How the data export is set up is different for all companies,
and you should ask your tax advisor and the tax auditor. The following walkthrough describes the end-to-end
process, but it is an example only.
The sample implementation illustrates a scenario where the auditor has requested that you export data from
your general ledger, and information about your customers and vendors. This is not an example that is based on
actual requirements from a tax auditor, but it serves to illustrate how to export data for a digital audit
(GoBD/GDPdU) in Business Central.

Setting up requirements for the data export.
Setting up the source for the data export.
Exporting data for the tax auditor.
Prerequisites
The German version of Business Central with the CRONUS AG demonstration company.
The .DTD file that is required according to the GDPdU. In this scenario, gdpdu-01-08-2002.dtd .
Story
Cassie is an accountant at CRONUS AG. She has been notified by the company's tax auditor that they want to
see a list of purchase and sales transactions in the first quarter of the calendar year 2013. Cassie knows the type
of financial data that the auditor wants, but she needs the help of Sean to set up the export.
Sean is a power user with CRONUS AG. He understands how the data is set up technically with tables and fields.
Therefore he usually helps Cassie set up the data exports for the auditors. From other data exports, he knows
that the tool that the auditors use has some requirements on what the exported files must contain, but he needs
the help of Cassie to establish exactly which data is needed.
Defining the Requirements

Cassie sets up the requirements for the data export. The auditors have asked her for transactions with
customers and vendors. Therefore she knows that she needs data from the customer ledger, the vendor ledger,
and the general ledger.
To set up the requirements for a data export
1. Choose the icon, enter Data Expor t , and then choose the related link.
3. On the Data Expor ts page, fill in the fields as described in the following table.
Code The unique code for the data export, AUDIT-Q113 .
Description The description for the data export, Data expor t for
Q1 of CY 2013 .
The AUDIT-Q113 code is a container for the data export.

Next, Cassie adds descriptions of the kind of data that she needs in the export.
4. On the Data Expor ts page, choose the Record Definitions action.
5. On the Data Expor t Record Definitions page, choose the Record Code field, and then, on the page
that appears, choose the New action.
6. On the Data Expor t Record Types page, fill in the fields as described in the following table.
Code The code for the record type, GLCUSTVEND .
Description The description for the record type, G/L, Cust., Vend. .

8. On the Data Expor t Record Definitions page, fill in the fields as described in the following table.
Record Code Select the record code, GLCUSTVEND .
Description The description for the record type is added

automatically, but you can change this to General
ledger, customers and vendors , for example.
Expor t Path Specify the path where the exported files will be stored.
In this scenario, C:Expor ts .
If the specified folder does not exist, choose the Yes button to create it.
Next, Cassie specifies the source for the data that will be exported. She knows from previous exports that she
wants data from the following tables:
G/L Account
Customer
Vendor
To specify requirements for the source for the data export
1. On the Data Expor t Record Definitions page, choose the Record Source action.
2. On the Data Expor t Record Source page, in the Table No. field, enter 15 .
The Table Name field is automatically updated with the name of the G/L Account table.
3. In the Notes part, choose the link, and then enter the following text:
I need entries that show the affected accounts, the posting date, the balance, and the net
change.
4. Repeat the two previous steps to add tables 18, Customer , and 23, Vendor to the data export record
source.
For these tables, Cassie asks for data about each customer and vendor and detailed information about
each transaction based on the customer ledger and the vendor ledger. She also asks for the net change at
the start of the period, during the period, and after the period that the data export is for.
Cassie has described the kind of data that she needs, and she notifies Sean that she wants his help is setting up
the data export.
Setting Up the Source for the Data Export

Cassie and Sean have talked about the requirements. Cassie has explained what she means with the comments
she has made for the first three tables in the record sources. The next day, Sean can complete the setup for the
data export source.
First, Sean adds the required .dtd file to the data export record definition.
To add a .dtd file to a record definition
1. On the Data Expor ts page, choose the AUDIT-Q113 data export, and then choose the Record Definitions
action.
2. On the Data Expor t Record Definitions page, choose the line where the Data Expor t Record Type
Code field is set to GLCUSTVEND , and then choose the Impor t action.
3. On the Impor t page, navigate to the location of the relevant DTD file, and then choose the Open button.
Next, Sean adds the G/L Entr y table to the source. Then he adds fields from that table and the G/L Account
table.
To add the G/L Entry table to the data export record source
1. On the Data Expor t Record Definitions page, choose the line where the Data Expor t Record Type
Code field is set to GLCUSTVEND , and then choose the Record Source action.
2. On the Data Expor t Record Source page, select the line under the line for the G/L Account table, and
then choose the New action.
3. In the Table No. field, enter 17 .
The Table Name field is automatically updated with the name of the G/L Entr y table.
4. Choose the Indent action.
This indents the G/L Entr y table under the G/L Account table. Next, Sean adds a table relationship
between the two tables.
5. Choose the Relationships action.
6. On the Data Exp. Table Relationship page, fill in the fields as described in the following table.
From Field No. Contains the number of the field in the parent table. In
this scenario, the No. field on the G/L Account table.
To Field No. Contains the number of the field in the parent table. In
this scenario, the G/L Account No. field on the G/L
Entr y table.

To add fields from the G/L Account and G/L Entry tables to the data export record source
1. On the Data Expor t Record Source page, select the line for the G/L Account table, and then choose
the Add action.
2. Choose the following fields, and then choose the OK button.
F IEL D N UM B ER F IEL D N A M E
1 No.
2 Name
4 Account Type.
31 Balance at Date
32 Net Change
3. On the Data Expor t Record Source page, select the line for the G/L Entr y table, and then in the Fields
pane, in the toolbar, choose the Add action.
4 Posting Date
5 Document Type
17 Amount
Sean added the Posting Date field from the G/L Entr y table because Cassie needs the data to be filtered based
on the posting date. Now, Sean will use the field to specify the field on the G/L Entr y table that will be used to
calculate the period for the data export.
To add a period filter to a table in a data export source
1. On the Data Expor t Record Source page, select the line for the G/L Entr y table, and then choose the
Period Field No. field.
2. On the Data Exp. Field List page, choose the Posting Date field, and then choose the OK button.
The Data Exp. Field List page is filtered to show only the date fields.
This means that when Cassie exports the data and specifies the start date and the end date for the period that
the auditors want, the export will include entries where the Posting Date field is between the specified start
date and end date.
Next, Sean adds the Customer and Vendor tables.
To add the Customer table
Table No. 18
Expor t Table Name Customer
Expor t File Name Customer.txt
2. In the Fields pane, in the toolbar, choose the Add action.

1 No.
2 Name
21 Customer Posting Group
59 Balance (LCY)
61 Net Change (LCY)
4. Repeat the previous two steps to add the Balance (LCY) field again.
5. Choose the line for the first instance of the Balance (LCY) field, and then, in the Datefilter Handling
field, choose Star tdate .
6. Choose the line for the second instance of the Balance (LCY) field, and then, in the Datefilter Handling
field, choose Enddate .
7. Choose the line for the Net Change (LCY) field, and then, in the Datefilter Handling field, choose
Star tdate..Enddate .
The following table describes the field values for the fields on the Customer table.
DAT EF ILT ER EXP O RT F IEL D

F IEL D N O. F IEL D N A M E F IEL D C L A SS H A N DL IN G NAME
1 No. Normal No
2 Name Normal Name
21 Customer Normal CustomerPosting

Posting Group Group
59 Balance (LCY) FlowField ..Star tdate Star tBalanceLCY
59 Balance (LCY) FlowField ..Enddate EndBalanceLCY

61 Net Change FlowField Star tdate..Enddat NetChangeLCYPe

(LCY) e riod
TIP
To change the order of the fields, select a field, and then choose the Move Up or the Move Down action.
Sean has added the Customer table to the data export source. Now, he adds the Vendor table.
To add the Vendor table
Table No. 23
Expor t Table Name Vendor
Expor t File Name Vendor.txt
2. Follow the steps in the previous procedure to add fields from the Vendor table to the data export source.
The following table describes the field values for the fields in the Vendor table.

1 No. Normal No
2 Name Normal Name
21 Vendor Posting Normal VendorPostingGr

Group oup
59 Balance (LCY) FlowField ..Star tdate Star tBalanceLCY
59 Balance (LCY) FlowField ..Enddate EndBalanceLCY
61 Net Change FlowField Star tdate..Enddat NetChangeLCYPe

(LCY) e riod
Sean has almost completed the setup, but he wants to verify that the data export source meets the technical
requirements of the auditors' tool.
To validate the data export source
Choose the Validate action.
Sean has now completed the setup of the data export based on the requirements from Cassie. He notifies her
that she can start exporting data for the tax auditors.
Exporting Data for the Tax Auditors

Cassie wants to export data that she can then send to the tax auditors.
To export data
1. Choose the icon, enter Expor t Business Data , and then choose the related link.
2. On the Expor t Business Data page, on the Options FastTab, fill in the fields as described in the
following table.
Star ting Date The start date. In this scenario, 01-01-2018 .
Ending Date The end date. In this scenario, 03-31-2018 .
3. On the Data Expor t Record Definition FastTab, select filters as described in the following table.
Data Expor t Code In this scenario, AUDIT-Q113 .
Data Exp. Rec. Type Code In this scenario, GLCUSTVEND .
4. To export the data, choose the OK button.

When the export is completed, Cassie is notified. She can now submit the exported files to the tax auditors. First,
she examines the files in the C:Exports folder on her computer. There is a file for each table, and the files have
the names that Sean specified in the data export source. There is also an INDEX.XML file that describes the
structure of the data export with the names of the tables and fields that Sean specified.
Next Steps
When the tax auditors import Cassie's files into their software, they can read the data that she exported. If the
auditors need a new version of the same data export, Cassie can run the export again.
The next time the tax auditors request new data, Cassie and Sean can collaborate to create a new data export.
See Also
Set Up Delivery Reminders in the German Version
In Business Central, you can use purchase delivery reminders to remind vendors about overdue deliveries. To
create delivery reminders for vendors, you must set up base data for delivery reminder creation and number
series for the delivery reminders on the Purchases & Payables Setup page.
To set up delivery reminders

2. In the Default Del. Rem. Date Field field, specify one of the options described in the following table.
Requested Receipt Date Specifies that the date value in the Requested Receipt
Promised Receipt Date Specifies that the date value in the Promised Receipt
Expected Receipt Date Specifies that the date value in the Expected Receipt
3. Fill in additional fields as described in the following table.
Deliver y Reminder Nos. The number series code for delivery reminders.
Issued Deliver y Reminder Nos. The number series code for issued delivery reminders.
See Also
Delivery Reminders
Set Up Delivery Reminder Terms, Levels, and Text in
the German Version
To create delivery reminders, you must set up the following:

Delivery reminder text messages
Each delivery reminder term has two or more delivery reminder levels, and for each delivery reminder level,
you can specify text that will be part of the delivery reminder.
To set up delivery reminder terms

1. Choose the icon, enter Deliver y Reminder Terms , and then choose the related link.
Code The code for the delivery reminder term. You can enter a
Description The description for the delivery reminder term. You can
Max. No. of Deliver y Reminders The maximum number of delivery reminders that can be
created for an order.
NOTE: This is the maximum number across all reminder

levels for this reminder term. For example, if you have set
up three levels, and you set Max. No. of Deliver y
Reminders to 5, the first reminder is created at level 1,
the second at level 2, and the last three at level 3.
To add delivery reminder levels to a delivery reminder term

1. On the Deliver y Reminder Terms page, select the delivery reminder term for which you want to set up
levels, and then choose the Levels action.

No. The delivery reminder level number. This field is filled in

automatically.
Due Date Calculation The formula for the due date calculation for the delivery
reminder. You can enter a combination of numbers from
0 to 9,999, and date codes (D for day, WD for weekday,
W for week, M for month, Q for quarter, or Y for year).
The date codes denote the calculation for the delivery
reminder due date. You can enter a maximum of 20
characters for the due date calculation formula.

For each delivery reminder level, you can define text messages that are added to the delivery reminder. You can
define beginning text that is added before the description of the overdue purchase order, and ending text that is
added after the description of the overdue purchase order.
The following procedure describes how to set up beginning text messages, but the same steps apply for setting
up ending text messages.
To set up delivery reminder text messages

1. On the Deliver y Reminder Levels page, select a level, and then choose the Beginning Text action.
3. In the Description field, enter the beginning text message for the delivery reminder.
See Also
Delivery Reminders
Delivery Reminders in the German Version
Delivery reminders are used to track overdue vendor shipments and to remind vendors about overdue
deliveries. To create delivery reminders, you must set up the following:
Delivery reminder terms are identified by a code that must be assigned to vendors. To use more than one
combination of settings, you must set up a code for each setting separately. You can set up any number of
delivery reminder terms.
For every delivery reminder term, you must set up delivery reminder levels. These levels determine how
often delivery reminders can be created for a specific term. Level 1 is the first delivery reminder that you
create for an overdue delivery. Level 2 is the second delivery reminder, and so on. When delivery
reminders are created, the number of reminders that were created previously is considered, and the
current number is used to apply terms.
Delivery reminder texts messages
You must set up delivery reminder text messages for every delivery reminder level. There are two types
of delivery reminder text messages: beginning and ending. The beginning text message is printed under
the header section, before the list of entries that are marked for reminder. The ending text message is
printed after this list.
After you have set up the delivery terms, levels, and texts, you must assign the relevant delivery reminder codes
to your vendors.
You can create delivery reminders manually or automatically. You can use the Create Deliver y Reminder
batch job to create delivery reminders automatically so that you can select the purchase orders for which
delivery reminders must be created.
You can also track documents in relation to purchase order lines and sales order lines.
Business Central provides the following reports:
Issued Deliver y Reminder - To view the delivery reminders for vendors.
Deliver y Reminder - Test - To verify the delivery reminders before you issue them.
See Also
Assign Delivery Reminder Codes to Vendors in the
German Version
In order to enable delivery reminders for overdue purchases, you must assign delivery reminder terms to
vendors.
To assign delivery reminder codes to vendors

2. Select the vendor for whom you want to set up delivery reminders, and then choose the Edit action.
3. In the Deliver y Reminder Terms field, select a delivery reminder terms code for the vendor.
See Also
Delivery Reminders
Create Delivery Reminders Manually in the German
Version
can create a single delivery reminder manually, or you can generate delivery reminders for all overdue
deliveries.
NOTE
To create a delivery reminder manually

3. On the Deliver y Reminder page, fill in the fields as described in the following table.
No. The unique identification number for the delivery

reminder.
Vendor No. The number of the vendor for whom you want to post
the delivery reminder.
When you select the vendor number, the Name ,

Address , Post Code/City , and Contact fields are filled
in automatically.
Posting Date The posting date for the delivery reminder. This date is
copied to all of the delivery reminder ledger entries.
Document Date The document date for the delivery reminder. This date is
also used to calculate the due date for the delivery
reminder. You can modify the posting date if required.
Reminder Level The delivery reminder level. This value is based on the
number of delivery reminders that have already been
sent.
Reminder Terms Code Specify the delivery reminder terms code that is set up
for the vendor.
Due Date The due date for the delivery reminder.

If there are overdue deliveries from the specified vendor, these are added to the delivery reminder.
The delivery reminder is created. You can now issue and print the delivery reminder.
See Also
Delivery Reminders
Generate Delivery Reminders in the German
Version
can generate delivery reminders for all overdue deliveries, or you can create a single delivery reminder
manually.
NOTE
To generate delivery reminders for all overdue deliveries

3. On the Deliver y Reminder page, choose the Create Deliver y Reminder action.
4. Select the appropriate filters.
If there are overdue deliveries that match the filters that you have set, delivery reminders are created. You can
now issue and print the delivery reminders.
See Also
Delivery Reminders
Issue Delivery Reminders in the German Version
After you have created delivery reminders, you must issue and print them so that you can send reminders to
vendors. Before you issue the delivery reminders, you can print a test report.
When you issue the delivery reminders, delivery reminder ledger entries are created. You can view the created
ledger entries on the Deliv. Reminder Ledger Entries page.
To issue delivery reminders

2. On the Deliver y Reminder page, select the delivery reminder that you want to issue, and then choose
the Edit action.
3. Choose the Issue action.
4. On the Issue Deliver y Reminder page, fill in the fields as described in the following table.
Print Select to print the delivery reminders when they are

issued.
Replace Posting Date Select to replace the existing posting date for the
delivery reminder.
Posting Date The posting date for the delivery reminder.
This posting date is used for all delivery reminders if you

have selected the Replace Posting Date check box. If
the Replace Posting Date check box is cleared, this
date will be used for only those delivery reminders for
which a posting date is not available.
5. Optionally, on the Deliver y Reminder Header FastTab, select the appropriate filters.
NOTE
You can remove filters and issue all delivery reminders at the same time.

You can view the issued reminders on the Issued Deliver y Reminder page. Optionally, you can now print a
delivery reminder.
To view delivery reminder ledger entries

2. Select the purchase order for which you want to view the reminder status, and then choose the Edit action.
3. Choose the Deliv. Reminder Ledger Entries action.
On the Deliv. Reminder Ledger Entries page, you can view the delivery reminder ledger entries for the
selected purchase order.
See Also
Delivery Reminders
Print Test Reports for Delivery Reminders in the
German Version
After you have created delivery reminders and made any needed in Germany, you can either print the test
reports or issue the delivery reminders.
A test report is a document that lets you review and modify a delivery reminder before you issue it.
To print test reports before issuing delivery reminders

2. On the Deliver y Reminder List page, choose the Deliver y Reminder - Test action.
3. On the Deliver y Reminder - Test page, set a filter if you want to print only selected delivery reminders.
4. Choose the Print to print the report or choose the Preview button to view it on the screen.
See Also
Delivery Reminders
Currency Exchange Rates in the German Version
At the end of the fiscal year, you must adjust currency exchange rates for payables and receivables so that they
are valued correctly in the annual balance. The Adjust Exchange Rates batch job supports different valuation
methods in order to meet legal requirements in Germany.
Valuation Methods
According to the Bilanz Modernisierungs Gesetz (BilMoG), payables and receivables are valued differently
depending on the difference between the reference date and the due date. This is managed by the Adjust
Exchange Rates batch job where you can specify which valuation method to use. If the due date is less than
one year after the reference date, the Adjust Exchange Rates batch job must be run using the lowest value
valuation method.
The following table describes the valuation methods.
VA L UAT IO N M ET H O D DESC RIP T IO N
BilMoG (Germany) Beginning in 2010, each ledger entry is adjusted as follows:
- If the due date is less than one year after the reference
date, payable/receivable transactions are valued at the actual
exchange rate.
- If the due date is more than one year after the reference
date, payable/receivable transactions are valued at the
lowest value, with the possibility of appreciation in value
(Wertaufholung) up to the initial value. Note: Ledger entries
must contain a due date. An entry that does not have a due
date is treated as a long term liability.
Lowest value Exchange rates are adjusted by using the lowest value of the
two exchange rates. Currency losses are always calculated
and posted. Currency gains are only calculated and posted
up to the original local currency value of the transaction.
This ensures that receivables are not valued above their

original posting amounts, and that payables are not valued
below their original posting amounts.
Standard Exchange rates are adjusted according to standard valuation

principles. Full unrealized gains and losses are calculated and
posted. If the transaction is partially applied, only the
remaining amount is included in the adjustment. For more
information, see Adjust Exchange Rates.
German companies must use the BilMoG (Germany) option when they run the Adjust Exchange Rates
batch job. This ensures that each transaction is adjusted using the appropriate valuation method as required in
Germany. This also enables two fields in the request page, where you can specify the two dates that must be
used to calculate the adjustment. The following table describes the fields.
Valuation Reference Date Specifies the base date that is used to calculate which entries
are short-term entries.
Shor t term liabilities until Specifies the date that separates short-term entries from
long-term entries. Short-term entries have a due date that is
before or on this date. The default value is the value of the
Valuation Reference Date field plus one year.
See Also
EU Sales List in Germany
In Germany, the German EU sales list is submitted to the "Bundeszentralamt für Steuern" (BZSt) through the BZSt
Online Portal by using the ELMA5 interface.
In order to increase security, all types of taxes and tax reports must be submitted under an authentication
method. Beginning in January 1, 2013, it has become mandatory that you make submissions with
authentication. To do so, you sign in with your BZSt number and private key using your pass phrase on the
ELMA5 communications server. ELMA5 is designed to handle the transmission of large datasets of more than
1000 records. Following successful login, you can upload the data transfer in an interactive way. You can also set
up the transfer to be automatic.
See Also
BZSt Online Portal
Create VAT Reports
Set Up VAT-VIES Reports
Create VAT-VIES Reports
Correct VAT-VIES Reports
Declare VAT-VIES Tax
Include Company Registration Numbers on Sales
Reports and Purchase Reports
When generating certain sales reports and purchase reports, you can print registration numbers on the reports.
To print company registration numbers on sales reports

2. On the Tax Office FastTab, in the Registration No. field, enter the registration number of the company.
To print company registration numbers on purchase reports

2. Select the vendor that you want to add a registration number for, and then choose the Edit action.
3. On the Invoicing FastTab, in the Registration No. field, enter the registration number of the vendor.
See Also
Print General Ledger Setup Information in the
German Version
Before you use Business Central in the daily business, you can run the G/L Setup Information report to
display the master data that you have set up. You can look over this master data so that you have a baseline to
compare to, and then verify that you have set up posting groups correctly, for example.
To print general ledger setup information

1. Choose the icon, enter G/L Setup Information , and then choose the related link.
2. On the Options FastTab, in the Setup Information field, select the master data area as described in the
following table.
G/L Setup - Company Data - Consolidation Displays tables for general ledger setup, company
information, and business units.
Posting Groups Displays customer posting group tables, vendor posting

group tables, inventory posting group tables, and bank
account posting group tables.
Posting Matrix Displays general business posting group tables, general

product posting group tables, and general posting group
tables.
VAT Setup Displays VAT business posting group tables, VAT product
posting group tables, and VAT posting setup tables.
Source Code - Reason Code Displays source tables, source code setup tables, and
reason codes tables.
Check Number Series Select to provide an overview of the use of number

series so that you can identify number series that are
problematic for the data export for the Grundsätze zum
Datenzugriff und zur Prüfbarkeit digitaler Unterlagen
(GDPdU). The report will show number series with one of
the following issues:
- The number series allows manual document numbers.

- The number series is not chronological.
- The number series is used in more than one table or
field.
See Also
Setting Up Finance
Iceland Local Functionality
The following topics describe local functionality that is unique to the Icelandic version of Business Central
VAT
Print VAT Summary Information on Documents Available Now
Special Data Output and Reports for the Tax Authority Available Now
Electronic Invoicing Requirement: Issuing Single Copy Invoice Available Now
General
Map IRS Numbers to the Chart of Accounts Available Now
Deleting Posted Invoices and Credit Memos Available Now
See Also
Start a free trial!

Print VAT Summary Information on Documents in
the Icelandic Version
If VAT is calculated, VAT summary information is typically printed on sales and purchase documents. However, in
Iceland, Business Central does not print VAT summary information if only one VAT sales code is used in the
document. You can modify this behavior by using the Always Show VAT Summar y option.
The following procedure describes how to display VAT summary information on a sales invoice document, but
the same steps also apply to sales order confirmations, sales quotes, sales credit memos, blanket sales orders,
purchase orders, purchase invoices, and purchase credit memos.
To show VAT summary information

2. In the list, select the relevant document, and then choose the Print action.
3. To display VAT information in the report, select the Always Show VAT Summar y check box.
See Also
Special Data Output and Reports for the Icelandic
Tax Authority
It is a legal requirement to send the tax authority a data file in a predefined format.
To generate the data file for the tax authorities, every account in the chart of accounts must be set up with the
correct Internal Revenue Service (IRS) tax number as defined by the tax authority.
General ledger accounts are mapped to predefined government account codes and these codes are divided into
groups and types. You need to add the relevant IRS numbers and then manually map general ledger accounts to
these codes. You must also report the data to the tax authorities.
See Also
Electronic Invoicing Requirement: Issuing Single-
Copy Invoice
In Iceland, you must send a report to the government if an invoice has been printed more than once. This report
includes legal text, which confirms that the invoice originates from an Enterprise Resource Planning (ERP)
solution that complies with legislation.
Using this feature, you can send a legal statement with terms and limitations for using single-copy invoices to
the tax authorities. The Printing FastTab on the Sales & Receivables Setup page contains a legal statement
(terms and limitations for using single-copy invoices) and also provides an Electronic Invoicing check box,
which you can select as a reminder that you need to print a statement for the tax authority. You can then print
the IRS Notification report from the Sales & Receivables Setup page. On the Home tab, in the Repor t
group, choose Print Statement .
On the standard posted invoices (invoice and credit memo), legal text is inserted stating that the invoices
originate from an ERP solution that complies with Regulation No. 598/1999.
See Also
Setting Up Sales
Map IRS Numbers to Chart of Accounts in the
Icelandic Version
Companies in Iceland are required to send the tax authority a data file in a predefined format. Before you can do
this, you must map predefined Internal Revenue Service (IRS) account codes to general ledger accounts.
To create an Internal Revenue Service number

1. Choose the icon, enter IRS Number , and then choose the related link.
3. On the new line, enter a number in the IRS number field, and provide a name in the Name field.
4. Select the Reverse Prefix check box if you want the negative operator to be reversed on the balance of the
general ledger account that the IRS number is mapped to.
To map an IRS number to a general ledger account

2. Select a general ledger account that has an Account Type of Posting .
3. In the IRS Number field, select an IRS number from the list.
See Also
Special Data Output and Reports for the Tax Authority
Deleting Posted Invoices and Credit Memos in the
Icelandic Version
In Iceland, in accordance with legislation, you cannot delete sales and purchase invoices and credit memos after
they are posted. In Business Central, the Delete command is not available for these types of posted documents.
See Also
Invoice Sales
India Local Functionality
The following topics describe the local functionality in the Indian version of Business Central.
Tax Engine
Overview Available Now
Tax Engine Import Export configuration Available Now
Tax Engine Configuration of Tax Type and Tax Rate Available Now
Tax Engine Configuration of Use Case Available Now
Tax Engine Lookup Available Now
Tax Engine Design Consideration Available Now
Tax Engine Script Available Now
GST
GST Overview Available Now
Purchase from Composite Vendor Available Now
Purchase from Registered Vendor Available Now
Purchase from Unregistered Vendor (Reverse Charge) Available Now
Purchase from SEZ Vendor Available Now
Purchase from Foreign Vendor Available Now
Purchase Return to Composite Vendor Available Now
Purchase Return to Registered Vendor Available Now
Purchase Return to Unregistered Vendor (Reverse Charge) Available Now
Purchase Return to Foreign Vendor Available Now
Purchase from Vendor with Overseas Place of Supply Available Now
Purchase Return to Vendor with Overseas Place of Supply Available Now
GST and TDS on Purchase Transaction Available Now
GST on Journals Available Now
GST on Advance Payment to Vendor Available Now
GST Application of Payment and Invoice Available Now
Exempted Sales Available Now
Sale to Registered and Unregistered Customer Available Now
Sale to Foreign Customer Available Now
Sale to Registered Customer with Overseas POS Available Now
Sale Return from Registered and Unregistered Customer Available Now
Sale Return from Registered Customer with Overseas POS Available Now
GST and TCS on Sales Transaction Available Now
GST on Advance Receipt from Customer Available Now
GST Application of Receipt and Invoice Available Now
GST Stock Transfer Available Now
GST Service Transfer Available Now
GST Kerala Flood Cess Available Now
GST Bank Charges Overview Available Now
GST Bank Charges Transaction Available Now
GST and TCS on Customer Advance Available Now
GST and TDS on Vendor Advance Available Now
GST TDS TCS Overview Available Now
GST TCS on Payment Available Now
GST TDS TCS on Receipt Available Now
GST Credit and Liability Adjustment Available Now
GST Reconciliation Available Now
GST E-Way Bill Available Now
GST Input Cedit Adjustment Available Now
GST Settelement Available Now
GST E-Invoice Available Now
GST Cess Basic Setup Available Now
GST Cess Calculation Available Now
GST on Serviec Management Available Now
GST Input Service Distribution Overview Available Now
GST Input Service Distribution Process Available Now
GST Input Service Distribution Transaction Available Now
TDS
TDS Overview Available Now
TDS Transactions Available Now
TDS Threshold Available Now
TDS Provisional Entry Available Now
TDS Adjustment Entry Available Now
TDS Payment to Authority Available Now
TDS 194Q Section Overview Available Now
TDS 194Q Transactions Available Now
TDS for Customer
TDS for Customer Overview Available Now
TDS Calculation for Customer Available Now
TDS Certificate Update Available Now
TCS
TCS Overview Available Now
TCS Transactions Available Now
TCS Threshold Available Now
TCS Adjustment Entry Available Now
TCS Payment to Authority Available Now
TCS 206C-1H-Overview Available Now
TCS 206C-1H-Transaction Available Now
Voucher Interface
Voucher Interface Overview Available Now
Voucher Interface Transaction Available Now
Fixed Asset
Fixed Asset Overview Available Now
Fixed Asset Depreciation Available Now
Gate Entry
Gate Entry Overview Available Now
Gate Entry Inward Transaction Available Now
Gate Entry Outward Transaction Available Now
Subcontracting
Subcontracting Overview Available Now
Subcontracting Transactions Available Now
Create GST Liability Available Now
Subcontracting Report Available Now
Stale Cheque
Stale Cheque Available Now
Upgrade from an India Version of Dynamics NAV 2016 to the Latest Version of Business Central
Business Central IN Data Migration Toolkit Available Now
See Also
Start a free trial!

Setting up Posting No. Series
NOTE
The features that this page describes are in preview, which means that they are not complete. We release features in
preview to give partners and customers early access to them, so that they can provide valuable feedback. Preview
features often have limited or restricted functionality, and typically you should not use them in production environments.
Overview
Business Central has included Posting No. Series feature to Indian Localization.
Posting No. series functionality enables you to maintain the different number series of below sales, purchase,
and transfer orders for different locations.
Purchase Receipt
Purchase Invoice
Sales Shipment
Sales Invoice
Purchase Credit Memo
Sales Return Receipt
Sales Credit Memo
Purchase Return Shipment
Transfer Shipment
Transfer Receipt
GST Distribution
Service Transfer Shipment
Service Transfer Receipt
Gate Entry
Following comprehensive functionalities are covered under Posting No. Series:
Provision to define different number series for different types of sales and purchase documents for different
Locations.
After posting of sales and purchase documents, the program will store the number series assigned in Posting
No. Series page for specified filters.
Provision to define separate number series in sales and purchase documents in case of trading activity.
Provision to define separate number series for the locations used in transfer orders.
Setting up Posting No. Series

You need to create a set up for posting of documents. The following procedure shows how to set up posting
number series.
1. Choose the icon, enter Posting No. Series, and then choose the related link.
2. Click on New
Document Type Specify the number series for Purchase, Sales & Transfer
documents.
Condition Specifies the filters for type of record selected in the

Document Type. For example, if Document Type is Posted
Sales Invoice and Condition is Location Code as BLUE,
then system will update the document number of posted
sales invoices for BLUE location with code specified in the
Posting No. series field.
Posting No. Series Specifies the desired number series for each document
type and defined filters.
NOTE
Program will record the number series for posted documents based on number specified in the above Posting No. Series
field.
Tax Engine Overview
In a country, where tax reforms are happening at a fast pace, it is natural to expect frequent changes. These
changes may pertain to change in rate of tax, calculation method, tax filing or reporting etc. To manage such
changes with least effort, it is necessary to manage, as much as possible through configuration.
Tax Engine is a suite of extensions to enable configuration of tax rules and its computation. It consists of a use
case designer, which allows modification of existing use cases or creation of new use cases. Use case contains
the description of business scenario, conditions to be met and event that will trigger calculation of tax. A use
case can be enabled or disabled as per the business need.
Tax Engine extension is a combination of 6 smaller extensions or modules. Extensions are packaged to deliver
functionality related to configuration of tax, tax calculation, import and export of configuration etc.
PA RT IC UL A RS DESC RIP T IO N
Tax Engine Core Extension Core extension contains the UI elements and related tables
which are commonly used throughout Tax Engine. Also, it
has library functions, which can be used by other extensions
other than Tax Engine, to get any value.
Tax Engine Tax Type Handler Extension Tax Type Handler extension contains UI elements and related
tables which enables definition of a new tax type, its
attributes and map business entities involved with this tax
type.
Tax Engine Tax Use Case Handler Extension Tax Use Case Handler extension contains UI elements and
related tables which are used for configuring a tax use case.
Use case definition includes primary business entity like Sales
Order or Purchase Order line table, conditions for execution
of use case, rules and formulae for calculation of tax and
functionality to script business logic.
Tax Engine Scripting Extension Script extension contains UI elements and related tables
which are used in scripting of Business logic within a use
case.
Tax Engine Tax Posting Handler Extension Posting Handler extension contains UI elements and related
tables which are used to configure posting of tax
components to G/L Accounts and related tax ledgers.
Tax Engine Json Exchange Extension Json Exchange extension enables import or export of
configuration data of tax engine in json format.
NOTE
The Tax engine functionality is only available for legal entities with a primary address in India.
See Also
Tax Engine Import Export Configuration
Tax Engine - Import/Export Configuration
Json Exchange extension is used to import or export the configuration data of tax engine in json format.
There are two options available for importing and exporting tax configuration:
Impor t or Expor t from Tax Type
This option is used when all configuration pertaining to a tax type is to be imported or exported. It contains
entities, components, input parameter, rate setup and use cases.
Impor t or Expor t for a specific Use Case
This option is used when configuration pertaining to one or more-use cases is to be imported or exported. It
contains use case related information.
Impor ting Use Cases in a new company
When a new company is created, use cases are required to be imported. Following are the steps to import the
use cases in a new company.
1. Go to Setting -> Assisted Setup -> Setup Tax Engine , a Tax Engine Setup wizard will be opened.
2. Select Append and click on Next .
3. Click on Finish . System will import all the pre-configured use cases from the configuration file in the new
company.
See Also
Tax Engine Configuration of Tax Type and Tax Rate
Tax Engine - Configuration of Tax Type and Tax
Rates
This topic provides information about tax types that a tax authority can levy in the same jurisdiction or a
different jurisdiction. Calculation and posting of this type of tax to G/L Accounts.
Tax types
There can be various type of taxes applicable for a company. Examples:
GST : Goods and Services Tax.
TDS : Tax deducted at source.
TCS : Tax collected at source.
WHT : Withholding Tax.
Tax entities
These are tables which are specific to a Tax Type. This is defined to restrict the list of tables in a lookup. A Tax
Entity can be of type ‘Master’ or ‘Transaction’.
Example of Master: Customer, Vendor, Location, Item etc.
Example of Transaction: Purchase Line, Sales Line, Transfer Line, Gen. Journal Line etc.
Input parameters
Attributes of tax type that can be used as a parameter in tax calculation or reporting. For example :
HSN Code : It is a parameter to find GST rate of an item and it can also be used as a parameter for filing of
online tax to the government.
An attribute can be either linked to a field of an existing table or can be mapped to an existing table as an
attribute. (In the same way as Item Attributes are define in item table)
Header contains following information
Attribute Name.
Datatype of Attribute.
Visible on Interface (Yes/No)
Blocked (Yes/No)
In case the attribute needs to be mapped to a field of a table, then the field needs to be entered in 'Mapping
Field Name' else it will be created as an attribute for that entity record. Attribute values can be added or viewed
in case the type of attribute is an ‘option’.
Component
Certain tax type may have components that need to be computed as part of tax calculation. Following are some
examples of tax components:
CGST: is a component of Tax Type GST.
SGST: is a component of Tax Type GST.
TDS: is a component of Tax Type TDS.
E-Cess: is a component of Tax Type TDS.
Rate setup
For each tax type, parameters are defined basis which rate is specified in the setup.
These Parameters can be of following types:
Tax Attributes When a tax attribute is used as a parameter for tax rate
configuration. (example – HSN Code, GST Group Code etc.)
Value This will be used where we want to use a value in the tax
rate configuration that is not mapped with a table as an
attribute. (example – From State, To State etc.)
Range This is used to define slabs in a tax rate setup, such as ‘Date
from’ and ‘Date To’. When tax type is defined as 'range',
system will create two parameters in tax rate configuration.
Component Components are used to define distribution of tax calculated.

For example, 50% of GST will go to CGST and remaining will
be SGST.
Output Information Numeric values that are part of rate setup. (Example –
Threshold Amount)
NOTE
A new field, Allow Blank, has been added to create blank setup for tax attribute. For example, provision has been made to
create tax rate for GST without HSN/SAC code, as there are scenarios where rates are common for multiple HSN/SAC code
of a single GST Group.
Tax rates
Tax rates can be defined for a combination of tax parameters defined as part of 'Rate Setup' for a 'Tax type'. Rate
defined for a combination cannot be repeated.
See Also
Tax Engine Configuration of Use Case
Tax Engine - Use Case Configuration
This topic provides information about use case configuration.
Use cases
Use case describes a business scenario, conditions which need to be met and event which will trigger the
calculation of tax. A use case can be enabled or disabled as per the business need.
Use Case consist of following stages for calculation:
Condition :
Condition which determine whether the use case should be executed or not.
Example of Condition:
O P ERATO R VA L UE C O N DIT IO N VA L UE 2
"Applies-to Doc No." Not Equals ''
or "Applies-to ID" Not Equals ''
and "GST Vendor Type" Equals 'Unregistered'
and "Account Type" Equals 'Vendor'
and "Document Type" Equals 'Invoice'
and "GST Bill-to/Buy-from Equals 'Location State Code'

State Code"
and "GST Group Code" Not Equals ''
and "HSN/SAC Code" Not Equals ''
and "GST Reverse Charge" Equals 'Yes'
Attribute Mapping :
This is defined to map the required attributes with their source of value. Example : In case, GST is to be
calculated on Sales Line and value of field ‘Type’ on General Journal Line is ‘G/L Account’ then, HSN Code
will flow from G/L Account table.
Rate Parameter Mapping :
Rate parameter needs to be mapped with their source, but this mapping will be done only for column
types ‘Range’ and ‘Value’. If an applicable tax rate is found, then system will return ‘component percent’
defined for that tax rate. Example:
Date This column will be mapped with posting date of sales

header and system will analyze whether the posting date
comes in the range of ‘Date from’ and ‘Date To’.
From State In case of sales, parameter 'From State' needs to be

mapped with state of location code.
To State In case of Sales, parameter 'To State' needs to be mapped

with state of customer code.
Use Case Variables :

Variables can be used at the time of computation of an intermediate value or defining validations in a use
case. Example: showing alert message on tax execution.
Computation Script :
This is an optional step, which will be used to store values in variables. Example: storing value of TDS
Amount and adding INR 1000 freight to get the final amount.
Component Formula :
Define ‘Component formula’ for the components which are specific to the use case. Example: CGST =
{“Line Amount” from “Sales Line”} * {CGST %} /100
Use Case Posting :
There is a posting entity where the 'G/L Accounts' are configured for the specific 'tax type'. Based on the
filters applied on the posting entity, tax engine points to the record from which components can be
mapped to posting accounts. In case of reverse charge, same component is adjusted with its payable or
receivable account. Configuration will have “Reverse Charge” flag as true and account can be mapped for
same to “Reverse Charge G/L Field Name”.
Tax Ledger Mapping :
Calculated tax, which is an output of a use case needs to be mapped to a tax ledger table. Example: On
posting of general ledger entry for GST, there will be a new GST Entry created as a tax ledger for the
posted transaction.
How to check tax information for a transaction

There are two fact boxes available on transaction page to view calculated tax
Tax Information
Tax Component
Statistics Page, will show the tax information in Tax Summary Tab.
See Also
Tax Engine Lookup
Tax Engine - Lookup
Lookup is a utility to fetch value from the system or from a variable.
Source type
Source type is to specify the source of value.
Current record
If value of a field is to be picked from the current record (that is source table of the rule).
Variable
If value of a variable is to be picked. Variables of a rule can be created or viewed from the rule editor card.
Table
If value of a field is to be picked from a table that is related to the current record / source table. This is very
much like CALCFORMULA in AL.
Table Name : Specify the table from where the value is to be picked.
Table Filters : Specify the relationship between the current record and the table from where the value is to
be picked.
Table Sorting : Sorting to be applied on table records. If sorting is specified, records will be sorted on
Primary Key.
Field Name: Value is picked from this field based on the method you have selected.
Method :
First: Value is picked from the first record.
Last: Value is picked from the last record.
Sum: Calculate sum of all values from a selected field after applying table filters.
Average: Calculate average value from a selected field after applying table filters.
Min: Min value from a selected field after applying table filters.
Max: Max value from a selected field after applying table filters.
Count: Count of records after applying table filters.
Database
USERID, COMPANYNAME, SERIALNUMBER, TENANTID, SESSIONID, SERVICEINSTANCEID values can be picked
from the current database.
System
TIME, TODAY, WORKDATE, CURRENTDATETIME values can be picked from the current database.
Tax attribute
Tax attributes defined with tax type can be picked.
Component
Tax Component amounts computed can be picked from Tax Rates.
Record variable
The value of a ‘Record variable’ field used in 'use case' variable can be picked.
Component percent
‘Tax Component Percent’ captured from ‘Tax Rates’ can be picked.
Column
Value of ‘Tax Rate Parameter’ captured from ‘Tax Rates’ can be picked.
Attribute table
Value of an attribute from existing table can be picked.
Posting
To get the helpers that can be used in posting of a document. (Ex- Dimension Set, General Posting Group’s, GL
Entry No. of Tax ledger Entry).
See Also
Tax Engine Script
Tax Engine - Design Consideration
This section contains the factors that shall be considered while configuring Taxes using tax engine.
Tax type
A new tax type should be created if it has unique attributes which are used in definition of conditions and
computation logic. For example, GST and TDS are defined as different tax types.
Tax attributes
When to create an Attribute as Generic?
Generic attributes are used in the same way as item attributes are managed in Business Central. If the
attribute is not linked to a field in an existing table then it is generic in nature.
When to map a tax attribute with a table field?
In case field is already available in the table which is being mapped then it can be linked to that attribute.
This means that field data will be used as attribute value.
Generic tax rate setup

Rate Setup for Different Tax Type
Tax Rate Setup of each tax type is configured separately but the User Interface is same. Fields in tax rate
setup are dynamic and based on the tax rate column setup. User can define what columns are needed for
a tax rate setup. For example ‘GST' tax type would require ‘HSN Code’ where as 'TDS' tax type is not
dependent on HSN code.
Generic Table for Tax Rate Setup
Use generic table for tax rate setup for all Tax types. It enables to handling any new components
introduced by government related to the tax rate.
Example: If there is a regulatory change in which ‘Threshold Limit’ is removed then it can be managed by
removing it from the tax rate column setup.
Generic metadata
Tax Transaction Values Data pertaining to tax calculation regarding a said transaction is stored in a
common table. If the transaction record is deleted then related tax transaction value also gets deleted.
Example: If transaction involves ‘Purchase Line’ then all information related to tax calculation will be
stored in tax transaction value. If purchase line is deleted, then tax transaction value record related to that
purchase line will also be deleted.
Information stored in ‘tax transaction value’ is shown in the ‘tax information’ and ‘tax component’ fact
boxes related to that transaction. Attributes which have “visible on interface” as true will be visible in the
fact box.
Tax Rate Configuration Value
This table contains information of tax rate setup. Tax engine uses common tax rate setup for different types of
taxes.
Use case execution

Only Child Use Cases are Executed for output
There can be a parent child relation between use cases. Parent use cases are used for defining attribute
mapping which is common for one or more use cases.
A child use case is mapped in the use case tree. Before execution of the use case, conditions of use case
tree should be passed.
Sequencing of Use Case Execution
The sequence of use case execution depends on the sequencing defined in the use case tree.
Execution of multiple Use Cases for a tax type
If there are more than one use cases for a tax type, then execution will be done sequentially which means
that second use case will execute only after completion of first use case.
Execution Flow of Tax Engine
Deployment
Configuration Files
Every use case configured in tax engine is a Json file which can be exported and imported from a
Business Central tenant. These configurations are deployed individually for each company.
Deployment of Configuration
Default configurations that are provided in the system will be available as part of demo data. In case if a
new production company is created then the configuration can be imported from assisted setup, where
system will pick the json based on the function of a codeunit. Json for standard configuration is available
in a translation file for there related extensions like GST, TDS and TCS which are updated when the
codeunit function is called. In case users have changed any standard configuration or created a new
configuration then they can use the export and import function available on tax types and use cases page.
Change in Configuration
If any update is done on a use case then the version of the use case will be higher than the one which is
already deployed. System will archive the old one and update the new use case based on the jeson.
Change in Configuration by user
In case of any change done in any use case to fix a bug or handle regulatory change, the updated
configuration should be imported again in each company individually.
Version Management
In case of any change done in any use case the current active version of the use case is archived and new
use case version becomes active.
Enabling and disabling configuration

Enable or Disable Use Case
By default, a Use case is enabled. If a use case is not applicable, then it can be disabled and that use case
will not get executed.
See Also
Overview
Tax Engine - Script Activity
Script extension contains UI elements and tables which are used in scripting of Business logics within a use case.
String / Text
Concatenate : Concatenates list values and outputs to a variable.
String Expression : It is used to compose string. Names that are enclosed within curly braces are treated
as tokens. Values can be assigned to tokens using lookups, whereas on the Value tab, source of that token
can be defined.
Length of String : Calculates the length of the string and assigns it to the output variable.
Output Variable Specifies the name of variable in which value of the

length is stored.
String Specifies the string for which length is to be calculated,

hard coded text or/and expression can be entered.
Conver t Case of String : Converts the case of the string and assigns to the output variable.
Output Variable Specifies the name of variable in which value of

converted case will be stored.
String Specifies the string for which case will be converted, hard
coded text or/and expression can be entered.
Convert to Case Converts case of the string, it can be either Upper Case
or Lower Case.
Find Substring in String : Finds the substring in string and assigns the position of the substring to
output variable.
Output Variable Specifies the name of variable in which value of substring

will be stored.
String This will be the string for which value of substring will be
searched, hard coded text or/and expression can be
entered.
Substring Specifies the string or expression which needs to be

identified from String value.
Replace Substring in String : Replace substring in a string with a new string and assigns to output
variable.
Output Variable Specifies the name of variable in which the value of

Replaced String will be stored.
Sub String This will be the string content which will be replaced from
'In String', hard coded text or/and expression can be
entered.
With String This will be the string content which will be replaced with
'Sub String', hard coded text or/and expression can be
entered.
In String This will be the string on which replacement of character

will happen.
Extract Substring : Extracts substring of a length from a string from start/ end and assigns to output
variable.
Output Variable Specifies the name of variable in which value of Extracted

Sub String will be stored.
String This will be the string for which value of Substring will be
extracted, hard coded text or/and expression can be
entered.
From Starting point of extraction, it can be either start or end.
Length Length of the character to extract.
Extract Substring from Index of String : Extracts substring of a length from a string with an index and
assigns to output variable.
Output Variable Specifies the variable name in which value of Extracted

Sub String will be stored.
In String This will be the string for which value of Substring will be
extracted, hard coded text or/and expression can be
entered.
From Index Starting point of extraction as Index.
Length Length of the character to extract.
Number
Number Calculation : Calculates the number based on values and the operator. It is assigned to output
variable.
Output Variable Specifies the variable name in which value of Calculated

Number will be stored.
Value This will be the Left-Hand Side (LHS) of the Number

Calculation.
Operator Operator to be used for calculation, it can be Addition,

Subtraction, Division, Multiplication.
Value 2 This will be the Right-Hand Side (RHS) of the Number

Calculation.
Numeric Expression : Numeric Expression is to evaluate expression into number and assign it to output
variable. Text token will be extracted and replaced with values from Lookups, whereas on the value tab
source of that token can be defined.
Round Number : Round Number is used to round decimal places to a precision and direction could be
nearest, up or down.
Output Variable Specifies the variable name in which value of Rounded

Number will be stored.
Number Value that will be rounded.
Precision Rounding precision.
Direction Direction of rounding, it can be Nearest, Up or Down.
Date
Date Calculation : ‘Date Calculation’ is used to manipulate dates by adding or subtracting number of
days / months / years and it is assigned to output variable.
Output Variable Specifies the name of variable in which value of

‘Calculated Date’ will be stored.
Date This will be the date on which calculation will be done.
Operator This will be the operator that will be applied on ‘Date for
calculation’.
Number This will be the number that will added or subtracted to

date.
Period This will be the type that will be added or subtracted to

date as Number. It can be Days, Week, Months, Year.
Extract Date Par t : ‘Extract Date Part’ is used to extract day / month / year from a date and assign it to
output variable.
Output Variable Specifies the variable name in which value of Extracted

Date will be stored.
Date This will be the Date on which extraction will be done.
Part Type of extraction, it can be Year, Month, Day.
Find Inter val between Dates : Find Interval between dates is used to find number of days / hours /
minutes between dates and assign it to output variable.
Output Variable Specifies the variable name in which value of Interval will
be stored.
From Date This will be starting date of date range.
To Date This will be ending date of date range.
Extract Date Time Par t : Extracts the date or time from a 'date time value'.
Output Variable Specifies the name of variable in which value of date or

time will be stored.
Date Time This will be the date time value from which extraction will
be done.
Part Part that will be extracted, it can be either date or time.
Date to Date Time : Converts a ‘Date’ value to ‘Date Time’
Output Variable Specifies the name of variable in which value of ‘date

time’ will be stored.
Date This will be the date value which will be part of 'date
time'.
Time This will be the time value which will be part of ‘date
time’.
Condition
If Statement : Activities within the "If" statement will be executed when the defined conditions are evaluated
to be true. If the conditions are evaluated to false, activities in the “Else” branch will be executed. Conditions
can be specified in “Else” branch. There can be more than one else branch for an “If Statement”.
Loops
Loop n Times : Executes activities in the loop block for n number of times. "N" can be a constant value, or
it can be a variable.
Loop with Condition : Executes activities in the loop block until condition is evaluated to be false.
Loop through Records : Loop through all records and execute activities in the Loop block.
Table Name Name of table whose records need to be iterated.
Sorting Sorting order of the records.
Order Ascending or Descending.
Distinct To skip duplicate records.
Table Filters Filters to be applied on the table records.
Record Value Variable that holds the current record of the table.
Index Variable Loop index starts from 1.
Count Variable Count of records after applying filters.
Set Variables To assign field values to a variable.
Exit Loop : Breaks loop and executes activates after the loop block.
Skip Next Activities : Skips next activities in the loop block and continues execution of the next iteration.
Misc.
Set Variable : To assign Variable value.
Output Variable The variable which will be assigned with value.
Value The value of variable, this can be constant or lookup.
Aler t Message : Message dialog will be displayed while execution rule. This is helpful to debug, and this
can also be used for throwing errors.
Message Message that is to be displayed.
Throw Error Check this flag to throw error message.
See Also
Tax Engine Design Consideration
Setting Up Goods and Services Tax
Business Central has included GST Feature to Indian Localization.

“Goods and Ser vices Tax” means any tax on supply of goods, or services or both except taxes on the supply
of the alcoholic liquor for human consumption.
It is a destination-based tax on consumption of goods and services. It is levied at all stages from manufacture up
to final consumption with credit of taxes paid at previous stages available as setoff. Briefly, only value addition is
taxed and burden of tax is to be borne by the final consumer.
GST is a comprehensive tax levy on manufacture, sale and consumption of goods and services at a national
level. It has subsume indirect taxes like excise duty, countervailing duty and service tax, as also state levies like
Value Added Tax, Octroi, Entry Tax, Luxury Tax, etc.
Setting Up Goods and Service Tax

GST has two different types of setups, Automatic and Manual.
Below is the list of Automatic Setups, that will be pre-configured with the help of Tax Engine
Tax Types
Component
Rate Setup
Attributes
For more information about Automatic Setup, see Tax Engine information.
Below is the list of Manual Setups, that are required to be configured manually
GST Rate
GST Registration Number
Tax Accounting Period
States
GST Groups
HSN/SAC
GST Posting Setup
GST on Company Information
GST on Location
GST on General Ledger Setup
GST on Purchase and Payable Setup
GST on Source Code Setup
GST on Masters
GST on Vendor
GST on Vendor Order Address
GST on Customer
GST on Customer Ship to Addresses
GST on Service Cost
GST on Bank Account
To set up GST rates

Rate of GST is defined in combination of HSN/SAC, group and states.
1. Choose the icon, enter Tax Type -> GST -> Action -> Tax Rates , and then choose the related link.
HSN/SAC Specifies the HSN/SAC code.
GST Group Code Specifies the GST group code.
From State Specifies the vendor state code.
Location State Code Specifies the location state code.
Date From Specifies the starting date.
Date To Specifies the ending date.
SGST % Specifies the SGST rate.
CGST % Specifies the CGST rate.
IGST % Specifies the IGST rate.
Cess % Specifies the Cess rate.
KFC % Specifies the KFC rate.
POS Out of India Specifies whether POS out of India functionality is

activated or not.
POS as Vendor State Specifies whether POS as Vendor State functionality is

activated or not.
To set up GST registration number

Registration Number under GST is called Goods and Service Tax Payer Identification Number (GSTIN). It is a
state-wise PAN based 15-digit number.
1. Choose the icon, enter GST Registration Nos., and then choose the related link.
State Code Specify the relevant State Code of the company for which
registration number has been assigned.
Code Enter the valid registration number provided by

authority.
Description Specify the description of the registration number.
Input Ser vice Distributor Specifies whether the registration belongs to an input
service distributor nor not.
TIP
State Code (GST Reg. No.) and first two digits of GST Registration Number should be same.
To set up tax accounting period

Accounting Periods and sub-periods are created and closed here. Under GST, Fiscal year would be normally
from 1st April to 31st March and Sub-Accounting Periods are months.
1. Choose the icon, enter Tax Accounting Period , and then choose the related link.
Tax Type Code Specify the type as GST to identify the accounting
period.
Star ting Date Enter a date to specify the beginning of the period.
Ending Date Enter the last date to specify the end of the period.
Financial Year Specify the Financial Year of the period.
Quar ter Specify the different quarters of the period.
Credit Memo Locking Date Specify the last date by which credit memo can be
entered for this period.
Annual Return Period Specify the last date by which annual return for GST has
to be filed for this period.
To set up States
List of State codes to be defined with relevant GST registration number state code and eTDS/TCS state code.
1. Choose the icon, enter States , and then choose the related link.
Code Specifies the state code.

Description Specifies the name of the state.
State Code (GST Reg. No.) Specifies the code for GST registration number.
State Code for eTDS/TCS Specifies the code for eTDS/TCS.
To set up GST groups

List of GST groups need to be defined, group can be of two types Goods or Ser vice .
1. Choose the icon, enter GST Groups , and then choose the related link.
Code Specifies the group code.
Description Specifies the name of the group.
GST Group Type Specifies whether the group is defined as goods or

service.
GST Place of Supply Specifies GST place of supply of the GST group.
Reverse Charge Specifies whether the group is defined as reverse charge

or not.
To set up HSN/SAC
List of HSN/SAC codes against relevant GST groups need to be defined.
1. Choose the icon, enter HSN/SAC , and then choose the related link.
Code Specifies the HSN/SAC code.
Description Specifies the description of the HSN/SAC code.
Type Specifies the type of the HSN/SAC code, e.g HSN, SAC.
To set up GST posting setup

General Ledger Account for each component and state combination is defined state-wise.
1. Choose the icon, enter GST Posting Setup , and then choose the related link.
State Code Specifies the state code of company that have valid GST
registration number.
GST Component Code Specifies the relevant component code.
Receivable Account Specifies the general ledger account for which GST
receivable amount for this state and component is to be
posted.
Payable Account Specifies the general ledger account for which GST
Payable amount for this state and component is to be
posted.
Receivable Account (Interim) Specifies the general ledger account for which GST
receivable interim amount for this state and component
is to be posted.
Payable Account (Interim) Specifies the general ledger account for which GST
payable interim amount for this state and component is
to be posted.
Expense Account Specifies the general ledger account for which GST
expense amount for this state and component is to be
posted.
Refund Account Specifies the general ledger account for which GST
refund amount for this state and component is to be
posted.
Receivable Acc. Interim (Dist.) Specifies the general ledger account for which GST
distribution for receivable interim amount for this state
and component is to be posted.
Receivable Acc (Dist.) Specifies the general ledger account for which GST
distribution receivable amount for this state and
component is to be posted.
GST Credit Account Specifies the general ledger account for which GST credit
amount for this state and component is to be posted.
GST TDS Receivable Account Specifies the general ledger account for which GST TDS
posted.
GST TCS Receivable Account Specifies the general ledger account for which GST TCS
posted.
GST TCS Payable Account Specifies the general ledger account for which GST TCS
payable amount for this state and component is to be
posted.
IGST Payable A/c (Impor t)) Specifies the general ledger account for which GST
import payable amount for this state and component is
to be posted.
To set up GST on company information
Legal entity's GST registration number needs to be defined.
State Code Specifies the state code of the company address.
GST Registration No. Specifies the registration number of GST for the specified
address.
ARN No. Capture the ARN No. only when GST registration
number is not available.
TIP
To set up GST on location

GST registration number can be assigned to company for their multiple locations. These registration numbers
can be defined in the location master.
State Code Specifies the state code of the location address.
GST Registration No. Specifies the registration number of GST for the specified
address.
Location ARN No. Capture the ARN No. only when GST registration
GST Input Ser vice Distributor Specifies whether the location is registered as a input
service distributor or not.
Bonded warehouse Specifies whether the location will be treated as bonded

warehouse or not.
TIP
To set up GST on general ledger setup

State Code - Kerala Specifies state code Kerala.
GST Distribution Nos. Specifies the number series code for distribution
document.
GST Credit Adj. Jnl Nos. Specifies the number series code for credit adjustment
journal.
GST Settlement Nos. Specifies the number series code for settlement
document.
GST Recon. Tolerance Specifies the tolerance value to be considered for GST
reconciliation.
Custom Duty Component Code Specifies the custom duty component code.
GST Opening Account Specifies the account which will be used for opening
transaction of GST.
To set up GST on purchase and payable setup

1. Choose the icon, enter Purchase & Payable Setup , and then choose the related link.
2. Enter exemption's start and end date for reverse charge for unregistered vendor in RCM Exempt Star t
Date (Unreg) and RCM Exempt End Date (Unreg)
To set up GST on source code setup

1. Choose the icon, enter Source Code Setup , and then choose the related link.
2. Fill in source codes for different types of GST transactions. For Credit Adjustment Journal , Settlement ,
Distribution , Liability Adjustment , Adjustment Journal .
To set up GST on masters

Below is the list of masters requiring setup of GST
Item
Fixed Asset
G/L Account
Resource
Item Charge
1. Choose the icon, enter Items , Fixed Asset , Char t of Account -> G/L Account , Resources and
Item Charges and then choose the related link.

GST Group Code Specifies the GST Group code that is relevant for the
Item, Fixed asset, G/L Account, Resources or Item
Charges. GST Group codes created in GST Group Setup
appear as dropdown.
GST Credit Specifies that Input Tax Credit can be 'Availment' or

'Non-Availment'. This field by default displays
'Availment'. If credit cannot be availed on any Item, Fixed
Asset, G/L Account, Resources and Item Charge, then
'Non-Availment' shall be selected manually from the
drop down.
HSN/SAC Code Specifies HSN/SAC Code for the GST Group selected in
GST Group code field.
Exempted This field is checked if the item is exempted from

payment of tax.
3. For Price Inclusive of Tax setup go to Items -> Prices & Discount -> Sales Price and fill the following
information
Unit Price Specifies the unit price of the item.
Price Inclusive of Tax Specifies whether the unit price of the item is inclusive of
tax or not.
To set up GST on vendor

1. Choose the icon, enter Vendor , and then choose the related link.
GST Vendor Type Vendor type can be Registered, Composite, Unregistered,

Import, Exempted, SEZ. It has to be selected from the
dropdown.
GST Registration No. Enter Registration No. of vendor. Registration number is

mandatory if GST Vendor Type is Registered. Registration
No. is of 15-digits.
Associated Enterprises This field is activated only if GST Vendor Type is Import.
This can be used for an import transaction of services or
goods from sister concerns located outside India.
Aggregate Turnover Applicable only if GST Vendor Type is Unregistered. The

available options are: More than 20 lakh, Less than 20
lakh. System will allow interstate supply of services if Less
than 20 lakh is selected in this field for unregistered
vendor.
ARN No. Capture the Vendor ARN No. only when GST registration
To set up GST on vendor order address

1. Choose the icon, enter Vendor > Order Addresses , and then choose the related link.
State State code can be selected from dropdown for this field.
appropriate State code has to be selected.
GST Registration No. Enter Registration No. of vendor. Registration number is

mandatory if GST Vendor Type is Registered. Registration
No. is of 15-digits.
ARN No. Capture the Vendor ARN No. only when GST registration
To set up GST on customer

GST Customer Type Customer type can be Registered, Unregistered, Export,

Deemed Export, SEZ Unit, SEZ Development or
Exempted. Select the appropriate Customer type from
the dropdown.
GST Registration Type Registration type can be GSTIN (Goods and Services Tax
Payer Identification Number), UID (Unique Identification
Number), and GID (Government Identification Number).
Appropriate type shall be selected from the dropdown.
GST Registration No. Enter the 15-digit GST Registration Number. Registration
number is mandatory if GST Customer Type is Registered
or Deemed Export.
E-Commerce Operator This field is activated, if sales are done through an e-

commerce operator.
ARN No. Capture the Customer ARN No. only when GST
registration number is not available.
To set up GST on customer ship to addresses

1. Choose the icon, enter Customers > Ship to Addresses , and then choose the related link.
State Select state from the dropdown for this field. Select
appropriate State code.
GST Registration No. Enter Registration No. of customer. Registration number

is mandatory if GST Customer Type is Registered.
Registration No. is of 15-digits.
ARN No. Capture the Customer ARN No. only when GST
registration number is not available.
To set up GST on service cost

1. Choose the icon, enter Ser vice Cost , and then choose the related link.
GST Group Code Specifies the GST Group code relevant for the service
cost. GST Group codes created in GST Group Setup
appears as dropdown.
GST Credit Check if the GST Credit can be Availment or Non-

Availment. By default this field displays Availment.
HSN/SAC Code Specifies HSN/SAC Code for the GST Group selected in
GST Group code field.
Exempted Check if the item is exempted from payment of tax.
To set up GST on bank account

1. Choose the icon, enter Bank Account , and then choose the related link.
State Code Required for GST calculation in Bank Charges

transactions.
GST Registration Status Can be Blank or Registered. If GST registration No. is

added in Bank Account Master the status will be
updated as Registered.
GST Registration No. Enter Registration No. of Bank. Registration number is

mandatory, if GST Registration Status is Registered.
Registration No. comprises 15-digits.
See Also
Purchase from Composite Vendor
Purchase from Composite Vendor or Purchase of
Exempted Goods and Services with No GST Impact
A composite vendor is a vendor whose aggregate turnover in a financial year does not exceed fifty lakh rupees
and has opted for composition scheme. A composite vendor neither collects tax from the recipient of supplies
nor passes on any credit of input tax. Hence, no GST is computed if the purchases are made from a composite
vendor.
A composite vendor has to register himself with the GST authorities and hence registration no. is mandatorily
mentioned in the vendor card, if the vendor type is selected as composite. State code is also mandatory. No GST
entries are generated for a composite vendor, as a composite vendor is not entitled to collect any tax from the
customers.
Process for purchases from a composite vendor has been explained in this document.

2. Select Vendor on Purchase Invoice header, GST vendor type should be Composite or Exempted .
3. Select G/L Account , Item Code , Fixed Asset or Charge (Item) on Purchase Invoice line.
For example, invoice will be issued for INR 10000 on which there is no GST is charged.
GL Entries will be as following:
PA RT IC UL A RS A M O UN T
Purchas or Ser vices Account 10000
Vendor Account -10000
See Also
Purchase from Registered Vendor
Purchase from Registered Vendors
A registered vendor is a person registered with GST authorities. For a registered vendor, on the vendor card,
update the following fields:
GST Vendor Type as Registered.
GST Registration No.
State Code
For purchases from registered vendors for services attracting reverse charge, purchasers are required to pay the
GST tax, to the Government. If exempted goods and services are purchased from registered vendor, then no GST
is to be paid to supplier or to the Government.
Process for purchase from a registered vendor has been explained in this document.

2. Select Vendor on Purchase Invoice header, GST vendor type should be Registered .
3. Select Item Code for goods, G/L Account for Service purchase, Fixed Asset for Fixed Asset purchase and
Charge (Item) for Item Charge on Purchase Invoice line. GST Group Code, HSN/SAC Code and GST Credit
value should be selected as Availment if the tax input credit is available or else Non-Availment should be
selected on the Item or G/L Account.
4. GST Credit option can be changed on invoice line.
For example, invoice will be issued for INR 10,000 on which 18% GST (9% CGST and 9% SGST/UTGST in case of
Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction), has to be charged.
GST calculation will appear in the Fact Box, as following:
C O M P O N EN T A M O UN T
GST Base Amount 10,000
CGST 900
SGST 900
IGST 1800
GL Entries for Intra-State or Intra-Union Territory purchase of goods from registered vendor where input
tax credit is available, will be as following:
Purchase Account 10,000
SGST/UTGST Receivable Account 900

CGST Receivable Account 900
GL Entries for Intra-State or Intra-Union Territory purchase of goods from registered vendor where input
tax credit is not available, will be as following:
GL Entries for Intra-State or Intra-Union Territory purchase of services from registered vendor where
input tax credit is available, will be as following:
Ser vices Account 10,000
GL Entries for Intra-State or Intra-Union Territory purchase of services from registered vendor where
input tax credit is not available, will be as following:
GL Entries for Inter-State purchase of goods from registered vendor where input tax credit is available,
will be as following:
IGST Receivable Account 1800
GL Entries for Inter-State purchase of goods from registered vendor where input tax credit is not
available, will be as following:
PA RT IC UL A R A M O UN T
Purchase Account 11800
GL Entries for Inter-State purchase of services from registered vendor where input tax credit is available,
GL Entries for Inter-State purchase of services from registered vendor where input tax credit is not
Ser vices Account 11800
GL Entries for the Intra-State purchase from registered vendor (reverse charge), will be as following:
Purchase or Ser vices Account 10000
CGST Receivable Account (Interim) 900
SGST Receivable Account (Interim) 900
CGST Payable Account (Interim) -900
SGST Payable Account (Interim) -900
GL Entries for the Inter-State purchase from registered vendor (reverse charge) if time of supply is
considered on the basis of payment, will be as following:
IGST Receivable Account (Interim) 1800
IGST Payable Account (Interim) -1800

GL Entries on payment to registered vendor (reverse charge) against Intra-State purchase invoice, will be
as following:
Vendor Account 10000
CGST Payable Account (Interim) 900
SGST Payable Account (Interim) 900
CGST Payable Account -900
SGST Payable Account -900
Bank Account -10000
GL Entries on payment to registered vendor (reverse charge) against Inter-State purchase invoice, will be
as following:
IGST Payable Account (Interim) 1800
IGST Payable Account -1800
Bank Account -10000
GL Entries for Intra-State or Intra-Union Territory purchase of fixed asset from registered vendor where
input tax credit is available, will be as following:
Fixed Asset Increases during the Year 10000
SGST Receivable Account 900
GL Entries for Intra-State or Intra-Union Territory purchase of fixed asset from registered vendor where
input tax credit is not available, will be as following:

TIP
In case of Inter-State purchase, IGST will be calculated.
GL Entries for Charge Item in case of Intra-State or Intra-Union Territory in purchase transaction from
registered vendor where input tax credit is available, will be as following:
GL Entries for Charge Item in case of Intra-State or Intra-Union Territory in purchase transaction from
registered vendor where input tax credit is not available, will be as following:
TIP
In case of Inter-State purchase, IGST will be calculated.
See Also
Purchase from Unregistered Vendor (Reverse Charge)
Purchase of Goods from an Unregistered Vendor
(Reverse Charge)
Persons whose aggregate turnover in a financial year does not exceed forty lakh rupees are not required to be
registered with the GST authorities. Such persons are called unregistered vendors. Any purchases from
unregistered vendors do not attract GST. However, there are some notified services under GST, on supply of such
services GST is applicable under reverse charge mechanism i.e. the purchasers are required to pay GST tax to
the Government.
Purchase process for unregistered vendor has been explained in this document.

2. Select Vendor on Purchase Invoice header, GST vendor type should be Unregistered .
Charge (Item) for Item Charge on Purchase Invoice line. GST Group Code, HSN/SAC Code and GST Credit
value should be selected as Availment if the tax input credit is available or else Non-Availment should be
selected on the Item or G/L Account.
4. GST Credit option can be changed on invoice line.
For example, invoice will be issued for INR 10,000 on which 18% GST (9% CGST and 9% SGST/UTGST in case of
Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction), has to be charged.
CGST 900
SGST 900
IGST 1800
GL Entries for Intra-State purchase of goods and services from an unregistered vendor where input tax
credit is available (reverse charge), will be as following:
Ser vice Account 10000
SGST/UTGST Receivable (Interim) Account 900
CGST Receivable (Interim) Account 900
SGST/UTGST Payable (Interim) Account -900

CGST Payable (Interim) Account -900
GL Entries for Intra-State purchase of goods and services from an unregistered vendor where input tax
credit is not available (reverse charge), will be as following:
SGST/UTGST Payable Account -900
GL Entries for purchase of goods and services from an unregistered vendor with reverse charge exempt,
GL Entries for Intra-State purchase of fixed asset from an unregistered vendor where input tax credit is
available (reverse charge), will be as following:
Vendor 10000
GL Entries for Intra-State purchase of fixed asset from an unregistered vendor where input tax credit is
not available (reverse charge), will be as following:

Vendor 10000
GL Entries for Item Charge in case of Intra-State purchase of fixed asset from an unregistered vendor
where input tax credit is available (reverse charge), will be as following:
Vendor 10000
GL Entries for Item Charge in case of Intra-State purchase of fixed asset from an unregistered vendor
where input tax credit is not available (reverse charge),will be as following:
Vendor 10000
See Also
Purchase from SEZ Vendor
Purchase of Goods from SEZ Vendor
A special economic zone (SEZ) is a dedicated zone wherein businesses enjoy simpler tax and easier legal
compliances. The transactions with SEZ’s are deemed exports and imports. The SEZ supply of goods can be
made with cover of bill of entry or without cover of bill of entry.
Process for purchase from SEZ vendor has been explained in this document.

2. Select Vendor on Purchase Invoice header, GST vendor type should be SEZ .
3. Select Item Code for goods , Fixed Asset for Fixed Asset purchase on Purchase Invoice line. GST Group
Code, HSN/SAC Code should be filled up on Item.
4. IGST is to be calculated on GST Assessable Value + Basic Custom Duty.
For example, purchase invoice will be issued for INR 10000, Custom Duty INR 1000, GST Assessable Value INR
11000 (IGST @18%), has to be charged. Calculation base: (18% on 11,000 GST Assessable Value + 1,000 BCD)
(12,000*18%)
Custom Duty (BCD) 1000
IGST 2160
GL Entries for import of goods with input tax credit available from SEZ vendor with cover of Bill of Entry,
Purchase Account (Transactional Value+ BCD) 11000
IGST Receivable Account (on GST Assessable 2160

Value + BCD)
Customs House Account (GST Amount + BCD) -3160
Vendor Account (Transaction Value) -10000
GL Entries for import of goods with input tax credit available from SEZ vendor without cover of Bill of
Entry, will be as following:

Value + BCD)
GL Entries for import of goods without input tax credit available from SEZ vendor with cover of Bill of
Custom House Account 3160
GL Entries for import of goods without input tax credit available from SEZ vendor without cover of Bill of
GL Entries for import of fixed asset with input tax credit available from SEZ vendor with cover of Bill of
Fixed Asset Increased During the Year Account 11000

(Transactional Value+ BCD)

Value + BCD)
GL Entries for import of fixed assets with input tax credit available from SEZ vendor without cover of Bill
of Entry, will be as following:


Value + BCD)
GL Entries for import of fixed asset without input tax credit available from SEZ vendor with cover of Bill of
Custom House Account 3160
GL Entries for import of fixed asset without input tax credit available from SEZ vendor without cover of
Bill of Entry, will be as following:
NOTE
The GST calculation process for SEZ vendor is same as for an Import vendor.
See Also
Purchase from Foreign Vendor
Import from Foreign Vendor
Purchasing goods in India from a place outside India is import of goods. For services, if the supplier is located
outside India, the recipient is located in India and the place of supply is in India, then it is called Import of
services. Purchase of goods and/or services from a foreign vendor is subject to reverse charge i.e. the person
importing goods or services has to remit tax to the government.
Process for purchase from a foreign vendor has been explained in this document.

2. Select Vendor on Purchase Invoice header, GST vendor type should be Impor t .
3. Select Item Code for goods, G/L Account for Service purchase and Fixed Asset for Fixed Asset purchase
on Purchase Invoice line. GST Group Code, HSN/SAC Code and GST Credit value should be selected as
Availment if the tax input credit is available or else Non-Availment on the Item or G/L Account.
4. GST Credit option can be changed in document line.
In case of import of goods from foreign vendor, IGST is to be calculated on GST Assessable Value + Basic
Custom Duty.
For example, purchase invoice is issued INR 10000, Custom Duty is INR 1000. Therefore, on GST Assessable
Value INR 11000,(IGST @18%) has to be charged. Calculation base: (18% on 11,000 GST Assessable Value +
1,000 BCD) (12,000*18%).
Transaction Value 10000
IGST 2160 (18% on 11,000 GST Assessable Value + 1,000

BCD) (12,000*18%)
GL Entries for import of goods from foreign vendor where input tax credit is available, will be as
following:
IGST Receivable Account (GST on GST Assessable 2160

Value + BCD)

GL Entries for import of goods from foreign vendor where input tax credit is not available, will be as
following:
Purchase Account (Transactional Value+ BCD + 13160

IGST Amount)
Import of Fixed Asset from foreign vendor, IGST is to be calculated on GST Assessable Value + Basic
Custom Duty.
For example, purchase invoice is issued for INR 10000, Custom Duty INR 1000, GST Assessable Value INR
11000,(IGST @18%) has to be charged. Calculation base: (18% on 11,000 GST Assessable Value + 1,000 BCD)
(12,000*18%).
GST Calculation will appear in the Fact Box, as following:
IGST 2160 (18% on 11,000 GST Assessable Value + 1,000

BCD) (12,000*18%)
GL Entries for import of goods from foreign vendor where input tax credit is available, will be as
following:
Fixed Asset Increase During the Year Account 11000

IGST Receivable Account (GST on GST Assessable 2160

Value + BCD)
GL Entries for import of goods from foreign vendor where input tax credit is not available, will be as
following:
Fixed Asset Increase During the Year Account 13160

(Transactional Value+ BCD + IGST Amount)
Import of services from foreign vendor.

For example, purchase invoice is issued for INR 10000, (IGST @18%) has to be charged.
GST Base Amount 10000
IGST 1800
GL Entries for import of services from foreign vendor where input tax credit is available, will be as
following:
IGST Receivable (Interim) Account 1800
IGST Payable (Interim) Account -1800
GL Entries for import of services from foreign vendor where input tax credit is not available, will be as
following:
Import of Services from Import Associate Vendor.

For example, purchase invoice is issued for INR 10000, (IGST @18%) has to be charged.

IGST 1800
GL Entries for import of services from import associate vendor where input tax credit is available,will be
as following:
GL Entries for import of services from import associate vendor where input tax credit is not available, will
be as following :
NOTE
Import Transaction should be in Foreign Currency.
See Also
Purchase from Vendor with Overseas Place of Supply
Purchase of Services for Overseas Place of Supply
from Registered Vendor
The supply of goods or services or both when the supplier is located in India and the place of supply is outside
India shall be treated to be a supply of goods or services or both in the course of inter-state trade or commerce.
The process of computing tax on purchase from vendor with overseas place of supply has been explained in this
document.

2. Select Vendor on Purchase Invoice header, GST vendor type should be Registered .
3. Select G/L Account on Purchase Invoice line. GST Group Code, HSN/SAC Code and GST Credit value
should be selected as Availment if the tax input credit is available or else Non-Availment on the G/L
Account.
4. GST Credit option can be changed on Purchase Invoice line.
For example, the service recipient has a GSTIN in West Bengal and the Vendor also has a GSTIN for West Bengal,
but service provider and place of supply is outside India. In this case, IGST will be charged as place of supply is
outside India. So, invoice will be issued for INR 10,000 on which 18% IGST, has to be charged.
IGST 1800
GL Entries for purchase of services for overseas place of supply from registered vendor where input tax
credit is available, will be as following:
GL Entries for purchase of services for overseas place of supply from registered vendor where input tax
credit is not available, will be as following:

See Also
GST and TDS on Purchase Transaction
Calculation of Income Tax TDS and GST on
Purchase Transactions
There are certain services on which GST applies along with the provisions of TDS under income tax. TDS should
not be calculated on GST amount, in some cases where payment terms is set as 100% advance, full order value
has to be paid as advance payment. In such cases, amount paid to vendor will be inclusive of GST and if TDS has
to deducted while paying amount to vendor, then TDS is deducted only on the base amount and not on GST
amount.

2. Select Vendor on Invoice Header .
3. Select G/L Account for Service purchase on Purchase Invoice line. GST Group Code, HSN/SAC Code
should not be blank and GST Credit value should be selected as Availment if the tax input credit is available
or else Non-Availment on the Item or G/L Account.
For example, there is a purchase invoice for INR 10,000 and 18% GST (i.e. 9% CGST and 9% SGST/UTGST in case
of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction) has to be
charged and Income Tax TDS @10% also to be charged.
GST calculation will appear in the Fact Box, as following :
CGST 900
SGST 900
IGST 1800
TDS 1000
GL Entries for Income Tax TDS and GST in Intra-State purchase transactions, will be as following:
TDS Payable Account -1000

GL Entries for Income Tax TDS and GST in Intra-State or Intra-Union Territory purchase transactions
(reverse charge) will be as following:
SGST/UTGST Receivable Account (Interim) 900
GL Entries for Income Tax TDS and GST in Inter-State purchase transactions, will be as following:
GL Entries for Income Tax TDS and GST in Inter-State purchase transactions (reverse charge), will be as
following:
IGST Receivable Account (Interim) 1800
See Also
Purchase Return to Composite Vendor
Purchase Return of Goods and Services to
Composite Vendor or Purchase Return of Exempted
Goods and Services with no GST Impact
A composite vendor is a vendor whose aggregate turnover in a financial year does not exceed fifty lakh rupees
and has opted for composition scheme. A composite vendor neither collects tax from the recipient of supplies
nor passes on any credit of Input Tax. Hence, no GST is computed if the purchases are made from a composite
vendor.
A composite vendor has to register himself with the GST authorities and hence registration no. is mandatory on
the vendor card, if the vendor Type is selected as Composite. State Code is also mandatory. No GST entries are
generated for a composite vendor, as a composite vendor is not entitled to collect any tax from the customers.
A buyer may have to return the goods or issue credit note due to various reasons like damaged goods, quality
issues etc.
Process for purchase returns to a composite vendor has been explained in this document.
Create a purchase return order or credit memo

1. Choose the icon, enter Purchase Return Order or Credit Memo , and then choose the related link.
2. Select Vendor on Purchase Credit Memo header, GST vendor type should be Composite or Exempted .
Charge (Item) for Item Charge on Purchase Credit Memo line.
For example, Purchase Return Order or Credit Memo has been issued for INR 10000 on which no GST is
charged.
Purchase or Ser vices or Fixed Asset increase -10000

during the year Account
See Also
A registered vendor is a person who is registered with GST authorities. For purchases from registered vendors
for services attracting reverse charge, purchasers themselves has to pay tax to the government. If exempted
goods and services are purchased from registered Vendor, then no GST is to be paid to supplier or to the
Government.
issues etc.
Process for purchase returns to registered vendor has been explained in this document.

1. Choose the icon, enter Purchase Return Order or Purchase Credit Memo , and then choose the
related link.
2. Select Vendor on Purchase Credit Memo header, GST vendor type should be Registered .
Charge (Item) for Item Charge on Purchase Credit Memo line. GST Group Code, HSN/SAC Code and GST
Credit value should be selected as Availment if the tax input credit is available or else Non-Availment on
the Item, G/L Account, Fixed Asset, Charge (Item).
For example, purchase credit memo or return order is issued for INR 10000 on which 18% GST (9% CGST and
9% SGST/UTGST in case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State
transaction), has to be charged.
CGST 900
SGST 900
IGST 1800
GL Entries for Intra-State or Intra-Union Territory purchase return of goods, service, fixed asset and item
charge to registered vendor where input tax credit is available, will be as following:
SGST/UTGST Receivable Account -900
CGST Receivable Account -900

Purchase or Ser vice Account or Fixed Asset -10000

increase during the year
GL Entries for Intra-State or Intra-Union Territory purchase return of goods, service, fixed asset and item
charge to registered vendor where input tax credit is not available, will be as following:

GL Entries for Inter-State purchase return of goods, services, fixed asset, charge item to registered vendor
where input tax credit is available, will be as following:
IGST Receivable Account -1800
Purchase or Ser vices Account or Fixed Asset -10000

GL Entries for Inter-State purchase return of goods, services, fixed asset, charge item to registered vendor
where input tax credit is not available, will be as following:

See Also
Purchase Return to Unregistered Vendor (Reverse Charge)
Purchase Return to Unregistered Vendor (Reverse
Charge)
Persons whose aggregate turnover in a financial year does not exceed forty lakh rupees are not required to be
registered with the GST authorities. Such persons are called unregistered vendors. Any purchases from
unregistered vendors do not attract GST. However, there are some notified services under GST, on supply of such
services GST is applicable under reverse charge i.e. the purchasers are required to pay GST to the Government.
issues etc.
Process for purchase returns to unregistered vendor has been explained in this document.

related link.
2. Select Vendor on Purchase Credit Memo header, GST vendor type should be Unregistered .
Charge (Item) for Item Charge on Purchase Credit Memo line. GST Group Code, HSN/SAC Code and GST
Credit value should be selected as Availment if the tax input credit is available or else Non-Availment on
the Item, G/L Account, Fixed Asset, Item (Charge).
For example, purchase credit memo or return order is issued for INR 10,000 on which 18% GST (9% CGST and
9% SGST/UTGST in case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State
transaction), has to be charged.
CGST 900
SGST 900
IGST 1800
GL Entries for Intra-State or Intra-Union Territory purchase return of goods, services, fixed asset, charge
item to unregistered vendor where input tax credit is available (reverse charge), will be as following:
CGST Payable Account 900

SGST/UTGST Payable Account 900

GL Entries for Intra-State or Intra-Union Territory purchase return of goods, services, fixed asset, charge
item to unregistered vendor where input tax credit is not available (reverse charge), will be as following:

See Also
Purchase Return to Foreign Vendor
Purchase Credit Memo or Return Order to Foreign
Vendor
Purchasing goods in India from a place outside India is import of goods. For services, if the supplier is located
outside India, the recipient is located in India and the place of supply is in India, then it is called Import of
services. Purchase of goods and/or services from a foreign vendor are subject to reverse charge i.e. the person
importing goods or services is required to remit tax to the Government.
issues etc.
Process for purchase returns to foreign vendor has been explained in this document.

1. Choose the icon, enter Purchase Return Order or Credit Memo , and then choose the related link.
2. Select Vendor on Purchase Credit Memo header, GST vendor type should be Impor t .
3. Select Item Code for goods, G/L Account for Service purchase, Fixed Asset for Fixed Asset purchase on
Purchase Credit Memo line. GST Group Code, HSN/SAC Code and GST Credit value should be selected as
Availment if the tax input credit is available or else Non-Availment on the Item, G/L Account, Fixed Asset.
4. GST Credit option can be changed on Purchase Credit Memo line.
Purchase Credit Memo or Return Order for Imported Goods or Fixed asset, IGST is to be calculated on GST
Assessable Value + Basic Custom Duty.
For example, purchase credit memo or return order is issued for INR 10000, Custom Duty INR 1000, GST
Assessable Value INR 11000 (IGST @18%) has to be charged. Calculation base: (18% on 11,000 GST Assessable
Value + 1,000 BCD) (12,000*18%).
IGST 2160
GL Entries for purchase credit memo or return order for imported goods or fixed asset where input tax
credit is available, will be as following:
Vendor Account (Transactional Value) 10000
IGST Refund Account 2160

Purchase Account or Fixed Asset increase during -10000

the year (Transactional Value)
GL Entries for purchase credit memo or return order for imported goods or fixed asset where input tax
credit is not available, will be as following:
Vendor Account (Transactional Value) 10000
Purchase Account or Fixed Asset increase during -12160

the year (Transactional Value)
See Also
Purchase Return to Vendor with Overseas Place of Supply
Purchase Return of Services for Overseas Place of
Supply to Registered Vendor
The supply of goods or services or both when the supplier is located in India and the place of supply is outside
India shall be treated to be a supply of goods or services or both in the course of inter-state trade or commerce.
The process of computing tax on purchase return to a vendor with overseas place of supply has been explained
in this document.
Create a purchase return order or purchase credit memo

related link.
2. Select Vendor on Purchase Credit Memo header, GST vendor type should be Registered .
3. Select G/L Account on Purchase Credit Memo line. GST Group Code, HSN/SAC Code and GST Credit
value should be selected as Availment if the tax input credit is available or else Non-Availment in the G/L
Account.
4. GST Credit option can be changed on Purchase Credit Memo line.
For example, if a service recipient has a GSTIN for West Bengal and the Vendor has a GSTIN in West Bengal, but
the place of supply is outside India. In this case, IGST will be charged as place of supply is outside India. So,
return order or credit memo will be issued for INR 10,000 on which 18% IGST, has to be charged.
IGST 1800
GL Entries for Return or Credit Note of services for overseas place of supply from registered vendor
where input tax credit is available, will be as following:
GL Entries for Return or Credit Note of services for overseas place of supply from registered vendor
where input tax credit is not available, will be as following:
Ser vices Account -11800

See Also
GST Overview
GST on Journals where Services are Paid Directly
through Cash or Bank
Invoice and credit memo can be posted from journals. GST calculation logic for journals will be same as GST
calculation for documents.
GST calculation process has been explained in this document.
Create a general journal or a bank or cash payment voucher

2. Select G/L Account in account type and G/L Account or Bank Account in balancing account type, and
then select the cash or bank accounts.
3. GST (CGST/SGST/UTGST/IGST) to be calculated on Direct Expenses (Services) being paid through cash or
bank, any legal fees, telephone expenses, etc.
For example, there is an expense of INR 10,000 and 18% GST (i.e. 9% CGST and 9% SGST/UTGST in case of Intra-
State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction) has to be charged on
expense amount.
CGST 900
SGST 900
IGST 1800
GL Entries for Intra-State or Intra-Union Territory purchase of services where service provider is
unregistered, will be as following:
Cash/Bank Account -10000

GL Entries for Intra-state purchase of services where service provider is registered, will be as following:
Cash/Bank Account -11800
TIP
In case of Inter-State purchase of services, IGST will be applicable.
See Also
GST on Advance Payment to Vendor
GST on Advance Payment Made to Vendor, with
Reverse Charge
The tax needs to be paid if supplier gets the payment first, therefore we need to calculate GST at the time of
advance payment made to the vendor. However, when ‘supplier of goods’ receives advance payment, he is not
required to pay GST at the time of the receipt of advance payment, while GST is required to be paid in case of
supply of services.
The process of GST calculation on advance payment to vendor has been explained in this document.
Create a general journal or a bank or cash payment voucher
1. Choose the icon, enter General Journal or Bank Payment Voucher or Cash Payment Voucher , and
2. Select Vendor in account type and select relevant Vendor Code , GST vendor type and registration number
should be filled in vendor master.
3. Select G/L Account or Bank Account in balancing account type, and select the cash or the bank account.
4. Advance Payment made to vendor does not include tax payment, as the purchaser is liable to pay tax under
reverse charge. Hence, tax is applied straight away on base.
5. GST on Advance Payment field needs to be activated on General Journal Line for computation of GST on
Advance Payment. In addition, GST Group code and GST Place of Supply should not be blank for computation
of GST.
For example, advance payment made to vendor against supply of services of INR 10,000 on which 18% GST (9%
CGST and 9% SGST/UTGST in case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of
Inter-State transaction) has to be charged.
GST Calculation will appear in the Fact Box as following:
CGST 900
SGST 900
IGST 1800
GL Entries for Advance Payment made to Vendor, will be as following:
Vendor Account 10,000

Bank Account -10000
Reversal of advance payment made to vendor, where there are

reverse charges
If the vendor advance needs to be corrected or the entry is wrongly posted, in such a case the entry can be
reversed and new entry can be created.
Reversal GL Entries for Advance Payment made to Vendor, will be as following:
Bank Account 10000
SGST/UTGST Receivable (Interim) Account -900
CGST Receivable (Interim) Account -900
Vendor Account -10,000
TIP
In case of Inter-State Advance Payment, IGST will be calculated.
See Also
GST Application of Payment and Invoice
GST on Advance Payment or Normal Payment
Application with Purchase Invoice
An advance payment made to vendor for a transaction that is subject to reverse charge is to be reported in
GSTR-2.
If the advance payment is applied to the invoice in the same month, then such applications need not be
disclosed in GSTR-2. However, if advance payment is paid in a month and is applied to invoice in the subsequent
month, then this application is to be reported in GSTR-2.
Process for application and un-application of payment and invoice has been explained in this document
GST on advance payment and application with purchase invoice

GST is liable at the time of advance payment to vendor, for example, service amount is INR 20000 and advance
payment made to vendor for INR 10000 and 18% GST (i.e. 9% CGST and 9% SGST/UTGST) has to be charged.
Taxpayer paying advance is not eligible to claim ITC on advance paid. The taxpayer can claim ITC on advance paid
only on receipt of services.
GST calculation for Intra-State or Intra-Union Territory transactions will appear in the Fact Box, as
following:
CGST 900
SGST 900
GL Entries for advance payment made to vendor, will be as following:
Bank Account -10000
Later invoice for service purchase issued by vendor for INR 20,000 and 18% GST (i.e. 9% CGST and 9%
SGST/UTGST), will be charged.
CGST 1800
SGST 1800
GL Entries for application of an advance payment with an invoice for services, where input tax credit is
available:
CGST Payable (Interim) Account 900
SGST/UTGST Payable (Interim) Account 900
GL Entries for application of an advance payment with an invoice for services, where input tax credit is
not available:

-900
If this is found that the payment and invoice was wrongly applied and the application needs to be reversed, in
such a case un-apply functionality can be used. Un-application entries are same for both online application and
offline application.
GL Entries for un-application of an advance payment with an invoice for services, where input tax credit is
available:
GL Entries for un-application of an advance payment with an invoice of services, where input tax credit is
not available:
Normal payment to vendor and application with purchase invoice

For unregistered, import vendor and reverse charge purchase of service from registered vendor, user has to
post a separate invoice for goods and services in the system. No GST calculation is done at the time of
application. In ordinary course, when a normal payment is applied to the invoice, system proportionately posts
the liability from Payable Interim Account to Payable Account and credit (if applicable) from Receivable Interim
Account to Receivable Account.
For example, Purchase Invoice for service purchase issued to vendor for INR 60,000 and 18% GST (i.e. 9% CGST
and 9% SGST/UTGST), has to be charged. Later a payment of INR 10,000 has been made to vendor against to
the purchase invoice, which doesn't have any GST impact.
Total GST Transactional Value 60000
Invoice Total CGST Amount 5,400 (60000*9%)
Invoice Total SGST/UTGST Amount 5,400 (60,000*9%)
Normal Payment Applied 10000
SGST/UTGST Amount = Invoice Total SGST/UTGST 900 (5,400*(10,000/60,000)

amount x (Normal Payment Applied/Total
Transactional Value)
CGST Amount = Invoice Total CGST amount x 900 (5,400*(10,000/60,000)

(Normal Payment Applied/Total Transactional
Value)
GL Entries for Application of invoice with normal payment:
Bank Account 10000
such a case un apply functionality can be used. Un-application entries are same for both online application and
GL Entries for un-application of invoice with normal payment:

TIP
Note: In case of Inter-State Purchase, IGST will be calculated.
See Also
GST on Advance Receipt from Customer
GST on Advance Payment Received from Customer
The advance payments received from the customers may need to be reported in GSTR-1 along with GST Rates.
Process of GST calculation on advance payment from customer has been explained in this document.
Create a general journal or a bank or cash receipt voucher
1. Choose the icon, enter General Journal or Bank Payment Voucher or Cash Receipt Voucher , and
2. Select Customer in account type and select relevant Customer Code , GST customer type and registration
number should not be blank on customer master.
3. Select G/L Account or Bank Account in balancing account type, and select the cash or bank account.
4. GST on Advance Payment field needs to be activated in General Journal Line for computation of GST on
Advance Payment. In addition, GST Group code and GST Place of Supply are to be entered for computation of
GST.
For example, advance payment received from customer for INR 10000 on which 18% GST (i.e. 9% CGST and 9%
SGST/UTGST) has to be charged.
Advance Payment 10,000
GST Transitional Value 8,474 (10000*100/118)
CGST 763 (8,475*9%)
SGST/UTGST 763 (8,475*9%)
GL Entries for advance payment received from customer, will be as following:
Bank Account 10000
Customer Account -10000
Reversal of advance payment received from customer

If the customer advance needs to be corrected or the entry is wrongly posted, in such a case the entry can be
reversed and new entry can be created.
Reversal GL Entries for advance payment received from customer, will be as following:
Customer Account 10000
Bank Account -10,000
TIP
In case of Inter-State Advance Payment, IGST will be calculated.
See Also
GST Application of Receipt and Invoice
GST on Advance Payment and Application with
Sales Invoice
GST can also be liable at the time of receiving advance payment from customer. If advance payment is applied to
an invoice in the same month, then such applications need not be disclosed in GSTR-1. However, if advance
payment is paid in a month and is applied to invoice in the subsequent month, then this application needs to be
reported in GSTR-1.
Process of application of advance payment from customer and sale invoice has been explained in this document.
For example, service amount is INR 20000 and customer made an advance payment of INR 10,000 and 18%
GST (i.e. 9% CGST and 9% SGST/UTGST) has to be charged on the advance payment.
GST Transactional Value 8,474 (10000*100/118)
CGST 763 (8,475*9%)
SGST 763 (8,475*9%)
Later sales invoice for services is issued to the customer for INR 20,000. 18% GST (i.e. 9% CGST and 9%
SGST/UTGST in case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State
transaction) has to be charged on the invoice amount.
CGST 1800
SGST 1800
GL Entries for application of advance payment with sales invoice, will be as following:

Sales Account -20000
GST un-application of customer advance with sales invoice

such a case un apply functionality can be used. Un-application entries are same for both online application and
TIP
An advance receipt and invoice application cannot be unapplied, if the tax liability on both is discharged through GST
Settlement Screen.
GL Entries for un-application of an advance payment and sales invoice:
TIP
In case of Inter-State Sale, IGST will be calculated.
See Also
GST and TCS on Customer Advance
GST and TCS on Advance Customer Payments
Assessee is liable for paying GST and TCS at the time of receiving advance payment from customer.
Mandatory fields in cash or bank receipt voucher
1. Choose the icon, enter Bank Receipt Voucher or Cash Receipt Voucher , and then choose the related
link.
2. Select Customer in Account Type field and select relevant customer code in Account No. field.
3. Select G/L Account for cash or Bank Account for bank in Bal. Account Type field, and select relevant
cash or bank account in Bal. Account No. field.
4. Select relevant TCS Nature of Collection, GST Group Code, HSN/SAC Code, Location Code on journal line.
5. GST on Advance Payment should be marked true.
For example, service amount is INR 20000 and customer made an advance payment of INR 10,000, 18% IGST
and 1% TCS has to be charged on the advance payment.
GST Transactional Value 8,474 (10000*100/118)
IGST Amount 1525 (8,474*18%)
TCS Amount 100 (10,000*1%)
On posting of advance receipt from customer, GL Entries will be as following:
Bank Account 10000
IGST Payable (Interim) Account 1525
TCS Amount -100
Later sales invoice for services is issued to the customer for INR 20,000, 18% IGST and 1% TCS has to be
charged on the invoice amount, and the advance receipt from customer will be applied with the invoice.
Mandatory fields on sales invoice
1. Choose the icon, enter Sales Invoice , and then choose the related link.
2. Select Customer on Sales Invoice header.
3. Select G/L Account for service or Item for goods on Sales Invoice line.
4. Select relevant TCS Nature of Collection on Sales Invoice line.
5. GST Group Code, HSN/SAC Code, GST Credit should have a value in G/L Account or Item card.
6. Location Code field should not be blank on both Sales Invoice header and line.
7. Select the advance payment in Applies to Doc. No. field on Sales Invoice header.
IGST 2075 = [3,600 (20,000 * 18%)]-[1525 (8,474 * 18%)]
TCS Amount 136 = [236 (23,600 * 1%)] - [100 (10,000 * 1%)]
GST and TCS will be calculated on the remaining amount, i.e. Invoice Amount - Advance Payment Amount. If
advance payment is not applied with the sales invoice then GST and TCS will be calculated on the whole invoice
amount.
On posting of sales invoice, GL Entries will be following:
TCS Payable Account -136
IGST Payable Account 1525
TIP
In case of Intra-State Sale, CGST and SGST/UTGST will be calculated.
See Also
GST and TDS on Vendor Advance
GST and TDS on Vendor Advance Payments
Liability of paying GST and TDS arises at the time of advance payment to vendor.
Mandatory fields in cash or bank payment voucher
1. Choose the icon, enter Bank Payment Voucher or Cash Payment Voucher , and then choose the
related link.
2. Select Vendor in Account Type field and select relevant vendor code in Account No. field.
3. Select G/L Account for cash or Bank Account for bank in Bal. Account Type field, and select relevant
cash or bank account in Bal. Account No. field.
4. Select relevant TDS Section, GST Group Code, HSN/SAC Code, Location Code on journal line.
5. GST on Advance Payment should be marked true.
For example, service amount is INR 20000 and advance payment made to vendor for INR 10000, 18% GST (i.e.
9% CGST and 9% SGST/UTGST) and 10% TDS has to be charged.
GST calculation for Intra-State or Intra-Union Territory transactions will appear in the Fact Box, as
following:
CGST 900 (10000*9%)
SGST 900 (10000*9%)
TDS Amount 1000 (10000*10%)
On posting of advance payment made to vendor, GL Entries will be as following:
Bank Account -9000

IMPORTANT
In some cases GST needs to be calculated on the amount excluding GST, provision has been made to handle such
scenario. Business user need to fill the TDS Base Value in Amount Excl. GST filed on Bank Payment Voucher , and
system will calculate TDS on the mentioned value.
Later invoice for service purchase issued by vendor for INR 20,000, 18% GST (i.e. 9% CGST and 9%
SGST/UTGST) and 10% TDS, will be charged, and the advance payment will be applied with the invoice.
Mandatory fields on purchase invoice
2. Select Vendor on Purchase Invoice header.
3. Select G/L Account for service on Purchase Invoice line.
4. Select TDS Section on Purchase Invoice line.
5. GST Group Code, HSN/SAC Code, GST Credit should have a value in G/L Account card.
6. Location Code field should not be blank on both Purchase Invoice header and line.
7. Apply the advance payment in Applies to Doc. No. field on Purchase Invoice header.
CGST 900 = [1800 (20000 * 9%)] - [900 (10000 * 9%)]
SGST 900 = [1800 (20000 * 9%)] - [900 (10000 * 9%)]
TDS Amount 1000 = [2000 (20000 * 10%)] - [1000 (10000 *10%)]
GST and TDS will be calculated on the remaining amount, i.e. Invoice Amount - Advance Payment Amount. If
advance payment is not applied with the purchase invoice then GST and TDS will be calculated on the whole
invoice amount.
On posting the purchase invoice, GL Entries will be as following:

TIP
Note: In case of Inter-State Purchase, IGST will be calculated.
See Also
GST on Journals
GST Exempted Sales
Sales made to an exempted customer are known as exempt sales. GST customer type shall be selected as
Exempted. No GST is computed on such transactions.
Process of sale to unregistered customer has been explained in this document.
Create a sales invoice or credit memo

1. Choose the icon, enter Sales Invoice or Sales Credit Memo , and then choose the related link.
2. Select Customer on Sales Invoice or Sales Credit Memo header, GST customer type should be
Exempted .
3. Select G/L Account or Item Code on Sales Invoice or Sales Credit Memo line.
For example, there is a sales invoice and a sales credit memo for INR 10,000.
GL Entries for Exempted Sales, will be as following:
Customer Account 10,000
Sales or Ser vices Account -10,000
GL Entries for Sales Credit Memo for Exempted Sales, will be as following:
Customer Account -10,000
Sales or Ser vices Account 10,000
See Also
Sale to Registered and Unregistered Customer
Sales to Registered or Unregistered Customer
Sales to a registered customer are known as B2B sales, sales to an unregistered customer are known as B2C
sales. There is no difference in computation of tax for a B2B and B2C sales. However, they are required to be
reported separately in GSTR-1.
Process of sales to registered or unregistered customer has been explained in this document.

2. Select Customer on Sales Invoice header, GST customer type should be Registered or Unregistered .
3. Select Item Code for goods or G/L Account for service sales on Sales Invoice line. GST Group Code,
HSN/SAC Code should not be blank on the item or G/L account.
For example, there is a sales invoice for INR 10,000 and 18% GST (i.e. 9% CGST and 9% SGST/UTGST in case of
Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction) has to be charged
on the invoice amount.
CGST 900
SGST 900
IGST 1800
GL Entries for Intra-State or Intra-Union Territory sale of goods to registered or unregistered customer,
SGST/UTGST Payable Account - 900
CGST Payable Account - 900
Sales Account - 10000
GL Entries for Inter-State sale of goods to registered or unregistered customer, will be as following:
IGST Payable Account - 1800
GL Entries for Intra-State or Intra-Union Territory sale of services to registered or unregistered customer,
SGST/UTGST Payable Account - 900
CGST Payable Account - 900
GL Entries for Inter-State sale of services to registered or unregistered customer, will be as following :
Ser vices Account - 10000
TIP
System will automatically update 'Nature of Supply' for Registered customer as B2B and for Unregistered customer as
B2C.
See Also
Sale to Foreign Customer
Export of Goods and Services to Foreign Customer
Export of goods is defined as taking goods out of India to a place outside India. Export of services means the
supply of services where the supplier of service is located in India, recipient of service is located outside India
and the place of supply is outside India. Exports can be without Payment of duty or with payment of duty.
Process of sale to foreign customer has been explained in this document.

2. Select Customer on Sales Invoice header, GST customer type should be Expor t or Deemed Expor t or
SEZ Development or SEZ Unit .
3. Select G/L Account or Item Code on Sales Invoice line. GST Group Code, HSN/SAC Code should not be
blank on the G/L Account or Item Card.
For example, there is a sales invoice for INR 10,000 and 18% IGST has to be charged on the invoice amount.
IGST 1800
GL Entries for export of goods and/or services with payment of duty to Foreign Customer, SEZ Unit, SEZ
Development Customer will be as following:
GL Entries for export of goods and/or services without payment of duty to Foreign Customer, SEZ Unit,
SEZ Development Customer will be as following:

NOTE
Export or Deemed export will have same treatment, as it is treated as interstate transaction and only IGST is applicable
irrespective of location of receiver. There is no scenario of deemed export without payment of Duty, as company has to
pay IGST and claim refund. Refund can be claimed either by seller or recipient.
See Also
Sale to Registered Customer with Overseas POS
Sale of Services to Overseas Place of Supply to
Registered Customer
GST is destination based tax i.e consumption tax, which means tax will be levied where goods and services are
consumed and will accrue to that state. The supply of goods or services or both when the supplier is located in
India and the place of supply is outside India shall be treated to be a supply of goods or services or both in the
course of inter-state trade or commerce.
Process of sale to a registered customer with overseas place of supply has been explained in this document.

2. Select Customer on Sales Invoice header, GST customer type should be Registered .
3. Select G/L Account on Sales Invoice line. GST Group Code, HSN/SAC Code should not be blank on the
G/L Account Card.
4. POS Out of India field on Sales Invoice header should be marked as True.
For example, there is a sales invoice for INR 10,000 and 18% IGST has to be charged on the invoice amount.
IGST 1800
GL Entries for Intra-State Sale of services to overseas place of supply to registered customer, will be as
following:
Ser vices Account - 10000
See Also
GST and TCS on Sales Transaction
Calculation of TCS as per the Income Tax Act, 1961
and GST on Sales Transactions
The Government has placed the responsibility on the e-commerce operators to collect the ‘tax’ at a specified rate
from the supplier. This shall be done by the Operator by paying the supplier the price of the product or services,
less the tax, calculated at the specified rate.
The process of calculation of TCS and GST has been explained in this document.

2. Select Customer on Sales Invoice header.
3. Select Item on Sales Invoice line. GST Group Code, HSN/SAC Code should not be blank on the Item.
Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction) and 1% TCS as per
Income Tax Act, 1961 has to be charged on the invoice amount.
CGST 900
SGST 900
TCS 100
On posting of sales invoice, GL Entries will be as following:

TIP
In case of Inter-State Sales, IGST will be calculated with TCS as per the Income Tax Act, 1961.
See Also
GST Kerala Flood Cess
GST and Kerala Flood Cess on Sales Transaction
Kerala Flood CESS (KFC) is applicable on all intra-state supplies of goods and/or services, made by taxable
person to an unregistered person i.e. B2C supplies. Kerala Flood CESS is required to be shown separately on the
invoice.

2. Select Customer on Sales Invoice header, GST customer type should be Unregistered .
3. Select Item Code for goods or G/L Account for service sales on Sales Invoice line. GST Group Code,
HSN/SAC Code should not be blank on Item or G/L Account .
Intra-State or Intra-Union Territory transaction) and 1% Kerala Flood Cess has to be charged on the invoice
amount.
CGST 900
SGST 900
KFC 100
On posting the sales invoice for Intra-State or Intra-Union Territory sale of goods to unregistered
customer, GL Entries will be as following:
Kerala Flood Cess -100
TIP
System will automatically update 'Nature of Supply' B2C for Unregistered Customer.
See Also
Exempted Sales
Sales Return of Goods from Registered or
Unregistered Customer
Sales to a registered customer are known as B2B sales, sales to an unregistered customer are known as B2C
sales. There is no difference in computation of tax for a B2B and B2C sales. However, they are required to be
reported in separately in GSTR-1.
A customer may require to return the goods or issue credit note due to various reasons like damaged goods,
quality issues etc.
Process of sale return from registered or unregistered customer has been explained in this document.
Create a sales return order or credit memo

1. Choose the icon, enter Sales Return Order or Sales Credit Memo , and then choose the related link.
2. Select Customer on Sales Return Order or Sales Credit Memo header, GST customer type should be
Registered or Unregistered .
3. Select Item Code for goods or G/L Account for Service Sale on Sales Return Order or Sales Credit
Memo line. GST Group Code, HSN/SAC Code should not be blank on Item or G/L Account.
For example, there is a sales credit memo for INR 10,000 and 18% GST (i.e. 9% CGST and 9% SGST/UTGST in
case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction) has to be
charged on the credit memo amount.
CGST 900
SGST 900
GL Entries for Intra-State Sales Return of Goods from Registered or Unregistered Customer, will be as
following:
Sales Account 10,000
GL Entries for Inter-State Sales Return of Goods from Registered or Unregistered Customer, will be as
following:
Sales Account 10,000
Customer Account - 11800
GL Entries for Intra-State Sales Return of Services from Registered or Unregistered Customer, will be as
following:
Ser vice Account 10,000
GL Entries for Inter-State Sales Return of Services from Registered or Unregistered Customer, will be as
following:
Customer Account - 11800
See Also
Sale Return from Registered Customer with Overseas POS
Return or Credit Note of Services for Overseas
Place of Supply to Registered Customer
GST is destination based tax i.e consumption tax, which means tax will be levied where goods and services are
consumed and will accrue to that state. The supply of goods or services or both when the supplier is located in
India and the place of supply is outside India shall be treated to be a supply of goods or services or both in the
course of inter-state trade or commerce.
A customer may require to return the goods or issue credit note due to various reasons like damaged goods,
quality issues etc.
Process of sale return from a registered customer with overseas place of supply has been explained in this
document.
Create a sales return order or credit memo

1. Choose the icon, enter Sales Return Order or Sales Credit Memo , and then choose the related link.
2. Select Customer on Sales Return Order or Sales Credit Memo header, GST customer type should be
Registered .
3. Select G/L Account on Sales Return Order or Sales Credit Memo line. GST Group Code, HSN/SAC Code
should not be blank on the G/L Account.
4. POS Out of India field on Sales Return Order or Sales Credit Memo header should be marked as True.
For example, there is a sales credit memo for INR 10,000 and 18% IGST has to be charged on the credit memo
amount.
IGST 1800
GL Entries for Intra-State Return or Credit Note of services for overseas place of supply to registered
customer, will be as following:
See Also
Sale Return from Registered and Unregistered Customer
Stock Transfer
Stock transfers between locations, branches or divisions having different registration numbers are taxable under
GST. In such a case, where registration number is same, if the shipment location and recipient location both are
in the same state, then CGST and SGST/UTGST are levied, other-wise, where the registration number is same,
there shall be no levy.
1. Choose the icon, enter Transfer Order , and then choose the related link.
2. Select Transfer-from Code and Transfer-to Code on Transfer Order header. State Code and GST
registration number should be filled on the location master.
3. Select Item on Transfer Order line. GST Group Code, HSN/SAC Code should be filled on Item .
For example, inventory for INR 1000 is being transferred from one location to another and 18% GST (9% CGST
and 9% SGST/UTGST in case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State
transaction) has to be charged on INR 1000.
IGST 180
CGST 90
SGST 90
Post the Transfer Order

GL Entries for shipment transaction in case of Interstate stock transfer, will be as following:
Unrealized Profit Account 180
Inventor y Adjustment Account 1000
Inventor y Account -1000
GL Entries for receipt transaction in case of Interstate stock transfer, will be as following:

Unrealized Profit Account -180
Inventor y Account 1000
Inventor y Adjustment Account -1000
GL Entries for shipment transaction in case of Intra-State or Intra-Union Territory stock transfer, will be as
following:
Unrealized Profit Account 180
Inventor y Account -1000
Inventor y Adjustment Account 1000
GL Entries for receipt transaction in case of Intra-State or Intra-Union Territory stock transfer, will be as
following:
Unrealized Profit Account -180
Inventor y Account 1000
Inventor y Adjustment Account -1000
Stock transfer for bonded warehouse

Bonded warehouse transfer means transfer of stock from customs warehouse to company warehouse. This
scenarios occurs when material is stored at customs warehouse before moving it to company’s warehouse. In
this case the customs duty will be paid only when material is moved from bonded warehouse.
2. Select Transfer-from Code and Transfer-to Code on Transfer Order header.
3. State Code and GST registration number should be filled on Transfer-to Location .
4. Bonded warehouse field should be marked true on Transfer-from Location .
5. Select Item on Transfer Order line. GST Group Code, HSN/SAC Code should be filled on Item .
6. Enter GST Assessable Value and Custom Duty Amount on Transfer Order lines. System calculates
GST on GST Assessable Value and Custom Duty Amount, not on transaction line amount.
7. Bill of Entr y Number , Bill of Entr y Date and Vendor Code on Transfer Order header should not
be blank.
See Also
GST Service Transfer
Service Transfer
Service transfers between locations, branches or divisions having different registration numbers are taxable
under GST. In such a case, if services transferred within the state from one location to another, then CGST and
SGST/UTGST will be levied, other-wise, where the registration number is same, there shall be no levy. Service
transferred from one state to another state, then IGST will be levied.
Create a service transfer order

1. Choose the icon, enter Ser vice Transfer Order , and then choose the related link.
2. Select Transfer-from Code and Transfer-to Code on Ser vice Transfer Order header. State Code and
GST registration number should not be blank on Location card.
3. Select Ship Control Account and Receive Control Account on Ser vice Transfer Order header.
4. Select G/L Account for Transfer From G/L Account No. on Shipment Line and Transfer To G/L
Account No. on Receipt Line . GST Group Code, HSN/SAC Code should not be blank on G/L Account
card.
For example, service for INR 10000 is being transferred on which 18% GST (9% CGST and 9% SGST/UTGST in
case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction), has to be
charged.
GST Calculation on Service Transfer Order will appear in the Fact Box, as following:
IGST 1800
CGST 900
SGST 900
On posting of shipment in case of Intra-State or Intra-Union Territory service transfer, GL Entries will be
as following:
Inter-location Control Account 11800
On posting of receipt in case of Intra-State or Intra-Union Territory service transfer, GL Entries will be as
following:
Inter-location Control Account -11800
On posting of shipment in case of Interstate service transfer, GL Entries will be as following:
Inter-location Control Account 11800
On posting of receipt in case of Interstate service transfer, GL Entries will be as following:
Inter-location Control Account -11800
See Also
GST Stock Transfer
Setting Up GST for Bank Charges
As per GST Law, GST is applicable on bank charges and ITC can be availed for specified services. As per Rule
54(2) of CGST Rules, 2017, Banks shall issue a tax invoice or any other document in lieu of tax invoice. In case if
an invoice is not provided by the bank, then the bank statement shall be deemed to be an invoice. Such
document shall be construed as Tax invoice even if it is not serially numbered and whether or not it contains the
address of recipient of taxable service.
Bank charges can be Intrastate or Interstate. CGST & SGST are applicable if the bank and customer are located in
the same state. IGST is applicable if both are in different states.
The place of supply of banking and other financial services to any person shall be the location of the recipient of
services on the records of the supplier of services. If the location of recipient of services is not on the records of
the supplier, the place of supply shall be the location of the supplier of services.
The place of supply of banking and other financial services shall be the location of the supplier of services. If any
services are received from a foreign bank by an Indian customer, then the place of supply for such services
becomes the place where the foreign bank is located i.e. outside India and hence any charges collected towards
such services are not subject to India GST.
The following setups are required:
Bank Accounts
Bank Charges Master
Bank Charges Deemed Value Setup
To set up GST on a bank account

This setup is required to specify that this bank is eligible to calculate GST on bank charges.
State Code This field is required for GST calculation in Bank Charges
transactions.
GST Registration Status GST Registration type can be Blank or Registered. If GST
registration No. is added in Bank Account Master the
status will be updated as Registered.
GST Registration No. Registration No. of Bank shall be entered here.

Registration number is mandatory, if GST Registration
Status is Registered. Registration No. comprises 15-digits.
To set up GST on bank charges master

This setup is required to calculate GST on bank charges.
1. Choose the icon, enter Bank Charges , and then choose the related link.
Code Specifies the unique identification code of Bank Charge.
Description Specifies the description of the Bank Charge.
Account Specifies the general ledger account for Bank Charge.
Foreign Exchange Specifies the Bank Charges that are applicable on Foreign
Exchange Sales or Purchase under GST. For foreign
Exchange bank charges, the GST calculation is based on
Deemed Value of purchase or sale.
GST Group Code Specifies the relevant GST Group Code.
GST Credit GST Credit can be Availment or Non-Availment. This field

by default displays Availment. If credit cannot be availed
on any Bank Charges, then Non-Availment shall be
selected manually from the drop down.
HSN/SAC All HSN/SAC Codes for GST Group code selected above
shall be displayed as a dropdown for this field, business
user has to select appropriate code.
Exempted This field is checked if the Bank Charges are exempted

from payment of GST.
To set up GST on bank charges deemed value setup

This setup is required to estimate the Deemed Value for calculation of GST on foreign exchange purchases.
1. Choose the icon, enter Bank Charges Deemed Value Setup , and then choose the related link.
Bank Charges Code Specifies the code of Bank Charge from drop down list.
Lower Limit Specifies the lower limit of the bank charge code.
Upper Limit Specifies the upper limit of the bank charge code.
Formula Specifies the formula of the charge calculation.
Min. Deemed Value Specifies the minimum value.
Max. Deemed Value Specifies the maximum value.
Deemed % Specifies the percentage of calculation.
Fixed Amount Specifies the fixed deemed value.

See Also
GST Bank Charges Transaction
GST on Bank Charges Transaction
As per Rule 54(2) of CGST Rules, 2017, Banks shall issue a tax invoice or any other document in lieu of tax
invoice. In case if an invoice is not provided by the bank, then the bank statement shall be deemed to be an
invoice. Such document shall be construed as Tax invoice even if it is not serially numbered and whether or not it
contains the address of recipient of taxable service.
Process for GST calculation on bank charges has been explained in this document.
GST calculation on bank charges
1. Choose the icon, enter Bank Payment Voucher , and then choose the related link.
2. Select G/L Account in Account Type field and select relevant general ledger account in Account No. field.
3. Select Bank Account in Bal. Account Type field and select relevant bank account in Bal. Account No.
field.
4. GST Registration No. and GST Registration Status fields should not be blank on Bank Account .
5. Location Code should not be blank on Bank Payment Voucher .
6. Bank Charge field should be marked true, select Process on the ribbon and click on Bank Charges ->
select Bank Charge code and system will calculate the GST on bank charge amount. GST Credit , GST
Group Code and HSN/SAC Code should not be blank on Bank Charge Code.
GST on bank charges
Intra-State Bank Payment with GST on Bank Charges where Input Tax Credit is available, for example bank
charge of INR 10000 to be paid to bank and GST (9% CGST and 9% SGST) has to be calculated on bank charges
amount.
Bank Charge Amount 10,000
CGST 900
SGST 900
Once posted the bank payment GL entries for Intra-state bank charges with GST where Input Tax Credit is
Bank Charges 10000
Bank Account -11800
Inter-State Bank Payment with GST on Bank Charges where Input Tax Credit is available, for example bank
charge of INR 10000 to be paid to bank and 18% IGST has to be calculated on bank charges amount.
IGST 1800
Once posted the bank payment GL entries for Inter-state bank charges with GST where Input Tax Credit is
Bank Charges 10000
Bank Account -11800
Intra-State Bank Payment with GST on Bank Charges where Input Tax Credit is not available, for example bank
charge of INR 10000 to be paid to bank and GST (9% CGST and 9% SGST) has to be calculated on bank charges
amount.
CGST 900
SGST 900
Once posted the bank payment GL entries for Intra-state bank charges with GST where Input Tax Credit is
not available, will be as following:
Bank Charges 11800
Bank Account -11800
Inter-State Bank Payment with GST on Bank Charges where Input Tax Credit is not available, for example bank
charge of INR 10000 to be paid to bank and 18% IGST has to be calculated on bank charges amount.
IGST 1800
Once posted the bank payment GL entries for Inter-state bank charges with GST where Input Tax Credit is
not available, will be as following:
Bank Charges 11800
Bank Account -11800
Deemed value calculation for GST base amount in foreign exchange

transactions
As per GST law, A person supplying the services of exchange of foreign currency may exercise option to
ascertain value in terms of Rule 32(2)b for a financial Year. In service related to supply of foreign currency,
including money changing, the problem of valuation always arises, therefore the Rule states that, consideration
should be taken to the difference in the buying rate or the selling rate.
GST calculation on bank charges for bank payment
1. Choose the icon, enter Bank Receipt Voucher , and then choose the related link.
2. Select G/L Account in Account Type field and select relevant Vendor or Customer account in Account No.
field.
3. Select Bank Account in Bal. Account Type field and select relevant bank account in Bal. Account No. field.
4. GST Registration No. and GST Registration Status fields should not be blank on Bank Account.
5. Select Process on the ribbon and click on Bank Charges -> select Bank Charge code and system will calculate
the GST on bank charge amount. External Document No. and GST Document Type fields should not be
blank on Journal Bank Charges line.
6. GST Credit, GST Group Code and HSN/SAC Code should not be blank on Bank Charge Code.
Let us take the following example and check the GL entries of the posted transactions for different scenarios.
BANK M IN . MAX
C H A RGE LO W ER UP P ER DEEM ED DEEM ED F IXED
C O DE L IM IT L IM IT F O RM UL A VA L UE VA L UE DEEM ED % A M O UN T
BKCHG_01 0 10,00,000 Deemed % 0 0 1% 0
Sample values for transactions
CGST 9%
SGST 9%
IGST 18%
Document Type Refund or Payment
Account Type Vendor or Customer (Registered)
Amount USD -1000

Currency USD (Exchange Rate 65)
Amount (LCY) INR -65000
Bank Charge BKCHG_01
GST Transactional Value INR 6500
GST Amount INR 1170
Once posted the bank payment GL entries for Intrastate Bank Receipt Voucher with Document Type as
Refund for Bank Charges and GST is posted with Credit Availment and GST Document Type Invoice, will
be as following:
DO C UM EN T T Y P E PA RT IC UL A RS A M O UN T
Refund Vendor -65000
Refund SGST/UTGST Receivable 585

Account
Refund CGST Receivable Account 585
Refund Bank Account 63830
The bank payment GL entries for Intrastate Bank Receipt Voucher with Document Type as Payment for
Bank Charges and GST is posted with Credit Availment and GST Document Type as Invoice, will be as
following:
Payment Customer -65000
Payment SGST/UTGST Receivable 585

Account
Payment CGST Receivable Account 585
Payment Bank Account 63830
The bank payment GL entries for Intrastate Bank Receipt Voucher with Document Type as Refund for Bank
Charges and GST is posted with Credit Non-Availment and GST Document Type as Invoice, will be as
following:
Refund Vendor -65000
Refund Other Charges 1170
Refund Bank Account 63830

The bank payment GL entries for Intrastate Bank Receipt Voucher with Document Type as Payment for
Bank Charges and GST is posted with Credit Non-Availment and GST Document Type as Invoice, will be
as following:
Payment Customer -65000
Payment Other Charges 1170
Payment Bank Account 63830
See Also
GST Bank Charges Overview
Setup for GST TDS and GST TCS
This topic explains the requirement and the process of setting up GST TDS and GST TCS.
GST TDS
As per Section 51 of CGST Act, recipient of goods and services shall deduct TDS of 2% on payment amount
where contract amount exceeds INR 250000. The recipient will issue a certificate for the tax amount deducted
against the payment made for contract to supplier. Recipient will pay the deducted amount to government and
the same is reflected in supplier’s electronic ledger entry, which he can further adjust it against liability.
GST TCS
As per Section 52 of CGST Act, 2017, every e-commerce operator is required to collect tax at the rate of 1%
(0.5% of CGST and 0.5% of SGST for intra state supply or 1% of IGST on interstate supply) on the net value of
taxable supplies provided the supplier is supplying goods or services through e-commerce operator (online
market place) and consideration with respect to the supply is to be collected by the said e-commerce operator
The taxable supplies includes total sales and returns. The GST TCS amount collected by e-commerce operator
shall be paid to GSTIN and the same will be reflected as available credit for supplier in their electronic cash
ledger that can be utilized to setoff liability. Corrections are allowed before GST TCS amount is paid to GSTIN by
e-commerce operator. Hence, there will not be any refund or negative credit. If refund of payment is to be paid
by supplier to e-commerce operator then, full amount (without GST TCS) shall be considered. GST TCS to be
calculated on Invoice amount excluding GST. The Credit Memo amount excluding GST should be deducted from
Invoice amount for the period before calculating GST TCS. GST TCS can be calculated for a given period, which
can be week, fortnight or a month. GST TDS is applicable only for Registered Suppliers The calculation of GST
TCS is provided on Bank or Cash Payment and Receipt Vouchers.
To set up GST TDS/TCS

This setup is required for calculation of GST TDS and GST TCS on payment to vendor or receipt from customer.
1. Choose the icon, enter Tax Type -> GST TDS TCS -> Action -> Tax Rates , and then choose the
related link.
GST TDS TCS Type Specify the relevant type, for example: TDS, TCS.
GST Effective Date Specify the effective date.
CGST Specify the relevant percentage for component CGST.
SGST Specify the relevant percentage for component SGST.
IGST Specify the relevant percentage for component IGST.

See Also
GST TCS on Payment
GST TCS on Vendor Payment
GST TCS can be applicable for Registered Vendor. On posting of GST TCS transaction against Vendor, system
updates 'Liable to Pay' field in GST TDS/TCS Entry table as 'TRUE'. The GST TCS entries that have 'Liable to Pay'
field 'TRUE' will be shown on settlement page. The GST TCS Liability can only be paid through Cash or Bank. It
cannot be set off against any available credit.
For example, INR 1000 paid to the vendor and 1% GST TCS (0.50% CGST, 0.50% SGST for Intra-State or Intra-
Union Territory and 1% IGST for Inter State) has to be calculated on payment amount.
1. GST calculation will appear in the Fact Box on Bank or Cash Payment Voucher, as following:
Payment Amount 1000
GST Transactional Value 1,000
CGST Amount 5
SGST Amount 5
IGST Amount 10
GST TCS on vendor payment entry process

1. Choose the icon, enter Bank Payment Voucher or Cash Payment Voucher , and then choose the
related link.
2. Fill in the fields as described on Bank Payment Voucher or Cash Payment Voucher .
Posting Date Specify the posting date of the document.
Document Type Specify as 'Payment'
Account Type Specify as 'Vendor'
Account No. Select the relevant vendor code.
Amount Specify the amount.
Bal. Account Type Specify G/L Account or Bank Account.
Location Code Specify the relevant location code.
GST TCS State Code Specify the relevant state code.

GST TDS/TCS Base Amount Specify the GST TCS calculation base amount.
GST TCS Mark this field as True.
3. GL Entries for GST TCS - Intrastate Transaction, will be as following:
Vendor Account 1000
CGST TCS Payable Account -5
SGST/UTGST TCS Payable Account -5
Bank Account -990
4. GL Entries for GST TCS - Interstate Transaction, will be as following:
Vendor Account 1000
IGST TCS Payable Account -10
Bank Account -990
See Also
GST TDS TCS on Receipt
GST TCS on Customer Payments
GST TCS can be liable on cash or bank payment from customer. The GST TCS entries which are not reversed will
be part of settlement. Business user can reverse the GST TCS entries before settlement is posted. The GST TCS
entries which have Credit Availed field 'TRUE' will be shown on settlement page. User can manually enter
amount in GST TCS Credit Utilized field for utilizing against the liability.
1. Choose the icon, enter Bank Receipt Voucher or Cash Receipt Voucher , and then choose the
related link.
2. Fill in the fields as described on Bank Receipt Voucher or Cash Receipt Voucher .
Account Type Specify as 'Customer'
Account No. Select the relevant customer code.
GST TCS State Code Specify the relevant state code.
GST TCS Mark this field as True.
For example, INR 1000 paid by the customer and 1% GST TCS (0.50% CGST, 0.50% SGST for Intra-State or Intra-
Union Territory and 1% IGST for Inter State) has to be charged on the payment amount.
GST Calculation will appear in the Fact Box on Bank or Cash Receipt Voucher, as following:
Payment Amount 1000
CGST Amount 5
SGST Amount 5
IGST Amount 10
On posting of voucher for GST TCS - Intrastate Transaction, GL Entries will be as following:
CGST TCS Receivable Account 5
SGST/UTGST TCS Receivable Account 5
Bank Account 990
On posting of voucher for GST TCS - Interstate Transaction, GL Entries will be as following:
IGST TCS Receivable Account 10
Bank Account 990
GST TDS on customer payment

GST TDS is applicable for Registered Customers. User can calculate GST TDS on cash or bank payment from
customer, user needs to enter GST TDS/TCS Base Amount manually for calculating GST TDS.
A provision for updating GST TDS certificate details is available under Financial Management > Periodic
Activities > GST > Task: Update GST TDS Certificate Dtl. The GST TDS entries against which the certificate is
received will be a part of GST settlement.
User can reverse the GST TDS entries before certificate is received. An additional option has been provided to
user to modify GST TDS Certificate Details. The GST TDS Credit received will be shown on settlement page.
User can manually enter amount in GST TDS Credit Utilized field for utilizing against the liability.
1. Choose the icon, enter Bank Receipt Voucher or Cash Receipt Voucher , and then choose the
related link.
2. Fill in the fields as described on Bank Receipt Voucher or Cash Receipt Voucher .
Account Type Specify as 'Customer'
Account No. Select the relevant customer code.

GST TDS/TCS State Code Specify the relevant state code.
GST TDS Mark this field as True.
For example, INR 1000 received from customer and 2% GST TDS (1% CGST, 1% SGST for Intra-State or Intra-
Union Territory and 2% IGST for Inter State) has to be charged.
GST calculation will appear in the Fact Box on Cash or Bank Receipt Voucher, as following:
Payment Amount 1000
CGST Amount 10
SGST Amount 10
IGST Amount 20
On posting of voucher for GST TDS - Intrastate Transaction, GL Entries will be as following:
CGST TDS Receivable Account 10
SGST/UTGST TDS Receivable Account 10
Bank Account 980
On posting of voucher for GST TDS - Interstate Transaction, GL Entries will be as following:
IGST TDS Receivable Account 20
Bank Account 980

See Also
GST Credit and Liability Adjustment
GST Credit and GST Liability Adjustment for Open
Reverse Charge Goods and Services Invoices
This topic explains the process of adjusting GST Credit and GST Liability for open reverse charge goods and
services invoices.
For reverse charge invoices of goods, GST Liability and Credit shall be generated immediately, or in next
30 days from date of issue of supplier invoice, if payment to supplier is not made against it.
For reverse charge for service invoices, GST Liability and Credit shall be generated immediately, or 60
days from date of issue of supplier invoice, if payment to supplier is not made against it.
User can generate GST liability and credit for open reverse charge service invoice through GST Liability
Adjustment.
1. Choose the icon, enter GST Liability Adjustment , and then choose the related link.
2. Select the following in the request page
F IEL D N A M E DESC RIP T IO N
Adjustment Document No. System will generate number from number series
assigned in Purchases & Payable Setup
GST Registration No. System will list only transactions posted with selected
GST Registration No.
Posting Date Adjustment posting date
Liability Date Formula Enter 0D, 30D or 60D. For example, if 60D is
mentioned, the system will reverse count 60 days
from posting date for arriving Liability Filter Date
Liability Filter Date System will update automatically (Posting date –

Liability Date Formula, Ex: 01-Jan-18- 60D= 02-
Nov-17), System will consider all open Reverse
Charge service invoices posted before date updated
in this field. (Ex: 02-Nov-17)
Vendor No. System will list invoice from this vendor only
System will verify only for this document
External Document No. System will verify only for this document
Nature of Adjustment User need to select the option, available options:

Generate, Reverse
For example, vendor issued invoice for INR 10000, in an Intra-State or Intra-Union Territory transaction, and GST
18% (9% CGST and 9% SGST), has to be charged.
GL Entries at the time of posting invoice where Input Tax Credit is available, will be as following:
GL Entries at the time of posting invoice where Input Tax Credit is not available, will be as following:
SGST Payable Acc(Interim) -900
CGST Payable Acc(Interim) -900
GL Entries for Generating GST Liability and GST Credit where Input Tax Credit is available, will be as
following:
GL Entries for Generating GST Liability and GST Credit where Input Tax Credit is not available, will be as
following:
GL Entries for Reversing GST Liability and GST Credit where Input Tax Credit is available, will be as
following:
GL Entries for Reversing GST Liability and GST Credit where Input Tax Credit is not available, will be as
following:
TIP
In case of Inter-state Reverse Charge Service purchase, IGST Liability and IGST Credit will get generated.
See Also
GST TDS TCS Overview
GST Reconciliation
This topic explains the setups and process of GST reconciliation.
Overview
Line wise details of all invoices, supplementary invoices, debit notes and credit notes issued by a vendor or
supplier towards Outward supplies made during a month shall be reported in GSTR-1 by 10th of the
succeeding month.
Sales uploaded by the supplier or vendor in GSTR-1 are auto-reflected in GSTR-2A and GSTR-2 of the buyer
as Inward supplies. For example, if the buyer purchases goods or services from 100 vendors in a month, the
details of all such purchases will be reflected in GSTR-2A & GSTR-2 of the buyer, provided all 100 vendors
have uploaded their sales in GSTR-1.
Purchase transactions posted in the system for preceding month shall be reconciled with the supplier-
uploaded information in GSTR-2A. However, there may be certain discrepancies between the two, due to the
following reasons:
Supplier or suppliers have ignored to upload invoice details in their GSTR-1
Supplier entered wrong GSTIN of the buyer
Omission of entering any invoice by the buyer
Invoice No. & Date, Tax Amounts may have wrongly entered by the buyer in there books of account.
The buyer can add, modify and delete the auto-populated information in GSTR-2. Such information is made
available to supplier in GSTR-1A. The supplier can accept or reject the modifications made by the buyer and
supplier’s GSTR-1 shall stand amended to the extent of modifications accepted.
Buyer can avail credit with respect to invoice lines matched with the information in GSTR-2A. Though buyer
can avail mismatched credit on a provisional basis, the same will get auto-reversed, if the supplier fails to
upload invoices.
To summarize, Reconciliation feature is required to:
Identify the purchase transactions, which are matched or unmatched with GSTR-2A.
To ascertain the modifications required to be made in GSTR-2 and follow up the supplier to accept the
same
Monitor unmatched transaction lines, if credit is availed on a provisional basis.
Purchases as per the books of account of buyer shall be matched with the supplier-uploaded information in
GSTR-2A, every month before uploading GSTR-2 by the buyer.
To set up GST component mapping reconciliation.

Mapping GST reconciliation fields with GST components is a pre-requisite for GST Reconciliation. Unless
it is done, reconciliation can not happen in the system.
1. Choose the icon, enter GST Component Mapping Recon., and then choose the related link.
GST Component Code Specifies the different components of GST.

GST Reconciliation Field No. Specifies the relevant reconciliation field against the
component.
GST Reconciliation Field Name Specifies the description of the reconciliation field.
ISD Ledger Field No. Specifies the relevant input service distribution field
against the component.
ISD Ledger Field Name Specifies the description of the input service
distribution field.
GST reconciliation process

Reconciliation feature enables the user to reconcile the posted purchase transactions with GSTR-2A
downloaded from GSTN portal.
1. Choose the icon, enter GST Reconciliation List., and then choose the related link, and click New
to create a new reconciliation document.
2. Select relevant GST registration number in GSTIN No. field for which reconciliation needs to be done.
Month , Year , Posting Date fields should not be blank.
3. GST Recon. Tolerance field will be updated with the value mentioned on General Ledger Setup .
4. Input Ser vice Distributor field will be marked true if the GSTIN is assigned for input service
distribution location.
5. Click on Action on the ribbon -> Functions -> Import GSTR-2A, choose the relevant file and the data
will be updated in Periodic GSTR-2A Data .
6. Click on Fill GST Reconciliation and the posted GST transactions will be populated in GST
Reconciliation Lines .
Purchase Transactions with Vendor Type – Unregistered, Imports and Composite are excluded from
Reconciliation. [This is due to the reason that unregistered and import vendors are not registered with
GSTN authorities and hence will not upload their supplies in GSTR-1. Hence the same are not reflected in
GSTR-2]
Invoice having multiple lines are clubbed together and shown as one line in GST Reconciliation feature i.e.
Total Taxable amount and Tax Amounts (CGST, SGST, IGST).
Periodic GSTR-2A can be downloaded in Excel or XML format. The following fields in GSTR-2A are
matched with GST Reconciliation lines
External Document No.
Tax Amounts (IGST, CGST, SGST)
Vendor Invoice Date
GSTIN of the Supplier
Document Date
GSTR-2A can be downloaded and reconciled with existing GST Reconciliation lines multiple times, but
posting can be done only once in a month.
For a given month, GST Reconciliation includes lines pertaining to purchase transactions (Registered
Vendor including Reverse Charge) posted during the month and the lines, which are posted and
unmatched during the previous months.
GST Reconciliation lines shown in GST Reconciliation page are coming from following transactions:
Registered Vendor (Including Reverse Charge Posting Group)
Sub-Contracting Invoices (Registered Vendor)
Service Transfers
Transfer Orders
GST Reconciliation Lines shown in the selected month are having purchase transaction (Invoice & Credit
Memo) till the End Date for selected month.
Once the GST Reconciliation lines are posted, system will not generate any accounting entries.
'Reconciled', 'Reconciliation Month' and 'Reconciliation Year' will be updated in Detailed GST Ledger
Entries. GST Reconciliation lines with status 'Reconciled' will not be considered again for reconciliation.
See Also
GST E-Way Bill
E-Way Bill
An electronic way bill or e-Way Bill is essential for the transport of goods that are worth more than INR 50,000.
There are also some goods for which an e-way bill is essential even if the amount does not exceed INR 50,000.
E-Way Bill Template is designed to meet the formats or requirements provided by government.
Business user will be able to generate excel file from system which will be helpful for them to enter data into
E-Waybill JSON Preparation tool. Business user can copy and paste data from excel sheet exported from
system to preparation tool.
Transactions posted through Journals will not be a part of E-Waybill template report. User will be able to
generate E-Waybill template against transactions posted from documents only.
User will be able to generate E-Waybill for movement of goods for Transfers (shipment), Sales and Purchase
transactions. System will only consider Items and FA with GST Group Type as 'Goods' in this report.
E-Way Bill template generation

E-Way Bill template feature enables the user to generate excel file from system which will be helpful for
them to enter data into E-Waybill JSON Preparation tool.
1. Choose the icon, enter E-Way Bill File Format , and then choose the related link.
2. GST Registration No. and State Code should be updated for Shipping Agent .
3. Transportation Mode field should not be blank in Transpor t Method
4. Select the following information in the request page and click OK to generate the report
Star t Date Specifies the starting date of the report.
End Date Specifies the ending date of the report.
Location Registration No. Specifies the GST registration number for which
report will be generated.
Transaction Type Select the relevant Transaction Type.
Source Type Specify the relevant source type.
Source No. Specify the relevant source number.
See Also
GST Input Cedit Adjustment
GST Input Tax Credit Adjustments
This topic explains the requirement and process of GST credit adjustment.
Credit Adjustment Journal
Credit Adjustment for Reverse Charge Transactions
Credit Adjustment Entry Process
Credit adjustment journal

Credit adjustment journal is designed to handle certain credit adjustments arising as an outcome of
reconciliation.
Purpose of Credit Adjustments
N AT URE O F A DJUST M EN T P URP O SE O F A DJUST M EN T
Credit Reversal To reverse the availed credit for posted transactions.

Detailed GST Ledger entries and Detailed Cr. Adjustment
entries will be updated with Credit Adjustment type as
‘Credit Reversal’. Detailed Cr. Adjustment Entries will be
created and updated with ‘Credit Availed’ as FALSE and
‘Liable to Pay’ as TRUE.
Credit Re-availment To re-avail the reversed credit for posted transactions.

entries will be updated with Credit Adjustment type as
‘Credit Re-Availment’. Detailed Cr. Adjustment Entries will
be created and updated with ‘Credit Availed’ as TRUE
and ‘Liable to Pay’ as FALSE.
Permanent reversal To reverse a transaction permanently. Detailed GST

Ledger entries and Detailed Cr. Adjustment entries will be
updated with Credit Adjustment type as ‘Permanent
Reversal’. Detailed Cr. Adjustment Entries will be created
and updated with ‘Credit Availed’ as FALSE and ‘Liable to
Pay’ as FALSE.
Need for Adjustment
N AT URE O F A DJUST M EN T N EED F O R A DJUST M EN T
Credit Reversal If provisional credit is availed and credit remains

unmatched, then after a prescribed period, the credit
gets auto-reversed in Credit ledger of GSTN Portal. To
reverse such credit availment in the books of account
and posted to respective GST mismatch account.
Credit Re-availment If credit is reversed due to the reason that vendor

payment is not made within 180 days or for any other
reason. Subsequently, if the vendor payment is made,
then the reversed credit can be re-availed. Hence, to re-
avail the credit and post it to respective GST Receivable
account.
Permanent reversal If it is certain that the vendor will never upload the
invoice information in GSTN portal, then the credit
posted to respective GST Mismatch Account and post
the same into respective GST expense account.
Accounting Entries
N AT URE O F A DJUST M EN T DO C UM EN T T Y P E DEB IT C REDIT
Credit Reversal Invoice GST Credit Mismatch GST Payable Account

Account
Credit Reversal Credit Memo GST Payable Account GST Credit Mismatch
Account
Credit Re-Availment Invoice Receivable Account GST Mismatch Account
Credit Re-Availment Credit Memo GST Mismatch Account Receivable Account
Permanent Reversal Invoice GST Expense Account GST Mismatch Account
Permanent Reversal Credit Memo GST Mismatch Account GST Expense Account
NOTE
GST Credit Adjustment Journal can be posted by selecting 'Nature of adjustment type' as 'Credit Re-Availment' and
'Permanent Reversal' after posting GST Adjustment Journal for type 'Credit Reversal'. If the GST Credit Adjustment Journal
is posted with 'Nature of Adjustment' as ‘Permanent Reversal’ then system will not consider these entries again for
posting via adjustment type as ‘Credit Reversal’ or ‘Credit Re-Availment’.
GST credit adjustment for reverse charge transactions

Credit Adjustment Journal functionality is also available for adjusting reverse charge transactions where GST
Group Type is 'Service'. This functionality is designed to handle certain adjustments arising on selecting GST
Credit Type incorrectly at the time of transaction.
Purpose of Credit Adjustments for Reverse charge transactions
Credit Reversal To reverse the availed credit for posted transactions.

entries will be updated with Credit Adjustment Type as
‘Credit Reversal’. Detailed Cr. Adjustment Entries will be
created and updated with ‘Credit Availed’ as FALSE and
‘Liable to Pay’ as TRUE.
Credit Re-Availment To re-avail the reversed credit for posted transactions.

Detailed GST Ledger Entries and Detailed Cr. Adjustment
Credit Availment To avail credit which is not availed in posted transactions.

Detailed GST Ledger Entries and Detailed Cr. Adjustment
Reversal of Availment To reverse the availed credit in above scenario. Detailed

GST Ledger Entries and Detailed Cr. Adjustment entries
will be updated with Credit Adjustment Type as
‘Permanent Reversal’. Detailed Cr. Adjustment Entries will
be created and updated with ‘Credit Availed’ as FALSE
Need for Adjustment
Credit Reversal If GST Credit is selected as Availment in transactions and

later on realized that it has been incorrectly selected,
then this adjustment allows to reverse credit and post it
to respective GST Payable Account.
Credit Re-Availment If GST Credit is selected as Non-Availment in

transactions and later realized that it has been incorrectly
selected, then this adjustment allows to Avail Credit and
post it to respective GST Receivables Account.
Reversal of Availment Reversal of Availment will be used to reverse the entries

posted for Credit Availment. System will Re-Avail Credit
and post it to respective GST Receivable Account.
Accounting Entries
N AT URE O F
A DJUST M EN T DO C UM EN T T Y P E L IN E T Y P E DEB IT C REDIT
Credit Reversal Invoice G/L Account G/L Account GST Payable

selected in Account
transaction
Credit Reversal Invoice Item Respective Purchase GST Payable

Account Account
Credit Reversal Invoice FA FA Acquisition GST Payable

Account Account
N AT URE O F
A DJUST M EN T DO C UM EN T T Y P E L IN E T Y P E DEB IT C REDIT
Credit Re- Invoice G/L Account Receivable Account G/L Account

Availment selected in
transaction
Credit Re- Invoice Item Receivable Account Respective Purchase

Availment Account
Credit Re- Invoice FA Receivable Account FA Acquisition

Availment Account
Credit Availment Invoice G/L Account Receivable Account G/L Account

selected in
transaction
Credit Availment Invoice Item Receivable Account Respective Purchase

Account
Credit Availment Invoice FA Receivable Account FA Acquisition

Account
Reversal of Invoice G/L Account G/L Account GST Payable

Availment selected in Account
transaction
Reversal of Invoice Item Respective Purchase GST Payable

Availment Account Account
Reversal of Invoice FA FA Acquisition GST Payable

Availment Account Account
NOTE
GST Credit Adjustment Journal can be posted as Credit Re-Availment after posting GST Adjustment Journal for Type
Credit Reversal.
GST Credit Adjustment Journal can be posted as Reversal of Availment after posting GST Adjustment Journal for Type
Credit Availment.
Permanent Reversal is not applicable for reverse charge transactions.
The Credit Adjustment for reverse charge transactions can be executed only for GST Group Type as 'Service'. The GST
credit and liability for reverse charge transactions, where GST Group Type is 'Service' is realized only on application of
payment. System will filter application entries in GST Credit Adjustment Journal for reverse charge scenarios.
GST credit adjustment entry process

1. Choose the icon, enter GST Credit Adjustment , and then choose the related link.
2. GST Credit Adj. Jnl Nos. should not be blank on General Ledger Setup .
3. GST Credit Adjustment Journal should not be blank on Source Type Setup .
4. Select relevant information for following fields in GST Credit Adjustment Journal
GST Registration No. Specify the GST registration number for which
adjustment is to be done.
Period Month Specify the relevant month of adjustment.
Period Year Specify the relevant year of adjustment.
Posting Date Specify the posting date of the adjustment entry.
Vendor No. Specify the relevant vendor for which adjustment is to be

done.
Document No. Specify the document number for which adjustment is to

be done.
External Document No. Specify the vendor invoice reference number for which
adjustment is to be done.
Nature of Adjustment Specify the relevant nature of adjustment.
Input Ser vice Distribution Specifies whether the GST registration number is
assigned for input service distribution.
Reverse Charge Specifies whether the adjustment will be done for

Reverse Charge entry or not.
Adjustment % Select applicable % (1% to 100%). Based on the

applicable %, system will create lines and % value can be
modified. Partial amount can be posted in Credit
Adjustment.
5. Once relevant values are selected on the request page, click on Apply Entries .
6. Check the documents and values and click on Action -> Posting -> Dimensions or Line Dimension ,
fill the relevant dimensions and post the entry.
See Also
GST Settlement
GST Settlement of Net Payment Liability
Settlement refers to discharge of tax liability to the government. Tax

liability arises for scenarios mentioned below:
Outward Supplies (Sales, Transfers)
Inward Supplies that are subject to Reverse charge (Purchases, Inward Transfers)
Credit Reversal Adjustments
Negative Credit from Purchase Transactions
Negative Credit for ISD Distributions
This tax liability on both interstate transactions (IGST) and intrastate transactions (SGST/UTGST, CGST) is to be
discharged on a monthly basis to the government. GST paid on purchase transactions can be taken as credit
subject to certain conditions. Such credit can be offset against the tax payable on Sales. Hence, GST payable on
sales transactions can be discharged by payment of cash or utilization of credit or both. Reverse charge Liability
shall always be discharged in cash. Credit can be availed in the month of tax remittance to the government.
Credit utilized can be credit pertaining to the same component or different components.
As per GST Law, credit of IGST, CGST and SGST/UTGST shall be claimed in the chronological order as
given below:
GST C O M P O N EN T GST SETO F F C O M P O N EN T P RIO RIT Y
IGST IGST 1
IGST CGST 2
IGST SGST 3
CGST CGST 1
CGST IGST 2
SGST SGST 1
SGST IGST 2
Setup return & reco. component for settlement

User needs to setup components for settlement. Select relevant information in the following fields in Return &
Reco Components
Component ID Specifies the component name which will be required for GST
settlement
Component Name Specifies the name of the component.

Sources of settlement
1. Sales liability :
The net liability from below sources are shown in Payment Liability:
Detailed GST Ledger entry: Liability from below transactions having 'Liabile to Pay' selected as true in Detail
GST Ledger entry will be shown as liability for current period
Advance Receipt
Refund
Reversal of Advance Receipt
Transactions posted through Sales or Service documents
Warehouse Transfer Shipments
Service Transfer Shipments
Subcontracting Liability
Detailed credit adjustment entry: Credit Reversals from Credit Adjustment Journal are shown as Liability
Posted settlement entry: Any negative Liability from previous period settlement which was not adjusted is
shown as Liability for Current period
If net credit availed for this period is negative then it will be added in the current period liability
2. Reverse charge liability: The net liability of the following transactions that are subject to reverse charge is
shown in 'Payment Liability- Rev. Chrg'.:
Advance Payments
Refund
Reversal of Advance Receipt
Transactions posted through Purchase Documents
3. Credit availed : The net credit from below sources is shown in Credit Availed for Settlement.
Detailed GST Ledger entry: Credit from transactions mentioned below, having credit availed marked as true
in 'Detail GST Ledger Entry' will be shown as liability for current period
Transactions posted through Purchase Documents
Warehouse Transfer Receipts
Service Transfer Receipts
Subcontracting Receipts and Invoice
Transitional Provision Transactions
Detailed Credit Adjustment entry: Credit re-availment entries from 'Credit Adjustments' are shown in 'Credit
Availed'.
Posted Settlement Entry: Any unutilized credit from previous period will get added in 'Credit Availed' for
current period.
Distributed Credit: Credit received after ISD distribution to the recipients will get added to 'Credit Availed'.
Process of settlement
1. Choose the icon, enter GST Settlement , and then choose the related link.
2. GST Settlement Nos. should not be blank in General Ledger Setup .
3. GST Settlement should not be blank in Source Type Setup .
4. Select relevant information in the following fields in GST Settlement
GST Registration No. Specify the GST registration number for which settlement
to be done.
Posting Date Specify the posting date of the settlement.
Account Type Select the account type as per the payment option, e.g
G/L Account, Bank Account.
Account No. Specify the relevant account number as per the selected
account type.
Bank Reference No. Specify the bank reference number.
Bank Reference Date Specify the bank reference date.
5. Once relevant values are selected in the request page, click on Apply Entries on ribbon, GST
Settlement page will open. Following field information will be displayed on the page.
GST Component Code Specifies the GST registration number for which
settlement is to be done.
Description Specifies the description.
Period End Date Specifies the end date of settlement period.
Payment Liability Specifies the payment liability of the defined component.
GST TCS Liability Specifies the GST TCS liability of the defined component.
Net Payment Liability Specifies the net payment liability of the defined
component.
Unadjusted Liability Specifies the unadjusted liability of the defined

component.
Credit Availed Specifies the credit availed value for the defined
component.
Distributed Credit Specifies the distributed credit value for the defined
component.
GST TDS Credit Available Specifies the GST TDS credit available for the defined
component.
GST TDS Credit Utilized Specifies the GST TDS credit utilized for the defined
component.
GST TCS Credit Available Specifies the GST TCS credit available for the defined
component.
GST TCS Credit Utilized Specifies the GST TCS credit utilized for the defined
component.
Total Credit AVailable Specifies the total credit available for the defined credit.
Unadjusted Credit Specifies the unadjusted credit for the defined

component.
Credit Utilized Specifies the credit utilized for the defined component.
Payment Amount Specifies the payment amount for the defined

component.
Payment Liability - Rev. Chrg. Specifies the payment liability for reverse charge for the
defined component.
Payment Amount - Rev. Chrg. Specifies the payment amount for reverse charge for the
defined component.
Interest Specifies the interest amount.
Interest Account No. Specifies the interest account number.
Penalty Specifies the penalty amount.
Penalty Account No. Specifies the penalty account number.
Fees Specifies the fees.
Fees Account No. Specifies the fees account number.
Others Specifies the amount for any other charges.
Others Account No. Specifies the account number for other charges.
Account Type Specifies the account type of account defined for the
payment, e.g. G/L, Bank.
Account No. Specifies the account number depending on the selected

account type.
Total Payment Amount Specifies the total payment amount.
Bank Reference No. Specifies the bank reference number for the transaction.
Bank Reference Date Specifies the reference date for the transaction.
6. System auto-populates the 'Net Payment Liability' and the 'Total Credit Availed' in settlement page for the
given period.
7. 'Credit Utilized' shall be auto populated by the system based on the priorities set out in claim set-off
table. However, they can be edited the same.
8. 'Credit Utilization' is auto populated when both ‘own credit’ (credit of the component itself) and cross
credit (credit of other components) is utilized fully. It is based on the assumption that unless the credit is
availed cash payment for a particular component shall not arise.
9. Credit cannot be utilized for payment of interest, penalty, fees and others. They shall always be paid in
cash.
10. Credit utilized and payment amount shall not exceed tax liability.
11. Total credit utilized for a particular component shall not exceed total credit availed for that component
plus surplus credit of other components prioritized in claim-set off table for such component.
12. 'Account No'. and 'Account Type' shall be the same for all tax components. However, 'Interest Account',
'Fees Account', 'Penalty Account' and 'Others Account' can be defined differently for different tax
components.
13. Credit cannot be utilized for payment of reverse charge liability. The entire liability is to be discharged in
cash. Once settlement is done for any payment or refund document, the same cannot be reversed in
system.
14. User can check out the component wise credit available, credit utilization and balance credit from Action -
> Details .
15. Dimensions are also available on settlement page.
Following are few examples of accounting entries.
Example of accounting entry where Credit Availed is positive:
GST C O M P O N EN T TA X L IA B IL IT Y C REDIT AVA IL ED C REDIT UT IL IZ ED PAY M EN T
IGST 20000 10000 15000 5000
CGST 10000 15000 10000 0
SGST/UTGST 15000 10000 10000 5000
On posting, accounting entries will be as following:
GST C O M P O N EN T TA X L IA B IL IT Y
Bank Account -10000
Example for Accounting Entry when Credit Availed is Negative:

GST C O M P O N EN T TA X L IA B IL IT Y C REDIT AVA IL ED C REDIT UT IL IZ ED PAY M EN T
IGST 20000 -10000 5000 25000
CGST 10000 15000 10000 0
SGST/UTGST 15000 10000 10000 5000
Bank Account -30000
NOTE
In case of negative credit, the same will be treated as liability and needs to be paid in the current period settlement.
Example for accounting entries in case of Reverse Charge Liability:
REVERSE C H A RGE
GST C O M P O N EN T L IA B IL IT Y C REDIT AVA IL ED C REDIT UT IL IZ ED PAY M EN T
IGST 20000 0 0 20000
CGST 10000 0 0 10000
SGST/UTGST 15000 0 0 15000

Bank Account -45000
See Also
GST E-Invoice
E-Invoice
E-invoice does not mean that an invoice should be generated from a software on the computer or point of sales
(POS) machine, central portal of tax department, as any such centralization will bring unnecessary restriction on
the way trade is conducted.
E-Invoice generated by each software may look more or less same, however, they can’t be understood by
another computer system even though business users understand them fully. There are hundreds of
accounting/billing software that generate invoices, but they all use their own formats to store information
electronically and data on such invoices can’t be understood by the GST System if reported in their respective
formats. Hence, a need was felt to standardize the format in which electronic data of an Invoice will be shared
with others to ensure there is interoperability of the data. The adoption of standards will in no way impact the
way user would see the physical (printed) invoice or electronic (ex pdf version) invoice. All these software would
adopt the new e-Invoice standard wherein they would re-align their data access and retrieval in the standard
format. However, users of the software would not find any change since they would continue to see the physical
or electronic (PDF/Excel) output of the invoices in the same manner as it existed before incorporation of e-
invoice standard in the software.
E-Invoice feature in Business Central

Business Central has included E-Invoice feature to Indian Localization.
Provision for exporting invoice details in json (GSTIN provided schema V-1.01) format is provided.
User can generate json file from Posted Sales Invoice > Action > Generate E-Invoice . On clicking
Generate E-Invoice button on posted sales invoice, system generates and saves the file.
User can generate json file from Posted Sales Credit Memos > Action > Generate E-Invoice . On
clicking Generate E-Invoice button on posted sales credit memo, system generates and saves the file.
Importing signed E-Invoice json file facility is available. User can import json file from Posted Sales
Invoice > Action > Impor t E-Invoice Response . On importing E-Invoice response, system will update
below details into system.
Acknowledgement No
Acknowledgement Date
IRN Hash
QR Code
In the same way E-Invoice Response can be imported in Posted Sales Credit Memo.
NOTE
System will validate IRN Hash while importing Signed E-Invoice into system, System will import only if IRN Hash is
matched, system will skip other files.
A provision has been provided to create Json file automatically on posting of sales transaction. A new field is
created in General Ledger Setup > Tax Information Tab > Generate E-Invoice on Sales Post . On
enabling this field, system will create and save json file on posting of sales transaction. System will also
generate IRN Hash on posting of sales invoice, if this field is disabled, system will not create json file and IRN
Hash in posted transaction automatically. However, user can create json file and IRN Hash from posted
document.
Provision has been provided to record E-Way Bill No. on Tax Information tab in Posted Sales Invoice .
E-Way Bill details are included in E-Invoice json file, user will be able to export E-Invoice along with E-Way Bill
details.
Provision has also been provided for cancellation of E-Invoice. Json file for cancellation of e-invoice is
available. User needs to put E-Inv. Cancelled Date and Cancel Reason on Tax Information Tab of
Posted Sales Invoice , then go to Posted Sales Invoice > Action > Click on Cancel E-Invoice and again
Generate E-Invoice for the revised json file.
See Also
GST Reconciliation
Setting Up GST Compensation Cess
Business Central has included GST Compensation Cess feature to Indian Localization.
“GST Compensation Cess” is levied by the Goods and Services Tax (Compensation to States) Act 2017. The
object of levying this cess is to compensate the states for the loss of revenue arising due to the implementation
of GST on 1st July 2017 for a period of five years or such period as recommended by the GST Council. GST,
being a consumption-based tax, would result in loss of revenue for manufacturing-heavy states.
All taxpayers who are engaged in the supply of selected goods or services other than exporters and composition
taxpayers will collect compensation cess. This will also include compensation cess chargeable on certain goods
imported to India. In case compensation cess is paid on exports, the exporter can claim refund of the same.
Setting Up GST Compensation Cess

Below is the list of setups, that will be pre-configured with the help of Tax Engine
Tax Types
Component
Rate Setup
Attributes
For more information about Automatic Setup, see Tax Engine information.
Below is the list of setups, that are required to be configured manually
Tax Rate
HSN/SAC
GST Groups
GST Posting Setup
To set up tax rates

Rate of GST is defined in combination of GST Group Code, HSN/SAC. States and Date.
1. Choose the icon, enter Tax Type -> GST CESS -> Action -> Tax Rates , and then choose the related
link.
HSN/SAC Specifies the HSN/SAC code.
From State Specifies the vendor state code.
Location State Code Specifies the location state code.

Date From Specifies the starting date.
Date To Specifies the ending date.
CESS % Specifies the Cess rate.
Before Threshold % Specifies the Cess rate if the amount does not cross
defined threshold amount.
Threshold Amount Specifies the threshold amount.
Cess Amount per Unit Factor % Specifies the cess amount which will be levied on per unit
of goods.
Cess Factor Quantity Specifies the Cess factor which will decide the base of per
unit.
To set up HSN/SAC
1. Choose the icon, enter Tax Type -> HSN/SAC , and then choose the related link.
Code Specifies the HSN or SAC Code.
Description Specifies the location state code.
Type Specifies whether the code is a HSN or SAC.
To set up GST groups

List of GST Cess groups need to be defined, group can be of two types, Goods or Ser vice .
1. Choose the icon, enter GST Groups , and then choose the related link.
Code Specifies the group code.
Description Specifies the name of the group.
GST Group Type Specifies whether the group is defined as goods or

service.
GST Place of Supply Specifies GST place of supply of the GST group.
Component Calculation Type Specifies the calculation method of Cess.
Cess UOM Specifies the unit of measure to be considered for this

group.
Cess Credit Specifies whether the input credit for cess of this group is
availment or non availment.
Reverse Charge Specifies whether the group is defined as reverse charge

or not.
To set up GST posting setup

General Ledger Account for each component and state combination is defined state-wise.
State Code Specifies the state code of company that has valid GST
registration number.
GST Component Code Specifies the relevant component code.
Receivable Account Specifies the general ledger account for which Cess
posted.
Payable Account Specifies the general ledger account for which Cess
Payable amount for this state and component is to be
posted.
Receivable Account (Interim) Specifies the general ledger account for which Cess
receivable interim amount for this state and component
is to be posted.
Payable Account (Interim) Specifies the general ledger account for which Cess
payable interim amount for this state and component is
to be posted.
See Also
GST Cess Calculation
Cess Calculation
GST Compensation Cess is leviable on both interstate and intrastate supply of goods. It is also applicable on
imports and goods transactions which are subject to reverse charge.
It is applicable only on notified goods. These goods as on date are pan masala, tobbaco and tobacco
products, coal, aerated waters, motor cars & motor vehicles and any other supplies.
GST Compensation Cess is calculated on taxable value. Though it is coined as Cess, it is similar to tax. It is
independent of IGST, CGST and SGST.
Input Tax Credit availed on GST Compensation Cess can be utilized only towards discharging Output tax
liability of Compensation Cess and not otherwise.
Calculation types of Cess

There are five different calculation types for cess calculation
Cess %
Threshold
Cess % + Amount / Unit Factor
Cess % Or Amount / Unit Factor Whichever Higher
Amount / Unit Factor
Method of calculation for type Cess%

If the Cess is applicable for any commodity, based on the GST group code then system will pick the Cess%
defined on it.
In this scenario, invoice has been issued for INR 800 on which 18% IGST (9% CGST and 9% SGST/UTGST in case
of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction), 10% Cess has
to be charged.
Quantity 2
Unit Amount 400
GST Base Amount 800
CGST 72 (800*9/100)
SGST 72 (800*9/100)
IGST 144 (800*18/100)
CESS 80 (800*10/100)
Method of calculation for type Threshold
For Threshold calculation type user will define Threshold Amount , Before Threshold % and Cess %
(considered after crossing threshold amount). Note that Threshold amount defined in GST CESS setup for a
particular GST Group Code will be applicable line wise.
Suppose, Before Threshold % is 2% and Threshold Amount is INR 1,000. An invoice has been issued for INR
800. In this scenario as the amount is less than the threshold amount, 2% Cess has to be charged.
Quantity 2
Unit Amount 400
GST Base Amount 800
CGST 72 (800*9/100)
SGST 72 (800*9/100)
IGST 144 (800*18/100)
CESS 16 (800*2/100)
Suppose, Cess % is 10% and Threshold Amount is INR 1,000. An invoice has been issued for INR 10000. In
this scenario as the amount is greater than the threshold amount, 10% Cess has to be charged.
Quantity 2
Unit Amount 5000
CGST 900 (10000*9/100)
SGST 900 (10000*9/100)
IGST 1800 (10000*18/100)
CESS 1000 (10000*10/100)
Method of calculation for type Cess% + Amount per Unit Factor

For component calculation type - ‘Cess % + Amount/Unit Factor’, system will consider ‘Cess %’ along with
‘Amount/Unit Factor’ defined on GST Setup fields i.e. Cess UOM (Unit of Measure) , Cess Amount Per Unit
Factor and Cess Factor Quantity .
Suppose, Cess % is 10%, Cess Amount per Unit Factor is INR 130 and Cess Factor Quantity is 1. An
invoice has been issued for INR 10000. In this scenario 10% Cess and INR 260 has to be charged.
Quantity 2
Unit Amount 5000
CGST 900 (10000*9/100)
SGST 900 (10000*9/100)
IGST 1800 (10000*18/100)
CESS 1260 [{1000=(10000*10/100)}+{260=(130x2)}]
Method of calculation for type Cess% Or Amount/Unit Factor

Whichever Higher
For component calculation type - ‘Cess or Amount/Unit Factor whichever is higher’ system will consider ‘Cess %’
or ‘Amount/Unit Factor’ whichever is higher based on values defined on GST Setup fields i.e. Cess UOM (Unit
of Measure) , Cess Amount Per Unit Factor and Cess Factor Quantity .
invoice has been issued for INR 10000. In this case cess amount will be INR 1000 which is higher than the
quantity multiplied by the Cess Amount per Unit Factor, hence system will consider INR 1000 as Cess Amount.
Quantity 2
Unit Amount 5000
CGST 900 (10000*9/100)
SGST 900 (10000*9/100)
IGST 1800 (10000*18/100)
CESS 1000 [{1000=(10000*10/100)} > {260=(130x2)}]
invoice has been issued for INR 10000. In this case the quantity multiplied by the Cess Amount per Unit Factor is
INR 2000 which is higher than the rate defined in Cess%, hence system will consider INR 2000 as Cess Amount.
Quantity 2
Unit Amount 5000
CGST 900 (10000*9/100)
SGST 900 (10000*9/100)
IGST 1800 (10000*18/100)
CESS 2000 [{2000=(1000x2)} > {500=(10000*5/100)}]
Method of calculation for type Amount/Unit Factor

For component calculation type as ‘Amount/Unit Factor’ system will consider Cess value based on values
defined GST Group Code in fields Cess UOM , Cess Amount Per Unit Factor and Cess Factor Quantity .
Suppose, Cess Amount per Unit Factor is INR 140 and Cess Factor Quantity is 1. An invoice has been
issued for INR 10000. In this scenario INR 280 has to be charged.
Quantity 2
Unit Amount 5000
CGST 900 (10000*9/100)
SGST 900 (10000*9/100)
IGST 1800 (10000*18/100)
CESS 280 (140x2)
See Also
GST Cess Basic Setup
GST on Service Management
Business Central has included GST on Service Management feature to Indian Localization.
Service Management has been designed to streamline your organization’s service operations, enhancing
efficiency and profitability. Easily manage customer calls and queries, track support tickets, allocate resources,
create reports. GST is a integral part of the service management and in this document we will discuss the
process of GST calculation on Ser vice Order , Ser vice Invoice and Ser vice Credit Memo .
GST on service order

Create Service Order
1. Choose the icon, enter Ser vice Order , and then choose the related link.
2. Select relevant Customer Code in Customer No. field. GST Customer Type field should have a
value on Customer Card.
3. Then go to Service Order Line Tab click on Order > Ser vice Lines , Select Item Code for Goods, G/L
Account for Service Sales, Resource or Service Cost on Ser vice line . GST Group Code , HSN/SAC
Code should not be blank on the Item, G/L Account, Resource or Service Cost.
GST on service invoice

Create Service Invoice
1. Choose the icon, enter Ser vice Invoice , and then choose the related link.
3. Select Item Code for goods, G/L Account for service sales, Resource or Service Cost on Service Invoice
line. GST Group Code , HSN/SAC Code should not be blank on the Item, G/L Account, Resource or
Service Cost.
GST on service credit memos

Create Service Credit Memos
3. Select Item Code for goods, G/L Account for service sales, Resource or Service Cost on Service Credit
Memo line. GST Group Code , HSN/SAC Code should not be blank on the Item, G/L Account,
Resource or Service Cost.
NOTE
Accounting entries are similar to accounting entries generated for sales transactions.
See Also
Overview
Input Service Distributor (ISD) is an office of the supplier which distributes credit pertaining to Input Services
(CGST, SGST and/IGST) to various locations of the supplier. The recipient locations can be inter-state or intra-
state, but they should have the same PAN as that of the distributing location. GST Input Service Distribution
functionality can be used to distribute CGST & SGST/IGST paid on Input services (Input Tax Credit) to other
locations. This functionality is applicable only for Services.
System does not allow posting any sales transactions for a location if it contains a registration number which
has GST Input Ser vice Distribution activated.
Following is the lists of setups that are required to be configured.
Locations
Source Code Setup
GST Posting Setup
GST Component Distribution
To set up ISD on location

This setup is required to identify that this location is applicable for Input Service Distribution.
GST Registration No. Select the relevant GST registration number, which
should be marked true as Input Ser vice Distributor .
To set up ISD on general ledger setup

This setup is required to define the number series for distribution.
GST Distribution Nos. Specify the number series code for GST Distribution.
To set up ISD on source code setup

This setup is required to define the source code for distribution.
GST Distribution Specify the relevant source code for GST Distribution .
To set up ISD on GST posting setup

This setup is required to define the general ledger accounts for distribution.
Receivable Acc. Interim (Dist) Specify the relevant general ledger account.
Receivable Acc. (Dist) Specify the relevant general ledger account.
To set up ISD on GST component dist. list

This setup is required to define the GST components for distribution functionality.
1. Choose the icon, enter GST Component Dist. List , and then choose the related link.
GST Component Code Specify the relevant component code.
Distribution Component Code Specify the relevant distribution component.
Intrastate Distribution Specify whether this is applicable for intrastate

distribution or not.
Interstate Distribution Specify whether this is applicable for interstate

distribution or not.
See Also
Input Service Distribution Process
GST Input Service Distribution functionality is used to distribute CGST & SGST/IGST paid on Input services
(Input Tax Credit) to other locations.
GST distribution process

1. Choose the icon, enter GST Distribution List , and then choose the related link.
2. Following fields should be filled on the General Tab
No. Specifies the unique number for the document.
ISD Document Type Specifies the relevant document type of the transaction.
From Location Code Specify the location code from where input credit will be
distributed.
Distribution Document Type Specifies the type of the document.
Dist. Credit Type Specifies the distribution credit type.
Total Amount Applied for Dist. Specifies the total amount which is applied for
distribution.
Distribution Basis Specifies the distribution basis.
3. Following fields should be filled on the GST Distribution Line Tab
From Location Code Specifies the location code from where input credit will
be distributed.
From GSTN No. Specifies the GST registration number of the location
defined in the From Location Code .
To Location Code Specifies the location code to which input credit will be
distributed.
To GSTN No. Specifies the GST registration number of the location

defined in the To Location Code .
Distribution Jurisdiction Specifies the distribution jurisdiction, e.g. Interstate,

Intrastate.
Distribution % Specifies the distribution percentage.
Distribution Amount Specifies the distribution amount.
Rcpt. Credit Type Specifies whether the input credit is available or not.
4. After selecting all relevant values, click on Related on ribbon -> Apply Entries -> select the relevant
entries for distribution -> select relevant dimensions and post.
Inter-state and intra-state distribution of GST under input service

distribution
1. GL Entries for an Intra-state Distribution of Invoice to Recipient location (GST Credit is available for both
the distributor and recipient locations). For example, service invoice issued for INR 1000 and CGST 9%
and SGST 9% has been charged on the invoice, and the input service credit has been distributed to the
recipient location.
SGST Receivable Account (Dist.) -90
CGST Receivable Account (Dist.) -90
2. GL Entries for an Interstate Distribution of Invoice Recipient location (GST Credit is available for both the
distributor and recipient locations). For example, service invoice issued for INR 1000 and IGST 18% has
been charged on the invoice, and the input service credit has been distributed to the recipient location.
IGST Receivable Account (Dist.) -180
3. GL Entries for an Intrastate Distribution of Invoice to Recipient location (GST Credit is not available for
both the distributor and recipient locations). For example, service invoice issued for INR 1000 and CGST
9% and SGST 9% has been charged on the invoice, and the expense has been distributed to the recipient
location.
Freight 180
GST Expense Account -90

4. GL Entries for an Interstate Distribution of Invoice to Recipient location as Input Tax Credit (GST Credit is
not available for both the distributor and recipient locations). For example, service invoice issued for INR
1000 and IGST 18% has been charged on the invoice, and the expense has been distributed to the
recipient location.
Postage 180
5. GL Entries for an Intrastate Distribution of Credit Memo to Recipient location (GST Credit is available for
both the distributor and recipient locations). For example, purchase credit memo has been raised for INR
1000 and CGST 9% and SGST 9% has been charged on the invoice, and the input service credit has been
distributed to the recipient location.
SGST Receivable Account (Dist.) 90
CGST Receivable Account (Dist.) 90
SGST Receivable Account -90
6. GL Entries for an Interstate Distribution of Credit Memo to Recipient location (GST Credit is available for
both the distributor and recipient locations). For example, purchase credit memo has been raised for INR
1000 and IGST 18% has been charged on the invoice, and the input service credit has been distributed to
the recipient location.
IGST Receivable Account (Dist.) 180
7. GL Entries for an Intrastate Distribution of Credit Memo to Recipient location (GST Credit is not available
for both the distributor and recipient locations). For example, purchase credit memo has been raised for
INR 1000 and CGST 9% and SGST 9% has been charged on the invoice, and the expense has been
distributed to the recipient location.
Postage -180
GST Expense Account 90

GST Expense Account 90
8. GL Entries for an Interstate Distribution of Credit Memo to Recipient location as Input Tax Credit (GST
Credit is not available for both the distributor and recipient locations). For example, purchase credit
memo has been raised for INR 1000 and IGST 18% has been charged on the invoice, and the expense has
been distributed to the recipient location.
Postage -180
CGST Expense Account 180
See Also
GST Input Service Distribution Transaction
Transactions for Input Service Distributor
In this document we are going to discuss the process and entries of input service distribution.
Purchase transaction with input service distribution location

2. Select Vendor on Purchase Invoice header.
3. Location code should not be blank on Purchase Invoice header, and Input Service Distribution should be
marked True on Location master.
4. Select G/L Account on Purchase Invoice line for service transaction.
For example, service of INR 10000 purchased by Input Services Distributor where input tax credit is
available, GST 18% (9% CGST and 9% SGST for Intra-State/Intra-Union Territory, 18% for Inter-State
transaction) will be charged on the invoice amount.
CGST 900
SGST 900
G/L Entries for Intra-State Purchase of Services by Input Service Distributor where Input Tax Credit is
CGST Receivable Distributor Account 900
SGST/UTGST Receivable Distributor Account 900
For example, service of INR 10000 purchased by Input Services Distributor where input tax credit is not

CGST 900
SGST 900
G/L Entries for Intra-State Purchase of Services by Input Service Distributor where Input Tax Credit is not
CGST Expense Account 900
SGST/UTGST Expense Account 900
For example, service of INR 10000 purchased by Input Services Distributor where input tax credit is
IGST 1800
G/L Entries for Inter-State Purchase of Services by Input Service Distributor where Input Tax Credit is
IGST Receivable Distributor Account 1800
For example, service of INR 10000 purchased by Input Services Distributor where input tax credit is not
IGST 1800
G/L Entries for Inter-State Purchase of Services by Input Service Distributor where Input Tax Credit is not
IGST Expense Account 1800
Purchase return transaction with input service distribution location

related link.
2. Select Vendor on Purchase Return Order or Purchase Credit Memo header
3. Location code should not be blank on Purchase Return Order or Purchase Credit Memo header, and
Input Service Distribution should be marked True on Location master.
4. Select G/L Account on Purchase Return Order or Purchase Credit Memo line for service transaction.
For example, service of INR 10000 returned by Input Services Distributor where input tax credit is
transaction) will be charged on credit memo.
CGST 900
SGST 900
G/L Entries for Intra-State Purchase Return/Credit Memo of Services by Input Service Distributor where
Input Tax Credit is available, will be as following:
Ser vice Account -10000
CGST Receivable Distributor Account -900
SGST/UTGST Receivable Distributor Account -900
For example, service of INR 10000 returned by Input Services Distributor where input tax credit is not
CGST 900
SGST 900
G/L Entries for Intra-State Purchase Return/Credit Memo of Services by Input Service Distributor where
Input Tax Credit is not available, will be as following:
CGST Expense Account -900
SGST/UTGST Expense Account -900
For example, service of INR 10000 returned by Input Services Distributor where input tax credit is
IGST 1800
G/L Entries for Inter-State Purchase Return/Credit Memo of Services by Input Service Distributor where
Input Tax Credit is available, will be as following:
IGST Receivable Distributor Account -1800
For example, service of INR 10000 returned by Input Services Distributor where input tax credit is not

IGST 1800
G/L Entries for Inter-State Purchase Return/Credit Memo of Services by Input Service Distributor where
Input Tax Credit is not available, will be as following:
IGST Expense Account -1800
See Also
Setting Up Tax Deducted at Source (TDS), as per
the Provisions of the Income Tax Act, 1961
Business Central has included Tax Deducted at Source (TDS) Feature to Indian Localization.
TDS means Tax Deducted at Source . The concept of TDS was introduced with an aim to collect tax from the
very source of income. As per this concept, a person (deductor) who is liable to make payment of specified
nature to any other person (deductee) shall deduct tax at source and remit the same into the account of the
Central Government
Income from several sources is subjected to TDS. Presently this concept of TDS is also used as an instrument in
enlarging the tax base. Some of such incomes subjected to TDS are salary, interest, dividend, interest on
securities, winnings from lottery, horse races, commission and brokerage, rent, fees for professional and
technical services, and payments to non-residents.
The Income Tax Act, 1961 specifies that tax deduction is to be made, for the specified incomes, on credit or on
payment, whichever is earlier.
Setting up TDS
TDS has two different types of setups
Automatic - These setup are done through Tax Engine.
Manual - These setups are done manually by the business users.
Following is the list of setups which will be pre-configured with help of Tax Engine
Tax Types
Tax Entities
Components
Attributes
Rate Setup
For more information about Automatic Setup, see Tax Engine Information.
The following are required to be setup manually
TDS Rate
T.A.N
Assessee Code
TDS Section
Concessional Code
TDS Nature of Remittances
Act Applicable
TDS Posting Setup
TDS Rounding Precision
TDS in Vendor Master
TDS in Location Master
TDS in Company Information
TDS in State Code
To set up TDS rates

Rate of TDS is defined in combination of TDS section and assessee code.
1. Choose the icon, enter Tax Type -> TDS -> Action -> Tax Rates , and then choose the related link.
Section Code Specifies the TDS section code.
Assessee Code Specifies the assessee code.
Effective Date Specifies the date from which rate will be effective.
Concessional Code Specifies the concessional code.
Nature of Remittance Specifies whether the nature of remittance is applicable

or not.
Act Applicable Specifies the applicable act.
Currency Code Specifies the currency code.
TDS % Specifies the TDS rate.
Non PAN TDS % Specifies the TDS rate in case of non availability of PAN.
Surcharge % Specifies the surcharge rate.
eCESS % Specifies the eCess rate.
SHE Cess % Specifies the SHE Cess rate.
Surcharge Threshold Amount Specifies the threshold amount applicable for surcharge.
TDS Threshold Amount Specifies the threshold amount applicable for TDS.
Per Contract Value Specifies the per contract value.
To set up tax accounting period.

Tax Accounting period and quarters need to be defined for TDS calculation.
1. Choose the icon, enter Tax Acc. Period Setup , and then choose the related link.
Code Enter the valid tax type.

Description Specify the description of the tax type.
3. Select the Tax Type -> Action -> Tax Accounting Period -> Create Year, fill the following information and
accounting period will be created.
Tax Type Select the valid tax type.
Star ting Date Specify the starting date of the accounting period.
No. of Periods Specify the number of periods.
Period Length Specify the length of the period.
To set up T.A.N
Tax Deduction Account Number (T.A.N) allotted to a company can be more than one, depending on the number
of branch locations from where the company files its returns. All the account numbers allotted to a company
need to capture here.
1. Choose the icon, enter T.A.N Nos., and then choose the related link.

authority.
TIP
It is mandatory to enter the T.A.N, on all TDS Transactions.
To set up assessee code

Income Tax Act 1961 defines 'Assessee' as a person by whom any tax or any other sum of money is payable
under this Act. The rates of TDS are different for different types of Assessee.
1. Choose the icon, enter Assessee Codes , and then choose the related link.
Code Enter the valid Assessee Code, for example, IND, COM.
Description Enter the description of the assessee code.

Type Select the type of the assessee from drop down list as
Company or Others.
TIP
Type should be selected correctly while creating Assessee codes as it will reflect in eTDS returns.
To set up TDS section

TDS Section represents the various sections under which tax deduction takes place as per the Income Tax Act
1961.
1. Choose the icon, enter TDS Sections , and then choose the related link.
Code Enter the valid TDS Section applicable as per the Income
Tax Act, 1961.
Description Enter the description of the mentioned TDS Section.
e-TDS Specifies the section code to be used in the TDS return.
TIP
User can create any number of sub-sections for a section using Add Sub Section function.
To set up concessional codes

Concessional codes are used for cases authorized for concessional rates exclusively defined by the government.
1. Choose the icon, enter Concessional Codes , and then choose the related link.
Code Enter the valid Concessional Codes applicable as per the

Income Tax Act.
Description Enter the description of the mentioned Concessional

Codes.
To set up TDS nature of remittances

Specifies the type of remittance.
1. Choose the icon, enter Nature of Remittances , and then choose the related link.
Code Enter the valid nature of remittance code applicable.
Description Enter the description of the code.
To set up act applicable

Specifies the Act under which income from Non-resident Indians will be taxed either the Income Tax Act (IT-Act),
or as per the relevant rates prescribed in the relevant Double Tax Avoidance Agreement (DTAA).
1. Choose the icon, enter Act Applicable , and then choose the related link.

Income Tax Act, 1961.
To set up TDS posting setup

Specifies the general ledger account for each TDS Section defined in the system. System will update the TDS
payable amount in the defined general ledger account.
1. Choose the icon, enter TDS Posting Setup , and then choose the related link.
TDS Section Enter the valid TDS Section.
Effective Date Specifies the starting date.
TDS Account Specifies the general ledger account for posting of TDS
payable amount.
To set up TDS rounding precision

Rounding precision for each and every component can be defined in system.
1. Choose the icon, enter Tax Type -> Select TDS -> Tax Component , and then choose the related link.
2. Define the relevant rounding precision against each tax components.
To set up TDS in vendor master

TDS Section and concessional codes need to be defined for each vendor that is liable to TDS. Multiple TDS
sections can be attached to one vendor.
To define the TDS Sections in the Vendor Card
1. Choose the icon, enter Vendors -> Navigate -> Allowed Sections and then choose the
related link.
2. Assessee Code needs to be filled on the vendor master.
3. PAN needs to be filled on vendor master, in case of no PAN is provided, higher rate of TDS will be
deducted.
TDS Section Select the valid section from lookup depending on

the kind of services provided by the vendor.
TDS Section Description Enter the description of the selected section.
Default Section Mark true if the section needs to be defined as

default section.
Threshold Overlook Place a check mark in this field to overlook the TDS
Threshold amount defined in 'Tax Rates'
Surcharge Overlook Place a check mark in this field to overlook the

Surcharge Threshold amount defined in 'Tax Rates'
Non Resident Payment Identify if the TDS Section deals with non-resident.
This identification will help the system to generate
eTDS for Non-Residents.
Nature of Remittance Select the Nature of Remittance.
Act Applicable Select applicable act for generating in eTDS returns.
To define the concessional code in vendor card

1. Choose the icon, enter Vendors -> Navigate -> TDS Concessional Codes and then choose
the related link.
Section Select the valid section from lookup depending on

the kind of services provided by vendor.
Concessional Code Select the valid concessional code from lookup

depending on the kind of services provided by
vendor.
Cer tificate No. Certificate number provided by the vendor can be

defined to justify the lower tax deduction.
To set up TDS in location master

T.A.N needs to be defined on locations from where the company files its returns.
To set up TDS in company information

Following information needs to be defined in company information.
T.A.N No. Specifies the TAN of the legal entity.
P.A.N No. Specifies the PAN of the legal entity.
Deductor Categor y Specifies the deductor category of the legal entity.
PAO Code Specifies the PAO code.
PAO Registration No. Specifies PAO registration number.
DDO Code Specifies DDO code.
DDO Registration No. Specifies the DDO registration number.
Ministr y Type Specifies the Ministry type.
Ministr y Code Specifies the Ministry code.
To set up TDS in state code

State Code for eTDS/TCS needs to be defined on States master.
See Also
TDS Transactions
TDS Calculation on Purchase and Payment
Transactions
TDS can be deducted on expenses (GL Account) transactions. TDS can be deducted on purchase order, invoice
received from vendor or advance payment made to vendor. TDS calculations can be done on following
document types:
Purchase Order
Purchase Invoice
General Journal
Purchase Journal
Mandatory fields for TDS calculation on general journal, purchase

journal, purchase invoice, purchase order.
Create General Journal or Purchase Journal
1. Choose the icon, enter General Journal or Purchase Journal , and then choose the related link.
2. Select Vendor in Account Type and select relevant vendor code in Account No. field. Select G/L
Account in Bal. Account Type and select relevant expense account in Bal. Account No. field.
3. Select relevant TDS Section on journal line. Location Code and T.A.N No. fields should not be
blank.
Create Purchase Invoice or Purchase Order
1. Choose the icon, enter Purchase Invoice or Purchase Order , and then choose the related link.
2. Select Vendor , Location Code on Purchase Order or Purchase Invoice header
3. Select G/L Account on Purchase Order or Purchase Invoice line. s4. TDS Section , Location
Code and T.A.N No. fields should not be blank.
TDS to be calculated on vendor invoice (through general journal, purchase journal, purchase invoice or
purchase order)
In the given scenario, vendor has issued an invoice for INR 50,000 on which 2% TDS is applicable under TDS
Section 194C.
In this case TDS calculation will be as following:
C O M P O N EN T VA L UE
TDS Base Amount 50000
TDS Amount 1000 (50000*2%)
On posting of invoice, GL Entries will be as following:
Expense Account 50000

TDS to be calculated on vendor advance payment (through general journal or payment journal)
In the given scenario, advance payment made to vendor for INR 50,000 on which 2% TDS is applicable under
TDS Section 194C.
TDS Amount 1000 (50000*2%)
On posting of advance payment, GL Entries will be as following:
Bank Account -49000
On receiving the invoice from the vendor, TDS will be calculated on the differential amount. Suppose vendor
sent an invoice of INR 120000. Since TDS has already been calculated at the time of payment, at the time of
invoicing TDS will be calculated on the remaining amount i.e. INR 70000 (1200000 - 50000).
NOTE
Advance payment needs to be applied with the invoice before posting. Otherwise TDS will be calculated on the whole
invoice amount.
TDS to be calculated on non-resident vendor invoice in foreign currency

In the given scenario, vendor issued an invoice for USD 10000 on which 2% TDS is applicable under TDS Section
195. All USD amounts will get converted into INR based on currency exchange rates. For this example exchange
rate has been considered as USD 1 = INR 65.
TDS Base Amount USD 10000 or INR 650000
TDS Amount INR 13000 (INR 650000*2%)
On posting invoice, GL Entries, will be as following:

TIP
Nature of Remittance and Act Applicable are mandatory for NRI Payments.
TDS calculation on higher rate if vendor is not having PAN

PAN of vendor is mandatory for TDS calculation, but in case PAN is not available, higher rate of TDS will be
deducted from the vendor.
In the given scenario, vendor issued an invoice for INR 50000 on which 2% TDS is applicable under TDS section
194C, but PAN is not available for vendor. In such a case 20% TDS will be charged as a higher rate.
TDS Amount 10000 (50000*20%)
On posting invoice, GL Entries, will be as following:
Expenses partially subject to TDS

In the given scenario, vendor issued an invoice for INR 112360, out of which INR 100000 is for auditing
service on which 10% TDS will be applicable under Section 194J. INR 12360 is for other charges on
which TDS is not applicable.
TDS Amount 10000 (100000*10%)
On posting invoice, GL Entries will be as following:

TDS calculation on multiple expenses in a single invoice

A single invoice can be raised by the vendor for multiple expenses. For example, vendor issued a single invoice
for INR 100000; INR 50000 each towards two services under TDS Section 194C and 194J.
TDS percent for 194C 1000 (50,000x2%)
TDS percent for 194J 5000 (50,000x10%)
Expense Account (194C) 50000
Expense Account (194J) 50000
TDS Payable Account (194C) -1000
TDS Payable Account (194J) -5000
TDS on expenses at lower rate or zero rate

If a vendor has a certificate of concessional rate instead of normal rate then to handle that scenario,
concessional codes can be configured and attached to those vendors.
In the given scenario, vendor issued an invoice for INR 100000 towards professional services. Vendor has a
certificate of income tax at Lower rate @ 5% on professional services instead of normal rate.
TDS Amount 5000 (100000*5%)

In this scenario, vendor issued an invoice for INR 100000 towards professional services. vendor has a certificate
of income tax at Zero rate @ 0% on professional services instead of normal rate.
TDS Amount 0 (100000*0%)
NOTE
Concession Code must be selected on vendor master for lower or zero rated TDS transactions.
See Also
TDS Threshold
TDS with Threshold
This topic explains the requirement of threshold amount in TDS and the process of calculating TDS for such
transactions.
TDS calculation considering threshold limits

TDS Threshold defines the threshold limit for each TDS Section. TDS can be deducted only if the total transaction
with the assessee exceeds the threshold limit in the financial year.
In a scenario where, credit or payment to a contractor under TDS Section 194C is below TDS threshold limit of
INR 1,00,000 in aggregate in a financial year and single transaction threshold limit INR 30,000, TDS will not be
deducted.
In the example given below, four transactions of INR 29,000 took place in a financial year, on the fourth
transaction TDS will be deducted as the aggregate (previous transactions) credit or payment amount exceeds
the TDS threshold limit of INR 1,00,000. TDS Calculation as following:
A M O UN T C REDIT ED
PA RT IC UL A RS O R PA ID T DS RAT ES T DS A M O UN T T H RESH O L D L IM IT
First Invoice 29000 2% Zero Less than Single

Transaction Threshold
Limit 30,000
Second Invoice 29000 2% Zero Less than Single

Limit 30,000
Third Invoice 29000 2% Zero Less than Single

Limit 30,000
Forth Invoice 20000 2% 2,140 (2% of Exceeds TDS

1,07,000 i.e. total of Threshold Limit
all invoices) 1,00,000
1. GL Entries for TDS where payment is less than threshold limits (first transaction where vendor has given
the invoice for INR 29,000), will be as following:
Purchases Account 29000
2. GL Entries for TDS where payment is less than threshold limits (second transaction where vendor has
given the invoice for INR 29,000), will be as following:
3. GL Entries for TDS where payment is less than threshold limits (third transaction where vendor has given
the invoice for INR 29,000), will be as following:
4. GL Entries for TDS where payment is more than (exceeding) Threshold limits (forth transaction where
vendor has given the invoice for INR 20,000), will be as following:
TDS Payable Account 2140
See Also
TDS Provisional Entry
TDS on Provisional Entries
As per TDS rules, tax (TDS) has to be deducted at source, when amount is paid or credited to the account of the
payee whichever is earlier. When the amount is credited to suspense account or any provisional account, then it
is treated as amount is credited to the account of the payee and tax has to be deducted at source. Hence, Tax has
to be deducted at source even on provisions made in the books of accounts to which TDS provisions are
applicable.
A provisional entry should be posted before posting an actual entry, on posting of actual entry, provisional entry
will be reversed. As per requirement, TDS to be calculated on provisional entry and on posting of actual entry,
system should not calculate TDS as it is deducted in provisional entry.
For example, provisional expense journal has to be created and posted for INR 10000 against professional
expense and 10% TDS to be calculated on the expense amount.
1. Choose the icon, enter Purchase Journal , and then choose the related link.
Posting Date Specify the date of entry.
Document Type Select Invoice as document type.
Document No. Specify the document number.
Par ty Type Select Vendor as party type.
Par ty Code Select relevant vendor code.
Account Type Select G/L Account.
Account No Select relevant account number for provision entry.
Amount Amount should be negative.
TDS Section Select relevant TDS Section.
Bal. Account Type Select G/L Account as balance account type.
Bal. Account No. Select the relevant expanse account.
Provisional Entr y Mark true.
TDS Amount 1000 (10000*1%)
GL Entries for Provisional Entry, will be as following:
Provisional Account -10000
Vendor Account 1000
• Later invoice created against the provisional entry.

1. Choose the icon, enter Purchase Journal , and then choose the related link.
Posting Date Specify the date of entry.
Document Type Select Invoice as document type.
Document No. Specify the document number.
Par ty Type Select Vendor as party type.
Par ty Code Select relevant vendor code.
Account Type Select Vendor.
Account No Select relevant vendor code.
Amount Amount should be negative.
Bal. Account Type Select G/L Account as balance account type.
Bal. Account No. Select the relevant expanse account.
3. Select Apply Provisional Entry and select the relevant provision entry posted for the vendor.
GL Entries for purchase invoice against provisional entry, will be as following:

Provisional Account 10000
4. On posting of provisional entry Provisional Entries will be created, and once the invoice is applied with
the entry Applied Invoice No. field will be updated with the invoice number.
• If this is found that the provisional entry needs to be reversed, then option of Reverse Transaction and
Reverse Without TDS are available in Provisional Entries.
1. Reverse Transaction will reverse all the posted entries of the selected transaction.
2. Reverse Without TDS will reverse all the posted entries of the selected transaction other than the TDS entry.
3. System will mark the reverse transaction as Reversed After TDS Paid if TDS is paid to the government for
the selected transaction.
See Also
TDS Adjustment Entry
TDS Adjustments
TDS adjustment can be required, for any corrections in the TDS amount, TDS rate or TDS base amount already
deducted but not paid to the government authorities. The revised TDS amount will be updated in the relevant GL
Accounts for TDS Payable and Vendor Account. Existing TDS entry will be updated with revised TDS percentages,
TDS amount and TDS base amount.
TDS adjustment process

1. Choose the icon, enter TDS Adjustment Journal , and then choose the related link.
2. Select the relevant transaction number in Transaction No. field from the drop down, and the selected
line will be populated with the posted record. Following information can be changed in the adjustment
journal as per the requirement:
F IEL D N A M E USE
TDS % Applied Fill the revised TDS %.
TDS Base Applied Fill the revised TDS base amount.
3. On posting of the adjustment journal G/L Entry, TDS Entry, Vendor Ledger Entry and Detailed Vendor
Ledger Entry will be updated with the adjusted amount and revised information.
See Also
TDS Payment to Authority
Payment of TDS to Government Authorities
The TDS that have been deducted on various transactions, needs to be deposited to the government. Payment of
TDS will be handled through Payment Journal or General Journal. Provision available to select the TDS Entries
which assessee needs to pay to government authorities depends on the basis of filters, for example – TAN,
Assesses, Date etc.
1. Choose the icon, enter Payment Journal or Bank Payment Voucher , and then choose the related
link.
2. Select the relevant TDS payable account number in Account No. field -> Select relevant TAN in T.A.N
No. field -> Navigate -> Pay TDS -> then click on TDS, select entries and system will generate TDS
payment entry in the journal line.
3. On posting of the payment journal TDS Entries will be marked as 'Paid'.
4. GL Entries will be as following:
TDS Payable Account 10000
Bank Account -10000
See Also
TDS Overview
Setting Up Tax Deducted at Source (TDS) on
purchase of goods under Section 194Q
NOTE
Business Central has included Tax Collected at Source (TCS) Feature in Indian Localization.
A new TDS section 194Q, on purchase of goods is recently introduced vide the Finance Act, 2021.
This is going to apply to any person, being a buyer responsible for making a payment to a resident for purchase
of goods when value or aggregate of purchase from a supplier or payment whichever is earlier, Rs.50 lacs
during the previous year. The transaction with any supplier with the addition of which your aggregate
purchase/payment for a purchase from that supplier exceeds Rs.50 lacs, will be the transaction effective which
TDS must be deducted @0.10% of the Purchase transaction or payment thereof whichever is earlier. This new
Section 194Q is applicable from 1st July 2021.
Setting Up TDS section 194Q

Following is the list of setups that will be required
TDS Rates
TDS 194Q Opening
To set up TDS rates

The rate of TDS is defined by the combination of the TDS section and assessee code. The rates of tax deduction
may vary for a given period. A new field 'Calc. Over & Above Threshold' has been added on the setup.
1. Choose the icon, enter TDS Section , and then choose the related link.
Calc. Over & Above Threshold This field is created in TDS Setup table, by selecting this
field, system will calculate TDS on amount that is over &
above threshold. If this field is not selected in TDS Setup,
system will calculate TDS normally, i.e., system will
calculate TDS on amount exceeding the specified
threshold amount. If user selects Threshold Overlook
field on NOD/NOC Lines, then, system calculates TDS
normally, i.e., calculate TDS from INR 1 onwards without
considering threshold amount. This field can be selected
for any TDS group, as its application is not limited to
TDS, under Section 194Q.
TDS 194Q Opening
A provision has been made to upload the opening amount, if any, under TDS section 194Q. System only updates
the amount in TDS Entries table for threshold calculation purposes. This amount is not posted into G/L.
1. Choose the icon, enter TDS 194Q Opening , and then choose the related link.
Vendor No. Specifies the vendor number for which 194Q opening is
to be posted.
TDS Section Specify the TDS Section, for which opening entry is to be
posted.
Document No. Specifies the document number, that will appear on the
TDS ledger entries.
Posting Date Specify the date, on which the TDS ledger entries are to
be posted.
Purchase Amount Specify the purchase amount, that must be posted into
TDS Entry table as vendor’s opening entry for Section
194Q.
TDS Threshold Amount Specifies the TDS threshold amount, that is defined on
the TDS setup for TDS Nature of Deduction.
Description Specifies the description of the transaction, to be posted.
To setup Customer
Provision is made available on customer master to capture whether aggregate turnover of customer in the
immediate previous year was below 10 crores or above 10 crores.
1. Choose the icon, enter Customer , and then choose the related link.
Aggregate Turnover This field can be used to define aggregate Turnover in

the immediate previous year exceeds Rs.10 crore to an
assessee. The available options are: Less than 10 Crore,
More than 10 Crore.
See Also
TDS 194Q Transactions
TDS calculation and transactions as per Section
194Q
NOTE
As per new TDS rules, TDS to be deducted to any person, being a buyer responsible for making a payment to a
resident for purchase of goods when value or aggregate of purchase from a supplier or payment whichever is
earlier, Rs.50 lacs during the previous year.
As per this section, any purchase invoices/payments that is over and above the threshold amount (50,00,000).
TDS amount to be deducted on amount exceeding threshold limit. For Example, Buyer buys goods from Seller
amounting to INR. 85 lakhs and is liable to deduct TDS under section 194 Q. In this case TDS to be deducted on
INR. 35 lakhs (85-50) @ 0.1%.
Provision (Calc. Over & Above Threshold) has been provided for user on TDS Rates to calculate TDS on amount
that is over & above threshold.
The existing TDS calculation logic in system will work for invoice and advance payment normally, below are the
functions for example:
TDS Calc. Over & Above Threshold
Normal TDS Calculation
TDS Calculation on Advance Payment
TDS to be calculated on vendor invoice (through purchase invoice or

purchase order).
In the given scenario, vendor has issued an invoice for INR 55,00,000, on which 0.10% TDS is applicable under
TDS Section 194Q. Initial threshold achieved value or opening balance under section 194Q, is INR 20,00,000.
Initial threshold achieved value/ Opening 20,00,000

Balance
1st Transaction, on or after 1st July 21 2000000 – No TDS
2nd Transaction, on or after 1st July 21 1500000 – TDS Calculated
TDS Base Amount 500000 (Total cumulative value 5500000 -5000000)
TDS Amount 500 (500000*0.10%)

On posting purchase invoice of second transaction, GL entries will be as following:
TDS to be calculated on vendor advance payment (through general or

payment journal).
In the given scenario, two advance payments must made to vendor for INR 20,00,000 and 15,00,000
respectively, on which 0.10% TDS is applicable under TDS Section 194Q. Initial threshold achieved value or
opening balance under section 194Q is INR 20,00,000.
Initial threshold achieved value/ Opening 2000000

Balance
1st Transaction, on or after 1st July 21 2000000 – No TDS
2nd Transaction, on or after 1st July 21 1500000 – TDS Calculated
TDS Base Amount 500000 (Total cumulative value 5500000 -5000000)
TDS Amount 500 (500000*0.10%)
On posting purchase invoice of second transaction, GL entries will be as following:
Bank Account -1499500
See Also
TDS 194Q Overview
Setting Up Tax Deducted at Source (TDS) by
Customer, as per the Provisions of the Income Tax
Act, 1961
Business Central has included Tax Deducted at Source (TDS) by Customer Feature to Indian Localization.
TDS is a withholding tax, where tax is deducted by the customer, at the time of making the payment or booking
of the invoice, whichever is earlier. As per the Income Tax Act, 1961, tax needs to be deducted by the payer, when
the payment is of a specific nature. If the TDS is deducted by the customer (deductor), then the user (deductee)
has to calculate TDS on the invoice or revenue and keep a track of TDS deducted. The deductor has to provide
the deductee a TDS certificate.
Setting up TDS
TDS has two types of setup.
Following is the list of setups which will be pre -configured with help of Tax Engine
Tax Types
Tax Entities
Components
Attributes
Rate Setup
For more information about Automatic Setup, see Tax Engine Information.
TDS Rate
T.A.N
Assessee Code
TDS Section
Concessional Code
TDS Posting Setup
TDS on Customer Master
TDS on Location Master
TDS on Company Information
TDS on State Code
To set up TDS rates

Rate of TDS is defined in combination of TDS section and assessee code.
1. Choose the icon, enter Tax Type -> TDS -> Action -> Tax Rates , and then choose the related link.
Section Code Specifies the TDS section code.
Effective Date Specifies the date from which rate will be effective.
Nature of Remittance Specifies whether the nature of remittance is applicable

or not.
Act Applicable Specifies the applicable act.
Currency Code Specifies the currency code.
TDS % Specifies the TDS rate.
Non PAN TDS % Specifies the TDS rate in case of non availability of PAN.
eCESS % Specifies the eCess rate.
TDS Threshold Amount Specifies the threshold amount applicable for TDS.
Per Contract Value Specifies the per contract value.

Tax Accounting period and quarters need to be defined for TDS calculation.
To set up T.A.N.
Tax Deduction Account Number (T.A.N) allotted to a legal entity can be more than one, depending on the number
of branch locations from where the legal entity files its TDs returns. All the account numbers allotted to a legal
entity need to be captured here.
1. Choose the icon, enter T.A.N Nos., and then choose the related link.

authority.

under this Act. The rates of TDS are different for different types of Assessee.
Company or Others.
To set up TDS section

TDS Section represents the various sections under which tax deduction takes place as per the Income Tax Act
1961.
1. Choose the icon, enter TDS Sections , and then choose the related link.
Code Enter the valid TDS Section applicable as per the Income
Tax Act, 1961
Description Enter the description of the mentioned TDS Section.
e-TDS Specifies the section code to be used in the tds return.


Income Tax Act

Codes
To set up TDS posting setup

Specifies the general ledger account for each TDS Section defined in the system. System will update the tds
receivable amount in the defined general ledger account.
1. Choose the icon, enter TDS Posting Setup , and then choose the related link.
TDS Section Specifies the relevant TDS section
Effective Date Specifies the start date of the setup line
TDS Receivable Account Specifies the general ledger account in which receivable
account will be posted.
To set up TDS on customer master

TDS Section and concessional codes need to be defined for each customer, who is liable to deduct TDS. Multiple
TDS sections can be configured for one customer.
To define the TDS Sections on the Customer Card.
1. Choose the icon, enter Customer -> Customer -> Customer Allowed Sections and then
2. Assessee Code needs to be filled on the customer master.
3. PAN needs to be filled on customer master, PAN is mandatory for TDS calculation for customer.
TDS Section Select the valid section from lookup list depending
on the kind of services provided by the customer.
TDS Section Description Enter the description of the selected section.
TDS Cer tificate Receivable This field should be marked as true.
Threshold Overlook Place a check mark in this field to overlook the TDS

To define the concessional code on customer card

1. Choose the icon, enter Customer -> Customer -> TDS Customer Concessional Codes and
Section Select the valid section from lookup list depending

on the kind of services provided by customer.
Concessional Code Select the valid concessional code from lookup list
depending on the kind of services provided by
customer.
Cer tificate No. Certificate number provided by the customer can be

To set up TDS on location master

T.A.N needs to be defined in locations from where the company files its returns.
To set up TDS on company information

Following information need to be defined in company information.
T.A.N. No. Specifies the TAN No. of the legal entity.
PAO Code Specifies the PAO code.
PAO Registration No. Specifies PAO registration number.

DDO Code Specifies DDO code.
DDO Registration No. Specifies the DDO registration number.
Ministr y Type Specifies the Ministry type.
Ministr y Code Specifies the Ministry code.
To set up TDS on state code

State Code for eTDS/TCS needs to be defined in States master.
See Also
TDS Calculation for Customer
TDS for Customer
This topic explains the process of calculating TDS on customer payments.
TDS calculation and tracking of TDS certificate receivable

TDS can be deducted on receiving payment from customer. TDS can be calculated on the following documents:
General Journal
Cash Receipt Voucher
Bank Receipt Voucher
Cash Receipt Journal
TDS certificate will be receivable from customer on receiving the advance payment or issuing sales invoice to
customer. TDS Certificate Receivable can be tracked through following documents:
General Journal
Cash Receipt Journal
Sales Invoice
Mandatory fields for TDS calculation on general journal, cash receipt journal, bank receipt voucher and cash receipt voucher at the
time of TDS calculation
1. Choose the icon, enter General Journal , Cash Receipt Journal , Bank Receipt Voucher or Cash
Receipt Voucher , and then choose the related link.
2. Select Customer in Account Type and select relevant customer code in Account No. field. Select G/L
Account or Bank Account in Bal. Account Type and select relevant cash or bank account in Bal. Account
No. field.
3. TDS Cer tificate Receivable field should be marked true and then select relevant TDS Section on journal
line, Location Code field should not be blank.
Mandatory fields for TDS certificate receivable tracking on general journal, cash receipt journal, bank receipt voucher, cash receipt
voucher and sales invoice
1. Choose the icon, enter General Journal , Cash Receipt Journal , Bank Receipt Voucher , Cash Receipt
Voucher or Sales Invoice , and then choose the related link.
2. TDS Cer tificate Receivable should be marked true on Journal line or Sales Invoice header.
3. TDS Cer tificate Receivable identification will flow into Customer Ledger Entry on posting of the
document.
TDS to be calculated on customer receipts (through general journal, cash receipt journal, bank receipt voucher, cash receipt
voucher)
In the given scenario, advance payment received from customer for INR 50,000 on which 2% TDS is
applicable under TDS Section 194C.

TDS Amount 1000 (50000*2%)
TDS Receivable Account 1000
Bank Account 49000
TDS certificate is receivable against payment received from customer or against customer sales invoice
It is required to identify the payment or invoice transaction against which TDS certificate is receivable while
receiving the payment from customer who has deducted TDS or issuing the sales invoice on which TDS has
been deducted, it is required to identify the payment or invoice transaction against which TDS certificate is
receivable.
1. Choose the icon, enter General Journal , Cash Receipt Journal , Bank Receipt Voucher , Cash Receipt
Voucher or Sales Invoice , and then choose the related link.
2. TDS Cer tificate Receivable should be marked true on Journal line or Sales Invoice header.
3. TDS Cer tificate Receivable identification will flow into Customer Ledger Entry on posting of the
document.
See Also
TDS Certificate Update
TDS Certificate Tracking
This topic explains how to track and update the TDS certificate receivable or received from a customer.
TDS certificate details assign, update and rectification process

Assign TDS certificate details
Customer Ledger entries, which are not marked, against which TDS certificate is receivable can be
assigned separately. Provision is available to mark the posted customer transactions (invoices or
payments) for which TDS certificate is receivable.
1. Choose the icon, enter Update TDS Cer tificate Details , and then choose the related link.
2. Select relevant customer code in Customer No. field then Acton -> Function -> Assign TDS Cert.
Details, system will open the customer ledger entry of the customer. Select and update the relevant
documents by marking 'TDS Certificate Receivable' field true. Marked document will be removed from
the 'Assign TDS Cert. Details' page and will be added in 'Update TDS Cert. Details' page.
3. System will update the 'TDS Certificate Receivable' field as true in Customer Ledger Entry.
Update TDS certificate details
After receiving the TDS Certificate, it is required to update the TDS certificate details.
2. Select relevant information in Customer No., Cer tificate No., Date of Receipt , Cer tificate TDS
Amount , Financial Year , TDS Receivable Group , the Acton -> Function -> Update TDS Cert.
Details, system will open the customer ledger entry of the customer for which 'TDS Receivable for
Customer' is marked true.
3. Select and update the relevant documents for which company has received the TDS Certificate by
marking 'TDS Certificate Received' field true and update. Marked document will be removed from the
'Update TDS Cert. Details' page and will be added in 'Rectify TDS Cert. Details' page.
4. System will update the customer ledger entry of the selected document with the input data.
Rectify TDS certificate details
Rectification of updated details may also be required just in case some wrong information is provided
earlier.
2. Select relevant customer code in Customer No. field then Acton -> Function -> Rectify TDS Cert.
Details, system will open the customer ledger entry for which TDS certificate details are updated.
3. Select and update the relevant documents by marking 'TDS Certificate Receivable' field false. Marked
document will be removed from the 'Rectify TDS Cert. Details' page and will be added in 'Update TDS
Cert. Details' page.
4. System will remove the details related to TDS certificate from Customer Ledger Entry.
See Also
TDS for Customer Overview
Setting Up Tax Collected at Source (TCS), as per the
Provisions of the Income Tax Act, 1961
Business Central has included Tax Collected at Source (TCS) Feature in Indian Localization.
TCS means Tax Collected at Source is one of the methods for tax collection by the government. It follows the
principle of ‘You pay while you earn’. While ‘Tax Deducted at Source’ (TDS) requires the payer to deduct tax at
source and remit the tax to the Government, ‘Tax Collected at Source’ (TCS) requires the receiver or seller to
collect tax at source and remit it to the Government. The purpose of this provision is to eliminate tax evasion in
certain trades.
Setting up TCS
TCS has two types of setup.
Following is the list of setups that will be pre -configured with the help of Tax Engine
Tax Types
Tax Entities
Components
Attributes
Rate Setup
For more information about Auto Setup, see Tax Engine Information.
TCS Rates
T.A.N
Assessee Code
TCS Nature of Collection
Concessional Code
TCS Posting Setup
TCS on Customer Master
TCS on Location Master
TCS on Company Information
TCS on State Code
To set up TCS rates

Rate of TCS is defined in combination of TCS nature of collection and assessee code.
1. Choose the icon, enter Tax Type -> TCS -> Action -> Tax Rates , and then choose the related link.
TCS Nature of Collection Specifies the nature of collection of TCS.
Effective Date Specifies the effective date.
TCS % Specifies the TCS rate.
Non PAN TCS % Specifies the TCS rate in case of non availability of PAN.
e Cess % Specifies the eCess rate.
TCS Threshold Amount Specifies the threshold amount applicable for TCS.
Contract Amount Specifies the contract amount.

Tax Accounting period and quarters need to be defined for TCS calculation.

To set up T.C.A.N.
Tax Collected Account Number (T.C.A.N.) allotted to a company can be more than one, depending on the number
of branch locations from where the company files its returns. All the account numbers allotted to a company
need to be captured here.
1. Choose the icon, enter T.C.A.N Nos., and then choose the related link.
Code Enter the valid registration number provided by tax

department.
TIP
It is mandatory to enter the T.C.A.N. on all TCS Transactions.

under this Act. The rates of TCS are different for different types of Assessee.
Company or Others.
TIP
Type should be selected correctly while creating Assessee codes as it will reflect in eTDS returns.
To set up TCS nature of collection

TCS Nature of Collection represents the various types of payments received for which TCS rates have been
specified under the provisions of section 206C of the Income Tax Act 1961.
1. Choose the icon, enter TCS Nature of Collection , and then choose the related link.
Code Enter the valid TCS Nature of Collection applicable as per

the Income Tax Act, 1961
Description Enter the description of the mentioned TCS Nature of

Collection.


Income Tax Act

Codes
To set up TCS posting setup

Specifies the general ledger account for each TCS Nature of Collection defined in the system. System will update
the TCS payable amount in the defined general ledger account.
1. Choose the icon, enter TCS Posting Setup , and then choose the related link.
TCS Nature of Collection Enter the valid TCS nature of collection.
Effective Date Specifies the starting date.
TCS Account Specifies the general ledger account for posting of TCS
payable amount.
To set up TCS on customer master

TCS nature of collection and concessional codes need to be defined for each customer that is liable to TCS.
Multiple TCS NOC can be attached to one customer.
To define the TCS Nature of Collection on the Customer Card
1. Choose the icon, enter Customers -> Customer -> Allowed NOC and then choose the
related link.
2. Assessee Code needs to be filled on the customer master.
3. PAN needs to be filled on customer master. If no PAN is provided, higher rate of TCS will be
deducted.
TCS Nature of Collection Select the valid category from lookup list depending
on the kind of product sold to the customer.
Description Enter the description of the selected Nature of

Collection.
Default NOC Mark true if the Nature of Collection needs to be

defined as default NOC.
Threshold Overlook Place a check mark in this field to overlook the TCS

To define the concessional code on customer card

1. Choose the icon, enter Customers -> Customer -> Customer Concessional Codes and
TCS Nature of Collection Select the valid Nature of Collection from lookup list
depending on the kind of product sold by customer.
Description Enter the description of the selected Nature of

Collection.
Concessional Code Select the valid concessional code from lookup list
depending on the kind of product sold by customer.
Concessional Form No. Certificate number provided by the customer can be

To set up TCS on location master

T.C.A.N. needs to be defined for locations from where the company files its returns.
To set up TCS on company information

Following information needs to be defined on company information.
T.C.A.N No. Specifies the TCAN of the legal entity.

Circle No. Specifies circle number.
Assessing Officer Specifies the assessing officer.
Ward No. Specifies the ward number.
To set up TCS on state code

State Code for eTDS/TCS needs to be defined on States master.
See Also
TCS Transactions
TCS Calculation on Sales and Receipt Transactions
TCS can be collected on goods (Items) and services (G/L Account) transactions. TCS calculations can be done
through following documents:
Sales Order
Sales Invoice
Sales Return Order
Sales Credit Memo
General Journal
Sales Journal
TCS calculation on general journal, sales journal, cash receipt journal,

sales invoice, sales order, sales return order, sales credit memo.
Create General Journal, Sales Journal, Cash Receipt Journal or Bank Receipt Journal
1. Choose the icon, enter General Journal , Sales Journal , Cash Receipt Voucher or Bank
2. Select Customer in Account Type and select relevant customer code in Account No. field.
3. Select G/L Account or Bank Account in Bal. Account Type and select relevant expense account in
Bal. Account. No. field.
4. Select relevant TCS Nature of Collection in journal line. Location Code and T.C.A.N No. fields
should not be blank.
Create Sales Invoice or Sales Order
1. Choose the icon, enter Sales Invoice , Sales Order , Sales Return Order or Sales Credit
Memo , and then choose the related link.
2. Select Customer , Location Code on Sales Order , Sales Invoice , Sales Return Order or Sales
Credit Memo header.
3. Select G/L Account or Item Code on Sales Order , Sales Invoice , Sales Return Order or Sales
Credit Memo line.
4. TCS Nature of Collection , Location Code and T.C.A.N No. fields should not be blank.
TCS to be calculated on customer invoice (through general journal, sales journal, sales invoice or sales order)
For example, invoice has been issued to customer for INR 10,000 on which 1% TCS is applicable for Nature of
Collection 'Scrap'.
In this case TCS calculation will be as following:
TCS Base Amount 10000
TCS Amount 100 (10000*1%)

TCS to be calculated on customer advance payment (through general

journal, cash receipt journal)
For example, advance payment received from customer for INR 10,000 on which 1% TCS is applicable for
Nature of collection 'Scrap'
TCS Amount 99 (10000x1%/101)
Bank Account 10000
Adjustment of calculated TCS on advance payment against sales

invoice
TCS which has been calculated on advance payment can be adjusted while creating Sales Invoice against that
advance payment. TCS will not be calculated on Customer Invoices if advance payment, on which TCS has
already been calculated, is applied to the invoice. System should check the TCS base amount on which TCS has
been calculated on advance payment with the line amount of Sales Invoice and TCS will only be calculated on
the line amount which is more than the TCS base amount. For example: If TCS base amount was 10,000.00 in
advance payment and line amount is 20,000.00 on sales invoice, then TCS will be calculated on 10,000.00 on
sales invoice.
GL Entries for TCS on Customer advance payment using Cash Receipt Journal, will be as following:
Bank Account 10000

GL Entries for TCS on Customer Invoice using Sales Invoice against advance payment, will be as
following:
NOTE
TCS is calculated after adjusting the TCS amount which was earlier calculated on advance payment.
TCS to be calculated on non-resident customer invoice in foreign

currency
For example, invoice has been raised to foreign customer for USD 10,000 on which 1% TCS is applicable for
Nature of collection 'Scrap'. All foreign currency amounts will get converted into INR based on currency
exchange rates. Exchange rate considered for this example is 1 USD = 65 INR.
TCS Base Amount USD 10000 or INR 650000
TCS Amount INR 6500(650000x1%)
TCS calculation on higher rate if customer is not having PAN

For example, invoice has been raised to customer for INR 50,000 on which 1% TCS is applicable for Nature of
collection 'Scrap'. But if there is no PAN available for customer then higher TCS of 5% is applicable.
TCS Amount 2500(50000x5%)
TCS calculation on multiple nature of goods in single invoice

For example, invoice has been raised to customer for INR 1,00,000. INR 50,000 each towards two nature of
goods 'Scrap' and 'Timber'.
TCS Amount on Scrap 500(50000x1%)
TCS Amount on Timber 2500(50000x5%)
TCS Payable Account - Scrap -500
TCS Payable Account - Timber -2500
Sales Account - Scrap -50000
Sales Account - Timber -50000
TCS on sale of scrap @ lower rate

For example, invoice has been raised to customer for INR 1,00,000 towards sale of Scrap. Customer has a
certificate of income tax at Lower rate @ 0.5% on Scrap instead of normal rate.
TCS Amount 500(100000x0.5%)
TCS on sale of scrap @ zero rate

For example, invoice has been raised to customer for INR 1,00,000 towards sale of Scrap. Customer has a
certificate of income tax at Zero rate @ 0% on Scrap instead of normal rate.
TCS to be calculated on sales return (sales return order or sales credit

memo)
For example, sales return from customer for INR 10,000 on which 1% TCS is applicable for Nature of collection
“Scrap”.

Sales Account 10000
TCS Payable Account 100
NOTE
If Credit Memo is created before remittance of Tax to government, then TCS entries will get reversed proportionately, on
the basis of the quantity returned. In case TCS amount has been remitted to Income Tax department, TCS Payable account
will not be reversed.
See Also
TCS Threshold
TCS with Threshold
This topic explains the requirement of threshold amount in TCS and the process of calculating TCS for such
transactions.
TCS calculation considering threshold limits

TCS threshold defines the threshold limit for each TCS Nature of Collection. TCS can be deducted only if the total
transaction with the assessee exceeds the threshold limit in the financial year.
If a payment under TCS Type A is below Threshold INR 20,000, no tax will be collected. Another factor to be
considered is the aggregate of total payments to be made in a year. If for a customer it is expected that the
threshold limit would be crossed eventually, it means Threshold is overlooked. Hence, payments received from
customers can cross the TCS threshold of INR 20,000. However, if the payment expected is below the threshold
limit defined, TCS will not be collected.
1. GL Entries for TCS where payment is less than the threshold limits, will be as following:
2. GL Entries for TCS where payment is more than (exceeding) Threshold limits, will be as following:
Bank Account 10000
See Also
TCS Adjustment Entry
TCS Adjustment Entries
TCS adjustment is applicable for any correction of the TCS amount, TCS rate and TCS base amount already
calculated but not paid to the government authorities. Provision is available to enter the new TCS rates, new TCS
amount and new TCS base amount for the TCS entry which was created against invoice or payment and not paid
to the government authorities. System should recalculate TCS amount and adjustments would be made
accordingly. The revised TCS amount should be updated in the relevant GL Accounts for TCS Payable and
Customer Account. Existing TCS entry should be updated with revised TCS percentages, TCS amount and TCS
base amount.
TCS adjustment process

1. Choose the icon, enter TCS Adjustment Journal , and then choose the related link.
2. Select the relevant transaction number in Transaction No. field from the drop down, and the selected
line, will get populated with the posted record. Following information can be changed, in the adjustment
journal as per the requirements:
F IEL D N A M E USE
TCS % Applied Fill the revised TCS %.
Surcharge % Applied Fill the revised Surcharge %.
eCESS % Applied Fill the revised eCess %.
SHE Cess % Applied Fill the revised SHE Cess %.
TCS Base Applied Fill the revised TCS base amount.
3. On posting of the adjustment journal G/L Entry, TCS Entry, Customer Ledger Entry and Detailed
Customer Ledger Entry will be updated with the adjusted amount and revised information.
See Also
TCS Payment to Authority
Payment of TCS to Government Authorities
The TCS that have been collected from various transactions, need to be deposited to the government. Payment
of TCS will be handled through Payment Journal/Bank Payment Voucher. Provision to select the TCS Entries
which assessee needs to pay to the government authorities depends on the basis of filters, for example, T.C.A.N,
Assesses, Date etc.
1. Choose the icon, enter Payment Journal or Bank Payment Voucher , and then choose the related
link.
2. Select the relevant TCS payable account in Account No. field -> select the relevant TCAN in T.C.A.N No.
field -> Navigate -> Tax Payments -> TCS -> then click on TCS.
3. Select entries and system will generate TCS payment entry on the journal line.
4. On posting of the payment journal TCS Entries will be marked as 'Paid'.
5. GL Entries will be as following:
Bank Account -10000
See Also
TCS Overview
Setting Up Tax Collected at Source (TCS), for the
Section 206C(1H)
Business Central has included Tax Collected at Source (TCS) Section 206C(1H) Feature in Indian Localization.
A new TCS section 206C (1H) has been introduced in finance bill 2020. As per new section, a seller has to collect
TCS from buyer on any sales of Goods, where aggregate value of sales exceeds INR 50,00,000 (Threshold
Amount) within same financial year. TCS to be collected on amount that is over & above INR 50,00,000, for
example: Threshold amount is INR 50,00,000, TCS to be collected on amount that is more than INR 50,00,000.
TCS % varies for PAN and Non-PAN customers. A Seller whose turnover is more than INR 10,00,00,000 Crore in
previous financial year is eligible to collect TCS under section 206C(1H).
Setting up TCS Section 206C(1H)

Following is the list of setups that will be required
TCS Nature of Collection
TCS Rates
To set up TCS nature of collection

TCS Nature of Collection represents the various types of payments received for which TCS rates have been
specified under the provisions of section 206C(1H) of the Income Tax Act 1961. A new field 'TCS On Recpt Of
Pmt.' has been added on the setup.
1. Choose the icon, enter TCS Nature of Collection , and then choose the related link.
TCS On Recpt Of Pmt. User will not be able to select TCS Nature of Collection
on sales invoice and credit memo lines where 'TCS on
Recpt. Of Pmt.' is TRUE.
To set up TCS rates

Rate of TCS is defined in combination of TCS nature of collection and assessee code. A new field 'Calc. Over &
Above Threshold' has been added on the setup.
1. Choose the icon, enter Tax Type -> TCS -> Action -> Tax Rates , and then choose the related link.

Calc. Over & Above Threshold This field is created in TCS Setup table, by selecting this
field, system will calculate TCS on amount that is over &
above threshold. If this field is not selected in TCS Setup,
system will calculate TCS normally, i.e. system will
calculate TCS after crossing the specified threshold
amount. If user selects Threshold Overlook field on
NOD/NOC Lines, then, system calculates TCS normally,
i.e. calculate TCS from INR 1 onwards without
considering threshold amount. This field can be selected
for any TCS group, there is no restriction for selecting
this for only 1H.
See Also
TCS 206C-1H-Transaction
TCS Calculation and Transactions as per Section
206C(1H)
As per new TCS rules, TCS is to be collected on receipt of payment that is over and above the threshold amount,
the threshold amount is INR 50,00,000. User will receive payment from customer for sales of goods and
services, TCS is to be calculated on receipt of payment for sale of goods.
Provision has been provided to enter amount on which TCS can be calculated on the event of receipt of payment
from customer. In addition to it, provision for selecting posted sales lines for updating amount in 'TCS on Recpt.
Of Pmt. Amount' in payment line has been provided. By this way, user will be able to update / enter applicable
amount for TCS calculation in 'TCS on Recpt. Of Pmt. Amount' field.
When calculating TCS in payment lines, TCS Base amount will be considered from 'TCS on Recpt. Of Pmt.
Amount' field instead of transaction amount. TCS calculation on payment lines should be same as TCS
calculation on Invoices. If TCS Nature of Collection selected in payment line has 'TCS on Recpt. Of Pmt.' field as
'TRUE' in TCS Nature Of Collection table, then system should calculate TCS with Invoice logic, where TCS is
calculated on forward calculation.
TCS calculation on customer payments under section 206C(1H).

Create General Journal, Cash Receipt Journal or Bank Receipt Journal
2. Select Document Type as Payment .
4. Fill the Amount field with the credit amount.
7. TCS On Recpt. Of Pmt. Amount can be updated in two different ways. One is you can put the
amount directly in this field, else you can go to Action > Function > Get Open Posted Lines For
TCS Payment , and select sales lines that are applicable for receipt of payment. System will update
sum of the selected lines in 'TCS On Recpt. Of Pmt. Amount' field on payment journal line.
8. If TCS Nature of Collection selected in payment line has TCS on Recpt. Of Pmt. field marked as
'TRUE' in TCS Nature Of Collection table, then system should calculate TCS on TCS On Recpt. Of
Pmt. Amount , and should not calculate TCS on line amount.
TCS to be calculated on customer receipt (through general journal, cash receipt journal and bank receipt
journal)
For example, payment has been received from customer for INR 1,00,000 on which 0.10 % TCS is applicable for
Nature of Collection '1H', 'TCS on Recpt. Of Pmt. Amount' is INR 75,000 hence 'TCS Base Amount' is also INR
75,000.
TCS Base Amount 75,000
TCS Amount 75 (75000 x 0.10 %)
Bank Account 100000
Customer Account 75
TCS calculation on customer payments under section 206C(1H) and

where GST is also applicable.
Create General Journal, Cash Receipt Journal or Bank Receipt Journal
2. Select Document Type as Payment .
4. Fill the Amount field with the credit amount.
7. TCS On Recpt. Of Pmt. Amount can be updated in two different ways. One is you can put the
amount directly in this field, else you can go to Action > Function > Get Open Posted Lines For
TCS Payment , and select sales lines that are applicable for receipt of payment. System will update
sum of the selected lines in 'TCS On Recpt. Of Pmt. Amount' field on payment journal line.
8. If TCS Nature of Collection selected in payment line has TCS on Recpt. Of Pmt. field marked as
'TRUE' in TCS Nature Of Collection table, then system should calculate TCS on 'TCS On Recpt. Of
Pmt. Amount' , and should not calculate TCS on line amount.
9. Select GST Group Code and HSN/SAC Code then click on GST on Advance Payment . GST should
be calculated normally as back ward calculation.
TCS to be calculated on customer receipt (through general journal, cash receipt journal or bank receipt
journal)
For example, payment has been received from customer for INR 1,00,000 on which 0.10 % TCS is applicable for
Nature of Collection '1H', 'TCS on Recpt. Of Pmt. Amount' is INR 55,000 hence 'TCS Base Amount' is also INR
55,000. GST 18% will also be charged.
TCS Base Amount 75,000
TCS Amount 55 (55000 x 0.10 %)
GST Base Amount 84,745.76
GST Amount 15,254.24 (84745.76*18/100)
Bank Account 100000
Customer Account 55
GST Receivable 15,254.24
GST Payable -15,254.24
See Also
TCS 206C-1H-Overview
Overview of Voucher Interface
Business Central has included Voucher Interface Feature to Indian Localization.

Feature required to provide the voucher interface as per Indian business requirements to record the day-to-day
transactions in following vouchers:
Journal Voucher - Entries which are neither affecting the Cash Account nor the Bank account are termed as
Journal Vouchers
Bank Receipt Voucher - Used for transactions that will debit the Bank Account.
Bank Payment Voucher - Used for transactions that will credit the Bank Account.
Cash Receipt Voucher - Used for transactions that will debit the Cash Account.
Cash Payment Voucher - Used for transactions that will credit the Cash Account.
Contra Voucher - Entries which are affecting the Cash and Bank Account together, are termed as Contra
Vouchers. For example, Withdrawal from bank.
Setting up voucher interface

The following setups are required for voucher interface
General Journal Template
General Journal Batch
General Voucher Setup
To set up general journal template

Journals are used for different types or groups of entries, such as purchases, payments, sales, and receivables.
Each journal type is set up with its own journal template. Journal templates provide the basic journal structure
where business users can specify default information for all batches created using the template.
1. Choose the icon, enter General Journal Template , and then choose the related link.
Name Specifies unique identifier for the template.
Description Specify the short description for the template.
Type Specifies the structure and functions of the journal page.
Recurring Specifies if the journal is to be used to make recurring

entries. Each journal type can be used for recurring
purposes
Bal. Account Type Identifies the default balancing account type for all
journal lines in all batches created under this template.
Bal. Account No. Identifies the default balancing account number for all
journal lines in all batches created under this template.
No. Series Identifies the default number series used to assign

document numbers to journal lines in journal batches
created using this template.
Posting No. Series Identifies the document number used to assign to ledger
entries posted from journal batches created using this
template.
Source Code Identifies the point of origin for an entry and forms the
basis for the audit trail. It is filled in automatically when
selecting the Type of the General Journal template. It is
assigned to all journal batches created from this
template.
Reason Code Describes why an entry was made and can be used for
the audit trail. Reason codes also provide opportunities
for problem patterns analysis. The selected reason code
is assigned as a default to all journal batches created
from this template.
Force Doc. Balance Specifies whether entries posted in this general journal
template must balance by document number and
document type. If this field is empty, the program
balances the journal by date only.
Increment Batch Name Specifies if batch name using this template are
automatically incremented
To set up general journal batch

Journal batches are created based on the journal templates. All journal batches created from a specific template
have the same structure, default settings, and information defined in the template. However, since these settings
are defaults, business users can change them for a specific journal batch. Batches are typically used to separate
one user's entries from another. For example, User-A and User-B both work on general journal entries. User-A
typically makes entries and posts them later when they are approved. To keep User-B's entries from becoming
mixed with User-A's entries, separate batches can be assigned to the two users.
1. Choose the icon, enter General Journal Template , and then choose the related link.
2. general Journal Template -> Navigate -> Template -> Batches
Name Specifies unique identifier for the batch.
Description Specify the short description for the batch.
Bal. Account Type Identifies the default balancing account type for all
journal lines in all batches created under this batch.
Bal. Account No. Identifies the default balancing account number for all
journal lines in all batches created under this batch.
Location Code Specifies the default location code for the batch.
No. Series Identifies the default number series used to assign

document numbers to journal lines in journal batches
created using this batch.
Posting No. Series Identifies the document number used to assign to ledger
entries posted from journal batches created using this
batch.
Reason Code Describes why an entry was made and can be used for
the audit trail. Reason codes also provide opportunities
for problem patterns analysis. The selected reason code
is assigned as a default to all journal batches created
from this batch.
Suggest Balancing Amount Specifies the amount field on journal lines for the same
document number is automatically pre filled with the
value which is required to balance the document.
To set up voucher setup

Voucher setup is done to define the type of voucher, related transaction direction and default account number.
Voucher setup can be defined from company information and location.
Voucher setup on company information
2. Company Information -> Voucher Setup
Type Specifies the structure and functions of the journal

page, i.e. Cash Receipt Voucher, Bank Payment
Voucher etc.
Posting No. Series Identifies the document number used to assign to

ledger entries posted from journal batches created
using this type.
Transaction Direction Specifies the direction of the transaction, if debit then

select the type and account number in Debit
Account else in Credit Account .
Voucher setup on location

2. Locations -> Process -> Voucher Setup
Type Specifies the structure and functions of the journal

page, i.e. Cash Receipt Voucher, Bank Payment
Voucher etc.
Posting No. Series Identifies the document number used to assign to

ledger entries posted from journal batches created
using this type.
Transaction Direction Specifies the direction of the transaction, if debit then

select the type and account number in Debit
Account else in Credit Account .
See Also
Voucher Interface Transaction
Voucher Transaction
This topic explains the process of recording day-to-day transactions through voucher interface.
Type of vouchers and transactions

Following are the vouchers needed to record the transactions like Cash, Bank, and Journals for this functionality:
Cash Receipt Voucher: Entries which affect the Cash accounts while receiving cash payments from customers
or refund from vendor.
Cash Payment Voucher: Entries which affect the Cash accounts while making cash payments to vendors or
refund to customer
Bank Receipt Voucher: Entries which affect the Bank accounts while receiving payments from customers or
refund from vendor.
Bank Payment Voucher: Entries which affect the Bank accounts while making payments to vendors or refund
to customer.
Contra Voucher: Entries which affect the Cash and Bank Account together are termed as Contra Vouchers. For
example, withdrawal from bank is one such transaction.
Journal Voucher: Entries which are affecting neither the Cash Account nor the Bank account are termed as
Journal Vouchers.
Mandatory fields for voucher entries through voucher interface

1. Choose the icon, enter Cash Receipt Voucher , Cash Payment Voucher , Bank Receipt Voucher ,
Bank Payment Voucher , Contra Voucher or Journal Voucher , and then choose the related link.
2. Following are the mandatory fields for any type of voucher entry:
Posting Date Specify the posting date.
Document Type Specify document type as per transaction requirement

i.e. Payment, Refund etc.
Document Number Specifies the document number, this can be manually

entered or auto populated from general journal template
or batch.
Account Type Select relevant account type, i.e. Customer, Vendor, G/L
Account, Bank etc.
Account No. Select the relevant account number
Debit Amount Specify the debit amount
Credit Amount Specify the credit amount

Balance Account Type Select relevant account type, i.e. Customer, Vendor, G/L
Account, Bank etc.
Balance Account No. Select the relevant account number
Cheque No. Specify the cheque number, only applicable for bank
payment and receipt voucher.
Cheque Date Specify the cheque date, only applicable for bank
payment and receipt voucher.
Line Narration Specify the line narration of the journal lines, can be
provided for each line.
Voucher Narration Specify the voucher narration, this will be a single

narration for the whole document.
Posted general ledger entries for each voucher

Payment received in cash from customer for INR 10,000 through Cash Receipt Voucher.
Cash Account 10000
TIP
Cash will always be debited in Cash receipt voucher.
Payment made in cash to vendor for INR 10,000 through Cash Payment Voucher.
Cash Account -10000
TIP
Cash will always be credited in Cash payment voucher.
Payment received by cheque from customer for INR 10,000 through Bank Receipt Voucher.
Bank Account 10000
TIP
Bank will always be debited in Bank receipt voucher.
Payment made by cheque to vendor for INR 10,000 through Bank Payment Voucher.
Bank Account -10000
TIP
Bank will always be credited in Bank payment voucher.
Payment made by cheque to vendor for INR 12,000 and INR 200 as Bank Charges through Bank Payment
Voucher.
Bank Account -12200
Bank Charges Account 200
TIP
Bank will always be credited in Bank payment voucher.
Cash Withdrawn/deposited or Transfer between bank accounts through Contra Voucher, for example
Cash Withdrawn from Bank for INR 10,000.
Bank Account -10000
Cash Account 10000

TIP
Only Bank or Cash accounts can be allowed in Contra Voucher.
Expense booked for INR 10,000 and crediting Vendor through Journal Voucher.
Expenses Account 10000
TIP
Bank and Cash accounts are not allowed in Journal Voucher.
Opening balances for GST

GST opening balances shall be created in Business Central. In Journal Voucher, options available to provide the
opening balances for –
GST Credit
GST Liability
GST TDS Credit
GST TCS Credit
NOTE
Only positive amounts are allowed for GST Credit opening balances.
Only negative amounts are allowed for GST Liability opening balances.
System should record the values in GST Sub-Ledger.
TDS and TCS payment to government

It is required to pay the TDS and TCS to government authorities through Bank/Cash Payment Vouchers.
Provision is available to select the TDS and TCS sub-ledger entries by applying filters like Companies/Non-
Companies, etc. and on the basis of TAN and TCAN Numbers.
NOTE
Details are available in respective TDS and TCS documents.
See Also
Voucher Interface Overview
Setting Up Fixed Asset for Depreciation Calculation
Overview
Business Central has included Fixed Asset Depreciation Calculation Feature to Indian Localization.
Computation of Depreciation on Block of Assets under the Income Tax Act, 1961 and computation of
Depreciation under Companies Act,2013.
Setting up Fixed Asset for Depreciation Calculation
Following is the list of Setups, user needs to configure for Fixed Assets in Business Central
Depreciation Book
FA Accounting Period Income Tax
FA Block Code
Setup for Additional Depreciation
To set up FA Depreciation Books

Fixed assets must have a depreciation book to record depreciations for the fixed assets.
No. of Days Non Seasonal Specifies the number of non seasonal days.
No. of Days Seasonal Specifies the number of seasonal days.
FA Book Type Specifies whether the book type is Income Tax or not.
Depr. Threshold Days Specifies the threshold days for depreciation calculation.
Depr. Reduction % Specifies the reduction percentage for depreciation

calculation.
To set up FA Accounting Period for Income Tax

Fixed Asset Income Tax Accounting Period needs to be created for depreciation calculation.
1. Choose the icon, enter FA Accounting Period for Inc. Tax , and then choose the related link.
Name Specify the name of months.

New Fiscal Year Specify which month is the starting of a new fiscal year.
To set up FA Block Code

Fixed Asset Block Code is required for depreciation calculation for Income Tax Act.
1. Choose the icon, enter FA Classes -> select relevant class and click on Blocks , and then choose the
related link.
Code Enter the relevant code of the block.
Description Specify the description of the block.
Book Value Specifies the total book value of the block.
Depreciation % Specify the depreciation percentage of the block.
No of Assets Specifies the total number of asset of the block.
Add Depreciation % Specifies the additional depreciation percentage of the

block.
FA Class Code Specifies the fixed asset class code for which the block is
attached.
To set up Additional Depreciation

Setup needs to be done to calculate additional depreciation for Fixed Assets.
1. Choose the icon, enter Fixed Assets , and then choose the related link. Then select relevant Fixed Asset ->
Click on Add. Depr. Applicable .
See Also
Fixed Asset Depreciation
FA Depreciation Calculation
FA Depreciation Calculation with FA Block and Additional Depreciation

FA Block
Depreciation is allowed on block of assets. Block of assets is a group of assets falling within a class of assets. For
Example :
Tangible assets, being building, machinery, plant or furniture,
Intangible assets, being know how, patents, copyrights, trade-marks, licenses, franchises or any other
business or commercial rights of similar nature
Additional Depreciation
In case of any new machinery or plant acquired and installed after March 31, 2005 by an assessee who is
engaged in the business of manufacturing or production of any article or thing - additional depreciation under
Income Tax Act of 20% of actual cost shall be allowed. Where the asset is used for less than 180 days then 50%
depreciation i.e, 1/2 of 20% (i.e. 10%) is available (Balance 50% of Additional Depreciation can be claimed in next
year)
To calculate depreciation with FA Block and Additional Depreciation
1. Go to relevant Fixed Asset and Add. Depr. Applicable field should be marked true on General Tab.
2. Select the relevant FA Block Code on Posting Tab of Fixed Asset card, Add. Depreciation % should have
a value on the selected block code.
3. Select Depreciation Book as Income Tax on Depreciation Book of Fixed Asset Card.
4. Run the Calculate Depreciation batch job, fill the necessary fields and click ok to calculate depreciation.
5. The batch job calculates the depreciation and creates lines in the fixed asset journal.
FA Depreciation Calculation with Multiple Shifts

Shift depreciation is used when manufacturing companies have multiple production shifts for parts of the year.
For example, a company can have one, two, or three shifts during high production season but only one shift
during the rest of the year. This means that some fixed assets are used more often than normal during the high
production season and they would experience greater depreciation during that time. Being able to adjust the
fixed asset's depreciation rates higher makes sense if the fixed asset is active for more than one shift. User can
adjust the depreciation using calculated depreciation that is unique to each shift.
To calculate depreciation with multiple shifts
1. Go to relevant Fixed Asset , select Depreciation Book as Company on Depreciation Book of Fixed
Asset Card.
2. Go to Related Information -> Fixed Asset Shift , fill in the fields as described in the following table.
Depreciation Book Code Specifies the depreciation book.
FA Posting Group Specifies the fixed asset posting group.

Depreciation Star ting Date Specifies the starting date of depreciation.
Depreciation Ending Date Specifies the ending date of depreciation.
No. of Depreciation Years Specifies the no. of years of depreciation.
Depreciation Method Specifies the depreciation calculation method.
Straight Line % Specifies the the Straight Line % if the depreciation

method is selected as straight line.
Declining-Balance % Specifies the the Declining-Balance % if the depreciation

method is selected as straight line.
Shift Type Specifies the shift type, for example Single, Double, Triple.
Industr y Type Specifies the industry type, for example Normal,

Seasonal, Non-Seasonal.
Used No. of Days Specifies the used number of days.
3. Run the Calculate Depreciation batch job, fill the necessary fields and click ok to calculate depreciation.
4. The batch job calculates the depreciation and creates lines in the fixed asset G/L journal.
See Also
Fixed Asset Overview
Setting up Gate Entry Tracking
A process in any organization, used to keep track of entrance and exit of materials or other entities, to and from
the organization’s premises, is termed as Gate Entry.
This functionality provides the facility to keep the record of the gate entries (Inward/Outward) of the goods and
also helps in relating these entries with the Purchase Order / Transfer Order / Sales Order / Return Orders.
The "Gate Entr y" system provides a physical control over the goods, which are the movable assets of the
organization. Gate Entry also helps in audit trail.
The following types of Gate Entry can be used:
Inward Gate Entry provides the facility to create Inward Gate Entry against:
Purchase Order / Purchase Invoice
Transfer Receipt
Sales Return Order / Sales credit Memo
Outward Gate Entry provides the facility to create Outward Gate Entry against:
Sales Order / Sales invoice
Transfer Shipment
Purchase Return Order / Purchase Credit Memo
The following setups are required:
Inventory Setup
Posting No. Series Setup
Setting up no. series for gate entry in inventory setup

Inward Gate Entr y Nos. Specifies the no. series code to assign Inward gate entry.
Outward Gate Entr y Nos. Specifies the no. series code to assign Outward gate
entry.
Setting up posting no. series for gate entry in posting no. series setup
1. Choose the icon, enter Posting No. Series Setup , and then choose the related link.
Entr y Type Specify the gate entry type. The available options are
Inward and Outward.
Condition Choose the relevant entry type and location code from
the lookup list and assign no. series for applied
conditions.
Posting No. Series Choose the posted number series from the lookup list.
See Also
Gate Entry Inward Transaction
Create and Attach Inward Gate Entries
Gate Entry Inward is used to track the entry of goods into the organization.
The following processes describe how to create and attach an Inward Gate Entry.
To create an Inward Gate Entry
To attach an Inward Gate Entry
Inward gate entry can be created and attached to following

documents.
1. Purchase Order / Purchase Invoice
2. Transfer Order
3. Sales Return order / Sales Credit memo
To create an inward gate entry

1. Choose the icon, enter Inward Gate Entr y List , and then choose the related link.
2. Fill in the fields as described in the following table on the Inward Gate Entr y header.
Location Code Select the location code.
Station from Enter the station name from where goods are coming to
factory location.
Description Enter gate entry description.
Item Description Enter item's description.
Document Date Document Date will be populated automatically and it

will be system's date. User can also change the
document date.
Document Time Document time will be populated automatically and it

will be system's time. User can also change the
document time.
Posting Date Posting date will be populated automatically and it will

be same as the document date. User can also change the
posting date.
Posting Time Posting time will automatically flow and it will be system's
time. User can also change the posting time.
LR/RR No. Enter the transport details such as lorry receipt number
or railway receipt number for the gate entry.
LR/RR Date Select the lorry receipt date or railway receipt date.
Vehicle No. Enter the vehicle number in which goods are coming.
3. On the Inward gate entr y FastTab, fill in the fields as described in the following table.
Challan No. Enter the challan number received.
Challan Date Enter the challan date.
Source Type Specify the source type against which you are creating
the gate entry. Available options are: Blank, Sales Return
Order, Purchase Order, and Transfer Receipt.
Source No. Select the source number for the selected source type.
There is no need to select the Source No. if the Source
Type is blank
Source Name This field shows the source name depending on the
Source Type you have selected. If the Source Type is
selected as Sales Return Order then it will show the
customer name. If the Source Type is selected as
Purchase Order then it will show the vendor name. If the
Source Type is Transfer Receipt then it will show the
location name.
Description Specify description if Source Type is blank.
4. Click on Action -> Posting -> Post and post the document.
NOTE
You can create multiple lines on Inward Gate Entry with different source type.
View posted inward gate entry

1. Choose the icon, enter Posted Inward Gate Entr y , and then choose the related link.
2. In the Posted Inward Gate Entr y , the Status field on the line level has the value as Open , it means Posted
Gate Entr y – Inward is still open for attachment.
3. Status field will be updated once Purchase Order gets posted.
To attach an inward gate entry if the source type is purchase order
1. Choose the icon, enter Purchase Order , and then choose the related link.
2. Select the relevant purchase order and click on Action -> Functions -> Get Gate Entr y Lines .
3. To view the attached gate entry, click on Action -> Functions -> Attached Gate Entr y .
4. Post the purchase order document.
NOTE
Same steps also apply for attaching Inward Gate Enr y to a Purchase Invoice .
Posted gate entry lines can also be attached to Warehouse Receipts .
To attach an inward gate entry if the source type is transfer receipt

2. Select the required transfer order and click on Action -> Functions -> Get Gate Entr y Lines and click.
3. To view the attached gate entry, click on Related -> Receipt -> Attached Gate Entr y .
4. Post the transfer order document.
To attach an inward gate entry if the source type is sales return order
1. Choose the icon, enter Sales Return Order , and then choose the related link.
2. Select the required sales return order and click on Action -> Functions -> Get Gate Entr y Lines and click.
3. To view the attached gate entry, click on Related -> Warehouse -> Attached Gate Entr y .
4. Post the sales return order document.
NOTE
Same steps also apply for attaching an Inward Gate Enr y to a Sales Credit Memo .
Source Type blank is applicable only if the goods are received against Purchase Invoice or Sales Credit Memo .
See Also
Gate Entry Outward Transaction
Create and Attach Outward Gate Entries
Gate Entry Outward is used to track the exist of goods from the organization.
The following processes describe how to create and attach an Outward Gate Entry.
To create an Outward Gate Entry
To view an attached Outward Gate Entry
Outward gate entry can be created and attached to following

documents.
1. Sales Order / Sales Invoice
2. Transfer Shipment
3. Purchase Return Order/ Purchase Credit Memo
To create an outward gate entry
1. Choose the icon, enter Outward Gate Entr y List , and then choose the related link.
2. Fill in the fields as described in the following table on the Onward Gate Entr y header.
Location Code Select the location code.
Station To Enter the station name, to which goods are dispatching

from factory location.
Description Enter general description in this field.
Item Description Enter item's description which you are dispatching.
Document Date Document date will automatically be populated and it

will be system's date. User can also change the
document date.
Document Time Document time will automatically be populated and it

will be system's time. User can also change the
document time.
Posting Date Posting date will automatically be populated and it will

be same as the document date. User can also change the
posting date.
Posting Time Posting time will automatically be populated and it will

be system's time. User can also change the posting time.
LR/RR No. Enter the transport details such as lorry receipt number
or railway receipt number for the gate entry.
LR/RR Date Select the lorry receipt date or railway receipt date.
Vehicle No. Enter the vehicle number in which goods are being
dispatched.
3. On the Onward gate entr y FastTab, fill in the fields as described in the following table.
Challan No. Enter the challan number received.
Challan Date Enter the challan date.
Source Type Specify the source type against which you are creating
the gate entry. Available options are: Blank, Sales Return
Order, Purchase Order, and Transfer Receipt.
Source No. Select the source number for the selected source type.
There is no need to select the Source No. if the Source
Type is blank.
Source Name This field shows the source name depending on the
Source Type you have selected. If the Source Type is
selected as Sales Return Order then it will show the
customer name. If the Source Type is selected as
Purchase Order then it will show the vendor name. If the
Source Type is Transfer Receipt then it will show the
location name.
Description Specify description if Source Type is blank.
4. Click on Action -> Posting -> Post and post the document.
NOTE
You can also create multiple lines on Outward Gate Entry with different source types.
View posted outward gate entry

1. Choose the icon, enter Posted Outward Gate Entr y , and then choose the related link.
2. In the Posted Outward Gate Entr y , the Status field on the line level has the value as Open , it means
Posted Gate Entr y – Outward is still open for attachment.
3. Status field will be updated once source document gets posted.
System will automatically attach the Outward Gate Entry with the source number you have entered.
To view attached outward gate entry if the source type is sales shipment
1. Choose the icon, enter Posted Sales Shipment , and then choose the related link.
2. Select the required posted sales shipment and click on Related -> Shipment -> Attached Gate Entr y and
click.
To view attached outward gate entry if the source type is transfer shipment
1. Choose the icon, enter Posted Transfer Shipment , and then choose the related link.
2. Select the required posted transfer shipment and click on Related -> Shipment -> Attached Gate Entr y .
3. On this page you can view the attached gate entry with the transfer shipment.
To view an outward gate entry if the source type is purchase return shipment
1. Choose the icon, enter Posted Return Shipment , and then choose the related link.
2. Select the required posted return shipment and click on Related -> Return Shpt. -> Attached Gate Entr y .
3. On this page you can view the attached gate entry with the purchase return shipment.
See Also
Gate Entry Overview
Setting Up Subcontracting
Business Central has included Subcontracting Feature to Indian Localization.

Subcontracting process is very common in manufacturing organizations. Organizations adopt the job work
process due to their capacity constraints, lack of resources or due to machine breakdowns. In Subcontracting, a
delivery challan is used to send the raw items to the sub-contractor from the company. With some value
addition by the sub-contractor, the finished items are sent back to the company.
While receiving the finished items in the company against a sub-contracting order, it is mandatory to apply
received material against the delivery challan to knock off the raw items at sub-contractor end.
As far as the costing of finished item is concerned, it consists of raw material cost, sub-contracting cost along
with the other charges such as freight etc.
Raw items are taxable. Therefore, it is mandatory to follow the statutory requirement. As per this, the raw items
sent to the sub contractor should return back within specified return period otherwise GST liability will be
created. This feature enables you to create the GST liability and also lets you reverse the GST liability after
receiving the raw items from subcontractor
Multiple subcontracting orders
Subcontracting feature also enables you to send the raw items to subcontracting vendor for multiple
subcontracting orders against a single Delivery Challan. Delivery Challan will show the details of all
subcontracting orders for which the raw material components have been sent to subcontracting vendor.
Stock register for job work
Stock register for job work gives the details of delivery challan sent to the subcontractor. This register shows all
the transaction against a delivery challan and at any movement it will also show the status of delivery challan
along with GST liability if any.
Setting up subcontracting
Following setups are required for Subcontracting:
Subcontracting Location setup
Subcontracting Vendor setup
Subcontracting Item setup
Job Work Return Period
Source Code Setup
Work Center
Routing
GST liability no series setup
Subcontracting location setup

You need to create a set up for subcontracting location. Raw item needs to be transferred from company
location to subcontracting location.
2. On the Tax Information FastTab, enable the boolean in the Subcontracting Location field to make this
location as a Subcontracting Location .
Setting up subcontracting vendor

You need to set up a vendor as a subcontractor. Same vendor can be the prime vendor as well as a
subcontracting vendor. Each subcontracting vendor needs to be attached with the subcontracting location.
1. Choose the icon, enter Vendor , and then choose the related link.
2. On the Tax Information FastTab, enable the boolean in the Subcontractor field to make this vendor as a
Subcontractor .
3. Select the subcontracting location by clicking on Vendor Location look up field.
4. Enter the Commissioner’s Permission No. which is mandatory for the subcontractor.
Setting up subcontracting item

The finished item needs to be identified as a subcontracting item.
2. On the Cost & Posting FastTab, enable the boolean in the Subcontracting field to make this Item as a
subcontracting item.
3. Select the subcontracting location by clicking on Sub. Comp. Location look up field. This is the location
from where you will send the raw material to the subcontractor.
Setting up job work return period

As per statutory requirement, if the taxable item does not return within a specified period, then GST liability
should be created against the subcontractor. Therefore, GST liability exists only after the completion of job work
Return period.
2. On the Numbering FastTab, enter the return period for which you want to create GST liability in the Job
Work Return Period field.
3. Select the Sub. Component Location from lookup list. This sub component location will be used to
transfer the raw items to the subcontracting location through delivery challan.
Setting up source code

As per statutory requirement, you need to define the source code in the source code set up window. This source
code is mandatory if subcontractor does not Return the item within job work Return period, then to create the
GST liability. Source code is also required if any subcontracting item is received after the job work Return period.
1. Choose the icon, enter Source Code setup , and then choose the related link.
2. On the General FastTab, select Source code in the GST Receipt – Job Work field.
3. Select Source code in the GST Liability – Job Work field.
Setting up general ledger setup

You need to create a new account in the chart of account which will be used for booking GST expenses while
creating the GST liability in case of non-receipt of subcontracting items within the job work return period.
1. Choose the icon, enter General Ledger setup , and then choose the related link.
2. On the Tax Information FastTab, select GST Expense –Job Work account in the GST Expense Acc. - Job
Work field.
Setting up work center
You need to setup the work center for the subcontracting vendor. On the work center, you can also set up the
unit cost of job work.
1. Choose the icon, enter Work Center , and then choose the related link.
2. On the Posting tab, select subcontracting vendor in the Subcontractor No. field.
Setting up routing
You need to create a Routing for finished item. Routing defines the sequence of the operations required to
manufacture the finished item.
1. Choose the icon, enter Routing , and then choose the related link.
2. On the Lines tab, select subcontracting work center no. in the Work Center No. field.
3. On the Lines tab, enter the job work charges in the Unit Cost Per field.
GST liability no series setup

No. series for GST liability invoice is setup on location master. You can define location wise number series for
GST liability invoices.
2. On the Tax Information FastTab, select No. series code in the GST Liabilty Invoice field.
See Also
Subcontracting Transactions
Subcontracting Order Creation
You cannot create a subcontracting order directly and a released production order is required to be created first.
For purchases from registered vendors for services attracting reverse charge, purchasers are required to pay the
GST tax, to the Government. If exempted goods and services are purchased from registered vendor, then no GST
is to be paid to supplier or to the Government.
Create a released production order

For a Subcontracting order, it is required to create the Released Production Order with Subcontracting
location .
Run subcontracting worksheet

1. Choose the icon, enter Subcontracting worksheet , and then choose the related link.
2. Click on Process Actions -> Functions -> Calculate Subcontract . System will copy the selected
released production orders to the subcontracting worksheet.
3. Click Action -> Function and then click Carr y out action message .
4. Click Ok in the carry out action message window to automatically create the Subcontracting Order .
NOTE
Program will delete the lines from the subcontracting worksheet after creating the Subcontracting Order.
Program will also update the subcontracting order no. along with the subcontractor code on the Released Prod. Order
line.
Material issue or sending raw material to subcontractor

1. Choose the icon, enter Subcontracting Order , and then choose the related link.
2. In the Subcontracting Order list window, select the Subcontracting Order .
3. Click Action and then click Edit to open the subcontracting order.
4. Click on Line -> Order Subcon details and then click on Send .
5. In Ord. Subcon Details Delv. List, select the Ord. Subcon Details Delv .
6. Click Manage and then click Edit to open Order Subcon Details Deliver y .
7. On the General Tab, enter the Quantity of finished item for which you want to send the raw item to your
subcontracting vendor in Deliver Comp. For field.
8. Enter the date on which you want to physically send the raw item to your subcontracting vendor in Deliver y
Challan Date field.
9. Program will automatically update the Quantity to Send field on the Sub Order Component line. You can
also edit the quantity as per the physical transfer of material.
10. Click Send to transfer the raw item from company location to subcontracting location.
Program will update the Total Qty at Vendor Location and Qty. at Vendor Location field on the Sub Order
Components line. Program will also update the Deliver y Challan Posted field on the General FastTab.
Receiving material from subcontractor
1. Choose the icon, enter Subcontracting Order , and then choose the related link.
2. In the Subcontracting Order list window, select the Subcontracting order .
3. Click Action and then click Edit to open the subcontracting order.
4. Click on Line and then select Order Subcon details .
5. On the Order Subcon Details , click Receive .
6. On the Ord. Subcon Details Rcpt. List window, select the Ord. Subcon Details Rcpt.
7. Click Manage and then click Edit to open Order Subcon Details Receipt.
8. On the General FastTab, enter the Shipment No. as per the documents received from the subcontracting
vendor in Vendor Shipment No. field.
9. Enter the Quantity of finished item which you received physically from your subcontracting vendor in Qty.
to Accept field.
10. Enter the Posting Date on which you have received the finished item.
11. Program will automatically update the Quantity to Consume field on the Sub Order Comp. List Vend
line.
12. Click on the Line and then click on Apply Deliver y Challan .
13. On the Apply Deleiver y Challan , select Apply Deliver y Challan No. and enter value in the Qty to
Consume .
14. Click ok to close the Apply Delivery Challan.
15. Click Receive to receive the finish item.
16. Click Yes to post the receipt.
Program will update the Qty. Consumed and Quantity at Vendor Location field on the Sub Order Comp.
lines. Program will also update the Quantity Received field in the general tab.
See Also
If the subcontracting vendor does not return the material within specified period, you need to create the GST
liability for the delivery challans that are liable to create the GST liability.
1. Choose the icon, enter Create GST Liability , and then choose the related link.
Vendor No. Specify the Vendor No in this field.
Subcontracting Order No. Specify the Subcontracting Order No.
Deliver y Challan Number Specify the Delivery Challan No. Program will show the
Delivery Challan lines for which GST liability has to be
created.
Liability Date Sepcify the Liability Date. The program will show the
delivery challan lines where the last date is less than the
liability date.
Liability Document No. Specify the document number which is to be used for
creating the GST liability in this field.
3. On the Create GST Liability FastTab, following fields will be shown.
Vendor No. The program will show the vendor number of delivery
challan line. This field is non-editable.
Deliver y Challan No. The program will show the delivery challan number of
delivery challan line. This field is non-editable.
Item No. The program will show the item number of delivery
Description The program will show the description of item number.

This field is non-editable.
Quantity The program will show the quantity of delivery challan

line. This field is non-editable.
Remaining Quantity The program will show the remaining quantity of

Posting Date The program will show the posting date of delivery
Last Date The program will show the last date of delivery challan
line. This field is non-editable.
Job Work Return Period The program will show the job work return period of
4. Click on Create GST Liability .

5. On the GST Liability Line , click Post .
See Also
Subcontracting Report
Sub Contracting Reports
There are following reports for Subcontracting in Business Center:

Delivery Challan
Stock Register for Job work
Delivery challan report

The Delivery Challan report includes the details of raw material components sent to subcontracting vendor
against subcontracting order. The report also includes the details of delivery challan created against multiple
subcontracting orders.
1. Choose the icon, enter Deliver y Challan Repor t , and then choose the related link.
No Choose the delivery challan number for which you want

to generate the report.
Challan Date Define the delivery challan date for which you want to
generate the report
3. Click Preview to run the report.
Stock register for job work

Stock Register for Job Work report will give the details of transfer, consumption and output entries of
Subcontracting Order with value of GST liability created and credit taken.
1. Choose the icon, enter Stock Register for Job work , and then choose the related link.
Document No. Define the document number for which you want to
generate the report.
Document Line No. Define the document line number for which you want to
Vendor Location Choose the vendor location for which you want to
Company Location Choose the company location for which you want to
3. Click Preview to run the report.

See Also
Subcontracting Overview
Setting Up Stale Check
Business Central has included Stale Check Feature as part of Indian Localization.
A check is considered to be stale after it has expired. Each bank has a specific period during which checks are
considered to be valid. This period usually lasts 3 months. If a check is not presented for payment within the
specified period, it is considered to be stale.
Stale check setup

Below is the list of setups, that are required to be configured.
Bank Account
To set up general ledger setup
Following needs to be configured in General Ledger Setup for stale check.
Activate Cheque No. If it is True, Document No will not be replaced by Cheque

No while using Computer or Manual Cheque option.
Cheque No & Cheque date will flow in Bank ledger Entry
in case of Bank Receipt, Bank Payment and Contra
Voucher. Cheque No. and Cheque Date will also flow in
Check Ledger Entry in case of Manual or Computer
Cheque is used. If it is False, Document No. filed will be
replaced with check number.
To set up bank account

Following configuration is needed.
Stale Cheque Stipulated Period Specifies the period for cheque stale date calculation,
Cheque Stale Date = (Check Date + Stale Cheque
Stipulated Period).
How to: manage stale cheque

Following is the process of managing stale cheque.
1. Create and post bank payment from General Journal , Payment Journal or Bank Payment Voucher .
2. Cheque No. and Cheque Date should have a value in the payment journal.
3. System will calculate the Stale Cheque Expir y Date and populate the same in Bank Ledger Entr y and
Check Ledger Entr y .
4. To mark the check as stale go to the relevant Bank Account , choose the Edit action, and then choose the
Check Ledger Entries action.
5. In the Check Ledger Entries window, choose the Stale Check action.
6. Select the Stale Check Only check box.
8. Cheque can also be staled from Bank Ledger Entr y . In the Bank Ledger Entries window, choose the Stale
Check action.
9. Select the Stale Check Only check box.
NOTE
Make sure that your work date should be later than Stale cheque expiry date.
See Also
GST Overview
Italy Local Functionality
The following topics describe local functionality that is unique to the Italian version of Business Central.
VAT & Withholding Tax
Italian VAT
Submit VAT Statements Available Now
Correct VAT Transactions Reports Available Now
Create Electronic VAT Transactions Reports Available Now
Export VAT Transactions Reports Available Now
Update VAT Transactions Data Available Now
Prepare for VAT Transactions Reports Available Now
Print and Reprint G/L Books and VAT Registers Available Now
Print Intrastat Reports for Italy Available Now
Intrastat for Services 2022 release wave 2
Print Withholding Reports Available Now
Banking & Payments
Set Up Payment Terms Available Now
Set Up Automatic Payments and Automatic Bills Available Now
Vendor Payments and Customer Bills Overview Available Now
Issue Vendor Payments and Customer Bills Available Now
Core Finance
Close a Fiscal Year Available Now
Define Debit and Credit Amounts Available Now
Reversing Journal Entries Available Now
Inventory
Set Up Initial Item Costs Available Now
Fiscal Inventory Valuation Available Now
Set Up Fiscal Inventory Valuation Available Now
Fixed Assets
Italian Fixed Assets Available Now
Set Up Compressed Depreciation of Fixed Assets Available Now
Set Up Alternate Depreciation Methods Available Now
Create Multiple Fixed Asset Cards Available Now
Print Depreciation Book Reports Available Now
General
Set Up Company Information Available Now
Italian Subcontracting Available Now
Set Up Journal Templates and Batches Available Now
See Also
Start a free trial!

Italian VAT
Companies must pay VAT to the state for most purchased goods and services. VAT can be deducted if the goods
or services purchased by a company are used in the production of its income.
In Business Central, you can define periodic VAT reports on the VAT Repor t page. You can fill in the lines based
on VAT entries, and then export the VAT report to the appropriate authorities.
VAT Codes and Rates

VAT codes and rates must be set up even though some transactions are not subject to VAT rates. There are also
many VAT-liable operations that are subject to a zero VAT rate by provision of the law.
The related VAT code is printed for each invoice line. Invoices for VAT transaction entries that are not subject to
VAT rates must be recorded and printed with a note stating that VAT is not owed.
Computing VAT
VAT is computed for transactions to comply with the rules in effect on that the day the transactions occur. Thus,
the date on which a transaction legally occurs must be tracked when recording transactions.
Dates
The date of issue is the document date and the date of registration is the posting date. Reporting date filters are
based on the posting dates. This is changed from the previous behavior in which reporting date filters were
based on the Operation Occurred Date.
Non-deductible VAT
VAT cannot be deducted for some purchases because of:
The type of goods or services purchased – VAT is fully or partially non-deductible by provision of the law
on goods like cars, mobile phones, food purchased at restaurants, and so on.
Partially deductible pro-rated VAT – VAT is pro-rated according to the ratio between sales operations for
which VAT is owed, and all operations performed. VAT exceeding this ratio cannot be deducted.
Service Tariffs
The European Union (EU) has issued directives that change the VAT reporting for cross-border trade of goods
and services in the EU.
In Italy, the EU sales list (Intrastat) and annual listing reports are updated to include services. This involves a
change in the reporting format. A new table for service tariffs is added so that companies can classify services
that must be included in the Intrastat report. Users must add the relevant service tariff to all documents that are
for cross-border transactions. The service tariff specified on the Foreign Trade FastTab for the document can be
modified in each line in the document.
VAT Transaction Reports

You must submit periodic reports to the tax authorities, which list transactions that include VAT with amounts
over a specified threshold. The VAT transaction reports are created based on transactions with customers or
vendors from a country/region that is outside the EU and is not listed as blocked according to Italian authorities.
Transactions with customers or vendors from EU countries/regions are reported through Intrastat reports.
Business Central provides support for the following transaction types:
T RA N SA C T IO N T Y P E SUP P O RT ED
FE - Customer invoices (factures issued) Yes
FR - Vendor invoices (factures received) Yes
NE - Customer credit notes (notes issued) Yes
NR - Vendor credit notes (notes received) Yes
DF - Transactions without invoices (direct invoices) No

(customer)
FN - Customers invoices, when customer is non-resident Yes
SE - Vendor invoices, when vendor is non-resident Yes Note: The purchase of services is assumed, but
differentiation between service and goods is left for the user
to implement.
Business Central does not report the following types of transactions:

Prepayment invoices, because the total amount will be reported at the time of the final invoice.
Operations without an invoice, for example, VAT entries posted via general ledger accounts, because a
VAT registration number, a fiscal code, or a customer or vendor reference is required for inclusion in a
report.
Self-billed transactions, which are not supported.
The VAT transactions reports include lines where the amount is over the threshold and lines that must be
included for other legal reasons. The threshold amount is set by the Italian authorities.
Document lines contain a field to indicate if the line must be included in the VAT transaction reports. The
Include in VAT Transac. Rep. fields are selected automatically based on the day of the transaction and a
comparison with the threshold amount for the calendar year. If sales lines are related to a blanket order, the
threshold is compared to the amount for the blanket order. This only applies to sales line of type Item . For
service lines, the comparison is made with the service contract amount.
NOTE
Credit memos are included in the VAT transaction report if the customer or vendor is from a country/region that is
outside the EU and is not listed as blocked.
When you post credit memos, you must update the Refers to Period field to specify the relevant period. The
VAT transaction reports will include credit memos where the Refers to Period field is set to Current Calendar
Year or Previous Calendar Year .
Business Central adds credit memos to the VAT reports in different ways depending on the application status
and the value of the Refers to Period field. The following table describes the scenarios.
SC EN A RIO IM PA C T
A credit memo is applied to a single invoice. The Invoice No. field will be set to the document number
of the invoice.
The Refers to Period field is set to Current Calendar
Year . The Invoice Date field will be set to the date that is
specified in the Operation Occurred Date field
Business Central will deduct the credit memo amount from

the amount of the original invoice. If the resulting amount is
above the threshold, both the invoice and credit memo will
be included in the VAT transactions report. If the resulting
amount is below the threshold, neither invoice or credit
memo will be included in the VAT transactions report.
A credit memo is applied to multiple invoices, or it is not The Invoice Date field will be set to the last day of the year
applied. that is specified in the Operation Occurred Date field. For
example, if the Operation Occurred Date field is 07-11-
The Refers to Period field is set to Current Calendar 11 , the Invoice Date field will be set to 31-12-11 .
Year .
Only the credit memo will be included in the VAT
transactions report.
A credit memo is applied to multiple invoices, or it is not The Invoice Date field will be set to the last day of the year
applied. before the date that is specified in the Operation
Occurred Date field. For example, if the Operation
The Refers to Period field is set to Previous Calendar Occurred Date field is 07-11-11 , the Invoice Date field
Year . will be set to 31-12-10 .
Only the credit memo will be included in the VAT

transactions report.
When service contracts are compared with the threshold, the Annual Amount field is converted to your local
currency (LCY). The conversion is based on the Currency Code field and the exchange rate on the date in the
Star ting Date field for the service contract.
Transactions with reverse charges are not included in the VAT transaction reports. Transactions with
prepayments are also not included in the VAT transaction reports.
To prepare your data for these reports, you must set up VAT posting to include VAT transaction report amounts.
When a transaction such as posting a sales invoice is made that uses this VAT posting setup, Business Central
checks if the transaction meets the threshold amounts. The check is based on document lines because a
document can contain lines that must be included in the VAT transaction report and lines that must be excluded.
The VAT transaction reports must only contain the lines that must be submitted, so Business Central compares
amounts against the threshold for each line instead of for a document.
You must submit a VAT transactions report electronically to the tax authorities. For more information, see Create
Electronic VAT Transactions Reports.
See Also
Set Up VAT
Report VAT
Submit VAT Statements
Submit VAT Statements in the Italian Version
Companies must pay VAT for most purchased goods and services. VAT can be deducted if the goods and
services that are purchased by a company are used in the production of its income.
You must submit periodic VAT statements to the tax authorities to list transactions that include VAT with
amounts over a specific threshold. Before you submit your VAT statement, you should review the VAT statement,
and then settle and post the VAT transactions.
To review and print VAT statements

1. Choose the icon, enter VAT Statements , and then choose the related link.
2. On the VAT Statement page, in the Name field, select the required VAT statement, and then choose the
Print action.
3. On the Options FastTab, enter a date interval to limit the period covered by the statement and define what
type of VAT entries that you want to include.
4. Choose the Print button to print the VAT statement.
You can use the printed VAT statement to review the VAT entries to be submitted to the tax authorities.
To settle and post VAT transactions

1. Choose the icon, enter Calc. and Post VAT Settlement , and then choose the related link.
2. On the Options FastTab, enter a date interval to limit the period covered by the VAT settlement, select the
correct VAT settlement account, and then select the Post action if you want to post the VAT amounts to the
settlement account.
3. Choose the Print button to print the VAT settlement and post the entries.
After you calculate and post the VAT settlement, VAT amounts are transferred to the appropriate VAT settlement
accounts.
To submit VAT statements

1. Choose the icon, enter VAT Statements , and then choose the related link.
2. On the VAT Statement page, in the Name field, select the required VAT statement, choose the Print action,
and then choose the PDF option.
The exported file can now be submitted to the tax authorities.
See Also
Correct VAT Transactions Reports in the Italian
Version
1. Choose the icon, enter VAT Repor ts , and then choose the related link.
2. Create a new report. For more information, see Create Electronic VAT Transactions Reports.
3. In the new report, change the VAT Repor t Type field to Corrective or Cancellation . In the Original
Repor t No. field, select the report that you want to correct from the list of available reports. The Star t
Date and End Date fields are copied from the original report.
NOTE
You can only select VAT reports that are marked as Submitted, as it is required that the original report has a Tax
Auth. Receipt No.
If it is a corrective report, on the Home tab, in the Process group, choose Suggest Lines to get the relevant
VAT entries for the period. A cancellation report does not contain any lines.
The suggested lines are based on the VAT entries within the specified period and the current threshold setup. It is
not correlated with the information from the original report.
4. Review the transaction details. To exclude a line from being reported to the tax authority, on the line, clear
the Incl. in Repor t check box.
Choose the Expor t action. The Expor t VAT Transactions batch job opens.
NOTE
When you choose Expor t for a report with the status Open, it will be automatically validated and the status will
be changed to Released. At this point, you can reopen the report to make changes.
5. Submit the file to the authority. Use the guidelines provided by the authority. For more information, see
the Italian Revenue Agency.
After you receive a response from the tax authorities, you must update the VAT report.
6. On the General FastTab, in the Tax Auth. Receipt No. field, specify the receipt number that you received
from the tax authorities.
7. Choose the Mark as Submitted action to finalize the report. The Status field is updated to Submitted.
See Also
Export VAT Transactions Reports
Create Electronic VAT Transactions Reports in the
Italian Version
You must create a list of transactions that include VAT with amounts over the current threshold on or before the
specified occurrence date. You submit this report to the tax authorities.
To create a VAT transactions report

1. Choose the icon, enter VAT Repor t , and then choose the related link.
Without Contract The VAT entries that resulted in this line are not
associated with a contract.
Contract The VAT entries that resulted in this line are associated
with a contract.
Other The VAT entries that resulted in this line are not
associated with a special contract, such as ongoing
maintenance or other exceptions.
TIP
In Business Central, the contract that the tax authorities are looking for can be blanket orders or service contracts.
To identify if the VAT report line belongs to a blanket order or service contract, you can drill down to see the
underlying VAT entries from the Amount field.
Credit memos are included in the VAT transaction report if the customer or vendor is from a country/region that
is outside the EU and not excluded. For more information, see Italian VAT.
Now that you have created the VAT report, you must submit it to the tax authorities. For more information, see
Export VAT Transactions Reports.
See Also
Italian VAT
Export VAT Transactions Reports in the Italian
Version
After you create a report, you can release it, and then export it for the authorities. To change the report, make
sure that the Modify Submitted Reports check box is enabled in the VAT Report Setup page. If it is not, to change
the report when you want to correct an error, you will have to create a new report, add the report with the error
in the original report number, and then create a corrective report. For more information, see Correct VAT
Transactions Reports.
It is only possible to change the lines and fields when the document has the status Open. In the Released status,
only the receipt no. is available for change. In the Submitted status, all fields are locked.
To export and submit a VAT transaction report

1. Choose the icon, enter VAT Repor ts , and then choose the related link.
2. Select an existing report or create a new report:
Select the relevant VAT report from the list, and then choose the Edit action.
Choose the New action, and create a new report. For more information, see Create Electronic VAT
Transactions Reports.
3. Review the transaction details. To exclude a line from being reported to the tax authority, on the line, clear
the Incl. in Repor t check box. To see the VAT entries that the line is based on, choose the drill-down
button in the Amount field.
NOTE
You can create an empty report, that is, a report that has no lines, in the case in which there are no transactions
to report.
4. Choose the Release action. The Status field is updated to Released.

Business Central validates that the VAT report is valid and ready for submission. If the validation fails, the
errors are shown on the VAT Repor t Error Log page so that you can make the appropriate changes.
After you release a VAT report, you cannot edit it. If you have to change the report after it is released, you
have to first reopen it. Choose the Reopen action.
5. Choose the Expor t action. The Expor t VAT Transactions batch job opens.
6. Select the Detailed Expor t check box, depending on your needs. The field controls whether to export the
data in detailed format or in aggregate. If aggregate, lines are further grouped by VAT registration
number or fiscal code.
The VAT report is exported as a .ccf file. You can now submit the report to the tax authorities by using the
tool from the Italian Revenue Agency. Use the guidelines provided by the authority. For more information,
see the Italian Revenue Agency.
After you receive a response from the tax authorities, you must update the VAT report.
8. On the General FastTab, in the Tax Auth. Receipt No. field, specify the receipt number that you received
from the tax authorities. In the Tax Auth. Doc. No. field, specify the document number that you receive.
9. Choose the Mark as Submitted action to finalize the report. The Status field is updated to Submitted.
NOTE
You can modify a report that has the status of Submitted only if you have enabled the Modify Submitted
Repor ts check box on the VAT Repor t Setup page.
See Also
Correct VAT Transactions Reports
Before you create the first VAT transaction report, you should prepare the existing data by running the Update
VAT Transaction Data report. You should also run this report if you have made changes to the setup based on
new requirements from the tax authorities.
You can run the Update VAT Transaction Data report as a test before you change any data. When you have
verified that the filters meet your expectations and the requirements of the tax authorities, you should run the
report again to make the appropriate changes to data.
Cau t i on
Before you run the Update VAT Transaction Data report, you should activate the change log on the Change
Log Setup page. Also, you should enable logging for modifications to the Include in VAT Transac. Repor t
field on the VAT Entr y table.
To update VAT transaction data

1. Choose the icon, enter Update VAT Transaction Data , and then choose the related link.
2. Optionally, on the VAT Entr y FastTab, set the appropriate filters.
Compare against Threshold Select to compare VAT entries against the threshold
amounts that are specified in the VAT posting setup.
Show List Only Select if you do not want to update data.
If you select this field, Business Central prints a report so

that you can verify the changes before data is modified.
The report contains a line for each document where the
VAT base is equal to or greater than the threshold
amounts. Warning: Do not select both this field and the
Set Include in VAT Transaction Repor t field.
Set Include in VAT Transaction Repor t Select to set the Include in VAT Trans. Repor t to Yes
on all VAT entries where the amounts meet the threshold
amounts that are specified in the VAT posting setup.
Warning: If you select this field, your data is updated.
You should run the report as a test before you run it to
change data.
4. Choose the Print button to update VAT transaction data, or choose the Preview button to view the
changes.
When you run the report, Business Central processes VAT entries based on the filters that you set. The following
rules are also applied:
The Type field for the VAT entry must not be Settlement .
See Also
Set Up VAT
Italian VAT
Prepare for VAT Transactions Reports in the Italian
Version
You must submit periodic reports to the tax authorities to list all transactions that include VAT. The tax authority
establishes the thresholds at which reporting is required. Currently, the threshold is set at zero, meaning that all
transactions are to be reported. To prepare for these reports, you must set up VAT posting to include VAT
transaction report amounts.
To set up VAT transaction amounts

2. Choose the VAT Transaction Repor t Amount action.
Individual Person Select if this customer is an individual person.
Resident Specify if the customer is a resident in Italy.
If a customer is not a resident, you must also specify a

tax representative on the Foreign Trade FastTab.
First Name Specifies the first name of the person.
Last Name Specifies the last name of the person.
Date of Bir th Specifies the date of birth of the person.
Place of Bir th Specifies the place of birth of the person.
4. If the customer is not resident in Italy and is not an individual person, you must specify a tax
representative for the customer.
NOTE
Before you can specify a tax representative, you must have created the tax representative as a contact.
To specify a tax representative for a non-resident customer

2. Select a customer.
3. On the Foreign Trade FastTab, fill in the fields as described in the following table.
Tax Representative Type Specifies if the tax representative is a customer or a

contact. You must set this field to Contact .
Tax Representative No. Specify the contact that is the tax representative for this
customer.
You have set up information so that Business Central will track new transactions with VAT that meet the
thresholds that are specified by the tax authorities. Before you create the first VAT transaction report, you
should prepare the existing data. For more information, see Update VAT Transactions Data. You can then
create VAT transactions reports. For more information, see Create Electronic VAT Transactions Reports.
See Also
Italian VAT
Print and Reprint GL Books and VAT Registers in the
Italian Version
The tax authorities require that you submit two fiscal reports that list all of the posted ledger entries, the G/L
Book - Print report and the VAT Register - Print report. Each printed page must have its own progressive
number, and therefore, you must update Business Central with the last printed page number before you run
these reports again.
The following procedure describes how to print or reprint the G/L Book - Print report, but the same steps
apply to printing or reprinting the VAT Register - Print report.
To print the general ledger book report

1. Choose the icon, enter G/L Book - Print , and then choose the related link.
Repor t Type Select the type of report to create.
If you select Reprint , the From Progressive No. field

becomes enabled.
Star ting Date Enter the first date in the period from which posted
entries will be shown.
Ending Date Enter the last date in the period from which posted
entries will be shown.
From Progressive No. Specifies the progressive number for the report.
Print Company Information Select to print company information on the report.
The remaining fields are populated based on the

Company Information page.
When you print the report, you will be reminded to update the General Ledger Setup page with the
page number on the last page.
IMPORTANT
Business Central does not save the page number automatically when you run the reports. After you run the G/L
Book - Print report or the VAT Register - Print report, you must update Business Central with the last printed
page number..
To set the last printed page number for the VAT register report, search for VAT Register , and choose the
link for the page under VAT Posting Group .
4. In the Fiscal Repor ting FastTab, in the Last Printed G/L Book Page field, specify the page number
that is on the last page of the G/L Book - Print report that you just printed.
Both official reports can be reprinted. When you reprint a report, the first page of the report must have the
same page number as it did when the report was printed the first time. If you want to reprint one of the reports,
and the page number is incorrect, you can change the reprinting information for the report
The following procedure describes how to view or change the page numbering for previously printed versions
of the G/L Book - Print report, but the same steps apply to the VAT Register - Print report.
To view or change page numbering for reprinting the general ledger

book report
2. Choose the Change G/L Book Reprint Info. action. On the G/L Book Reprint Info page, the First Page
Number field specifies the first page number of the previously printed reports.
When you update the General Ledger Setup page or the VAT Registers page with the page number of the
last page of the printed report, make sure that you specify the correct page number. If the reprinted report starts
with the wrong page number, the report will not be accepted by the tax authorities. The G/L Book Reprint Info
page and the VAT Register Reprint Info can help you identify the correct page number.
See Also
You can print monthly and quarterly Intrastat reports and submit them to the authorities on a diskette by
running the Intrastat Make Disk Tax Auth batch job. Information regarding the receipt and the delivery of
goods is included automatically.
The following Intrastat reports are available:
Intrastat - Checklist report
Intrastat - Form report
To print quarterly or monthly reports

2. Select the required journal batch.
3. To open the Intrastat - Monthly report or the Intrastat - Quar terly report, choose the Monthly
Repor t action or the Quar terly Repor t action.
4. On the Intrastat Jnl. Line FastTab, select the appropriate filters.
6. On the Intrastat Journal page, to save the report details to a diskette, choose the Make Diskette
action.
NOTE
Before you print, you can select the path and file name. If you do not specify this information, the file will be
named scambi.cee and will print to the root of the C drive.
To print Intrastat - Checklist reports

1. Choose the icon, enter Intrastat - Checklist , and then choose the related link.
2. On the Options FastTab, select the Show Intrastat Journal Lines check box to include detailed
information about the journal lines in the report.
3. On the Intrastat Jnl. Batch and Intrastat Jnl. Line FastTabs, select the appropriate filters.
To print Intrastat - Form reports

1. Choose the icon, enter Intrastat - Form , and then choose the related link.
2. On the Intrastat Jnl. Batch and Intrastat Jnl. Line FastTabs, select the appropriate filters.
See Also
Set Up Withholding Tax in the Italian Version
Companies must pay withholding tax to the government for third-party services and vendor purchases.
Withholding tax is calculated during invoice payment rather than during invoice posting.
To set up withholding tax codes

1. Choose the icon, enter Withholding Tax , and then choose the link for the Code page.
2. In the Code page, to add a new withholding code, choose the New action, and then enter information
into the relevant fields. Hover over a field to read a short description.
3. To add lines to the withholding tax code, choose the Withhold Code Lines action.
4. Enter information into the relevant fields. Hover over a field to read a short description.
5. Repeat these steps for additional codes.
To set up withholding tax for vendors

2. Open the relevant vendor's vendor card.
3. Fill in the relevant fields. Specifically for withholding tax purposes, you must add the following
information:
The vendor's personal data.
The contact details for the vendor.
The invoicing details for the vendor.
The payment information for the vendor.
The subcontracting information for the vendor.
The foreign trade information for the vendor.
The relevant fields on the Free Lance Fee FastTab, such as the Withholding Tax Code field.
To calculate withholding tax for purchase invoices

2. Open the relevant purchase invoice.
3. Choose the Withhold Taxes-Soc. Sec. action.
4. In the Withh. Taxes-Contribution Card page, review the information in the various fields, and make
sure that the Withholding Tax Code field specifies the right code for the vendor.
5. To calculate the withholding tax amount before posting, choose the Calculate action.
To make a vendor payment

2. To create a new payment journal line, enter the relevant information in the fields.
3. To make a vendor payment, choose the Post action.
NOTE
The amount in the new line in the Payment Journal page is the withholding tax payment amount.
See Also
Print Withholding Tax Reports
Set Up VAT
Record VAT
Print Withholding Tax Reports in the Italian Version
The Withholding Taxes report displays a list of withholding taxes that are payable to the Italian government.
To print a withholding tax report

1. Choose the icon, enter Withholding Taxes , and then choose the related link.
Reference Month Enter the month of the withholding tax period in

numeric format.
Reference Year Enter the year of the withholding tax period in numeric
format.
Print Details Select if you want to show all detailed information about
withholding tax transactions.
Final Printing Select if you want to mark this report as the final printed
version. If you select this check box, the withholding
taxes report will be marked as printed.
3. Chose the Print button to print the report, or choose the Preview button to view it on the screen.
See Also
Set Up Payment Terms in the Italian Version
Payment terms determine how you manage due dates and payment discounts. For each payment term, you can
specify if the payment can be made in installments. For example, you can define that a payment can be made in
three installments with a third of the payment due after 30, 60, and 90 days.
If a payment term must be paid in one installment, you must still specify how the due date will be calculated.
When you first sign up for [Business Central, the demonstration company provides a few payment methods that
businesses often use. You can, however, add as many as you need.
To set up payment terms

3. Choose the Calculation action.
4. On the Payment Terms Lines page, fill in the fields as described in the following table.
Payment % Specify the percentage of the total payment that this

installment is for.
For example, if the payment must be made in one

installment, enter 100 .
Due Date Calculation Specify the formula that is used to calculate the date that
a payment must be made.
For example, if the payment must be made in one

installment after two weeks, enter 14D . For more
information, see Use Date Formulas
Discount Date Calculation Specify the formula that is used to calculate the date that
a payment must be made in order to obtain a discount.
Discount % Specify the discount percentage that is applied for early

payment of an invoice amount.

The Payment Nos. field on the Payment Terms page is updated. The payment terms that you set here will be
a reference for automatic due date calculation for documents that you post for relevant customers and vendors.
After you set up the payment terms, you assign them to customers and vendors. Optionally, assign payment
terms to your payment methods.
See Also
Set Up Payment Terms in the Italian Version
Setting Up Finance
Set Up Automatic Payments and Automatic Bills in
the Italian Version
In Business Central, you can manage automatic payments and bills.

To use automatic payments and automatic bills, you must set up the relevant information.
To add bank information for your company

2. On the Payments FastTab, fill in the key fields as described in the following table.
Payment Method Select the payment method for the type of payments made
to or from this bank account. For example, for the bank
account that will be used for automatic payments made by
customers, select a payment method for bank transfers.
Bills For Collection Acc. No. Specify the general ledger account where bills for collection
will be credited.
Bills For Discount Acc. No. Specify the general ledger account where bill discounts will
be debited.
Bills Subj. to Coll. Acc. No. Specify the general ledger account where bills subject to
collection will be credited.
Expense Bill Account No. Specify the general ledger account where expenses for bank
receipts will be posted.
IMPORTANT
Before you can export a vendor bill, you must select a payment format in the Payment Expor t Format field on the
Bank Account Card page.
Before you can export a customer bill, you must select a payment format in the SEPA Direct Debit Exp. Format field
on the Bank Account Card page.
The following procedure describes how to set up automatic bills for sales and receivables, but the same steps
also apply to setting up purchases and payables for using automatic payments.
To set up automatic bills for sales and receivables

2. On the Bills FastTab, in the Temporar y Bill List No. field, select the temporary bill list number. Fill in the
fields as described in the following table.
Temporar y Bill List No. Select the number series that will be used for temporary bill
lists.
Recall Bill Description Specify the descriptive text that will be used for recalled bills.
Bank Receipts Risk Period Specify a date formula to calculate the risk period in days,
such as 20D .
This will be a reference for bank receipt closing. Customer

bills will be closed only at the end of the risk period that you
specify here.

Next, you must specify bill codes for those payment methods that you use for automatic payments and
automatic bills.
To specify bill codes for a payment method

2. Select the payment method that you use for bank transfers to vendors, and then, in the Bill Code field,
select a bill code.
3. To create a bill code, in the Bill Code field, choose the field, and then choose the New action.
4. On the Bill page, fill in the fields.
Now, you can process customer bills and vendor bills so that they are handled automatically.
See Also
Defining Payment Methods Italy Local Functionality
Vendor Payments and Customer Bills Overview in
the Italian Version
In Business Central, you can manage automatic bills to customers and from vendors.
In addition, the bill pay feature supports the issuance of payment in many formats, including SEPA Credit
Transfer, SEPA Direct Debit, and Italian bill formats.
Customer Bills and Vendor Bills

You can issue a document to your bank with the payment amounts that are due to vendors on or before a
certain date. The bank will pay the amount on or before that date by transferring the money from your bank
account to the vendor's bank account.
Similarly, you can issue a billing document to your customers who have payments that are due on or before a
certain date. The customers can pay the amount to your bank, which then transfers that amount to your bank
account. The bill is then given to the customer as evidence of your receipt of the payment.
Before you can process bills, you must add your bank information to the Company Information page. You
must also create bill posting groups and assign a bill posting group to the bank account that you will use for
automatic bills. For more information, see Set Up Automatic Payments and Automatic Bills. Then, you can
generate lists of customer bills and vendor bills and process them.
See Also
Set Up Automatic Payments and Automatic Bills
The vendor and customer bill pay feature supports SEPA-based formats in addition to Italian file formats. You
can pay vendors according to the SEPA Credit Transfer standard and collect payment from customers according
to the SEPA Direct Debit standard. The following procedure describes the process for sending a SEPA-based
payment to a vendor. The steps are similar for collecting payment from a customer.
Before starting the following procedure, make sure that information for your company's bank has been
provided on the Bank Account Card page. On the card, include information for the following fields:
IBAN
SWIFT Code (optional)
Payment Export Format
SEPA CT Msg. ID No. Series
In addition, there must be a posted purchased invoice against which you can send a payment.
To issue payment to a vendor

2. Select the vendor to which you want to send payment. On the Payment FastTab, in the Payment
Method Code field, choose the TRASFBANC option.
4. In the Vendor Bank Account List , select the vendor's bank account, and then choose the Edit action.
5. On the Transfer FastTab, specify information for the IBAN field.
7. Choose the icon, enter Vendor Bill Card , and then choose the related link.
9. On the General FastTab, enter information in the following fields: Bank Account No. of the vendor and
Payment Method Code .
10. Choose the Suggest Payment action.
11. Set filters, as appropriate, and then choose the OK button to run the batch job.
12. Choose the Create List action.
13. Choose the Yes button to send the bill payment.
14. Choose the icon, enter Vendor Bill List Issued , and choose the related link.
15. Select the bill payment that you issued from the list, and then choose the Edit action. The Vendor Bill
List Sent Card page opens.
16. To export the payment information, choose the Expor t Bill List to File action. You can review the xml
file that was sent.
a. Export to File (for standard SEPA format files)
b. Export Bill List to File
You can review the .xml file before sending it. To review and fix errors, you can refer to the File Expor t Errors
FactBox.
See Also
Create SEPA Direct Debit Collection Entries and Export to a Bank File
Close a Fiscal Year
To evaluate profit and loss, a fiscal year closing report is provided at the end of each fiscal year.
Fiscal year closing involves the following steps:
Closing the fiscal year using the Accounting Period option.
Generating a year-end closing entry using the Close Income Statement option.
Posting the year-end closing entry.
To close a fiscal year

2. To close an accounting period, select the accounting period, and then choose the Close Year action.
3. To confirm that you want to close the fiscal year, choose the Yes button.
IMPORTANT
After the fiscal year is closed it cannot be opened again, and the period in the fiscal year cannot be changed.
To generate a year-end closing entry using the Close Income

Statement option
1. Choose the icon, enter Close Income Statement , and then choose the related link.
2. On the Options tab, fill in the fields as described in the following table.
Fiscal Year Ending Date The ending date for the fiscal year.
Gen. Journal Template The name of the general journal template in which to
place the entries.
Gen. Journal Batch The name of the general journal batch in which to place
the entries.
Balancing Account No. Select the relevant account number.
Document No. The batch job automatically populates this field with the
next available number for the journal batch if you fill in
the Gen. Journal Template and Gen. Journal Batch
fields. You can also enter a number into this field
manually.
Net Profit Account No. Select the unique net profit account number.
Net Loss Account No. Select the unique net loss account number.
Posting Description Enter a description. The default text is Close Income

Statement .
Business Unit Code Select this check box if you require an entry for each
business unit code.
Dimensions Optionally, select the field to select the dimension codes

if you require an entry for each dimension used in the
Inventor y Period Closed This field indicates that the inventory periods with
ending dates greater than or equal to the last date of
the accounting period are closed.
3. Choose the OK button to create the journal entries.
To post the year-end closing entry

2. In the Batch field, specify the batch that contains the closing entries.
3. Add the relevant entries to the journal lines.
4. To post the journal, choose the Post action.
An entry is posted to each income statement account so that it has a zero balance. The year-end result is
transferred to the balance sheet.
See Also
Define Debit and Credit Amounts
The Debit Amount and Credit Amount fields are included in multiple journals and tables, including the
General Journal , Cust. Ledger Entr y table, and Vendor Ledger Entr y table. The debit and credit amounts
must match in the journals and tables, or you will be unable to post or save.
To define debit and credit amounts

Debit Amount Enter the debit amount.
Credit Amount Enter the credit amount.
WARNING
The Debit Amount and Credit Amount fields must match. If the amounts are different, you will not be able to
post or save the journal.
See Also
Reversing Journal Entries in the Italian Version
Controls have been added to the Reverse Transaction Entries page to comply with local laws. These controls
ensure the following:
You cannot reverse an invoice, credit note, or document involving VAT management.
You cannot reverse posted invoices, credit memos, or debit memos.
You cannot delete posted invoices, credit memos, or general journals in the sales, purchase, or service area—
even if they have been printed.
You cannot reverse sales, purchase, or service headers for reserved documents.
See Also
Set Up Initial Item Costs in the Italian Version
When you set up Business Central in your organization.

On the Before Star t Item Cost page, you can enter information about inventory items, such as component
costs, routing costs, and overhead costs.
To set up initial item costs

1. Choose the icon, enter Before Star t Item Cost , and then choose the related link.
3. Enter information into the required fields. This includes the Star ting Date , Purchase Quantity , Purchase
Amount , Production Quantity , and Production Amount fields.
The entries in this page will be used to calculate the average year cost. For more information, see Item Cost
History List and Calculate End Year Costs.
See Also
You must submit an annual report that shows the monetary value of inventory items for the fiscal year.
According to the Italian requirements for fiscal inventory valuation, you must calculate the following cost types:
Year average cost
Weighted average cost
First in, First Out (FIFO) cost
Last in, First Out (LIFO) cost
Discrete LIFO cost
Fiscal Inventory Valuation in Business Central

Initially, you must set up the fiscal inventory valuation for all cost types on the Item Costing Setup page and
the Item Card page. For more information, see Set Up Fiscal Inventory Valuation.
When you set up Business Central, you must enter the inventory item ledger entries for the first year in order to
calculate the item’s valuation. You can do this in the Before Star t Item Cost page.
To calculate discrete LIFO cost, you must set up information on the Item Card page and the Subcontracting
Prices page.
NOTE
The discrete LIFO cost can only be calculated for items for which the Inventor y Valuation field is set to Discrete LIFO
on the Item Card page.
After you set up the discrete LIFO cost calculation, you can post sales and purchase transactions based on year-
end costs.
End of Year
At the end of the fiscal year, you can run the Calculate End Year Costs batch job to calculate the fiscal
inventory value of each inventory item according to the required valuation methods. The results are shown in
the Item Cost Histor y List page. Then, you can run the Fiscal Inventor y Valuation report and the LIFO
Valuation report to show the inventory valuation.
For year-end operations, such as calculating the profit and loss during a fiscal year, there is a definitive period
and a non-definitive period. If the Competence Year field on the Item Cost Histor y List page is equal to the
fiscal year end date, it is a definitive period, and you cannot recalculate data for a definitive period. If the
definitive data differs from the fiscal year end date, then it is a non-definitive period. There should be data for at
least one non-definitive period to perform calculations or partial calculations.
See Also
Set Up Initial Item Costs
Set Up Fiscal Inventory Valuation in the Italian
Version
To use fiscal inventory valuation, you must set up inventory valuation methods.
To set up fiscal inventory valuation for item costing

1. Choose the icon, enter Item Costing Setup , and then choose the related link.
Components Valuation Specify the fiscal inventory valuation method.
Estimated WIP Consumption Select to include the finished production orders or the
released production orders for the cost calculation.
If this field is cleared, then consumption and capacity

ledger entries are filtered by posting date.
To set up fiscal inventory valuation for an item

2. On the Item List page select each item, and then, on the General FastTab, in the Inventor y Valuation
field, specify the inventory valuation type.
See Also
Fixed assets are properties owned by a company and used in the production of its income. Assets can be either
tangible or intangible, and can be either durable or non-durable. Cars, machines, and furniture are examples of
tangible assets. Startup costs and licenses are examples of intangible assets.
The following features have been added to the fixed assets functionality:
There are several types of depreciation available, including the following: anticipated, accelerated, and
reduced.
Automatic creation of multiple fixed asset cards from an invoice.
A Depreciation Book report that displays depreciation by fixed asset type.
Anticipated depreciation allows companies to delay payment of taxes on assets by using an augmented
depreciation rate for the first three years. This augmented depreciation rate must be a maximum of twice the
normal depreciation rate. Thereafter, the depreciation rate is halved for the first year, and then doubled for the
remaining two years. For subsequent years, the depreciation follows the standard pattern.
Accelerated depreciation allows companies that can prove that an asset’s use is more intensive than that of a
standard asset to use a higher depreciation rate for this asset. Accelerated depreciation allows companies to
shorten the period of an asset’s depreciation.
Reduced depreciation allows companies that can prove that an asset’s use is less intensive than that of a
standard asset to use a lower depreciation rate for this asset, and recover the difference during the following
fiscal years. Reduced depreciation allows companies to lengthen the period of an asset’s depreciation.
See Also
Fixed Assets
You can compress fixed asset depreciation into subclasses and choose to display only the total sum by subclass.
You can choose to post only the depreciation totals of assets that are grouped by category. This is particularly
important for companies that have multiple fixed assets divided into many individual items.
When you calculate depreciation, one line is generated for each fixed asset. For example, posting depreciations
for 100 assets generates 100 lines that are posted to both the general ledger and fixed asset ledger entries.
To set up compressed depreciation of fixed assets

2. On the Depreciation Book List page, select the relevant depreciation book, and then choose the Edit
action.
3. To post only the depreciation totals of assets that are grouped by category, on the Depreciation Book
Card page, on the General FastTab, select the Compress Depreciation check box.
NOTE
Multiple depreciation lines are then compressed in the general ledger and are displayed in a single entry that is
divided by fixed asset categories.
See Also
Alternate depreciation methods include the following:

Anticipated depreciation.
Accelerated depreciation.
Reduced depreciation.
You must create depreciation tables to set up these depreciation methods.
To set up alternate depreciation methods

1. Choose the icon, enter Depreciation Tables , and then choose the related link.
2. On the Depreciation Table List page, choose the New action.
Code The code for the depreciation table.
Description The description for the depreciation table.
Period Length The length of the period to which each of the

depreciation table lines will apply.
Total No. of Units The total number of units that the asset is expected to
produce in its lifetime.
Period Depreciation % The depreciation percentage to apply to the period.
No. of Units in Period The number of units produced by the asset to which this
depreciation table applies.
Anticipated % The anticipated depreciation percentage.
Accelerated/Reduced % The actual depreciation percentage.
5. In the Total Depreciation % field, enter the total depreciation percentage.

See Also
Create Multiple Fixed Asset Cards in the Italian
Version
You can create multiple fixed asset cards automatically during purchase invoice posting. For example, if your
company purchases 200 computers of the same kind from the same vendor, you do not have to manually create
a fixed asset card for each computer; the fixed asset cards can be created automatically.
To create multiple fixed asset cards

2. Choose the Lists action, and then choose the Fixed Assets action.
3. On the Fixed Asset List page, choose the New action.
4. On the Fixed Asset Card page, fill in the relevant fields.
You will use the value of the No. field when you generate the remaining fixed assets later.
6. Create a new purchase order, or open the existing purchase order.
7. Expand the Lines FastTab.
Type Select Fixed Asset .
No. Specify the fixed asset number.
NOTE: This should be the same fixed asset number that

you entered in the Fixed Asset list.
No. of Fixed Asset Cards Specify the relevant number of duplicates for your fixed
asset.
NOTE: During invoice posting, duplicate fixed asset cards

are automatically generated and added to the fixed asset
list. The only difference between the duplicate fixed asset
cards is the number assigned to each fixed asset.
See Also
Fixed Assets
Print Depreciation Book Reports in the Italian
Version
The Depreciation Book is a fiscal report that is sorted by year and item class. The Depreciation Book report
shows changes in fixed asset stock in a given year by item class, rather than by the individual items. The
Depreciation Book report is run after the depreciation method has been set up and assets have been entered.
To print depreciation book reports

2. Choose the Repor ts and Analysis action, and then choose the Depreciation Book action.
3. Expand the Options FastTab.
Depreciation Book The depreciation book to be printed.
Star ting Date Sets the start date.
Ending Date Sets the end date.
Print per Fixed Asset Select to print the report for each fixed asset.
5. Expand the Fixed Asset FastTab, and then select the appropriate filters.
See Also
Set Up Company Information
Fiscal documents must contain all company information. You can enter all relevant data on the Company
Information page when setting up a company. This data will be included in all reports and fiscal documents.

1. Choose the icon, and then choose the Company Information action.
2. Enter the information into the FastTabs as described in the following table.
General The general company information.
Communication The company contact information.
Payments The bank information for the company.
Shipping The shipping information for the company.
Administration The administration information for the company.
See Also
Italian Subcontracting
Companies contracted for production often outsource the production of components to subcontractors. In order
to know how many components to transfer to the subcontractor, there is a link between the subcontractors'
operations and the BOM. This facilitates Master Production Scheduling (MPS) and Material Requirements
Planning (MRP), and enables contractors to manage their outsourced and subcontracted components.
Special unit prices are often negotiated between main contractors and subcontractors, so an extra
subcontracting price list is available.
Work in Progress
You can send an item to a subcontractor and have the subcontractor return it as a Work in Progress (WIP) to the
main contractor. You can also send and receive groups of items without forced reference to the item card.
See Also
All European Union (EU) companies must submit Intrastat reports to the customs office, detailing their trade
with other EU countries/regions for the current year. An Intrastat summary report is presented to the tax
authorities monthly, quarterly, or yearly depending upon the company's business.
You can print Intrastat reports on the Intrastat Jnl. Batches page based on Intrastat journal entries. You can
manually place entries into the journal, or use a batch job to place the entries there. Before you can do this, you
must set up Intrastat journal templates and batches.
To set up Intrastat journal templates

1. Choose the icon, enter Intrastat Journal Templates , and then choose the related link.
2. To create a new Intrastat journal template, choose the New action.
3. On the Intrastat Journal Templates page, fill in the fields as described in the following table.
Name The name of the Intrastat journal template. You can enter a
Description The description of the Intrastat journal template. You can

To set up Intrastat journal batches

1. Choose the icon, enter Intrastat Journal Templates , and then choose the related link.
2. To open the Intrastat Jnl. Batches page, select the required template, and then choose the Batches action.
Name The name of the Intrastat journal. You can enter a maximum
of 10 alphanumeric characters.
Description The description of the Intrastat journal. You can enter a

Periodicity Select one of the following options:
- Month
- Quar ter
- Year
Type Select one of the following options:
- Purchases
- Sales
Statistics Period The statistics period that the report will cover. Enter the
value in YYMM format.
Corrective Entr y Select the Corrective Entr y check box to correct an entry.
File Disk No. The number of the file disk.
This is used when you run the Intrastat - Make Disk Tax
Auth batch job.
Currency Identifier The code to identify the currency for the Intrastat report.
Repor ted If the entry has already been reported to the tax authorities,
select the Repor ted check box. This check box is selected
automatically when you run the Intrastat - Make Disk
Tax Auth batch job for this entry.
4. To close the page, choose the OK button.
See Also
Mexico Local Functionality
The following topics describe local functionality that is unique to the Mexican version of Business Central.
Tax
Set Up and Generate DIOT Reports Available Now
Tax Identification Types for Mexico Available Now
VAT Recalculation Available Now
Electronic Invoicing (updated to CFDI 4.0)
Electronic Invoicing Available Now
Set Up Electronic Invoicing Available Now
Generate Electronic Invoices Available Now
Electronic Accounting Regulations in Mexico Available Now
Make Electronic Payments Available Now
General
Set Up PAC Web Services Available Now
Print Troubleshooting Reports Available Now
Create Deposits Available Now
See Also
Start a free trial!

Set Up and Generate DIOT Reports
As a company in Mexico, you must report VAT from vendor purchases to the Mexican government, to SAT -
Servicio de Administración Tributaria. This can be done in Business Central by generating a file that can be
uploaded to SAT. This topic describes how to set up the functionality and generate the report. The DIOT
(Declaración Informativa de Operaciones con Terceros) report functionality is created as an extension (app) for
Business Central and is preinstalled in the online version but must be installed manually in the on-premises
version of Business Central.
What Does this Extensions Handle?

The extension provides the following capabilities:
Setup of the DIOT-related information
Vendor settings
Export the DIOT report so it can be uploaded to the authorities
Setup of the Mexican DIOT Extension

You set up the DIOT extension through Assisted Setup, which provides an easy, step-by-step guide for getting
started with DIOT in Business Central. If needed, you can run the guide several times until the setup is
completed.
1. In Business Central, choose the icon, enter Assisted Setup , and then choose the related link.
2. Choose the Set Up DIOT action.
3. The first page in the setup guide explains what you are about to set up. Choose the Next button.
4. In the in Default Vendor DIOT Type of Operation field, choose the default type of operation that you
want to be set on vendors in the system.
Every entry in the report must be assigned a Type of Operation value. There are three valid types: Prof.
Ser vices , Lease and Rent , and Others . You are not allowed to report the Lease and Rent type of
operation for a vendor that is not local. All vendors will be updated with the setting chosen here.
5. Choose a value in the Type of Operation field, and then choose the Next button.
6. Choose the Open Vendor List action to select another Type of Operation value individually for
vendors if you want the setting to be different from what you chose in the previous step.
A special page opens, which includes the DIOT Type of Operation field. Here you must set up DIOT
concepts, which is a sort of setup of how VAT entries are collected for the report.
7. Choose the Open DIOT Concepts action.
You will see a list of predefined DIOT concepts that look like VAT setup. These DIOT concepts must be
linked to VAT product posting groups and VAT business posting groups. You may not have to link all of
the DIOT concepts. Investigate each DIOT concept and decide how these map to your VAT posting setup.
Adding a link to a DIOT concept is done by clicking the number in the VAT Link Count field. Note, that
not all DIOT concepts must be linked. DIOT concepts with None in the Column Type field exist for legacy
reasons and cannot be linked. For records where the VAT Link Count field is not filled in, you should
investigate if you have VAT entries that fall under this DIOT concept and add the corresponding link. DIOT
records where the VAT Link Count field is filled in indicate that links are already created or do not have
to be created.
8. Choose the Next button.
The setup of DIOT is now finished.
9. Choose the Finish button.
NOTE
Note that for the DIOT report, the vendor’s operation type will be used for all operations with that vendor unless you
specifically change the value of the DIOT Type Of Operation in the document before you post it. The DIOT operation
type for the vendor is not passed on to purchase documents automatically. If you want to use a type other than the one
that is specified for the vendor, change the field on the purchase document manually.
Optional Setup for Reporting Witholding Tax with the DIOT Extension
The DIOT report exports data including witholding tax amounts for vendor transactions. Calculation of
witholding tax is currently not supported in the Mexican version of Business Central. To work around this, you
can post extra lines to a predefined general ledger account. The DIOT extension supports reporting witholding
tax data in the following way:
The VAT Posting Setup table has a new field, DIOT WHT % . By setting this field to a value other than zero, you
indicate that all entries posted with this setup are to be considered as if they were posted with that amount of
VAT withheld.
For example, if you have transactions that are supposed to be 10% VAT and 5% witholding tax, use a posting
setup where the VAT % field contains 10 and the DIOT WHT % field contains 5.
This field will only affect the DIOT report calculations and not the actual posting of the lines/entries/documents,
so you must continue the existing workaround that you may have for calculating witholding tax, regardless of
setting up the DIOT Report extension.
To create an export of DIOT report files
1. Choose the "Tell me what you want to do") icon, enter Create DIOT Repor t , and then choose the
related link.
2. On the Create DIOT repor t request page, set the Star ting Date and Ending Date fields to represent
the period for which you wish to report.
You may get an error regarding the RFC No. field, which needs to be set up on local vendors. To set this
up, fill in the RFC No. field on the Payments tab on the Vendor Card page.
When the report runs without errors, you will be prompted to save the file Diot.txt , which you can then send to
authorities.
See Also
Tax Identification Types for Mexico
All customers and vendors must a have federal tax identification number. The identification type used for a
customer or vendor depends on whether the customer or vendor is classified as a company or as a person.
Available Tax Identification Types

In Mexico, a legal entity, such as a company or a person, is assigned a tax identification number according to two
types.
Registro Federal de Contribuyentes (RFC )
This tax identification type can be applied to companies and to people. An RFC number for a company is 12
characters, while an RFC number for a person is 13 characters.
Cédula de identification fiscal con clave única de registro de población (CURP)
This tax identification type can only be applied to people. A CURP number is 18 characters.
When you create a new customer or vendor in Business Central, you specify whether the customer or vendor is
a company or a person, and then you specify the tax identification type. The tax identification type and the tax
identification number are included in any reports that reference tax information about a customer or vendor.
See Also
VAT Recalculation
When a customer makes payment in a foreign currency, VAT must be recalculated using the exchange rate at the
time of the invoice payment.
A company creates an invoice in a foreign currency for the purchase of taxable goods and taxable services by a
foreign customer. This invoice includes VAT. When the customer makes the payment at a later date, VAT is
recalculated based on the original sales amount, and adjusted for the new currency rates.
The following steps show how to create a report for unrealized VAT amounts:
Set up an option to allow recalculation of VAT upon receipt of payment.
Recalculate VAT upon receipt of payment.
Adjust journal entries for realization of VAT taxes payable to recognize exchange differences.
Create a VAT statement that shows the unrealized VAT amounts.
See Also
Electronic Invoicing in the Mexican Version
Mexican companies must be able to send invoices electronically as Comprobante Fiscal Digital por Internet
(CFDI) files. Business Central supports CFDI so that you can export sales and service invoices and credit memos
as electronic documents that have the required digital signature.
NOTE
The tax authority (Servicio de Administración Tributaria) announced a version 4.0 of the online digital tax receipt
(comprobante fiscal digital por internet—CFDI) system. After effective date, vouchers cannot be issued in versions other
than 4.0. Accordingly Business Central updated CFDI feature to to be in line with new regulations.
The CFDI file is an XML file that contains:

Name of issuing company.
Fiscal address of issuing company.
Tax scheme of the issuing company.
Federal tax registration number (RFC) of issuing company.
RFC of the receiving company.
Quantity and description of the goods or services.
Unit price.
Tax amounts listed by tax type.
Currency code.
Customs location, which includes the date and number of the customs document, if the transaction is an
import.
Digital stamp of the issuing company, which is assigned by the tax authorities (SAT).
Digital stamp of an authorized service provider, PAC, that you choose.
IMPORTANT
You will be submitting the electronic invoices to a PAC, which is an authorized service provider appointed by the Mexican
tax authorities (SAT). SAT has certified more than one PAC in Mexico, and you must obtain the appropriate information to
communicate with the PAC of your choice. By default, Business Central supports integration with Interfactura, but you can
use another PAC of your choice.
Get started
Before you can use Business Central for electronic invoicing, you must obtain the appropriate certification,
digital stamp, and control numbers from the tax authorities. You must install the certificate on the computer
where the CFDI files will be generated. For more information, see Set Up Electronic Invoicing. For information
about SAT certificates and keys, see the Servicio de Administracíon Tributaria website.
TIP
Use the Set up Mexican CFDI information assisted setup guide to map information about your company and how
you use Business Central to the various fields in the CFDI files.
You also must specify the web services that you will use to communicate with the PAC in order to obtain digital
stamps. For more information, see Set Up PAC Web Services.
IMPORTANT
SAT has certified more than one PAC in Mexico, and you must obtain the appropriate information to communicate with
the PAC of your choice.
You must also specify information about your own company and each of your customers and vendors. For more
information, see Set Up Electronic Invoicing.
Send electronic documents

When you have posted an invoice or credit memo, you can send it to your customer. But first you must obtain a
digital stamp from a PAC. Business Central communicates with the PAC through web services to request a
stamp, and the document is automatically digitally signed by your company and the PAC.
When you send an electronic invoice or credit memo to your customer, Business Central uses the email address
that you have specified on the Company Information page. The document is sent to the email address that
you have specified on the Customer Card page for the bill-to customer on the invoice or credit memo. On the
General Ledger Setup page, you also can choose to include the documents as PDF files in the email that is
sent.
IMPORTANT
The users who will send electronic invoices must be able to send mail using the Simple Mail Transfer Protocol (SMTP).
Depending on the configuration in your company, you may have to grant explicit permissions to each relevant user and
computer.
If you also want to print the documents, the documents will include a Quick Response (QR) bar code and other
information that identifies the related electronic invoice. This information makes the printed document
computer-readable and provides a link between the electronic document and the printed document.
For more information, see Generate Electronic Invoices.
Cancel documents
Sometimes you have to revert a transaction, such as if a location for a shipment has to be changed for some
reason. Such cancellations must also be sent as electronic documents.
When you send a cancellation, you must specify a reason for the cancellation, and you must specify which
document substitutes the canceled document.
The following table provides an overview of the options for the CFDI Cancellation Reason field as of
February 2022:
01 Voucher issued with errors in relation.
02 Voucher issued with unrelated errors.
03 The operation was not carried out.

04 Related nominative operation in a global invoice.
If you choose code 01, then you must also specify the document that substitutes the canceled document in the
Substitution Document No. field.
Communication component
Technically, the Business Central component for electronic invoicing deploys in a library assembly,
Microsoft.Dynamics.NAV.MX.dll, which is included automatically with Business Central. The component handles
the communication with the PAC web services and also generates the QR codes that are included in the printed
documents.
When you generate an electronic document to request a stamp, Business Central creates an XML document and
sends it to the PAC for processing. The original XML document contains the same information as the original
string field that is shown on the printed document. The original string includes the following information:
Document date
Document type
Payment terms
Name, address, and federal registration number of your company
Name, address, and federal registration number of the customer
Line amounts and quantities
The PAC returns an XML document that has the original string, but this file also includes a section for the digital
stamp. In Business Central, you can export the XML files for documents that have a digital stamp and learn more
about the data that goes into each XML element.
See Also
Set Up Electronic Invoicing
Generate Electronic Invoices
Before you can send invoices and credit memos electronically, you must specify one or more providers of the
electronic stamp that must be included in invoices in Mexico.
When you send an electronic document, it must receive a digital stamp by an authorized service provider, PAC,
before it can be sent to your customer. The communication between Business Central and the PAC is managed
through web services, and therefore, you must specify technical information about the web services of the PAC
that you intend to use.
To use web services, you must identify the name of the method on the web service that processes requests for
digital stamps. Your PAC can give you this information.
If your PAC offers the service of canceling signed documents, you must specify two web methods: one web
method for requesting the digital stamp, and the other for canceling an already signed document.
Before you can set up the web services, you must upload two certificates:
A PAC .pfx file
A SAT .pfx file
These certificates are used by the communication component and configured in the General Ledger Setup
page. For more information, see To set up general ledger information.
To add the certificates

1. Choose the icon, enter Cer tificates , and then choose the related link.
2. Choose the New action, specify the relevant certificate, and then, in the Cer tificate page, fill in the fields as
appropriate. Hover over a field to read a short description.
3. Repeat step 2 for the second certificate.
4. Close the page.
To set up a PAC web service

1. Choose the icon, enter PAC Web Ser vices , and then choose the related link.
2. In the PAC Web Ser vices page, add the relevant web services. Hover over a field to read a short
description.
For each web service, you must specify the relevant certificate. You must also add additional details.
a. For the relevant web service, choose the Related action, choose the PAC Web Ser vice menu
item, and then choose the Details action.
b. Fill in the fields as described in the following table.
Environment Specify if the web service is for a test environment or

a production environment.
Type Specify if the web method is for requesting a digital

stamp or for canceling.
Method Name Specify the name of the web method, such as

GeneraTimbre or CancelaTimbre.
Address Specify the URL of the web method.
Contact your PAC for this information.

3. Repeat the steps for any additional PAC that you want to set up.
IMPORTANT
SAT has certified more than one PAC in Mexico, and you must obtain the appropriate information for
communication with the PAC of your choice.
See Also
Set Up Electronic Invoicing in the Mexican Version
Before you can send electronic documents, you must set up Business Central to ensure that the tax identification
number (RFC), personal identification number (CURP), and state inscription IDs are available for your company
and all your customers and vendors. You also need to set up the parameters that are needed for sending
electronic invoices to customers and vendors. These parameters include the certificate thumbprint, which is the
certificate that you received from the Mexico tax authority (SAT).
IMPORTANT
The certificate that you received from the Mexico tax authority must be installed for each user who sends electronic
invoices. For more information, see the Servicio de Administracíon Tributaria website.
Your company must also have SMTP mail set up for emailing electronic invoices. Depending on the configuration in your
company, you may need to grant explicit SMTP permissions to each relevant user and computer. The documents will be
sent from the address that is specified on the Company Information page.

2. On the Company Information page, fill in the relevant fields. For more information, see Company
Information Quick Start.
NOTE
You must fill in the SAT Postal Code field. If you cannot see the field on the General Fast Tab, choose the More
action to show more fields.
3. On the Shipping FastTab, fill in the fields. Hover over a field to read a short description. The following
table describes some of the complex CFDI-related fields.
SCT Permission Type and SCT Permission Name These fields specify a permission that has been provided
by the Secretaría de Comunicaciones y Transportes. The
permission must correspond to the type of motor
transport that the company uses for the transfer of
goods or merchandise if you transport goods and
merchandise in the national territory.
4. On the Tax FastTab, fill in the fields. Hover over a field to read a short description. The following table
describes some of the complex CFDI-related fields.
Tax Scheme Enter the tax scheme that your company uses complies
with. Commonly used tax schemes are Régimen General,
Régimen intermedio, and Régimen de pequeños
contribuyentes (REPECOS).
SAT Tax Regime Classification Specify the tax scheme required for reporting to the
Mexican tax authorities (SAT).
RFC No. Enter the federal registration number for taxpayers. The
Registro Federal de Contribuyentes (RFC) tax
identification type can be applied to companies and to
people. An RFC number for a company is 12 characters,
while an RFC number for a person is 13 characters.
However, since Business Central targets businesses, only
12 digit RFC numbers are currently supported.
CURP No. Enter the unique fiscal card identification number. The
Cédula de identification fiscal con clave única de registro
de población (CURP) tax identification type can only be
applied to people. A CURP number is 18 characters.
State Inscription Enter the tax ID number that is assigned by state tax
authorities to every person or corporation.
To set up general ledger information

2. On the General Ledger Setup page, on the Electronic Invoice FastTab, fill in the fields as described in
Enabled Choose this field to switch to use digitally signed

documents, and then fill in the remaining fields on this
FastTab.
SAT Cer tificate Specify the SAT certificate. For more information, see the
To add the certificates section.
Send PDF Repor t Choose this field to include a PDF when you email
electronic invoices to customers or vendors. Electronic
invoices are always sent as an XML file, this option allows
you to include a PDF with the XML file.
PAC Code Specify the authorized service provider, PAC, that you
want apply digital stamps to your electronic invoices. For
more information, see Set Up PAC Web Services.
PAC Environment Specify if your company is using the web services of your
authorized service provider, PAC, in a test environment
or a production environment.
Optionally, you can ask your Microsoft Certified Partner to modify the text that is included in the email that is
sent when you send electronic invoices. The text is stored as text variables in codeunit 10145, which can be
extended by a developer.
To set up customer and vendor information

You also must add information about your customers and vendors. The following section describes how to
specify this information to customers and vendors.
Set up customer information
2. For each customer in the Customers list, open the customer card, and then fill in the fields on the
General FastTab. Hover over a field to read a short description. The following table describes some of the
complex CFDI-related fields.
CFDI Purpose Enter the CFDI purpose required for reporting to the
CFDI Relation Enter the relation of the CFDI document.
CFDI Expor t Code Enter a code to indicate if the customer is typically used
for exports to other countries.
SAT Tax Regime Classification Enter the tax scheme required for reporting to the
3. On the Invoicing FastTab, fill in the fields. Hover over a field to read a short description. The following
RFC number must contain 12 digits.
CURP number must contain 18 digits.
NOTE
If you select the Prices Including VAT field for a customer, the electronic documents will include VAT in all
amounts, including unit prices. The electronic documents will also contain a separate element for VAT. If you want
to avoid any possible confusion about the amounts including VAT, you can choose to not select the Prices
Including VAT field.
4. On the Payments FastTab, in the Payment Method Code field, specify the payment method that you
want to use for this customer.
5. Repeat steps 2-4 for all other customers.
Set up vendor information
2. For each vendor in the Vendors list, open the vendor card, and then fill in the fields on the General
FastTab. Hover over a field to read a short description.
3. On the Payments FastTab, fill in the fields. Hover over a field to read a short description. The following
RFC number must contain 12 digits.
CURP number must contain 18 digits.
4. Repeat steps 2-3 for all other vendors.
To set up location information

Finally, you must add information about locations you use. The following section describes how to specify this
information to locations.
2. For each location in the Locations list, open the location card, and then, on the Address & Contact
FastTab, fill in the fields. Hover over a field to read a short description. The following table describes some
of the complex CFDI-related fields.
SAT State Code Enter the state, entity, region, community, or similar
definitions where the domicile of the origin and / or
destination of the goods or merchandise that are moved
in the different means of transport is located.
SAT Municipality Code Enter the municipality, delegation or mayoralty, county,

or similar definitions where the destination address of
the goods or merchandise that are moved in the
different means of transport is located.
SAT Locality Code Enter the city, town, district, or similar definition where
the domicile of origin and / or destination of the goods
or merchandise that are moved in the different means of
transport is located.
SAT Suburb Code Enter the SAT suburb code where the domicile of the
origin or destination of the goods or merchandise that
are moved in the different means of transport is located.
SAT Postal Code Enter the SAT postal code where the domicile of the
origin or destination of the goods or merchandise that
are moved in the different means of transport is located.
3. Repeat step 2 for all other locations.
To map key data to the CFDI fields

You can let Business Central map relevant fields to the data structure that is required by CFDI by using the Set
up Mexican CFDI information assisted setup guide, or you can map the fields manually.
Assisted setup
1. Choose the icon, enter Mexican CFDI information , and then choose the related link.
2. Follow the steps in the Set up Mexican CFDI information assisted setup guide to map information about
your company and how you use Business Central to the various fields in the CFDI files.
Manual setup
If you prefer to map the fields yourself, then you must update the following pages:
Countries/Regions
Units of Measure
SAT Tax Schemas
Payment Methods
Payment Terms
To map your country codes to the values that SAT requires
1. Choose the icon, enter Countries/Regions , and then choose the related link.
2. In the SAT Countr y Code field, specify the country code required for reporting to the Mexican tax
authorities (SAT).
3. Repeat steps 1-2 for all country codes.
To map your units of measure to the values that SAT requires
1. Choose the icon, enter Units of Measure , and then choose the related link.
2. In the SAT UofM Classification field, specify the unit of measure required for reporting to the Mexican tax
authorities (SAT).
3. Repeat steps 1-2 for all units of measure.
To configure SAT Tax Regime Classification
1. Choose the icon, enter SAT Tax Schemas , and then choose the related link.
2. Fill in the fields as appropriate. Hover over a field to read a short description.
To map your payment methods to the values that SAT requires
2. In the SAT Method of Payment field, specify the payment method for paying the Mexican tax authorities
(SAT).
3. Repeat steps 1-2 for all payment methods.
To map your payment terms to the values that SAT requires
2. In the SAT Payment Form field, specify the number of the SAT payment form.
3. Repeat steps 1-2 for all payment terms.
See Also
Generate Electronic Invoices in the Mexican Version
In Business Central, after you post a sales invoice you must generate an electronic invoice that will be sent to the
customer. You can also export the electronic invoice as an XML file, which you can save to a specified location.
The following procedure describes how to generate electronic invoices for sales invoices, but the same steps
also apply the following documents:
Sales credit memos
Sales shipments
Transfer shipments
Service invoices
Service credit memos
To generate electronic invoices for sales invoices

1. Choose the icon, enter Posted Sales Invoice , and then choose the related link.
2. Select the posted invoice.
NOTE
If you're canceling the posted document, you must specify a reason for the cancellation in the CFDI
Cancellation Reason field, and you must specify which document substitutes the canceled document in the
Substitution Document No. field. Hover over a field to read a short description.
3. Choose the Send Electronic Document action, and then specify if you want to also request a digital
stamp for the document.
If you choose Request Stamp , the posted invoice will be digitally signed by your PAC, and you can then
send the posted invoice afterwards. If you choose Request Stamp and Send , the posted invoice is
digitally signed and sent in one step.
An email will be sent to the customer with the electronic invoice attached as an XML file. If you selected
the Send PDF Repor t field on the General Ledger Setup page, a PDF will be included with the XML
file.
You can view of the status of the electronic invoice on the Shipping & Billing FastTab.
4. Optionally, choose the Expor t E-Document as XML action. Select the location where you want to save
the electronic invoice as an XML file.
To verify the electronic invoice activity, on the Posted Sales Invoice page, on the Invoicing FastTab, the
Electronic Document Sent and No. of E-Document Submissions fields will be updated.
NOTE
Your implementation may differ.
Receive payments
Mexican companies must be able to receive payments in accordance with CFDI Withholdings and Payment
Information version 2.0. To receive payment in accordance with CFDI version 2.0, you don't need extra settings
because the required data will already have been included for the customer invoices. You can't stamp a payment
that is applied to an invoice that doesn't have a stamp.
IMPORTANT
The current version of Business Central supports receipt of customer payment information in accordance with CFDI
version 2.0. However, withholding receipt is currently not supported in the default version of Business Central.
To stamp the payment

1. Choose the icon, enter Customer Ledger Entries , and then choose the related link.
2. Find a payment that you applied to the electronic invoice, and then select this line.
3. Choose the Send action, and then specify if you want to also request a digital stamp for the payment.
See Also
Carta de Porte Packing Slips and Transfer Orders in
the Mexican Version
Mexican companies must be able to print and send Carta de Porte-compliant packing slips and transfer orders
electronically as Comprobante Fiscal Digital por Internet (CFDI) files. As of December 1, 2021, the Waybill (Carta
de Porte) complement is mandatory for taxpayers who transport goods and merchandise in the national
territory. Business Central supports CFDI and Carta de Porte so that you can print packing slips and transfer
orders that have the required digital signature. The driver can then show the printed document if they are
requested to do so.
IMPORTANT
The documents must include a digital signature, which requires a connection to a PAC, which is an authorized service
provider appointed by the Mexican tax authorities (SAT). For more information, see Set Up PAC Web Services.
Also, as of January 2022, you must update the Carta de Porte catalogs that define the various codes. Microsoft provides
a downloadable package at this location that you can import using RapidStart Services. For more information, see
Importing Business Data from Other Finance Systems. Alternatively, if you only use very few codes, you can update the
current catalogs manually.
Get started
Before you can use Business Central for Carta de Porte-compliant shipments and transfer orders, you must
obtain the appropriate certification, digital stamp, and control numbers from the tax authorities. You must install
the certificate on the computer where the CFDI files will be generated. For more information, see Set Up
Electronic Invoicing. For information about SAT certificates and keys, see the Servicio de Administracíon
Tributaria website.
You also must specify the web services that you will use to communicate with the PAC in order to obtain digital
stamps. For more information, see Set Up PAC Web Services.
IMPORTANT
SAT has certified more than one PAC in Mexico, and you must obtain the appropriate information to communicate with
the PAC of your choice.
You must add information about STC permissions to your company information. You must also fill in more
information about the vehicles that you use to transport items around, if this is something that your company
does internally as opposed to using an external party. Finally, you must configure each item card to include the
required information about item classification, hazardous material, and packaging type. Business Central online
is preconfigured to include the relevant catalogs that SAT have provided so that you can fill in the various fields.
To add SCT permission to company information
2. On the Company Information page, on the Shipping FastTab, in the SCT Permission Type field, choose
the relevant type of motor transport used for the transfer of goods or merchandise by your company. The
types are defined by the Secretaria de Comunicaciones y Transportes.
3. In the SCT Permission No. field, specify the relevant permission number that is issued by the Secretaria de
Comunicaciones y Transportes.
To set up locations for Carta de Porte
2. On the Locations page, choose the location that you want to update, and then, on the Location Card
page, fill in the fields on the Electronic Document FastTab. Hover over a field to read a short
description.
For example, the ID Ubicacion field specifies a six-digit code that is unique for this particular location.
Then, when you post a shipment that includes this location, that code is prefixed with OR if the location is
the starting point for the transport. If the location is the destination point, the code is automatically
prefixed with DE.
3. Repeat step 2 for any other locations that you want to configure for Carta de Porte.
To set up vehicles for transportation
2. On the Fixed Assets page, add or edit the relevant vehicles.
TIP
The relevant fields are on the Electronic Document FastTab. Hover over a field to read a short description.
To configure items
2. On the Items list page, choose each relevant item, and then, on the Inventor y FastTab, fill in the
following fields. Hover over a field to read a short description..
SAT Item Classification
SAT Hazardous Material
SAT Packaging Type
Create sales documents and generate packing slips and transfer

orders with Carta de Porte
When you create a document such as a sales order, you must fill in the fields on the Electronic Document
FastTab, including information about your insurance company. Hover over a field to read a short description.
For each line on the document, you must also specify the Custom Transit Number field. This field specifies the
number of the petition that protects the importation of the goods in the following format:
The last two digits of the validation year followed by two spaces
Two digits of the customs office followed by two spaces
Four digits of the number of the patent followed by two spaces
One digit corresponding to the last digit of the current year, except if a consolidated motion is initiated in the
immediately preceding year or the original motion for a rectification
Six digits of the progressive numbering by customs
Then, when you post the shipment, the required information is carried forward to the posted sales shipment.
You can then send or print the document that now includes the Carta de Porte information.
TIP
The same applies when you create and post a transfer order. For more information, see Transfer Inventory Between
Locations.
See Also
Complying with Electronic Accounting Regulations
in Mexico
In Mexico, individuals and businesses must do their bookkeeping electronically and forward their monthly
results to the Mexican Tax Authorities (SAT) as separate XML files at the end of each month. The XML files must
contain the following:
The chart of accounts. This file is to be submitted whenever the chart of accounts has been modified.
The trial balance, including opening balances, movements (debit / credit), and final balances.
All journal transactions, including all actual movements, such as purchases, sales, and so on. This file is to be
submitted upon request from the authorities.
For more information about the structure of these files (also referred to as Annex 24), see the Secretaria de
Gobernación website. The Expor t Elect. Accounting functionality has been developed to meet this regulatory
requirement.
Setup Data Required to Export Successfully

To export the G/L balance information successfully, you must first set up certain data. Missing data will result in
a warning message that some mandatory fields are blank, but the export will not be canceled. If in doubt, you
can submit the file to the authorities to get more details about the missing values. The following describes the
fields to fill in before you export the XML files.
For the files that contain the chart of accounts and the trial balance:
1. For each account, you must specify an account in the SAT Account Code field. Only accounts with a SAT
account code are included in the files for the chart of accounts and trial balance.
2. Every G/L account that is used for export must be defined as either Debit or Credit . You cannot choose the
Both option.
For the file that contains journal transactions:
On the Customer Bank Account Card , Vendor Bank Account Card , and Bank Account pages you must
choose a bank in the Bank Code field. This is required if the bank account is used in a transaction.
On the Customer and Vendor pages, you must choose an account in the Preferred Bank Account field.
When a preferred bank account is set for a customer or vendor, that bank account is copied to the Recipient
Bank Account field whenever a payment to a vendor or a cash receipt from a customer is created. This default
value can be changed on the journal lines before posting.
The Fiscal Invoice Number PAC field on all purchase documents is used to register the UUID of an
electronic invoice. You can import electronic invoices (response) when you create a purchase invoice, order,
or credit memo. Only the UUID is imported, but this functionality can easily be expanded. After data is
imported it appears on the invoice after posting.
On the Payment Method page, in the SAT Method of Payment field you must specify how payment was
made.
To generate the XML files

1. Choose the icon, enter Expor t Elect. Accounting , and then choose the related link.
See Also
Mexico Local Funcationality
NOTE
NOTE
journal lines.


methods
TIP

format.
NOTE
currency.

Transfer format.
check box.
or methods

NOTE
NOTE
exported.
TIP
NOTE
steps.
NOTE

See Also
Managing Payables
Print Troubleshooting Reports in the Mexican
Version
The following troubleshooting reports are available to assist Microsoft Certified Partners with troubleshooting
issues:
License Information report – This report contains the license number, the name of the licensed user, which
application granules they have purchased, and when the license expires, if applicable.
Data Dictionar y report (report #10315) – This report allows you to print detailed table reference, field
reference, and table properties for table objects.
You must have access to Business Central Object Designer, which is available only to administrators and only in
Business Central Spring 2019 and earlier.
You can print these reports and send them to your Microsoft Certified Partner to help resolve issues with your
Business Central implementation.
To print the License Information report

1. In Business Central Object Designer, on the Tools menu, choose License Information .
2. On the License Information page, you can preview the license information, or you can choose the Expor t
button to print the License Information report.
To print the Data Dictionary report

1. In Business Central Object Designer, on the Tools menu, choose Object Designer .
2. Choose the Repor t button.
3. In the Type column, find ID 10315, which is the Data Dictionar y report.
4. On the Object Designer page, choose the Run button to open the Data Dictionar y report.
5. On the Options tab, enter the relevant information into the fields.
See Also
Finance
Setting Up Finance
Create Deposits in the Mexican Version
NOTE
New capabilities for creating bank deposits are available in Business Central 2022 release wave 1 for a lot of country
versions. If you were using Business Central in the United States, Canada, or Mexico before that release, you might be
using the earlier capabilities. You can continue, but the new capabilities will replace the old ones in a future release. To
start using the new features right away, your administrator can go to the Feature Management page and turn on
Feature Update: Standardized bank reconciliation and deposits . For more information, see Create Bank Deposits.
You can make bank deposits to maintain a transaction record that contains information that can be applied to
outstanding invoices and credit memos.
The Deposits page specifies bank deposit information such as the bank account number, total deposit amount,
deposit lines, posting date, document date, department code, currency code, and bank deposit notes. You can
use the page to create new bank deposits, post deposits, print deposits, view deposit comments, or view a report
that shows the deposit amount to reconcile.
The Deposit report displays customer and vendor deposits with the original deposit amount, the amount of the
deposit that remains open, and the amount applied. The report also shows the total posted deposit amount to
reconcile.
Bank deposit lines contain information about the individual deposited items, such as checks from customers.
This information includes the document date and number, account type and number, and amount. The total of
After you have filled in the deposit information and lines, you must post it in order to update the relevant
ledgers, such as the bank ledger, general ledger, or customer ledger. Posted deposits are stored for future
reference and can be viewed on the Posted Deposits page.
To create a deposit
1. Choose the icon, enter Deposits , and then choose the related link.
3. On the General FastTab, fill in the required fields as described in the following table.
No. The unique identification number for the deposit.
Bank Account No. The bank account number for the deposit.
Total Deposit Amount The total deposit amount posted to the bank ledger.
You can post this deposit only if the sum of the deposit
lines is equal to the value in this field.
Posting Date The posting date for the deposit.

Document Date The deposit document date.
Account Type The account type.
Account No. The unique identification account number that is

associated with the selected account type, to which the
entry will be posted.
Description The journal line entry description.
Document Date The journal line entry document date.
Document Type The journal line entry document type.
Document No. The journal line entry document number.
Credit Amount The total credit amount on the journal line.
5. Optionally, choose the Dimensions action, and then add dimensions on the Dimension Set Entries
page.
TIP
To post a bank deposit as single bank account ledger entry with the total sum of amounts in the bank deposit
lines, turn on the Post as Lump Sum toggle on the bank deposit. To post as lump sums for new bank deposits
by default, on the Sales & Receivables Setup page, turn on the Post Bank Deposits as Lump Sum toggle.
NOTE
You can post a deposit only if the amounts in the Total Deposit Lines and Total Deposit Amount fields are
equal.
Next, you can use the Deposit Test and Deposit reports to reconcile your posted deposits with outstanding
invoices and credit memos.
See Also
Finance
Setting Up Finance
Netherlands Local Functionality
The following topics describe local functionality that is unique to the Dutch version of Business Central.
VAT
Create a Audit File for the Tax Authority Available Now
Set Up VAT Categories Available Now
Electronic VAT and ICP Declarations Available Now
Set Up Electronic VAT and ICP Declarations Available Now
Submitting Electronic VAT and ICP Declarations Available Now
Banking & Payments
Dutch Electronic Banking Available Now
Telebanking Available Now
Payment Scenarios Available Now
Payment Scenario 1 - Domestic Payments (LCY to LCY) Available Now
Payment Scenario 2 - Foreign Payment (FCY to FCY) Available Now
Payment Scenario 3 - Foreign Payment (LCY to FCY) Available Now
Create Proposals Available Now
Docket Reports Available Now
Enter and Post Cash and Bank or Giro Journals Available Now
Print Test Reports for Cash and Bank or Giro Journals Available Now
Single Euro Payments Area (SEPA) Available Now
Activate SEPA Payments Available Now
Submit Vendor Payments Electronically in SEPA ISO 20022 Payment Format Available Now
Create and Export Payment History Available Now
Import and Reconcile Bank Statements Available Now
Core Finance
Apply and Unapply General Ledger Entries Available Now
Required Descriptions in G/L Entries Available Now
Purchasing
Check Purchase Amounts Available Now
Edit Document Amounts in Purchase Invoices and Credit Memos Available Now
Set Up Validation of Purchase Amounts Available Now
General
CMR Notes Available Now
Dutch Postal Codes Available Now
Import Postal Codes Available Now
Import Postal Code Updates Available Now
See Also
Start a free trial!

Create an Audit File for the Tax Authority in the
Dutch Version
During an examination of the books for a fiscal year, a tax inspector can ask for data about the basis transactions
from the general ledger for that fiscal year. Basis transactions usually are processed via journal entries. That is
the reason why the journal entries are the basis for the audit file.
The tax authority stimulates companies to use the audit file but it is not prescribed.
The audit file can also be used to exchange data between companies. You can select every period you want, but
the start and end date of the entered period must be in the same fiscal year.
To make an Audit file

1. Choose the icon, enter Tax Authority - Audit File , and then choose the related link.
Star t Date Specify the start date of the period on which the data
must be based.
End Date Specify the end date of the period on which the data
must be based.
Exclude Begin Balance Specifies if the audit file must contain the begin balance
of general ledger accounts.
The field is editable if the start date of the period is equal

to the start date of a fiscal year.
3. Choose the OK button to create the audit file. If you do not want to create the audit file, choose the
Cancel button to close the page.
When you run the report, you must specify the name and location of the exported file. The default file name is
audit.xaf , but you can change that. The file extension must be .xaf.
See Also
To use the electronic VAT declaration, you must set up a VAT category code for all XML elements in the electronic
VAT declaration.
You must set up all of the possible category and subcategory combinations that represent an XML element in
the electronic VAT declaration. Then, you can map the VAT statement data directly to an XML element.
To set up a VAT category

1. Choose the icon, enter Elec. Tax. Decl. VAT Categories , and then choose the related link.
2. On the Elec. Tax. Decl. VAT Categories page, choose the New action.
Code The unique code for each category and subcategory

combination. You can enter a maximum of 10
alphanumeric characters.
Categor y Specify the main category option for the VAT statement.
By Us (Domestic) The subcategory for the VAT Statement.
Select a subcategory here if the Categor y field displays

By Us (Domestic) .
To Us (Domestic) The subcategory for the VAT Statement.

To Us (Domestic) .
By Us (Foreign) The subcategory for the VAT Statement.

By Us (Foreign) .
To Us (Foreign) The subcategory for the VAT Statement.

To Us (Foreign) .
Calculation The subcategory for the VAT Statement.

Calculation .
Optional Select to indicate that the XML element that is

represented by the category code is not required in the
electronic VAT declaration.
You can now map the VAT statement data directly to an XML element.
See Also
Setting Up Electronic VAT and ICP Declarations
Submitting Electronic VAT and ICP Declarations in
the Dutch Version
Companies must submit periodic VAT and Intracommunautaire leveringen (ICP) declarations to the tax
authorities.
VAT declarations must be submitted on a monthly or quarterly basis. ICP declarations must be submitted on a
quarterly basis.
NOTE
ICP declarations must be submitted by companies that sell goods or services to European Union (EU) countries.
Purchases are not included in this declaration.
For a transaction to qualify for ICP, it is required that the merchandise have crossed the border physically. It is not enough
that the location of an invoice address or the office of the vendor or customer is in another EU country or region.
You can submit the VAT declarations and ICP declarations in the following ways:
Log on to the website of the Dutch tax office and enter the information manually. For more information,
see the website of the Dutch tax office.
Create an electronic declaration and submit the encrypted file through file through the Digipoort channel
to the Dutch tax office. Digipoort is the electronic post office provided by the Dutch government for
companies. It provides the common infrastructure for the communication of information between
companies and the government, including VAT declarations. The reports are in the eXtensible Business
Reporting Language (XBRL) format. For more information, see Create Reports with XBRL.
To prepare for electronic declaration

Before you can send electronic declarations to the tax authorities you must perform the following tasks:
1. Ensure that you have obtained the certificates from the government. If you have not, take the following
steps to obtain the certificates:
Obtain a PKIoverheid certificate for the company if you do not have one already. A list of certificate
providers can be found here:
https://www.logius.nl/producten/toegang/pkioverheid/aansluiten/toegetreden-csps.
Register a user of Digipoort, which can be done here:
https://aansluiten.procesinfrastructuur.nl/site/registratie/nieuw.
Obtain a Digipoor t Ser vice cer tificate , which can be obtained at the Dutch Tax Administration
website: https://aansluiten.procesinfrastructuur.nl.
2. Enter general data and personal data received from the tax authorities on the Elec. Tax Declaration
Setup page. For more information, see Setting Up Electronic VAT and ICP Declarations.
3. Set up a VAT category code for all XML elements in the electronic VAT declaration. For more information,
see Set Up VAT Categories.
To create an electronic declaration
1. Choose the icon, enter Elec. Tax Declarations , and then choose the related link.
2. On the Elec. Tax Declaration List page, choose the New action.
3. On the Elec. Tax Declaration Card page, fill in the fields as necessary. Hover over a field to read a short
description.
The XML elements and the accompanying data of the electronic declaration are displayed on the Lines FastTab
on the Elec. Tax Declaration Card page.
The XBRL reporter ensures that all account numbers that are imported from Business Central are mapped to the
XBRL elements in a report. The XBRL reporter also displays a list of errors of unmapped elements or accounts.
To submit an electronic declaration

With the XBRL reporter, you can submit the Intracommunautaire Leveringen (ICP) declaration or the VAT
declaration in the required XML format. When it is submitted, the file is sent to the tax authorities as defined on
the Elec. Tax Declaration Setup page.
1. On the Elec. Tax Declaration Card page, choose the Submit Electronic Tax Declaration action.
Client Cer tificate Select the PKIoverheid certificate for the company.
Client Cer tificate Password Enter the password that encrypts the client certificate.
Ser vice Cer tificate Select the Digipoor t Ser vice certificate.

The electronic declaration is submitted to the tax authorities.
NOTE
If there are no intra-community deliveries in the declaration period, then an electronic ICP declaration is created without
XML elements for the deliveries. If you submit such a declaration, an error message will be displayed.
To import a response message from the tax authorities

For each electronic declaration, the tax authorities will send a response message. These messages must be
received from the server of the tax authorities and be processed. The first step is to import the response
message into Business Central.
1. Choose the icon, enter Elec. Tax Decl. Response Msgs., and then choose the related link.
2. Choose the Receive Response Messages action.
To process a response message from the tax authorities

When a response message is imported, it must be processed by validating its content against the related
electronic declaration. If no errors are found in the electronic declaration and the data has been processed by the
tax authorities, then the Status field on the Elec. Tax Declaration Card page is changed to
Acknowledgement .
2. Choose the Process Response Messages action.
3. On the Process Response Messages Batch Job page, select the appropriate filters, and then choose
the OK button.
The processed information about the response message is displayed in the Elec. Tax Decl. Response
Msgs.. page.
4. To export a message or attachment, choose the Expor t Response Message action or the Expor t
Response Attachment action.
See Also
Setting Up Electronic VAT and ICP Declarations in
the Dutch Version
To create electronic VAT and ICP declarations and communicate with the tax authorities, you must first set up
general information about electronic tax declarations. Your company must be registered with the tax authorities
before you can send electronic declarations.
When electronic declarations are set up, you can begin to declare VAT and ICP to the tax authorities. For more
information, see Submitting Electronic VAT and ICP Declarations.
To set up electronic declarations

First, make sure you have uploaded the certificates you need to communicate with Digipoort. This is done on
the Cer tificates page. You will need a client and a service certificate. When they have been added to the list of
certificates you can continue with setting up electronics declarations.
1. Choose the icon, enter Elec. Tax Declaration Setup , and then choose the related link.
2. On the Elec. Tax Declaration Setup page, fill in the fields as necessary. Hover over a field to read a
short description.
3. If you want the contact ID in the electronic declaration to be filled with the VAT registration number of the
company, then select Tax Payer in the VAT Contact Type field.
4. If you want to send electronic ICP declarations for a subsidiary company of a fiscal entity, then select the
select the Par t of Fiscal Entity check box.
NOTE
If a company has several companies registered as subsidiaries of a holding company, they have the option to
submit the VAT declaration individually or combined for one fiscal entity. To set up electronic declarations for
subsidiaries of a holding company, you must select the Par t of Fiscal Entity field on the Elec. Tax Declaration
Setup page. You can then create an electronic declaration for only one company.
If you want to combine the tax information for all subsidiaries of a holding company, you must create a VAT
statement on paper for each subsidiary company and manually calculate the total amounts for the holding
company. These total amounts of the holding company must be entered on the website of the tax authorities.
You cannot combine tax information for ICP declarations. ICP declarations must always be submitted individually.
For each subsidiary company an electronic ICP declaration can be created and submitted to the tax authorities.
These electronic ICP declarations must contain the VAT registration number of the subsidiary company and the
value of the Fiscal Entity No. field on the Company Information page of the holding company.
5. In the Digipoor t Deliver y URL field, specify the URL for the production version of the Digipoort
Aanlever service. For more information, see
https://www.logius.nl/producten/gegevensuitwisseling/digipoort.
6. In the Digipoor t Status URL field, specify the URL for the status information that is coming from the
Digipoort Statusinformatie service. For more information, see Electronic VAT and ICP Declarations.
7. In the Client Cer tificate Code field, specify the client certificate from list of certificates.
8. In the Ser vice Cer tificate Code field, specify the service certificate from the list of certificates.
See Also
Submitting Electronic VAT and ICP Declarations in
the Dutch Version
Companies must submit periodic VAT and Intracommunautaire leveringen (ICP) declarations to the tax
authorities.
VAT declarations must be submitted on a monthly or quarterly basis. ICP declarations must be submitted on a
quarterly basis.
NOTE
ICP declarations must be submitted by companies that sell goods or services to European Union (EU) countries.
Purchases are not included in this declaration.
For a transaction to qualify for ICP, it is required that the merchandise have crossed the border physically. It is not enough
that the location of an invoice address or the office of the vendor or customer is in another EU country or region.
You can submit the VAT declarations and ICP declarations in the following ways:
Log on to the website of the Dutch tax office and enter the information manually. For more information,
see the website of the Dutch tax office.
Create an electronic declaration and submit the encrypted file through file through the Digipoort channel
to the Dutch tax office. Digipoort is the electronic post office provided by the Dutch government for
companies. It provides the common infrastructure for the communication of information between
companies and the government, including VAT declarations. The reports are in the eXtensible Business
Reporting Language (XBRL) format. For more information, see Create Reports with XBRL.
To prepare for electronic declaration

Before you can send electronic declarations to the tax authorities you must perform the following tasks:
1. Ensure that you have obtained the certificates from the government. If you have not, take the following
steps to obtain the certificates:
Obtain a PKIoverheid certificate for the company if you do not have one already. A list of certificate
providers can be found here:
https://www.logius.nl/producten/toegang/pkioverheid/aansluiten/toegetreden-csps.
Register a user of Digipoort, which can be done here:
https://aansluiten.procesinfrastructuur.nl/site/registratie/nieuw.
Obtain a Digipoor t Ser vice cer tificate , which can be obtained at the Dutch Tax Administration
website: https://aansluiten.procesinfrastructuur.nl.
2. Enter general data and personal data received from the tax authorities on the Elec. Tax Declaration
Setup page. For more information, see Setting Up Electronic VAT and ICP Declarations.
3. Set up a VAT category code for all XML elements in the electronic VAT declaration. For more information,
see Set Up VAT Categories.
To create an electronic declaration
1. Choose the icon, enter Elec. Tax Declarations , and then choose the related link.
2. On the Elec. Tax Declaration List page, choose the New action.
3. On the Elec. Tax Declaration Card page, fill in the fields as necessary. Hover over a field to read a short
description.
The XML elements and the accompanying data of the electronic declaration are displayed on the Lines FastTab
on the Elec. Tax Declaration Card page.
The XBRL reporter ensures that all account numbers that are imported from Business Central are mapped to the
XBRL elements in a report. The XBRL reporter also displays a list of errors of unmapped elements or accounts.
To submit an electronic declaration

With the XBRL reporter, you can submit the Intracommunautaire Leveringen (ICP) declaration or the VAT
declaration in the required XML format. When it is submitted, the file is sent to the tax authorities as defined on
the Elec. Tax Declaration Setup page.
1. On the Elec. Tax Declaration Card page, choose the Submit Electronic Tax Declaration action.

The electronic declaration is submitted to the tax authorities.
NOTE
If there are no intra-community deliveries in the declaration period, then an electronic ICP declaration is created without
XML elements for the deliveries. If you submit such a declaration, an error message will be displayed.
To import a response message from the tax authorities

For each electronic declaration, the tax authorities will send a response message. These messages must be
received from the server of the tax authorities and be processed. The first step is to import the response
message into Business Central.
2. Choose the Receive Response Messages action.
To process a response message from the tax authorities

When a response message is imported, it must be processed by validating its content against the related
electronic declaration. If no errors are found in the electronic declaration and the data has been processed by the
tax authorities, then the Status field on the Elec. Tax Declaration Card page is changed to
Acknowledgement .
2. Choose the Process Response Messages action.
3. On the Process Response Messages Batch Job page, select the appropriate filters, and then choose
the OK button.
The processed information about the response message is displayed in the Elec. Tax Decl. Response
Msgs.. page.
4. To export a message or attachment, choose the Expor t Response Message action or the Expor t
Response Attachment action.
See Also
Electronic banking functionality allows you to create electronic payment files and direct debit files, and to import
electronic bank statements from supported bank software.
Telebanking
Using Telebanking, you can export payments, import bank statements, and collect data to forward to the bank.
For more information, see Telebanking.
You can create payment proposals and reconcile bank accounts in the cash, bank, and giro journals.
Payment Files
You can make payment proposals for paying open invoices to suppliers. Payment proposals can be edited
manually prior to processing to add or remove payment invoices, or to change payment amounts. After
processing a proposed payment batch, you can transfer electronic payment files to the bank. If an error occurs
in the payment file while importing into the banking software, you can make a copy of the payment file to
resubmit to the bank.
You can make domestic payments and international payments using the designated formats. For more
information, see Telebanking.
Direct Debit Files
You can create a payment proposal to collect payment from customer bank accounts. You can edit payment
proposals manually to add or remove invoices, or to change collection amounts. After processing a proposed
payment batch, you can transfer electronic direct debit files to the bank. If an error occurs in the direct debit file
while importing into the banking software, you can make a copy of the direct debit file to resubmit to the bank.
You can only collect payments domestically at this time. For more information, see Create Proposals.
Bank Statement Import
You can import bank statements from supported bank software, and reconcile them with incoming and
outgoing payments. You can also reconcile bank charges and interest earned.
For more information, see Import and Reconcile Bank Statements.
See Also
Telebanking
Enter and Post Cash and Bank/Giro Journals
Telebanking
Based on both sales and purchase transactions, telebanking enables you to generate your payments and
collections and interchange them with your bank electronically. This includes the export of payment and
collection data that need to be forwarded to the bank as well as the import of bank statements sent to you by
the bank.
Transactions
In general, all financial interactions with vendors and customers are done through either purchase or sales
invoices and credit memos. As soon as these transactions have been registered and posted, payments or
collections can be carried out by your company.
Proposals
Based on vendor and customer ledger entries, telebanking enables you to generate payment and collection
proposals. This can be done for any bank that has been set up for your company. Both domestic and foreign
payments and collections are possible.
You can set up Business Central to combine payments to or collections from the same bank account
automatically.
When a proposal has been agreed upon, it should be processed into a payment history.
NOTE
In general, for any open vendor and customer ledger entries, a proposal can be generated if it meets a number of criteria.
For more information, see Create Proposals.
Payment Histories
A payment history is nothing more than a proposal except for the fact that data on a payment history cannot be
modified. The payment or collection data is ready to be exported and forwarded to the bank.
For more information, see Create and Export Payment History.
Bank Statements
For all your financial interactions through your bank, the bank can send you electronic bank statements. These
statements can be imported into the Bank/Giro Journals. If you want, you can have Business Central
automatically reconcile these statements during this import process and determine whether a statement can be
applied to open ledger entries for the relevant vendor/customer.
For more information, see Import and Reconcile Bank Statements.
NOTE
The currency of the imported transactions must match the currency that is specified on the bank account in Business
Central.
Exchange Protocols
For both exporting and importing, a number of protocols have been defined. Business Central supports the
following protocols:
BTL91 (export). This cross-border protocol is no longer accepted in the Netherlands as of May 1st 2019. This
protocol is replaced by the Generic Payment File protocol.
BBV (export)
PAYMUL (export)
Generic Payment File (export). Can be used for cross-border Non-EUR transfers.
Rabobank mut.asc (import)
Rabobank vvmut.asc (import)
Rabobank ASCII (import)
SEPA CAMT
See Also
Invoice Sales
Record Purchases
Create Proposals
Payment Scenarios
Based on a sales or purchase invoice or credit memo a proposal can be generated and exported in order to be
processed by our bank.
Using telebanking you can deal with three scenarios:
1. The payment is done by means of a bank account denominated in your local currency (LCY), which is the
same currency as linked to the invoice/credit memo.
For more information, see Payment Scenario 1 - Domestic Payments (LCY to LCY).
2. The payment is done by means of a bank account denominated in the same currency as the currency
linked to the invoice/credit memo. Both foreign.
For more information, see Payment Scenario 2 - Foreign Payment (FCY to FCY).
3. The payment is done by means of a bank account denominated in your local currency (LCY), while the
invoice/credit memo is linked to a foreign currency.
For more information, see Payment Scenario 3 - Foreign Payment (LCY to FCY).
See Also
Telebanking
Payment Scenario 1 - Domestic Payments (LCY to
LCY) in the Dutch Version
You can use telebanking for trade with domestic and foreign customers and vendors. This topic describes a
scenario where the trade is with domestic customers and vendors.
The following list describes the main steps:
1. Create Vendor/Customer.
2. Create Vendor/Customer Bank Account.
3. Create and Post Purchase Invoice for Vendor or Sales Invoice for Customer.
4. Create Proposal.
5. Create Payment History.
6. Export Payment History.
7. Import Bank Statement.
NOTE
In the examples below some standard CRONUS data is being used. Likewise instead of creating a vendor/customer and a
vendor/customer bank account you could use existing data.
Create Vendor/Customer
Create vendor/customer and enter all necessary information. Special attention should be paid to the following
fields:
Currency Code : Leave empty - i.e. it is set to the local currency (LCY).
Transaction Mode : Select an appropriate, default transaction mode - i.e. one that can deal with local
currency payments for your bank.
Preferred Bank Account : Select an appropriate, default vendor/customer bank account having the same
Currency Code as the vendor/customer itself.
NOTE
In order to be able to enter a bank account in the Bank Account vendor/customer bank accounts must be available. See
below.
Example
Olek Johansson (code OLEK ) is one of our local vendors. Purchase invoices will be paid through our national
bank account (code ABN ) to his bank account (code OJBA ). Both bank account ABN and OJBA are denominated
in local currency (LCY). Therefore, on Olek Johansson's vendor card we leave the Currency Code field empty,
fill the Transaction Mode field with ABN that is linked to our bank account, ABN, and set the Bank Account
field to OJBA .
Create Vendor/Customer Bank Account

Create vendor/customer bank account and enter all necessary information. Special attention should be paid to
the following fields:
Preferred Bank Account : Enter a valid bank account number.
Owner Information : Be sure all owner information has been entered.
Example
Olek Johansson's bank account (code OJBA ) is denominated in local currency (LCY). Therefore, on Olek
Johansson's vendor bank account card we enter a valid number in the Bank Account No. field, leave the
Currency Code field empty and fill the fields on the Owner Information FastTab with appropriate values.
Create and Post Purchase Invoice for Vendor or Sales Invoice for
Customer
Create a purchase/sales invoice and enter all necessary information. Special attention should be paid to the
following fields:
currency payments for your bank.
Currency Code is the vendor/customer itself.
By default these three fields will be populated with values taken from the vendor/customer card.
When the invoice is finished it can be posted.
Example
When creating a purchase invoice for Olek Johansson we enter OLEK in the Buy-from Vendor No. field. By
default the Currency Code , Transaction Mode and Bank Account fields will be populated with values taken
from the Olek Johansson's vendor card. Therefore, the Currency Code , Transaction Mode and Bank
Account fields will be <empty> , ABN and OJBA respectively. Nevertheless, these values can be changed.
Create Proposal
Open the Telebank - Bank Over view page and browse to the bank through which we want to perform our
payment. Open the Proposal page and generate payment proposals using the Get Proposal Entries batch
job.
Example
Through the Telebank - Bank Over view page, we open the Proposal page for our bank, ABN. Using the
batch job, one proposal line will be created for the purchase invoice we just created and posted for vendor OLEK.
Create Payment History

From the Proposal page, we process our proposal into a payment history. The proposal will disappear and can
be found on the Payment Histor y Over view page for the same bank.
Example
We process our proposal concerning the payment to vendor OLEK and open the Payment Histor y Over view
page for our bank, ABN. The last payment history is the one we just created.
Export Payment History

Open the Payment Histor y Over view page, browse to the relevant payment history and choose the Expor t
action. The export batch job will appear for the export protocol that is linked to this payment. For this export the
system already has entered appropriate filters. Check, if wanted, any of the fields on the Options FastTab, and
then choose the OK action to export the payment. The system will generate a text file using a filename as
defined in the Default File Names Field field of the export protocol, which now is ready to be sent to our
bank.
Import Bank Statement

After receiving electronic bank statements from our bank we can import them by running the appropriate
import protocol from the Impor t Protocol List page.
Example
The bank statement containing our payment to Olek Johansson will be sent to us by our bank, ABN. Therefore,
we should chose OFFICE NET EXTRA as the appropriate import protocol.
See Also
Create Proposals
Payment Scenario 2 - Foreign Payment (FCY to
FCY) in the Dutch Version
scenario where the trade is with foreign customers and vendor that use the same foreign currency as your bank
account is set up to use.
The following list describes the main steps:
4. Create Proposal.
NOTE
fields:
Currency Code : Set it to the foreign currency (FCY).
Transaction Mode : Select an appropriate, default transaction mode - i.e. one that can deal with foreign
currency payments for your foreign bank.
NOTE
below.
Example
Jannet Carter (code JANNET ) is one of our US vendors. Purchase invoices will be paid through our foreign bank
account (code ABN-USD ) to her bank account (code JCBA ). Both bank account ABN-USD and JCBA are
denominated in the same foreign currency (FCY) - i.e. USD. Therefore, on Jannet Carter's vendor card, we set the
Currency Code field to USD , fill the Transaction Mode field with ABN-USD that is linked to our bank
account, ABN-USD and set the Bank Account field to JCBA .

Example
Jannet Carter's bank account (code JCBA ) is denominated in foreign currency (FCY) - i.e. USD. Therefore, on
Jannet Carter's vendor bank account card, we enter a valid number in the Bank Account No. field, set the
Currency Code field to USD , and fill the fields on the Owner Information tab with appropriate values.
Customer
following fields:
currency payments for your foreign bank.
By default, these three fields will be populated with values taken from the vendor/customer card.
Example
When creating a purchase invoice for Jannet Carter we enter JANNET in the Buy-from Vendor No. field. By
default, the Currency Code , Transaction Mode , and Bank Account fields will be populated with values taken
from the Jannet Carter's vendor card. Therefore, the Currency Code , Transaction Mode , and Bank Account
fields will be USD , ABN-USD , and JCBA respectively. Nevertheless, these values can be changed.
Create Proposal
job.
Example
Through the Telebank - Bank Over view page, we open the Proposal page for our bank, ABN-USD. Using the
batch job, one proposal line will be created for the purchase invoice we just created and posted for the vendor
JANNET.

From the Proposal page we process our proposal into a payment history. The proposal will disappear and can
Example
We process our proposal concerning the payment to the vendor JANNET and open the Payment Histor y
Over view page for our bank, ABN-USD. The last payment history is the one we just created.
Open the Payment Histor y Over view page, browse to the relevant payment history and choose the Expor t
action. The export batch job will appear for the export protocol that is linked to this payment. For this export the
system already has entered appropriate filters. Check, if wanted, any of the fields on the Options FastTab, and
then choose the OK button to export the payment. The system will generate a text file using a filename as
defined in the Default File Names Field field of the export protocol, which now is ready to be sent to our
bank.
Example
As the transaction mode associated with our payment is ABN-USD, the BBV or PAYMUL batch job will appear.

Example
The bank statement containing our payment to Jannet Carter will be sent to us by our bank, ABN-USD.
Therefore, we should chose OFFICE NET EXTRA as the appropriate import protocol.
See Also
Create Proposals
Payment Scenario 3 - Foreign Payment (LCY to
FCY) in the Dutch Version
scenario where the trade is with foreign customers and vendors that use a different currency than your local
currency.
4. Create Proposal.
NOTE
fields:
currency payments for your local bank.
NOTE
below.
Example
Hernandez Ortiz (code ORTIZ ) is one of our Mexican vendors. Purchase invoices will be paid through our
national bank account (code ABN ) to his bank account (code HOBA ). While our bank account ABN is
denominated in local currency (LCY), Hernandez Ortiz's bank account HOBA is denominated in Mexican peso
(MXN). Therefore, on Hernandez Ortiz's vendor card, we set the Currency Code field to MXN , fill the
Transaction Mode field with ABN that is linked to our bank account, ABN, and set the Bank Account field to
HOBA .

Example
Hernandez Ortiz's bank account (code HOBA ) is denominated in MXN . Therefore, on Hernandez Ortiz's vendor
bank account card, we enter a valid number in the Bank Account No. field, set the Currency Code field to
MXN , and fill the fields on the Owner Information FastTab with appropriate values.
Customer
following fields:
currency payments for your local bank.
By default these three fields will be populated with values taken from the vendor/customer card.
Example
When creating a purchase invoice for Hernandez Ortiz we enter ORTIZ in the Buy-from Vendor No. field. By
default, the Currency Code , Transaction Mode , and Bank Account fields will be populated with values taken
from the Hernandez Ortiz's vendor card. Therefore, the Currency Code , Transaction Mode , and Bank
Account fields will be MXN , ABN , and HOBA respectively. Nevertheless, these values can be changed.
Create Proposal
job.
Example
Through the Telebank - Bank Over view page, we open the Proposal page for our bank, ABN. Using the
batch job, one proposal line will be created for the purchase invoice we just created and posted for the vendor
ORTIZ. The amount of the payment will be in local currency (LCY).

From the Proposal page, we process our proposal into a payment history. The proposal will disappear and can
Example
We process our proposal concerning the payment to the vendor ORTIZ and open the Payment Histor y
Over view page for our bank, ABN. The last payment history is the one we just created.
Open the Payment Histor y Over view page, browse to the relevant payment history and then choose the
Expor t action. The export batch job will appear for the export protocol that is linked to this payment. For this
export the system already has entered appropriate filters. Check, if wanted, any of the fields on the Options
FastTab, and choose the OK button to export the payment. The system will generate a text file using a filename
as defined in the Default File Names Field field of the export protocol, which now is ready to be sent to our
bank.
Example
As the transaction mode associated with our payment is ABN , the BBV or PAYMUL batch job will appear.

Example
The bank statement containing our payment to Hernandez Ortiz will be sent to us by our bank, ABN. Therefore,
we should chose OFFICE NET EXTRA as the appropriate import protocol.
See Also
Create Proposals
Create Proposals
Proposals can be generated manually or automatically based on either vendor or customer ledger entries.
IMPORTANT
To create a proposal, you must use the Owner Information field in the Vendor Bank Account Card and Customer Bank
Account Card pages.
NOTE
At any time and at any level, before processing a proposal, the transaction mode and bank account can be modified. At
the lowest level on the relevant vendor or customer ledger entries.
To create proposals manually

1. Choose the icon, enter Telebank - Bank Over view , and then choose the related link.
2. Select the relevant bank account and then choose the Proposal action.
3. At a minimum, you must fill in the Account Type , Account No., Transaction Mode , Bank Account
No., and Amount fields.
4. If you want to view or adjust the proposal's detail lines, choose the Detail Information action. To return
to the proposal, close the Proposal Detail Line page.
To create proposals automatically from sales

1. Set up a card for the customer who sent the invoice with appropriate values for the Currency Code ,
Transaction Mode , and Bank Account fields.
2. Create a sales invoice or credit memo, enter the customer and relevant items and post the invoice.
3. Check whether the Currency Code , Transaction Mode , and Bank Account fields of the invoice/credit
memo contain appropriate values. By default, they will be copied from the customer card.
5. Select the relevant bank account, and then choose the Proposal action.
6. Choose the Get Entries action.
You can use the Get Proposal Entries Batch Job batch job to generate proposal lines based on relevant
customer ledger entries.
NOTE
Only proposal lines will be created for ledger entries that have a transaction mode of account type Customer and
a link to the active bank account.
To create proposals automatically from purchases

1. Set up a card for the vendor that sent the invoice with appropriate values for Currency Code ,
Transaction Mode , and Bank Account fields.
2. Create a purchase invoice or credit memo, enter the vendor and relevant items.
4. Check whether the Currency Code , Transaction Mode , and Bank Account fields of the invoice/credit
memo contain appropriate values. By default, they will be copied from the vendor card.
7. Choose the Get Entries action.
You can use the Get Proposal Entries Batch Job batch job to generate proposal lines based on relevant
vendor ledger entries.
NOTE
Only proposal lines will be created for ledger entries that have a transaction mode of account type Vendor and a
link to the active bank account.
See Also
Invoice Sales
Record Purchases
Docket Reports in the Dutch Version
The Dutch telebanking application allows you to combine ledger entries for the same customer or vendor,
having the same transaction mode, into one payment or collection order to the bank. As such one total amount
will be paid to or collected from the vendor or customer involved. Possibly this combined payment could lack all
detail information about the individual payments or collections. Telebanking offers you the possibility to inform
your vendor or customer in detail by generating a docket report that describes the individual payments that
constitute the total amount paid or collected.
When generating payment proposals using the Get Proposal Entries batch job the system will select the
Docket check box on the proposal in case that:
The resulting combined payment includes too many invoice numbers to list them in the available four
description fields of the new proposal line: Description 1 field, Description 2 field, Description 3
field, and Description 4 field.
The payment is not based upon an invoice.
See Also
Telebanking
The cash journal and the bank/giro journal help you post transactions into the system in an easier and more
direct way than using the general journal.
In conjunction with Telebanking, they allow you to import electronic bank statements into the Bank/Giro
Journal page. The system can automatically reconcile these statements during the import process and
determine whether a statement can be applied to open ledger entries for the relevant vendor/customer.
In Business Central, you can use the cash and bank journals to enter the transactions that affect the cash and
bank accounts by using the Cash Book and Bank Book types.
You can enter increases or decreases to the cash account on the Cash Journal page. For example, you can use
this journal for paying out petty cash or receiving transfers from a different bank account.
The Bank/Giro Journal page records the inflow or outflow of the cash to a specific bank account. This journal
forms the basis for bank reconciliation. The layout of this journal resembles the paper bank statement, so you
can transpose the required fields from the paper statement to the journal, or you can import an electronic bank
statement file. The transactions can be customer payments or vendor payments.
You can apply the payments from customers to the open invoices from accounts receivables. You can also enter
general ledger transactions to capture miscellaneous amounts, such as bank charges or interest income. VAT
codes can also be applied to these transaction lines. You can define a journal for every bank account.
To post cash journals

1. Choose the icon, enter Cash Journal , and then choose the related link.
3. On the Cash Journal page, on the Lines FastTab, fill in the required fields as described in the following
table.
Date The journal entry date.
Document No. The document number for which journal entry is created.
Account Type The account type to which the entry is to be posted.
Account No. The account number to which the entry is to be posted.
Description The description of the entry. This field automatically

populates the description of the account number
selected in the Account No. field.
VAT Prod. Posting Group The VAT product posting group code used to post the
entry. You can select a code in this field only if the
Account Type is G/L Account . For more information,
see VAT Product Posting Groups.
Amount The total amount that the statement line consists of. You
must enter the debit amount without a plus or minus
sign and the credit amount with a minus sign.
If this amount includes the VAT amount, then select the

Amount incl. VAT check box.
NOTE
If there is a difference between the opening balance and the closing balance, you must change the closing balance
before posting the entry.
The entries are posted to the general ledger. For more information, see General Ledger Entries.
To post bank or giro journals

1. Choose the icon, enter Bank/Giro Journal , and then choose the related link.
3. Select the relevant journal template, and then choose the OK button.
4. On the Bank/Giro Journal page, fill in the fields as described in the following table.
Opening Balance The current balance of the bank or giro account. It

equals the closing balance of previously posted entries
for the journal.
Closing Balance The new closing balance of the journal.
Date The journal entry date.
Account Type The account type to which the journal entry is to be

posted.
Account No. The account number to which the journal entry is to be

posted.
Identification The identification number that links the statement line to

a payment history line.
Description The description of the entry.
VAT Prod. Posting Group The VAT product posting group code that will be used
when you post the entry on the statement line.
Amount The total amount that the statement line consists of. You
must enter the debit amount without a plus or minus
sign and the credit amount with a minus sign.
If this amount includes the VAT amount, then select the

Amount incl. VAT check box.
NOTE
If there is a difference between the opening balance and the closing balance, you must change the closing balance before
posting the entry.
The entries are posted to the general ledger. For more information, see General Ledger Entries.
See Also
Print the Test Reports for Cash and Bank or Giro Journals
Telebanking
Enter and Post Cash and Bank or Giro Journals
Print the Test Reports for Cash and Bank or Giro
Journals
You can use the CBG Posting - Test report to edit the statement lines and see the effect of posting before you
post cash journals and bank or giro journals.
This report displays the statement lines of a cash journal and bank journal or giro journal. For more information,
see CBG Statement Line Table and Bank-Giro Journal Page.
To print the test report for cash journal

1. Choose the icon, enter Cash Journal , and then choose the related link.
2. On the Cash Journal page, choose the Test Repor t action.
3. To include the information on applied entries for the statement lines, select the Show Applied Entries
check box.
For more information, see Apply and Unapply General Ledger Entries.
4. On the CBG Statement FastTab, select the appropriate filters.
You can select the Journal Template Name and No. fields as filters when you generate this report.
5. Choose the Print button to print the report or choose the Preview button to view it in on the screen.
To print the test report for bank or giro journal

1. Choose the icon, enter Bank/Giro Journal , and then choose the related link
2. Choose the General Ledger action.
3. On the General Journal Template List page, Choose the OK button.
4. On the Bank/Giro Journal page, choose the Test Repor t action.
5. To include the information on applied entries for the statement lines, select the Show Applied Entries
check box.
6. On the CBG Statement FastTab, select the appropriate filters.
You can select the Journal Template Name and No. as filters when you generate this report.
7. Choose the Print button to print the report or choose the Preview button to view it in on the screen.
See Also
Single EURO Payments Area (SEPA)
The Single Euro Payments Area (SEPA) unifies payment methods in participating European countries, making
international payments as easy to process as domestic payments. 300 million European citizens and companies
are able to make and receive payments in euros, whether within or across national borders, with the same basic
conditions, rights, and obligations, regardless of location.
Business Central supports the Dutch requirements for submitting SEPA payments, credit transfers, and direct
debit.
Before you can submit vendor payments electronically in SEPA ISO2022 format, you must activate SEPA in the
following pages:
Countries/Regions
Bank Accounts
Export Protocols
Transaction Modes
Additionally you will need to verify that vendor payment transaction modes and vendor bank accounts are set
up to use SEPA for each vendor.
Vendor payments made using SEPA ISO 20022 must comply with the following rules.
Make all payments in euros.
Make payments within the European Economic Area (EEA).
Use the vendor bank’s International Bank Account Number (IBAN) and Bank Identifier Code (BIC)
information.
See Also
Activate SEPA Payments in the Dutch Version
To submit vendor payments electronically in Single Euro Payments Area (SEPA) ISO 20022 payment format, you
must set up prerequisites for enabling SEPA payments in your company.
Your version of Business Central uses the generic functionality for SEPA payments but is optimized for local
requirements. To set up countries, bank accounts, vendors, vendor bank accounts, and the payment journal, see
Setting Up SEPA Credit Transfer. Hover over a field to read a short description.
To enable transaction modes for SEPA

1. Choose the icon, enter Transaction Modes , and then choose the related link.
2. Select the transaction mode that you want to enable for SEPA, and then choose the Edit action.
3. On the Transaction Mode Card page, on the Paym. Proposal FastTab, in the Expor t Protocol field, select
the SEPA export protocol that you have created, such as SEPA ISO20022 .
To verify vendor payment transaction modes for SEPA

2. Select the vendor that you want to verify the transaction mode for, and then choose the View action.
3. On the Payments FastTab, in the Transaction Mode Code field, verify that the vendor payment transaction
mode is one that has been enabled for SEPA.
See Also
Submit Vendor Payments Electronically in SEPA ISO
20022 Payment Format
In the Dutch version of Business Central, you can create and submit Single Euro Payments Area (SEPA) ISO
20022 vendor payments electronically.
Before you can create and submit SEPA vendor payments, you must enable SEPA payments. For more
information, see Activate SEPA Payments.
To submit vendor payments electronically in SEPA ISO 20022 payment

format
1. Choose the icon, enter Telebank-Bank Over view , and then choose the related link.
3. Select the relevant vendor bank account, and then choose the Get Entries action.
4. In the Get Proposal Entries batch job, on the Options FastTab, fill in the fields as described in the
following table.
Currency Date Specify the currency date.
Pmt. Discount Date Specify the payment discount date.
5. On the Transaction Mode FastTab, select the appropriate filters.

6. On the Cust. Ledger Entr y FastTab, select the appropriate filters.
7. On the Vendor Ledger Entr y FastTab, select the Vendor No. filter, and then select a vendor number.
NOTE
Select other appropriate filters if required.

The proposal lines populate on the Telebank Proposal page.
See Also
Create and Export Payment History in the Dutch
Version
After you have created a proposal and made any modifications, you can process the proposal to create a
payment history. Proposals can be created manually or automatically from a vendor or customer ledger entry.
For more information, see Create Proposals.
For exporting payment histories, the following protocols are supported:
BTL91 $)
BBV
PAYMUL
To create a payment history for a proposal

If you want to print the proposal before you process it, choose the Print button.
2. To process the proposal, choose the Process action.
3. To view the payment history, close the Telebank Proposal page. Make sure the same bank account on
the Telebank – Bank Over view page is selected, and then choose the Payment Histor y action.
The Payment Histor y List page displays the payment history that you just created.
To export a payment history

On the Payment Histor y List page, choose the Expor t action.
NOTE
A text file will be created. This file contains the path and file name as defined in the Default File Names Field
field of the export protocol.
See Also
Create Proposals
Banks provide electronic bank statements for all your financial interactions. You can import these statements
into the bank or giro journals.
The import bank statement is supported by the following protocols:
Rabobank mut.asc
Rabobank vvmut.ac
Rabobank ASCII
SEPA CAMT
To import and reconcile bank statements

1. Choose the icon, enter Bank/Giro Journal , and then choose the related link.
2. Choose the Impor t Bank Statement action, select the required import protocol, and then choose the
OK button.
3. To reconcile the bank statements automatically when importing, on the Options FastTab, select the
Automatic Reconciliation check box.
NOTE
This function does not work for bank statement files of type SEPA CAMT. Instead, use the Match Automatically
action on the Bank Acc. Reconciliation page. For more information, see Reconcile Bank Accounts.

5. To import the file that contains the electronic bank statement, specify the file name and path, and then
choose the Open button.
The electronic bank statement is imported into the bank or giro journals. For more information, see Dutch
Electronic Banking.
See Also
Apply and Unapply General Ledger Entries in the
Dutch Version
By applying temporary general ledger entries, companies can work with temporary and transfer accounts in the
general ledger. Temporary and transfer accounts are used to store temporary ledger entries that are waiting for
further processing into the general ledger.
You can use temporary accounts for:
Money transfers from one bank account to another.
Financial transaction transfers from one system to another in which part of the information temporarily
resides on the original system.
Transactions for which you have issued a sales invoice to a customer but have not yet received the
corresponding purchase invoice from the vendor.
When the ledger entries have been processed, you can use the Apply Entries function to update the posted
ledger entries and the posting account type.
You can unapply the applied general ledger entries and then open the closed entries to make changes.

3. On the General Ledger Entries page, choose the Apply Entries action.
All open ledger entries for the general ledger account are displayed on the Apply General Ledger
Entries page.
NOTE
By default, the Include Entries field is set to Open . You can change the value of the Include Entries field to All
or Closed . You can only apply general ledger entries that are Open .
4. Select the relevant general ledger entry, and then choose the Set Applies-to ID action.
The Applies-to ID field is updated with the user ID. The remaining amount is displayed in the Balance
field on the Apply General Ledger Entries page.
You can post the application even if the balance amount is equal to 0. When posted, the Remaining
Amount field is affected as follows:
If the Balance is equal to 0, then the Remaining Amount field on all ledger entries is set to 0.
If the Balance is not equal to 0, then the amount in the Balance field is transferred to the
Remaining Amount field for the general ledger entry that was selected when you posted the
application.
For all other general ledger entries, the Remaining Amount field is set to 0 and the Open ,
Closed by Entr y No., Closed by Amount , and Closed at Date fields are updated.
NOTE
When posted, the general ledger entries which update the Applies-to ID field are deleted.
To view the applied general ledger entries

3. Select the relevant general ledger entry, and then choose the Applied Entries action.
You can view all the applied general ledger entries.

3. Select the general ledger entry that you want to unapply, and then choose the Undo Application action.
The applied general ledger entries are unapplied.
NOTE
If an entry is applied to more than one application entry, you must unapply the latest application entry first. By
default, the latest entry is displayed.
See Also
Apply Customer Payments Manually
Required Descriptions in G-L Entry
Create an Audit File for the Tax Authority
Required Descriptions in G-L Entry
When entering general journal lines on a form, the system fills in automatically the description field. This
description will also be stored in the G/L entry after posting the journal. For a good audit trail, a more detailed
description is desirable, when you post a journal line of type G/L Account.
To force the user to enter a more detailed description, it is possible to choose if the system must fill in
automatically the description of the G/L account or leave the field blank. If the Omit Default Descr. in Jnl.
Field check box on the G/L Account Card page is checked, the system will not fill in the Description field for
that G/L account when selected in a general journal line.
When posting the journal lines, the system will check if all the Description fields are filled in. If there is a blank
description, an error message will appear.
NOTE
Leaving the description field blank and check if all the description fields are filled in before posting, will only be done on
the general journal pages in several application areas and on the local Cash Bank Giro pages.
See Also
Apply Customer Payments Manually
Create an Audit File for the Tax Authority
Check Purchase Amounts in the Dutch Version
Before posting a purchase invoice or credit memo, application checks if the amount including VAT and the VAT
amount stated on the purchase document is equal to the total amount of the inserted purchase lines. To do this,
the Doc. Amount Incl. VAT and Doc. Amount VAT fields must be filled in in the Purchase Invoice or
Purchase Credit Memo page.
In case there is only one purchase line or in case all lines are subject to the same VAT %, the correct Doc.
Amount VAT Field will be calculated automatically when you have inserted the purchase lines and the Doc.
Amount Incl. VAT Field . In case several lines exist with different VAT percentages, the Doc. Amount VAT
Field must be changed manually.
Default application will check the purchase document total amounts, but you can switch it off by deselecting the
Check Doc. Total Amounts check box on the Purchases & Payables Setup page.
To determine the reason of the difference between the document total amounts and the total amounts of the
inserted purchase lines, you have the possibility to let application calculate the total amount, total base amount,
total VAT amount and total amount including VAT of the inserted purchase lines and show them at the bottom of
the purchase invoice or purchase credit memo page.
Default application will not show these total amounts, but you can switch it on by selecting the Show Totals on
Purch. Inv.-CM. check box on the Purchases & Payables Setup page.
NOTE
If you activate this field, totals on all purchase invoices and credit memos must be recalculated. This can be a time-
consuming process depending on the number of documents that must be recalculated. You can not activate this field in
case purchase invoices and/or credit memos exist without any purchase lines or in case you have purchase invoices and/or
purchase credit memos with no quantity specified on the lines.
See Also
Set Up Validation of Purchase Amounts
Edit Document Amounts in Purchase Invoices and
Credit Memos in the Dutch Version
Business Central lets you easily edit document amounts in purchase invoices and credit memos.
To edit document amounts

1. Choose the icon, enter Purchase Invoice or Purchase Credit Memo , and then choose the related link.
2. Edit the document amount in the Doc. Amount Incl. VAT field and the Doc. Amount VAT field.
If you use the Get Recurring Purchase Lines action to insert lines based on a Standard Purchase Code , if
the quantity in the first line is 0 or 1 and the unit cost is 0, Business Central compares the amount entered with
the calculated total amount and applies the difference to the first line that was inserted.
See Also
Set Up Validation of Purchase Amounts in the Dutch
Version
In Business Central, you can activate the Check Doc. Total Amounts function to validate the total amount of
purchase documents before posting a purchase invoice and purchase credit memo. By default, the purchase
document total amount is validated when you post. The total amount of the inserted purchase lines must be
equal to the amount including VAT and the VAT amount. To validate the purchase document amount
automatically, you must enter the document amount including VAT and the document amount VAT in the
Purchase Invoice or Purchase Credit Memo page.
If you have only one purchase line or several purchase lines with the same VAT percentage, the correct
document amount VAT is calculated automatically when you insert the purchase lines and the document
amount including VAT. If you have several purchase lines with different VAT percentages, the document amount
VAT value must be changed manually.
You can also locate when the document total amounts and the total amounts of the inserted purchase lines are
different. You can activate the Show Totals on Purch. Inv./CM. option to view the following in the inserted
purchase lines:
Total amount
Total base amount
Total VAT amount
Total amount including VAT
The calculated amounts are displayed in the purchase invoice or purchase credit memo. By default, this total
amount is not displayed.
You can activate this option only if the purchase invoice or purchase credit memo has:
A minimum of one purchase line.
The quantity field specified.
To set up validation of total amounts for purchase documents

Show Totals on Purch. Inv./CM. Select to recalculate the totals on all purchase invoices
and credit memos. This can take more time depending
on the number of documents that must be recalculated.
Check Doc. Total Amounts Select to modify the Doc. Amount Incl. VAT and Doc.
Amount VAT fields in the Purchase Invoice and
Purchase Credit Memo pages.

See Also
Setting Up Purchases
CMR Notes in the Dutch Version
A CMR note is a bill of lading or an international consignment note defined under the 1956 United Nations
Convention for the Contract of the International Carriage of Goods by Road. This is also known as the CMR
Convention.
Claims with complete CMR note information are easily processed.
CMR Notes
Countries that follow the CMR Convention adhere to a standard form for CMR notes. The type of CMR note
used depends on the type of transaction. There are three types:
CMR - Sales Shipment – This report is used to print CMR documents for sales shipments. For each
CMR document, the report shows address data for the sender, shipping agent and consignee, along with
data about the shipped items.
CMR - Purchase Return Shipment – This report is used to print CMR documents for purchase return
shipments. For each CMR document, the report shows address data for the sender, shipping agent and
consignee, along with data about the shipped items.
CMR - Transfer Shipment – This report is used to print CMR documents for transfer shipments. For
each CMR document, the report shows address data for the location from which the items are shipped,
the location to which the items are shipped, and information regarding the shipping agent, along with
data about the shipped items.
NOTE
CMR notes are formatted to print on preprinted CMR forms.
The following details the standard life cycle of a CMR note:

The warehouse manager prints the CMR notes for the shipments that need to be sent.
The shipments are then packed and handed to the truck driver, along with the CMR notes.
The driver ensures that each shipment has a CMR note.
When goods are delivered to the customers, the driver ensures that the customers sign the CMR notes.
The signed CMR notes are then given to the respective internal Accounts Receivable departments.
The Accounts Payable administrators receive the signed CMR notes, along with the invoice for freight
forwarding services from the freight forwarder.
See Also
Dutch Post Codes
In the Netherlands, you can subscribe to getting post codes and post code updates for your business. These
updates are important for marketing and relationship management activities. Depending on your subscription,
you receive a file that has changes to the post code data for you to import into Business Central.
See Also
Import Post Codes
Import Post Code Updates
PostNL post code tables
Import Post Codes in the Dutch Version
You can import a file that specifies post codes for marketing and relationship management activities. The post
code data that you import will be saved in the Post Code Range table.
To import a post code file

1. Choose the icon, enter Post Codes Updates , and then choose the related link.
2. On the Post Codes Updates page, choose the Impor t Post Codes action.
3. Specify the path and name of the post code file, and then choose the OK button. If you do not want to import
the file, choose the Cancel button to close the page.
Information about the imported post code will be saved in the Post Code Update Log Entry Table table.
See Also
Dutch Post Codes
Import Post Code Updates
Import Post Code Updates in the Dutch Version
Every month a post code file will be delivered with all post code mutations in a month. This post code file can be
imported and update the relevant data of the Post Code Range table.
To import the update file

1. Choose the icon, enter Post Codes Updates , and then choose the related link.
2. On the Post Codes Updates page, choose the Impor t Post Codes Update action.
3. Specify the path and name of the post code update file, and then choose the OK button. If you do not want to
import the file, choose the Cancel button to close the page.
If there is no file imported with a full set of post code data, then a message appears.
Before updating the post codes the following checks will be performed:
Is there already an update file imported with a Date Field later then the date of this new update file? If so
then the process will stop.
Is there a gap between the date of this file and the value in the Date Field field for the last imported file? If
there is a gap then a message appears. You can choose if you still want to import the update file.
Information about the imported post code will be saved in the Post Code Update Log Entry Table table.
See Also
Dutch Post Codes
New Zealand Local Functionality
The following topics describe local functionality that is unique to the New Zealand version of Business Central.
Tax
Withholding Tax
Set Up Revenue Types for Withholding Tax Available Now
Set Up Goods and Services Tax Posting Available Now
Set Up Vendors Without ABN for Calculating Withholding Tax Available Now
Calculate and Post Withholding Tax Settlements Available Now
View Posted Tax Credit Memos Available Now
View Posted Tax Invoices Available Now
Adjust Settlement Exchange Rates for VAT Entries Available Now
Calculate Goods and Services Tax on Prepayments Available Now
Print Goods and Services Tax Settlement Reports Available Now
Banking & Payments
Compare Bank Cash Flow Available Now
Create Check Installments Available Now
Electronic Funds Transfer Available Now
Print Deposit Slip Reports Available Now
Print Bank Account Reconciliation Reports Available Now
Core Finance
Calculating Distribution Amounts Available Now
Print Balance Sheet Reports Available Now
Print Income Statements Available Now
General
Addresses Available Now
Determine Sales Price by Cost Plus Percentage Available Now
Enter New Zealand Business Numbers Available Now
New Zealand Inland Revenue Department Numbers and Adjustment Notes Available Now
See Also
Start a free trial!

Withholding Tax in the New Zealand Version
Withholding Tax (WHT) is tax withheld by a company when making a payment to a vendor, in which the full
amount owed to that vendor is reduced by the tax withheld. The withheld tax is then remitted to tax authorities
during the next Business Activity Statement (BAS) submission.
The New Zealand government requires taxes to be withheld from payment to vendors under the following
circumstances:
The vendor is a local supplier who has not supplied an New Zealand Inland Revenue Department number
(IRD) before the payment is processed, and the individual transaction amount is greater than the specified
threshold amount.
The vendor is a non-resident supplier and the payment is to be made to this non-resident entity in the form
of interest, royalty, or dividend payments. Currently, there is no minimum threshold amount. Withholding
rates may vary due to payment, or international tax treaties existing between New Zealand and the vendor's
country.
Fields within WHT Business Posting Groups and WHT Product Posting Groups must be set up on the
WHT Posting Setup page so that the correct WHT calculations are made for each vendor.
WHT Calculation Rule – This field controls how calculation applies to the WHT Minimum Invoice
Amount , or the invoice threshold amount. The following options exist:
Less than
Less than or equal to
Equal to
Greater than
Greater than or equal to
In New Zealand, WHT is not calculated if the individual invoice amount is less than or equal to the threshold
amount. Companies should select Less than or equal to .
WHT Minimum Invoice Amount – Enter the invoice threshold amount.
WHT % – Enter the relevant WHT rate for the particular combination of WHT Business Posting Group
and WHT Product Posting Group . If you do not wish to calculate any withholding amount, enter 0.00.
Realised WHT Type – Select Payment to calculate only the withholding amount at the time of payment.
The other options of Invoice and Earliest do not apply to New Zealand.
Payable WHT Account Code – Enter the number of the G/L account to which you want to post Purchase
WHT for the particular combination of WHT Business Posting Group and WHT Product Posting
Group .
Purch. WHT Adjustment Account No. – Select an account number for Purchase CR/Adj Note
adjustments.
Revenue Types – Drill down to the WHT Revenue Types page. These values determine how the
combination of WHT Business Posting Group and WHT Product Posting Group are displayed in
reports. You must enter a value in order for this combination to appear in the WHT reports.
WHT for Suppliers Without an IRD

Ensure that there is a valid combination of General Business and General Product Posting Groups with the
correct threshold. For example, in New Zealand today the minimum threshold is $75 with a rate of 46.50%.
The percentage withheld is specified in WHT Posting Setup . The amount to be withheld is calculated
automatically at the time of payment. The WHT certificate is printed automatically, and then sent to the vendor
with payment. The WHT certificate explains the reasons for not sending the full invoiced amount.
WHT for Foreign Suppliers

Ensure that a valid combination of General Business and General Product Posting Groups has been
established for vendors for whom you need to withhold tax,other than for non-IRD.
See Also
Set Up Vendors Without IRD for Calculating the Withholding Tax
Set Up Withholding Tax in the New Zealand Version
Withholding tax (WHT) is the tax withheld by a company when it makes a payment to a vendor, in which the full
amount owed to the vendor is reduced by the tax withheld. The withheld tax is then remitted to tax authorities
when the next Business Activity Statement (BAS) is submitted.
If a supplier without a New Zealand Inland Revenue Department number (IRD) provides an invoice, a
withholding tax amount must be withheld if the total amount of the invoice is more than the threshold amount.
NOTE
As a prerequisite, you need to set up source codes for WHT settlement on the Source Code Setup page.
Set up WHT posting groups

NOTE
As a prerequisite, you must have set up source codes for WHT settlement on the Source Code Setup page. For more
information, see Setting Up Source Codes and Reason Codes for Audit Trails.
To set up a product posting group for withholding tax
1. Choose the icon, enter WHT Product Posting Group , and then choose the related link.
Code Specify the code for the product posting group. You can
Description Specify the description for the product posting group.

You can enter a maximum of 50 alphanumeric characters.

Finally, you must set up how these posting groups must be used when documents are posted.
To set up posting for withholding tax
1. Choose the icon, enter WHT Posting Setup , and then choose the related link.
WHT Business Posting Group Specifies the business posting group code for
withholding tax.
WHT Product Posting Group Specifies the product posting group code for withholding
tax.
WHT Calculation Rule Specifies the calculation rule for WHT, which is used with
the amount specified in the WHT Minimum Invoice
Amount field. This will help identify the transactions for
which WHT will not be deducted.
For example, if you select the Less than option here

and enter 100 in the WHT Minimum Invoice
Amount field, then WHT will not be deducted for those
transactions with an amount less than 100.
WHT Minimum Invoice Amount Specifies the threshold amount that is below which WHT
will not be deducted.
WHT % Specifies the WHT rate. You must enter the rate without
the percent sign.
Realized WHT Type Specifies the mode of WHT calculation for purchases or
sales of items.
Prepaid WHT Account Code Specifies the general ledger account number to which
sales WHT is to be posted.
Payable WHT Account Code Specifies the general ledger account number to which
purchase WHT is to be posted.
WHT Repor t Specifies the withholding tax report type.
Bal. Prepaid Account Type Specifies the type of balancing account for sales WHT
transactions.
Bal. Prepaid Account No. Specifies the account number or bank name for sales
WHT transactions, based on the type selected in the Bal.
Prepaid Account Type field.
Bal. Payable Account Type Specifies the type of balancing account for purchase
WHT transactions.
Bal. Payable Account No. Specifies the account number or bank name for purchase
WHT transactions. This is based on the type selected in
the Bal. Payable Account Type field.
WHT Repor t Line No. Series Specifies the number series for the WHT report line.
Revenue Type Specifies the type of revenue.

Purch. WHT Adj. Account No. Specifies the account number on which to post purchase
Sales WHT Adj. Account No. Specifies the account number on which to post sales
Sequence Specifies the sequence in which the withholding tax

posting setup information must be displayed in reports.
See Also
Withholding Tax
Set Up Revenue Types for Withholding Tax in the
New Zealand Version
Revenue types are used to categorize withholding tax (WHT) entries and are used for WHT certificates.
You can use the WHT Revenue Types page to set up the revenue types for withholding tax.
To set up revenue types for withholding tax

1. Choose the icon, enter WHT Revenue Types , and then choose the related link.
Code Specifies the unique code for the revenue type. You can
Description Specifies the description for the WHT revenue type.
Sequence Specifies the sequence in which you want to group the

revenue types. For example, a revenue type with
sequence 0 will be displayed before sequence 1.
See Also
Withholding Tax
Set Up Goods and Service Tax Posting in the New
Zealand Version
Goods and services tax (GST) is the tax that is applied on most goods and services. The GST that is paid and
received during a period is reported in the Business Activity Statement (BAS) that has to be submitted to the tax
authority.
To set up posting details for GST, you must define the posting groups, rate of GST, and the accounts to which
GST is to be posted. You can set up this information for a particular combination of business posting groups and
You must set up GST posting before you generate the BAS report.
To set up goods and sales tax posting

VAT Bus. Posting Group Specifies the VAT business posting group code.
VAT Prod. Posting Group Specifies the VAT product posting group code.
VAT Identifier Specifies the code that is used to group similar VAT
setups with similar attributes.
For example, you can group a number of VAT posting

setups that have a common VAT percentage.
VAT % Specifies the VAT rate.
VAT Calculation Type Specifies the method that is used to calculate the
purchase or sale of items.
Sales VAT Account Specifies the number of the general ledger account to
which you want to post the sales VAT.
If you have selected the Reverse Charge VAT option in

the VAT Calculation Type field, then do not enter a
value in this field.
Purchase VAT Account Specifies the number of the general ledger account to
which you want to post the purchase VAT.
Reverse Chrg. VAT Acc. Specifies the number of the general ledger account to
which you want to post the reverse charge VAT.
You can enter a value in this field only if you have

selected the Reverse Charge VAT option in the VAT
Calculation Type field.
See Also
Set Up Vendors Without IRD numbers for
Calculating the Withholding Tax
Withholding Tax (WHT) is calculated for local vendors who do not have a New Zealand Inland Revenue
Department number (IRD), as required by tax law.
To set up vendors without IRD for calculating the withholding tax

2. Choose the required vendor, and then choose the Edit action.
3. On the Vendor Card page, on the Registration FastTab, make sure the IRD No. field and the Foreign
Vend field must be empty.
NOTE
The WHT percentage is automatically withheld in accordance with what was specified on the WHT Posting Setup page.
The WHT certificate is produced for submission to the vendor. For more information, see Withholding Tax.
See Also
Withholding Tax
Calculate and Post Withholding Tax Settlements in
the New Zealand Version
You can use the Calc. and Post WHT Settlement page to calculate and post the withholding tax (WHT). You
can close WHT entries that are open or not settled and transfer the corresponding amount to the WHT
settlement account.
The sum of all withheld amounts is reported as a truncated whole number to the New Zealand tax authorities.
NOTE
The truncated cents are accounted for in a rounding account.
To calculate and post withholding tax settlements

1. Choose the icon, enter Calc. and Post WHT Settlement , and then choose the related link.
Star ting Date The start date of the period for which WHT has to be
settled.
Ending Date The end date of the period for which WHT has to be
settled.
Posting Date The posting date of the WHT settlement entries.
Document No. The document number of the WHT settlement entries.
Description The WHT settlement description.
Settlement Account The account number based on the account type selected
in the Settlement Account Type field.
Rounding G/L Account The account to which the truncated amount is to be

posted.
Show WHT Entries Select to view the withholding tax entries for the
specified period.
Post Select to post the WHT settlement entries.
See Also
Withholding Tax
View Withholding Tax Entries in the New Zealand
Version
You can view entries that have been posted with withholding tax (WHT) for a specified general ledger register.
On the WHT Entr y page, you can view details about the withholding tax, such as the base amount, the
calculated WHT amount, the WHT calculation method, and the unrealized WHT amount.
To view withholding tax entries

2. Select the general ledger register for which you want to view WHT entries, and then choose the WHT Entr y
action.
You can view the posted WHT entries on the WHT Entr y page.
See Also
Withholding Tax
View Posted Tax Credit Memos in the New Zealand
Version
You can use the Posted Sales Tax Credit Memo page and Posted Purch. Tax Credit Memo page to view
details of sales tax credit memos and purchase tax credit memos that have been posted.
The following procedure describes how to view posted sales tax credit memos, but the same steps also apply for
viewing posted purchase tax credit memos.
To view a posted sales tax credit memo

1. Choose the icon, enter Posted Sales Tax Credit Memo , and then choose the related link.
General General information about the credit memo.
Posted Sales Tax Cr. Memo Sub Posted sales tax credit memo information.
See Also
View Posted Tax Invoices in the New Zealand
Version
In Business Central, you can use the Posted Sales Tax Invoice page and the Posted Purchase Tax Invoice
page to view the details of posted sales tax invoices and posted purchase tax invoices.
The following procedure describes how to view the posted sales tax invoice, but the same steps also apply to
viewing posted purchase tax invoices.
To view a posted sales tax invoice

1. Choose the icon, enter Posted Sales Tax Invoice , and then choose the related link.
General General information about the invoice.
Posted Sales Tax Inv. Subform Posted sales tax invoice information.
See Also
Adjust Settlement Exchange Rates for VAT Entries in
You can use the Adjust Settlement Exch. Rates batch job to settle VAT entries according to the government
exchange rate as defined in the Currency Exchange Rate table.
To adjust settlement exchange rates for VAT

1. Choose the icon, enter Adjust Settlement Exch. Rates , and then choose the related link.
Settlement Period Specifies the start date of the settlement period.
Ending Date Specifies the end date of the settlement period.
Posting Description Specifies the posting description.
Document No. Specifies the document number for which you want to
settle VAT entries.
Use Daily Settlement Exch. Rate Select if you want to use the daily settlement exchange
rate.

The VAT entries are adjusted, and you can view them in the VAT Register report.
See Also
in the New Zealand Version
When a partial payment or prepayment is made, you must calculate Goods and Services Tax (GST) for that
partial payment or prepayment based on the total invoice amount, instead of on a partial amount. If you
account for GST on a non-cash basis, you must report and pay GST on payments during the period in which you
receive partial payment or issue a tax invoice for payment.
To calculate GST on prepayments

2. On the Local Functionalities FastTab, select the Full GST on Prepayment check box to calculate GST for
the total invoice amount when a prepayment invoice is posted.
See Also
Print Goods and Service Tax Settlement Reports in
You must submit a periodic report of goods and services tax (GST) settlement. You can create this settlement
from the BAS Calc. Schedule List page.
To print a goods and service tax settlement

1. Choose the icon, enter Calculate GST Statement , and then choose the related link.
Settlement Account No. The general ledger account number or vendor number,
based on the type selected in the Settlement Account
Type field.
Rounding G/L Account No. The account to which the truncated cents will be posted.
Posting Date The posting date for the settlement entries.
Document No. The document number of the settlement entries.
Description The settlement description.
Post Select to post the withholding tax settlement entries.
Inter Company Select if the posting is inter company.
3. On the BAS Calculation Sheet FastTab, select the appropriate filters.

See Also
Compare Bank Cash Flow in the New Zealand
Version
You can use the Bank Detail Cashflow Compare report to compare the flow of cash in a particular bank for a
specified period.
The report displays the following details:
Posting date
Document type
Document number
Debit amount
Credit amount
Remaining amount
The debit and credit amounts are displayed in the local currency. You can also view the starting balance and
ending balance for each bank.
To compare bank cash flow

1. Choose the icon, enter Bank Detail Cashflow Compare , and then choose the relevant link.
Compare Star t Date Specifies the start date for the comparison.
Compare End Date Specifies the end date for comparison.
New Page per Bank Account Specifies if the details of each bank account will be
printed on a separate page.
See Also
Create Check Installments in the New Zealand
Version
You can create check installments for post-dated checks. You can define the number of installments that a
payment will be divided into, the percent of interest, and the period in which the checks will be created.
To create a check installment

1. Choose the icon, enter Post Dated checks-Purchases , and then choose the relevant link.
2. Choose the relevant check, and then choose the Edit action.
3. On the Post Dated Checks-Purchase page, choose the Create Check Installments action.
5.
No. of Installments Specifies the number of installments into which the post-
dated check will be divided.
Interest % Specifies the percent of interest.
Period Length Specifies the period for which the installments will be
created. For example, if you want to divide the check into
monthly installments, enter 1M .
Star t Document No. Specifies the starting number of the document. Based on
the number of installments specified, the consecutive
numbers are allocated to the documents created.

The installment checks are created and displayed on the Post Dated Checks-Purchases page.
See Also
Electronic Funds Transfer (EFT) in the New Zealand
Version
You can pay vendors using the electronic funds transfer (EFT) system in New Zealand.
Setting up Electronic Funds Transfer

Business Central can export EFT files that you can then upload to your bank's website for additional processing.
To submit EFT files, you must set up the following information:
You must add EFT information to the bank account or bank accounts that you will use to pay vendors
electronically. The EFT-specific fields are on the Bank Account page.
For those vendors that you want to pay electronically, you must select the EFT Payment check box and
specify the vendor bank account in the EFT Vendor Bank Account Code field on the Vendor page.
When you have set up bank accounts and vendors, you can create EFT files that are based on entries in the
payment journal. When you create an EFT file, an entry is made in the EFT Register table. On the EFT Register
page, you can drill down to see the vendor ledger entries for the EFT file. On the Payment Journal page, you
can also import existing EFT register entries to the payment journal by using the Transfer EFT Register batch
job.
NOTE
Electronic Funds Transfer (EFT) uses posted and nonposted payments as the basis to calculate withholding tax amounts
for applied invoices. Payments that are not applied to an invoice can only be exported to an EFT file if the Skip WHT
check box is selected. During export of the EFT file, the payment journal lines are not deleted and cannot be deleted as
long as they have a reference to an EFT register. To remove the link between the EFT register and payment journal lines,
choose the Cancel Expor t action either on the EFT Register page or the Payment Journal page.
See Also
Print Deposit Slip Reports in the New Zealand
Version
The Deposit Slip report displays cash and check details in a format required by the bank.
To a print deposit slip report

2. Select the Bank journal.
4. On the Cash Receipt Journal page, choose the Print Deposit Slip action.
5. On the Gen. Journal Line FastTab, select the appropriate filters.
See Also
Print Bank Account Reconciliation Reports in the
New Zealand Version
The Bank Account Reconciliation report displays open bank ledger entries as unpresented checks or
unrecorded deposits.
To print a bank account reconciliation report

1. Choose the icon, enter Reconciliation , and then choose the related link.
2. On the Options FastTab, select the New Page per Bank Account check box.
3. On the Bank Account FastTab, select appropriate filters.
See Also
Calculating Distribution Amounts in the New
Zealand Version
You can reallocate the amount in one general ledger account to other general ledger accounts so that the
balances of your accounts remain proportionate to one another.
Use the Calculate Distribution Amount function to calculate the allocation percentage based on the balances
of the accounts or based on the net changes between the accounts. Run the Calculate Distribution Amount
function from the Allocation page for the Standard Balance and Reverse Balance recurring methods in the
Recurring Journal .
The net changes or balances of the accounts on the Allocation page determine the allocation percentage
calculated.
See Also
Print Balance Sheet Reports in the New Zealand
Version
Use the Balance Sheet report to view the company's balance sheet. This is a legal report that is required for
auditing accounts. You can use this report to view assets and liabilities.
To print a balance sheet report

1. Choose the icon, enter Balance Sheet , and then choose the relevant link.
2. On the Balance Sheet page, on the Options FastTab, fill in the fields as described in the following table.
Amounts in whole Specifies the nearest unit to which the amounts must be
rounded.
See Also
Print Income Statements in the New Zealand
version
You can use the Income Statement report to view the company's annual income statement. This is a legal
report that is required for auditing accounts. This report displays the details of revenues and expenses for the
current year and the previous year.
To print the income statement report

1. Choose the icon, enter Income Statement , and then choose the relevant link.
2. On the Income Statement page, on the Options FastTab, fill in the fields as described in the following
table.
Amounts in whole Specifies the nearest unit to which the amount must be
rounded.
Show Amounts in Add. Repor ting Currency Specifies if the amounts will be displayed in the
additional reporting currency.
See Also
Addresses in the New Zealand Version
A single postal code can include multiple cities in the same region.
At the same time, cities with the same name are sometimes located in different regions.
To avoid confusion and improve address accuracy, available options display when you enter data in address
fields. For example, when you enter a postal code on a customer card, you can select from a list of all available
cities for that postal code in the City field drop-down list. Likewise, when you enter a city name, you can select
from a list of all available regions in the Region field drop-down list.
To enable this functionality, you must enter the data into the Post Code table. You can do this manually, or you
can download a copy of the New Zealand postal codes for New Zealand.
To increase postal efficiency in New Zealand, the postal department has introduced an address bar coding
system in which every address is assigned a unique identifier called a Delivery Point Identifier (DPID). From the
DPID, a bar code is generated and printed for each address. Companies can receive discounts on bulk mailings if
they use these bar codes. To retrieve a DPID, you must connect to the local postal database that uses authorized
Address Matching Approval System (AMAS) software. You can reduce your number of postal returns by
validating customer addresses using the AMAS database.
When you print an address that has a DPID, a bar code will be printed together with the address. If you cannot
print bar codes, the DPID will be printed together with the address.
Contact your Microsoft partner for information on how to obtain AMAS software.
See Also
Determine Sales Price by Cost Plus Percentage in
Use the cost plus percentage function to set a sales price based on the cost of an item. The cost of the item can
be calculated along with cost plus calculation. The discount will be based on this calculation. This functionality
eliminates the need for the use of spreadsheets in determining percentage discounts as they correspond to cost
plus percentage.
To determine sales tax by cost plus percentage

1. Choose the Receivables action.
2. Choose the Customers action.
–or–
Choose the New action.
NOTE
For a new customer, in the No. field, enter the customer number.
4. To open the Sales Prices page, choose the Prices action.

5. In the General section, fill in the fields as described in the following table.
Sales Type Filter Select one of the following options:
- Customer
- Customer Price Group
- All Customers
- Campaign
- None
Sales Code Filter The sales code.
Item No. Filter The item number.
Star ting Date Filter The starting date.
Currency Code Filter The currency code.

7. To send the details to a recipient, choose the Send To action, and then select one of the following
formats:
Recipient as Attachment
Microsoft Word
Microsoft Excel
See Also
Enter New Zealand Inland Revenue Department
Numbers
You can enter an New Zealand Inland Revenue Department Number (IRD) in the following pages:
Company Information
Vendor Card
An algorithm provided by the local tax office ensures that the number is in a valid format.
NOTE
All companies must register and apply for an IRD number to report the details of payment summaries issued to their
payees during the financial year. The payment summary includes the Tax File Numbers (TFN) or business numbers of the
payees.
To enter IRD numbers

1. Choose the icon, enter Company Information or Vendors , and then choose the related link.
2. Select the required company or vendor.
3. Expand the Registration FastTab.
4. In the IRD No. field, enter the New Zealand Inland Revenue Number.
See Also
New Zealand Business Numbers and Adjustment Notes
New Zealand Inland Revenue Department Numbers
and Adjustment Notes
A New Zealand Inland Revenue Department Number (IRD) is a single identifier for all business dealings with the
tax office, and for dealings with other government departments and agencies.
IRDs and adjustment notes—or credit memos—are used to satisfy tax requirements.
IRD number
All companies must register and apply for an IRD number to report the details of payment summaries issued to
their payees during the financial year. The payment summary includes the Tax File Numbers (TFN) or business
numbers of the payees.
Adjustment Notes
Adjustment notes are issued by suppliers to a business when the amount of consideration for taxable supplies
changes. The recipient needs an adjustment note to claim more or less GST credits than previously claimed.
An adjustment event may result in an increase or decrease to your net amount for the tax period.
Adjustment notes—or credit memos—should be connected to an invoice.
Because credit memos are used for adjustment notes, each credit memo should satisfy all of the legal
requirements for an adjustment note. Each credit memo should have an original invoice number, date, and
reason code assigned to it. The following fields are included in the adjustment note:
Adjustment Applies to : The number of the document to which the adjustment note applies. If you use
the Copy Document function, this field populates automatically. You must enter a reason code before
the transaction can be posted. You can use this field to create an adjustment note for a paid or closed
transaction.
Adjustment Reference No : The number of the adjustment note. For Sales & Receivables , the
number assigned to the posted document populates automatically in this field.
Adjustment Note Date : Automatically populated from the document date.
Adjustment : These entries populate automatically. Adjustment notes can only be applied against a single
document.
See Also
Enter New Zealand IRD Numbers
Norway Local Functionality in the Norwegian
Version
The following topics describe local functionality that is unique to the Norwegian version of Business Central.
VAT
Norwegian Standard Audit File - Tax (SAF-T) Management Available Now
Norwegian VAT Reporting Available Now
Norwegian VAT Codes Available Now
How to Use One VAT Code in Journals Available Now
Proportional VAT Available Now
Calculate Proportional VAT Available Now
Print a VAT Reconciliation Report Available Now
Banking & Payments
Electronic Banking in Norway Available Now
Electronic Payments to Vendors in Norway Available Now
EHF Electronic Invoicing in Norway Available Now
Set Up Customers for EHF Available Now
Set Up EHF Available Now
Create Electronic Documents for EHF Available Now
Create Manual Remittance Payments Available Now
Set Up Remittance Agreements Available Now
Set Up Vendors for Remittance Available Now
Recipient Reference Codes Available Now
Set Up Payment Line Information Available Now
Create Remittance Accounts Available Now
Test Remittance Payments Available Now
Create Remittance Suggestions Available Now
Types of Payment Return Files Available Now
Import Payment Return Data Available Now
Remittance Errors Available Now
View Remittance Error Codes Available Now
Cancel Payments Available Now
Delete Remittance Payment Orders Available Now
Export Remittance Payments Available Now
Norwegian Giro and OCR-B Font Available Now
Set Up OCR Payments Available Now
Import and Post OCR Payments Available Now
Print the OCR Journal Test Report Available Now
Core Finance
Apply General Ledger Entries in Closed Periods Available Now
General
Recurring Orders Available Now
Create Recurring Orders Available Now
Set Up Recurring Groups Available Now
Set Up Recurring Orders Available Now
Payroll Data Definitions Available Now
Import Payroll Transactions Available Now
Set Up KID Numbers on Sales Documents Available Now
Set Up Document Printing Available Now
See Also
Standard Audit Files - Tax
Starting in January, 2020, companies in Norway must report financial data and provide a set of Standard Audit
Files - Tax (SAF-T) to the Norwegian authorities upon request. This extension makes it easy to set up, generate,
and export Standard Audit Files - Tax in Business Central. The exported SAF-T files will automatically be
compressed as a .zip file ready to be uploaded by the user on the website of Skatteetaten, the Norwegian tax
authorities.
What does this extensions handle?

This extension provides the following capabilities:
Setup and mapping of chart of accounts to SAF-T standard accounts
Mapping VAT setup to SAF-T VAT codes
Control to which extent dimensions are exported in SAF-T files
Export SAF-T files, either directly or by using the Job Queue. Using Job Queue lets you schedule the export to
occur during quiet hours, which is useful for potentially large datasets.
Setup of the Norwegian SAF-T extension

Set up the SAF-T extension through Assisted Setup, which provides an easy, step-by-step guide for get started
with SAF-T in Business Central. If needed, you can run the guide several times until you finish the setup.
1. In Business Central, choose the icon, enter Assisted Setup , and then choose Assisted Setup .
2. Choose Set up SAF-T .
3. The first page in the setup guide explains what you are about to set up. Choose Next .
4. In the in Mapping Type field, choose the type of Chart of Accounts you want to SAF-T accounts, and
then choose Next .
NOTE
If you are using the on-premises version of Business Central, there are some additional steps.
1. Download and import source files with SAF-T accounts. Download the SAF-T mapping files from Skatteetaten's
repo on Github.
2. Choose Impor t The Source Files For Mapping .
3. Import all required files. If you are setting up the mapping for income statement import files, make sure to
import mapping codes for all records with Income Statement in the Source Type column.
4. For each imported file, choose Update mapping codes from file .
5. To define the period for the first SAF-T reporting, choose Accounting Period , confirm the data range,
and then choose Next .
Typically, this is done for a specific accounting period, but you can also define a date range without
specifying an accounting period.
6. To map your chart of accounts to the SAF-T accounts, choose Open setup to define G/L account
mappings . Lines where the G/L Account No. is marked with green indicates that here are transactions on
the account within the date range specified in the previous step, in which case it must be mapped. Other
G/L accounts can be skipped. When finished, close the SAF-T Mapping Setup Card , and then choose
Next in the setup guide.
7. To map the VAT Posting Setup to standard sales and purchase SAF-T tax codes, choose Open setup to
define VAT Posting Setup Mapping . When finished close the SAF-T VAT Posting Setup card , and
then choose Next in the setup guide.
8. Norwegian authorities recommend that you export dimensions for financial transactions. However, in
some situations you may not want to export dimensions - for example if you have internal dimensions
that do provide value to auditors. This step lets you open the Dimensions list and choose which
dimensions to export. Choose the value in the Expor t to SAF-T field, and then choose Close .
9. To specify the employee who is the SAF-T contact in your company, choose the employee in the
Employee No. field. This is useful when Norwegian authorities have questions about the SAF-T files.
When finished, choose Next .
10. The setup of SAF-T is now finished. Choose Finish .
NOTE
The mappings are tied to the date range you specified. You can create additional mappings for other periods without
changing the mapping you already created. You can also copy mappings from previously made setups. This is to ensure
that you can report SAF-T for different periods while managing changes in your chart of accounts.
Exporting SAF-T files

To export SAF-T files from Business Central, you must first create and set up a SAF-T Expor t to define the
mapping range. For example, you can define a mapping and export the entire year of 2019, and another
mapping for just the month of April 2019 if the authorities ask you to provide this data specifically.
To create an export of SAF -T files
1. In Business Central, choose the "Tell me what you want to do") icon, enter SAF-T Expor ts , and then
choose SAF-T Expor ts .
2. On the SAF-T Expor ts page, choose Create .
3. On the SAF-T Expor t page, in the Mapping Range Code field, choose the mapping range for which to
define an export.
4. To start the SAF-T export, do one of the following:
To export immediately, choose Star t .
To schedule the export to be handled by the jobs in the Job Queue, choose Parallel Processing .
Exporting G/L entries can take time. To speed up the process, consider specifying how many jobs to
run in parallel.
5. To check the status of the SAF-T file generation, look at the Lines section in the lower part of this page.
6. When all files are generated, choose Download file to download a .zip file that contains the SAF-T files. This
file is ready to be uploaded to Skatteetaten.
SAF -T files and data quality
You can configure Business Central with extra data quality validation controls that help make sure that your SAF-
T files can be validated by Skatteetaten. For example, SAF-T files can only be validated when certain information
exists on relevant records in Business Central. To help ensure data quality for SAF-T you can enable more
proactive controls on the Data Quality FastTab on the SAF-T Setup page. Additionally, on the SAF-T Expor t
card page, use the Data check action to check the data quality before you export the file.
NOTE
SAF-T exports will by default generate one file with master data, and separate files for each of the months included in the
selected mapping range. Consider the amount of transactions in the selected period and adjust the Max No. of Jobs
accordingly on the SAF-T Export page. As a general recommendation, start with three parallel jobs to allow parallel export
and still leave resources for other Business Central users. Additionally, for on-premises, you can specify a network share in
the Folder path to generate the SAF-T files directly on a network share instead of in the database. For online versions of
Business Central this is always the case. If you specify the Folder Name , the generated .zip file will be located here.
IMPORTANT
Due to the nature of exporting transactions, exporting SAF-T files will impact performance of Business Central.
There are a couple of things you can do to improve performance:

Split by Date option.
This approach collects general ledger entries by date, not by month as is the default with better
performance as a result.
XML option
For Business Central on-premises, you have an option to not generate .ZIP files from the export. This will
export the raw XML files and is only possible where there is a Folder Path to export to. The user can
then compress the files manually, which saves server performance. SAF-T files can be large and
compressing them to a .ZIP file is a costly operation for the server.
Create Multiple Zip Files option
Finally, for both online and on-premises, for very large exports with many transactions, you can also use the
option to create multiple .ZIP files. This is useful if individual files per month are very large, or the count of files
per date is too big. Use this option when the single large ZIP file will not validate on the authorities' web site due
to its size, for example. Using this feature will split up the export into multiple ZIP files, up to 10 in alignment
with the requirements that are stated in the general SAF-T documentation. The SAF-T Expor t File page is
always opened when using the Download File action. Here you can see how many files where generated and
download them one by one.
See Also
Norwegian VAT Reporting in the Norwegian
Version
Business Central provides features that allow you to calculate and report VAT returns to the Norwegian tax
authorities.
This article shows the typical steps that you should follow when reporting Norwegian VAT.
IMPORTANT
This article assumes that you have set up VAT reporting. For more information, see Set Up Calculations and Posting
Methods for Value-Added Tax and Report VAT to Tax Authorities.
Set Up Business Central to Generate and Submit Electronic VAT

Returns
To submit VAT returns to Norwegian tax authorities, an administrator must create a connection to ID-Porten at
Digitaliseringsdirektoratet.
TIP
We recommend that you always use Business Central in a browser to set up the connection to ID-Porten.
Register your company with ID-Porten

To register your company with ID-Porten, follow the steps provided by Samarbeidsportalen. After you register,
note the following information. You'll need it when you use the assisted setup guide to authorize Business
Central to access ID-Porten.
Valid redirection URIs
Client ID
Client secret
IMPORTANT
It's important to safely store the client ID and client secret of the integration point.
Set up the integration point

After you register your company in ID-Porten, the next step is to create an integration point in your company's
account in ID-Porten. For more information, see integration point.
1. Sign in to Skatteetaten.
2. On the navigation pane, choose Integrasjoner , and under Produksjon , choose Ver 2 .
3. Choose New Integration to add a new integration point.
PA RA M ET ER N A M E ( N O RW EGIA N ) PA RA M ET ER DESC RIP T IO N PA RA M ET ER VA L UE
Difi-tjeneste Select the service to be assigned Select API-klient .

correct scopes.
Scopes The application programming Select the following scopes:

interfaces (APIs)/resources that the
integration can access. openid
skatteetaten:mvameldingin
nsending
skatteetaten:mvameldingva
lidering
Kundens org.nr. The organization number of the You don't have to specify a value in
service owner. this field. The required value is
automatically set when the setup of
the integration point is saved.
Integrasjonens identifikator The unique identifier of the service. You don't have to specify a value in
this field. The required value is
automatically set when the setup of
the integration point is saved.
Navn på integrasjonen The name of the integration as it Specify Microsoft Dynamics 365
appears in the sign-in window. Finance .
Beskrivelse A brief description of the service (for Specify Integration with Microsoft
example, "Meeting portal for NN Dynamics 365 Finance .
municipality").
Tillatte grant types A grant represents the user's consent Select the following grant types:
to retrieve an access token. By
selecting specific grants, you consent authorization_code
to the corresponding methods of refresh_token
retrieving an access token.
Klientautentiseringsmetode The method of authentication of your Specify client_secret_post .

client.
Applikasjonstype The application (or client) type is the Select web .

type of runtime environment that the
client is running under. OAuth2
chapter 2.1 lists the available options.
The choice of client type is a security
assessment that the customer will
perform.
Gyldig(e) redirect uri-er This parameter applies only to The URI is a combination of your base
personal sign-in integrations. It URI and OAuthLanding.htm. This value
specifies the URIs that the client is differs depending on whether you use
allowed to go to after sign-in. Business Central online or on-
premises. For online, use the following
URI,
https://www.businesscentral.dynamics.com/OAuthLanding.htm
. Here is an example of a URI for on-
premises:
https://<hostname>/OAuthLanding.htm
.
Gyldig(e) post logout redirect uri-er This parameter applies only to Specify https://skatteetaten.no .
personal sign-in integrations. It
specifies the URIs that the client is
allowed to go to after sign-out.
Frontchannel logout uri The URI that the provider sends a Specify https://skatteetaten.no .
request to upon sign-out that is
triggered by another client in the same
session. If you don't set this parameter,
you risk that users remain signed in to
your service when they sign out of ID-
porten.
Frontchannel logout krever sesjons-id This parameter applies only to Leave this checkbox cleared.
personal sign-in integrations. It's a flag
that determines whether the issuer
and session ID parameters are passed
together with
frontchannel_logout_uri.
Tilbake-uri This parameter applies only to Specify https://skatteetaten.no .

personal sign-in integrations. It
specifies the URI that a user is sent
back to when they cancel sign-in.
Authorization levetid (sekunder) The lifetime of the registered Specify 31536000 (= one year).
authorization. In an OpenID Connect
context, this authorization will be
access to the "userinfo" endpoint. The
value must be specified in seconds.
Access token levetid (sekunder) The lifetime of the issued Specify 7200 (= two hours).
access_token in seconds.
Refresh token levetid (sekunder) The lifetime of the issued Specify 0 (zero).
refresh_token in seconds.
Refresh token type One-time – You get a new Specify Engangs .

refresh_token at each refresh
of access_token .
Reusable – A refresh of
access_token doesn't change
refresh_token .
Set Up Electronic VAT Reporting
To make it easier to set up VAT reporting, Business Central provides the Set up an electronic VAT
submission assisted setup guide.
1. Choose the icon, enter Assisted Setup , and then choose the related link.
2. Choose Set up an electronic VAT submission to start the assisted setup guide. The guide will help you
complete the following steps:
Authorize Business Central to connect to ID-Porten.
On the Electronic VAT Setup page, enter the Client ID , Client Secret , and Redirect URI from your
company's registration for ID-Porten. Then, choose Open OAuth 2.0 setup page action. On the OAuth
2.0 Setup page, choose the Request Authorization Code action to receive the token you'll need to
connect. You'll need the identification number, password, and pin for a user who is allowed to submit VAT
returns. After you provide those credentials, choose MinID as the electronic ID.
Verify that you're using the correct VAT registration number for your company.
A message will prompt you to open the Company Information page, where you can double-check the VAT
registration number for your setup.
Update the rates for the VAT codes that require reporting.
Business Central provides 32 VAT codes, however, some VAT codes don't require that you report VAT. You
can automatically update the rates for VAT codes. Also, VAT codes can vary, for example, for different
industries or types of business. On the VAT Codes page, you can use the Edit List action and then
assign or remove the codes and rates that are relevant for your business.
NOTE
The update assigns the rates that were valid in December, 2021. You are responsible for ensuring that those rates
are still valid.
Define your VAT posting setup to ensure that VAT amounts are posted to the correct accounts. For more
information, see Set Up Calculations and Posting Methods for Value-Added Tax.
Create a VAT statement to map the VAT business posting group with the VAT product posting group.
The mapping determines how you post and track VAT in Business Central. You assign the VAT codes to
use for sales and purchasing.
NOTE
In addition to the settings described above, we automatically create a VAT report configuration for submitting returns and
getting responses. You can view the configuration on the VAT Repor ts Configuration page.
VAT Report Setup

1. To set up a VAT report, choose the icon, enter VAT Repor t Setup , and then choose the related link.
2. On the General FastTab, to let users modify VAT reports that have been submitted to the tax authorities,
select the Allow Modification field.
If the field isn't selected, users must create a corrective or supplementary VAT report instead.
3. On the General FastTab, select the Repor t VAT Base field if the VAT base must be calculated and shown to
the user in the VAT reports.
4. On the General FastTab, select the Repor t VAT Note field to make the VAT Note field available for
reporting from the VAT Return page.
5. On the Numbering FastTab, specify the number series that will be used for standard VAT reports.
This series will be the default number series that is used on any VAT report that you create.
6. On the Return Period and VAT Group Management FastTabs, specify the relevant information.
Create and Submit a VAT Return

1. Choose the icon, enter VAT Returns , and then choose the related link.
3. In the Version field, choose Elec VAT .
4. Optionally, in the KID field, specify a payment identification number.
5. Choose Suggest Lines to open the VAT Repor t Request Page page, where you specify criteria for
generating lines for the report.
6. After you've specified the criteria, choose OK .
7. On the VAT Settlement page, choose Release . Business Central now validates that the information can
be submitted to the Norwegian tax authorities.
8. To submit the VAT return, choose Submit . The status of the VAT return will change to Submitted .
9. To view whether the tax authorities have accepted your submission, choose Receive Response .
NOTE
The response from the tax authority will not be immediately available.
NOTE
If you have selected the Repor t VAT Note option in the VAT Repor t Setup page, then the Note field is visible
and editable in the VAT Return page. Users can specify any free text there. The value of the Note field will be
included in the submission message.
Troubleshoot Your Connection to ID-Porten

If you don't receive a response after you submit your return, such as within 24 hours, contact ID-Porten and ask
them to verify that they received your return. To help them identify your return, you can send the value from the
Message ID field. By default, the field is hidden, but you can use page inspection to get the value. For more
information, see Inspecting Pages in Business Central.
You can also send a copy of the XML files for your submission and the response you received. To get the files, on
the VAT Return page, choose the Download Submission Message and Download Response Message
actions.
Close VAT Periods

To align with legal requirements, VAT periods are to be closed after settling. Normally, a fiscal year consists of six
VAT periods, numbered 1 to 6. When the VAT is settled, the period is closed for further posting.
TIP
Not all organizations use the standard six VAT periods. Which periods the current organization uses is defined in the VAT
Period page.
You can view information about settled periods in the Settled VAT Period page. The closed periods are created
by the report Calc. and Post VAT Settlement when you post VAT. If you want to post in the closed VAT period,
you can open the period again by clearing the Closed field.
Tradesettlement report
Before January 2022, you used the Tradesettlement report to report VAT. This report is no longer described in
this article, but you can read about it in the Dynamics NAV 2016 documentation archive.
See Also
Norwegian VAT Codes
Proportional VAT
Norway Local Functionality
The VAT Group Management Extension
Norwegian VAT Codes
In Business Central, VAT processing information can be easily set up using standard Norwegian VAT codes. The
following table shows the standard Norwegian VAT codes.
0 Sale - No VAT
1 Purchase - VAT
2 Purchase - VAT and Inv. Tax
3 Sale - VAT
4 Purchase - VAT and 0% Inv. Tax
11 Purchase - Full VAT
13 Sale - Full VAT
14 Purchase - Reverse Charge VAT
Typically, you enter the VAT Bus. Posting Group and VAT Prod. Posting Group fields when you specify the
VAT handling process.
If you want to use only the VAT Code field when you specify the VAT handling process, you can assign a VAT
code in the VAT Posting Setup table, and use this code instead of the posting group fields. The VAT code can
be used as a shortcut in the VAT Posting Setup table and at the same time, you can use standard Norwegian
VAT codes.
Set Up of Norwegian VAT Codes

You must create the Norwegian VAT codes on the VAT Codes page. Then assign the VAT codes in the VAT
Posting Setup table, using the VAT Code field. For more information, see Use One VAT Code in Journals.
Use of VAT Codes

When you specify a VAT code, you can select the VAT posting setup information for this code. This information
will be used in journals or on document lines when you specify the VAT setup information. If you use the VAT
code in these cases, the posting group fields are used with the information from the corresponding VAT posting
setup information.
Alternatively, you will have to specify both the VAT Bus. Posting Group and the VAT Prod. Posting Group
fields when you select or change the VAT posting setup information on the journal line or the document line.
Example: Using VAT Codes
There are two different VAT posting setup instances that can be used when you post a sales document.
One VAT posting setup scenario will calculate 24 percent VAT for domestic customers:
VAT Bus. Posting Group: DOMESTIC
VAT Prod. Posting Group: NORMAL
VAT %: 24
VAT Code: 3
One VAT posting setup scenario will calculate without VAT for international customers:
VAT Bus. Posting Group: EXPORT
VAT Prod. Posting Group: NORMAL
VAT %: 0
VAT Code: 1
Typically, when you specify the VAT setup information on a journal line, the VAT Bus. Posting Group field must
be set to DOMESTIC and the VAT Prod. Posting Group field must be set to NORMAL in order to choose the
domestic setup.
If you use standard Norwegian VAT codes, you could specify VAT Code 3 for the domestic VAT posting setup
information, and VAT Code 1 for the international VAT posting setup information. This lets you choose between
the VAT posting setup information using only one field and the familiar standard Norwegian VAT codes.
Example: Restricting the Use of VAT Codes
The standard Norwegian VAT Code 3 is used for sales inclusive of VAT. Unless you restrict the use of this VAT
code, it can be used for both sales and purchases in Business Central.
You can define the Gen. Posting Type field as a sale in the G/L Account (Analysis View) table. This general
posting type will be used together with VAT Code 3 .
The general posting type will be handled in two ways, depending on the value in the Test Gen. Posting Type
field.
Mandator y The general posting type is automatically set to Sale on

journal lines. Before you post, Business Central verifies if the
general posting type is specified, but there is no verification
if the field is set to Sale .
VAT Code 3 can be used for both sales and purchase

documents.
Same The general posting type is automatically set to Sale on

journal lines. Before you post, Business Central verifies if the
general posting type is set to Sale .
VAT Code 3 can be used for sales documents, but not on

purchase documents.
This enables you to restrict the use of VAT codes to

predefined general posting types.
See Also
Use One VAT Code in Journals in Norway
In Norway, you can use the feature one VAT code in a journal, so that you can post VAT by using a single field,
VAT Code . After it is set up, the one VAT code is a quick way to fill in the commonly used VAT fields.
To set up the VAT code for purchase orders and sales orders, the corresponding VAT business posting groups
and the VAT product posting groups have to be defined.
The VAT rate is calculated from the combination of VAT business posting groups, buyer information, and VAT
To create a VAT code

1. Choose the icon, enter VAT Codes , and then choose the related link.
3. Enter information in the Code , General Posting Type , and Description fields for each VAT code.
4. Choose the OK button to close the VAT Codes page.
The following procedure explains the VAT posting setup.
To set up VAT posting

3. In the VAT Posting Setup card, fill in the following fields:
VAT Business Posting Group
VAT Product Posting Group
VAT Identifier
VAT Percentage
Sales VAT Account
Purchase VAT Account
4. In the VAT Code field, select a code from the list.
Now, when you post a document in the general journal and close it, the information specified in the VAT
Posting Setup card is applied.
For example, the VAT rate posted in the journal is defined by the setup that you have specified on the VAT
Posting Setup page.
NOTE
The VAT Code and the Bal. VAT Code fields have been added to the journal. The Bal. VAT Code is the VAT code that is
used to calculate the balancing account.
No changes are made to the posting.
See Also
Norwegian VAT Codes
Proportional VAT in Norway
Business Central allows you to calculate VAT when there is both deductible and non-deductible VAT. Because it is
difficult to know where and how an item is used, you will have to contact the Norwegian tax authorities to
determine whether a specified percentage of the VAT is deductible based on historical data.
Example
A bus company owns both buses and trucks. When gasoline is purchased, the gasoline is stored in one holding
tank. When the gasoline is used in a bus for transporting children, it is not deductible. When the gasoline is used
in a truck, the gasoline may be deductible. The agreement between the bus company and the Norwegian tax
authorities might be that 60 percent of the VAT is deductible.
If you have a purchase invoice of $12,500 based on 25 percent VAT with the Calc. Prop. Deduction VAT field
on the VAT Posting Setup page set to Yes and the Propor tional Deduction VAT % field set to 60 percent ,
only 60 percent of the VAT is deductible in a journal. When the invoice is posted, the postings are as follows:
To vendor general ledger account - $12,500 (credit)
To cost account 4010 - $11,000 (debit)
To VAT account 2720 - $1,500 (debit)
Generally, based on 25 percent VAT, the VAT amount would be $2,500. However, only 60 percent is deductible;
therefore the VAT amount is $2,500 x 60% = $1,500. The non-deductible amount of $1,000 is added to the cost
account. The VAT base has corresponding values. This amount should have been $10,000, but because only 60
percent is deductible, the base is $6,000.
This also works if the transaction with this VAT combination is posted through a purchase order.
NOTE
If this functionality is used on a purchase order that is used for buying items for inventory, the functionality will not
influence the cost of the item. The cost of the item will be added by using the non-deductible VAT. This works on the
general ledger level only.
See Also
Calculate Proportional VAT
Calculate Proportional VAT in the Norwegian
Version
You can use proportional VAT to calculate VAT when there is both deductible and non-deductible VAT. Because it
is difficult to know where and how an item is used, you will have to contact the Norwegian tax authorities to
determine whether a specified percentage of the VAT is deductible based on historical data.
To calculate proportional VAT
2. On the VAT Posting Setup page, fill in the fields as described in the following table.
Calc. Prop. Deduction VAT Select to indicate that you want to use the proportional
VAT percentage. Impor tant: This field is available on the
VAT Posting Setup page, but it is not shown by
default. You can change how certain UI elements are
displayed. For more information, see Personalize Your
Workspace.
Propor tional Deduction VAT % Enter the percentage of VAT to deduct.
See Also
Proportional VAT
Print a VAT Reconciliation Report in the Norwegian
Version
The VAT Reconciliation report shows the reconciliation settlement for the base amount and the VAT amount
for general ledger accounts. These amounts are grouped by different VAT types.
To print the VAT reconciliation report

1. Choose the icon, enter VAT Reconciliation , and then choose the related link.
Show Details Select if you want to include individual transactions.
If cleared, only one accumulated total will be printed for

each account.
Show Transactions without VAT Select if you want to print a list of all transactions
without VAT amounts.
See Also
Business Central includes Norwegian enhancements to electronic banking. You can use this functionality to
perform the following operations:
Receive electronic payments based on an optical character recognition (OCR) payment ID.
Print Kunde ID (KID) numbers on sales and receivables documents.
Send electronic payments to vendors.
Customer Identification Numbers

Kunde ID (KID) is a customer identification number that provides a payment reference to the vendor and
ensures that the vendor is posting the payment correctly. If the vendor documents include the KID number, you
should use this number as there may be a higher cost for the payment if you do not.
The KID can be entered in the following locations:
Sales invoices
Finance charge memos
Reminders
Purchase orders
Purchase invoices
Purchase journals
Remittance journals
NOTE
The KID cannot be used for credit memos. If a credit memo is part of the payment, invoices in the same payment must be
treated as payments without a KID.
See Also
Set Up OCR Payments
Print the OCR Journal - Test Report
Business Central includes Norwegian enhancements for automatically making payments to vendors. This
reduces errors that occur from manual data entry. You can use this functionality to perform the following
operations:
Search invoices that are due based on different conditions.
Send payments to the bank.
Receive messages from the bank on the status of payments.
Receive paid transaction information to be posted.
You can make electronic payments using the following formats:
TelePay
Remittance payment
Electronic Payment Process

The following steps show how electronic payments are processed:
1. The payment proposal is run in the electronic payments feature and transferred to the bank by using the
bank’s software.
2. The bank's software receives the payments and transfers payments to the bank.
3. The bank receives the payments and sends the first-time return receipt to Business Central using the bank's
software.
4. The bank executes the payments and sends the settlement return (second-time return receipt) to Business
Central using the bank's software where the payments are posted.
Vendor Payment Requirements

If the payment transactions do not fulfill the requirements, an error message appears and you cannot create a
payment file for transfers to the bank. The following criteria must be met when you process payments to
vendors:
The payment transaction must be positive or zero. A payment transaction must transfer a positive
amount (or zero) to the payment receiver. This means that deducting a credit memo requires an invoice
with the same or higher amount in the same payment transaction. Money cannot be deducted from the
vendor's account.
A credit memo must be applied with the invoice. Generally a credit memo does not contain a Kunde ID
(KID). You cannot pay a credit memo in a payment transaction with invoices that contain a KID. This is
because payments are usually split into transactions with or without a KID. This means that if a credit
memo without a KID is paid with an invoice in the same payment transaction, the invoice must be paid
without a KID, and the recipient reference number must be used instead.
If the invoice and credit memo are paid in the same payment transaction, the payment must occur on the
same date using the same currency and exchange rate.
See Also
Types of Payment Returns Files
Remittance Errors
Cancel Payments
Companies must send sales invoices and credit memos to the Norwegian public sector electronically in the
Elektronisk Handelsformat (EHF) based on Universal Business Language (UBL). If a company does not send
these documents electronically, the authorities can deny payment. The standard supported format for electronic
exchange between parties is the Ehandel.no format. For more information on EHF electronic invoicing, see
Anskaffelser.no.
Implementation in Business Central

From January, 2019, the requirements for sending electronic invoices are based on the PEPPOL BIS Billing 3.0
standard. For more information, see the EHF Billing 3.0 page from the Agency of Public Management and
eGovernment. Companies that are already sending electronic documents in the pre-2019 format can continue
to do so during 2019.
To send documents electronically, you must assign European Article Numbering (EAN) location numbers and
account codes to the relevant customers on the Customer Card page. For more information, see Set Up
Customers for EHF. These numbers are included when you create, post, or issue documents. After documents
are posted or issued, you can create electronic versions to send to customers.
Business Central exports certain electronic documents in EHF version 3.0, which uses UBL version 2.1. You can
submit the following types of documents:
Sales and service invoices
Sales and service credit memos
Business Central exports other electronic documents in version 1.6, which uses UBL version 2.0. You can submit
the following types of documents:
Finance charge memo
Reminder
You can specify where to store electronic documents on the Sales & Receivables Setup page. You can also
use the Document Exchange functionality to generate and send them.
VAT Treatment
VAT percentages and the type of transaction determine the VAT Type that is exported in the electronic document.
XM L TYPE
S Outgoing VAT, ordinary rate
H Outgoing VAT, reduced rate – food and beverage
R Outgoing VAT, reduced rate – raw fish
AA Outgoing VAT, low rate
AE VAT Reverse Charge

XM L TYPE
L Canary Islands general indirect tax
M Tax for production, services and importation in Ceuta and

Melilla
G Free export item, tax not charged
O Services outside scope of tax
E VAT Exempt
Z VAT Exempt (goods and services not included in the VAT

regulations)
K VAT exempt for EEA intra-community supply of goods and

services
VAT Scheme
Make sure you set up the correct value in the VAT Scheme field on the Countries/Regions page.
See Also
To create Elektronisk Handelsformat (EHF) documents for customers in the public sector, you must add EHF
information to the relevant customers.
This topic only describes fields that apply to EHF. For more information on setting up customers, in general, see
Register New Customers.
To set up a customer that uses Elektronisk Handelsformat

2. Open the customer that you want to enable for EHF.
GLN Required. Enter the Global Location Number (GLN) for

the customer.

EHF documents that you create in Business Central. For
more information, see Account Code.
E-Invoice Select the check box to use electronic invoicing with this
customer.
Responsibility Center Make sure that the Responsibility Center that you have
selected has a Country/Region Code specified.
These fields are specific to EHF. The values are used in all EHF documents that you create for this customer. For
more information, see EHF Electronic Invoicing in Norway.
See Also
Set Up EHF
Set Up EHF in the Norwegian Version
You must define a location for storing Elektronisk Handelsformat (EHF) files when you create electronic
documents such as invoices or credit memos. You must also define payment methods and set up relevant
customers for EHF.
To set up EHF file locations for sales and receivables

2. On the Sales & Receivables Setup page, on the E-Invoice FastTab, in the Output Paths section, fill in
the fields as described in the following table.
Invoice Path The path and name of the folder where you want to
store the EHF files for sales invoices.
Cr. Memo Path The path and name of the folder where you want to
store the EHF files for sales credit memos.
E-Invoice Reminder Path The path and name of the folder where you want to
store the EHF files for reminders.
E-Invoice Fin. Charge Path The path and name of the folder where you want to
store the EHF files for finance charge memos.
To set up EHF file locations for service management

1. Choose the icon, enter Ser vice Mgt. Setup , and then choose the related link.
2. On the Ser vice Mgt. Setup page, on the E-Invoice FastTab, in the Output Paths section, fill in the
fields as described in the following table.
E-Invoice Ser vice Invoice Path The path and name of the folder where you want to
store the EHF files for service invoices.
E-Invoice Ser v. Cr. Memo Path The path and name of the folder where you want to
store the EHF files for service credit memos.
See Also
When you sell goods or services to a customer in the public sector, you must submit documents electronically. In
Business Central, you can create electronic documents for invoices, credit memos, reminders, and finance charge
memos. Before you can create the electronic documents, you must have set up file locations and information
about the customers. For more information, see Set Up EHF and Set Up Customers for EHF.
Electronic documents can only be created after a document has been posted or issued. The following procedures
describe how to post a sales invoice with the required information and then create an electronic sales invoice,
but the same steps also apply to sales credit memos, reminders, finance charge memos, service invoices, and
service credit memos.
NOTE
The sum of lines in an exported electronic document will not reflect invoice rounding, even if it is enabled. Instead,
Business Central sums the lines without rounding.
To post a sales invoice

2. Select the sales invoice that you want to post, and then choose the Edit action.
3. On the General FastTab, make sure that the following fields contain values:
Your Reference
The External Document No. field contains the document number that the customer provided.
4. On the Invoicing FastTab, make sure that the following fields have values:
GLN No.
Account Code
Bill-to Customer
Shipment Date
Select the E-Invoice check box.
The default value of the Shipment Date field is the posting date of the document.
NOTE
For reminders and finance charge memos, the GLN No. , Account Code , and E-Invoice fields are on the
Posting FastTab.
5. Choose the Post action to post the invoice.
To create an electronic sales invoice

2. Select the relevant sales invoice.
3. Choose the Create Electronic Invoice action.
IMPORTANT
The E-Invoice check box must be selected on the invoice in order to create an electronic invoice.
4. Optionally, in the Create Electronic Invoices batch job page, set additional filters.
An XML file is created and stored at the location that was defined on the Sales & Receivables Setup page. You
can now submit the document to the customer.
See Also
Create Manual Remittance Payments in the
Norwegian Version
Generally, payments are created automatically in the payment journal using the remittance suggestion function.
However, you can also create a payment manually, either as a payment of an existing invoice or as a payment
without a link to an existing invoice, such as a payment to a vendor.
To create a manual remittance payment

1. Choose the icon, enter Payment Info , and then choose the related link.
2. On the Payment Info page, choose the Initialize Payment Info action.
If the payment is linked to an existing vendor ledger entry, information will be transferred from the entry.
If the payment is not linked to a vendor ledger entry, only partial information will be created.
See Also
Remittance Errors
Cancel Payments
Set Up Remittance Agreements in the Norwegian
Version
You must sign an agreement of remittance with the bank when you set up electronic payments. You can create
more than one remittance agreement if you have an agreement with two or more banks. For each agreement,
you must specify one or more accounts from which the payment should be made. For each account, you must
create a remittance account. For more information, see Create Remittance Accounts.
To set up a remittance agreement

1. Choose the icon, enter Remittance Agreement Over view , and then choose the related link.
Code Specify the agreement code from the bank.
Description Specify a name for the agreement, such as the name of

the bank.
Payment System Select the payment system that will be used. Payment
systems include DnB Telebank , K-LINK , SparNett ,
Fokus Bank , Postbanken , Other bank , and BBS.
4. On the Bank FastTab, fill in the fields as described in the following table.
Operator No. Specify the operator information given by the bank.
Company/Agreement No. Specify the company information given by the bank.
Division Specify the division information given by the bank.
Latest Sequence No. Specify the latest sequence number.
Latest Daily Sequence No. Specify the latest daily sequence number.
Latest Expor t Specify the date of the latest export.
5. On the BBS FastTab, fill in the fields as described in the following table.
BBS Customer Unit ID Specify the identification of the agreement for Bankernes
Betalingssentral (BBS). This code is provided by BBS.
Latest BBS Payment Order No. Specify the entry number that was used when payment
was sent to BBS.
6. On the Send FastTab, fill in the field as described in the following table.
Payment File Name Specify the path and the name of the file that contains
the electronic payment order that was sent to the bank.
7. On the Receive FastTab, fill in the fields as described in the following table.
Save Return File Select to automatically name the return file after it is
imported without errors.
Receipt Return Required Select to verify that the first-time return report is
imported.
Return File Is Not In Use Select if you do not want to use return files for approval
and settlement of payment. You can use this feature if
you do not want to update payments with return
information from the bank.
On Hold Rejection Code Enter the code to update a rejected vendor ledger entry.
The ledger entry will be marked as On Hold , which
means that after rejection, it is not added to the
remittance proposal again.
If the code is blank, the entry is not marked as On

Hold , which means that after rejection it can be added
to a remittance proposal again.
8. On the Finance FastTab, fill in the field as described in the following table.
New Document Per Field Specify how documents are numbered when payments
are posted. Options include Date , Vendor , and
Specified for account .
9. Choose the Return File Setup List action.

10. On the Return File Setup List page, choose the New action.
11. Enter the return file name in the Return File Name field.
NOTE
At a minimum, you must set up one file name for each receipt return, rejected return, and settlement return.
Contact your bank about the naming conventions that it uses.

See Also
Remittance Errors
Cancel Payments
Set Up Vendors for Remittance in the Norwegian
Version
Business Central includes Norwegian enhancements for automatically making payments to vendors. This
reduces errors that occur from manual data entry. To pay vendors using the remittance system, you must set up
vendor information.
To set up a vendor for remittance

Name Specify the vendor’s name. This field is used by

remittance against Bankernes Betalingssentral (BBS).
Address Specify the vendor’s address. This field is used by

remittance against BBS.
Address 2 Specify an additional line for the vendor’s address, if

necessary. This field is used by remittance against BBS.
Post Code Specify a valid postal code of four digits for domestic
remittance.
Countr y/Region Code Specify a valid country/region code for a foreign address.
4. On the Payments FastTab, fill in the fields as described in the following table.
Remittance Select if the vendor is to be remitted.
Remittance Account Code Specify the account code to be used for the vendor.
Recipient Bank Account No. Specify the account number used to remit the vendor.
5. Choose the Remittance Info action.

Remittance Account Code Specify the code of the remittance account which the
vendor is using.
Remittance Agreement Code Specify the code of the agreement to which the account
is linked.
Recipient Bank Account No. Specify the vendor's account number used for
remittance.
7. On the Domestic FastTab, fill in the fields as described in the following table.
Own vendor recipient ref. Select to use the recipient reference from the vendor.
Recipient ref. 1 -- inv. Enter the text that will print on the payment invoice.
Recipient ref. 1 - cred. Enter the text that will print on the payment invoice
when deducting a credit memo.
If remittance to BBS is used, the text from Recipient ref. - inv. and Recipient ref. -cred. is displayed on
the payment specification in lines one through three, columns one and two. You can insert a maximum of
80 characters on the payment specification.
The text in the recipient reference fields can be formatted automatically with special codes. For more
information, see Recipient Reference Codes.
8. On the Payment abroad FastTab, fill in the fields as described in the following table.
Recipient Ref. Abroad Enter the text that will print on the payment invoice.
Warning Notice Select one of the following options to specify how a

warning notice is sent from the recipient's bank to the
recipient.
- None - No confirmation is sent.

- Phone - Confirmation is given by phone.
- Fax - Confirmation is sent by fax.
- Other - A text message in the Warning Text field is
used.
Warning Text Enter the warning text that is used if the Warning
Notice field is set to Other .
Recipient Confirmation Select to specify how confirmation of payment is sent to

the recipient.
Telex Countr y/Region Code Specify the country/region code if the confirmation is
sent using telex.
Telex/Fax No. Specify the telex or fax number if the confirmation is sent
using telex or fax.
Recipient Contact Specify the contact person’s name if a telex or fax

confirmation is sent to the recipient.
Charges Domestic Specify who is charged the domestic charges in

connection with the payment.
- Debitremitter - The remitter is charged.

- Debitrecipient - The recipient is charged.
- Default - The bank's way of charging is used. Typically
this is the remitter who is charged.
Charges Abroad Specify who is charged for foreign payments.
- Debitremitter - The remitter is charged.

- Debitrecipient - The recipient is charged.
- Default - The bank's way of charging is used. Typically
this is the remitter who is charged.
Payment Type Code Abroad Enter a two-digit code for the payment type.
Specification (Norges Bank) Specify information for your local government bank.
Contact your bank for further information.
9. On the Bank abroad FastTab, fill in the fields as described in the following table.
SWIFT Enter the Society for Worldwide Interbank Financial

Telecommunication (SWIFT) address by which the
recipient’s bank is identified.
Bank Name Specify the bank's name.
Bank Address 1 Specify the address of the recipient's bank.
Rcpt. Bank Countr y/Region Code Specify the country/region code for the recipient. This
field is required and must comply with ISO standards.
SWIFT Remb. Bank Specify the SWIFT address for reimbursement that is the
recipient’s corresponding bank.
See Also
Remittance Errors
Cancel Payments
Recipient Reference Codes in the Norwegian
Version
The recipient reference code determines the message that is sent to the recipient. The code is displayed on the
remittance account and is used for vendors that are paid from this account. For each vendor, a special recipient
reference code can be created if the general reference text is not used.
The text in recipient reference fields can be formatted automatically with special codes. For example, if you enter
Payment of Invoice %2 in a recipient reference field, the information that will print is Payment of Invoice
10000 .
The recipient reference codes are described in the following table.
%1 The document type. Either invoice or credit memo.
%2 The vendor's invoice number.
%3 The Our Account No. field from the Vendor Card page.
This is usually the customer number that is used by the
vendor.
%4 The invoice or credit memo number.
%5 The description from the vendor ledger entry.
%6 The original amount from the vendor ledger entries. The

amount is shown as positive.
%7 The remaining amount from the vendor ledger entries. The

%8 The local currency amount from the vendor ledger entry. The
%9 The currency code from the vendor ledger entry.
%10 The due date from the vendor ledger entry.
%11 The Kunde ID number from the vendor ledger entry.
See Also
Set Up Payment Line Information in the Norwegian
Version
Payment journal line information for the remittance payment is set up on the Payment Info page.
To set up payment line information

2. Choose the Payment Info action.
3. On the Payment Info page, on the General FastTab, fill in the fields as described in the following table.
Remittance Account Code Select the remittance account code.
Remittance Agreement Code Specify the agreement code assigned to the account
code.
Remittance Type Specify the remittance type assigned to the account

code. Remittance types include Domestic and Foreign .
Recipient Ref. 1 – 3 Specify the payment text which is sent to the vendor.
KID (Cust. id number) Specify the number sent to the vendor during payment.
Our Account. No. Specify the account number for your company.
External Document No. Specify the number of the external document.
Payment Type Code Domestic Specify the payment type code that is assigned to the
payment.
NOTE
The recipient reference and the KID number cannot be entered for the same payment. If the KID is used, this is
the only information that the vendor receives.
5. On the Foreign FastTab, fill in the fields as described in the following table.
Recipient Ref. Abroad Specify the payment text that is sent to the vendor.
Payment Type Code Abroad Specify the payment type code that is assigned to the
payment.
Check Specify whether a check must be issued.
*
No - No check is issued.
* Send to employer - Check is issued and sent to the

employer.
* Send to beneficiar y - Check is issued and sent to

the beneficiary.
Urgent Select if the payment is urgent and should be treated as

an urgent transfer.
Agreed Exch. Rate Specify the exchange rate which the bank agrees upon.
Agreed With Specify who the agreement is entered with, if an

exchange rate is agreed upon.
Futures Contract No. Specify the future contract number that is used for this
payment.
Futures Contract Exch. Rate Specify the future contract exchange rate that is used for
this payment.
See Also
Remittance Errors
Cancel Payments
Create Remittance Accounts in the Norwegian
Version
You must create one remittance account for each bank account where payment is made. If an account is used to
make payments to both domestic and foreign vendors, this account must be created two times—one time for
domestic payments and one time for foreign payments.
NOTE
The currency used for the bank account should be the same as the currency that the bank is using for this account.
Exchange rates are based on the currency of the account and calculations are based on this currency.
To create a remittance account

1. Choose the icon, enter Remittance Account Over view , and then choose the related link.
3. On the Remittance Account Card page, on the General FastTab, fill in the fields as described in the
following table.
Code Specify the identification code for the account.
Remittance Agreement Code Select the agreement to which the account is connected.
Type Select the payment type. Payment types include

Domestic, Foreign , and Payment Instr .
If remitting to Bankernes Betalingssentral (BBS), you can

only choose Domestic.
Description Specify the description of the account.
Bank Account No. Specify the account number of the bank.
BBS Agreement ID Specify the agreement identification for each account in

BBS.
4. On the Finance FastTab, fill in the fields as described in the following table.
Account Type Select the account type. Account types include Finance
account and Bank account .
Account No. Specify the account number depending on your selection

in the Account Type field.
Charge Account No. Specify the account number for the charge account.
Round off/Divergence Acc. No. Specify the finance account to post the difference as a
result of rounding.
Max. Round off/Diverg. (LCY) Specify the maximum rounding or difference, which is
accepted by settlement return.
Document No. Series Specify the number series to be used when you post
payments by using the remittance system.
New Document Per. Select how documents will be numbered when you post
a payment:
- Date - A new document is numbered according to the

date the payment is made.
- Vendor - A new document is numbered according to
the vendor.
Return Journal Template Name Specify the general journal template to which settled
payments are transferred.
Return Journal Name Specify the general journal batch to which settled
payments are transferred.
Recipient ref. 1- Invoice Specify the text that will print on the payment invoice.
Recipient ref. 1- Cr. Memo Specify the text that will print on the payment invoice
when deducting a credit memo.
6. On the Foreign FastTab, fill in the fields as described in the following table.
This information is only used if the account is used for foreign payments. For remittance to BBS, do not
use this tab.
Currency Code Specify the currency that is used for the bank account.
If the account is a currency account, the currency code

must be given.
Recipient Ref. Aboard Specify the template text that displays on the vendor
card. This field is for foreign payments only.
Futures Contract No. Specify the number of the futures contract, if the
transaction is linked to a futures contract.
Futures Contract Exch. Rate Specify the exchange rate for the futures contract.
See Also
Remittance Errors
Cancel Payments
Test Remittance Payments in the Norwegian Version
After you have set up remittance payments and generated suggestions, you can test the payment journal lines
for errors before posting them.
To test the payment journal lines, you can use the Remittance Test report. This report prints an overview of all
journal lines together with any errors, such as missing fields or incorrect bank accounts.
If a warning is printed in the test report, you cannot transfer the payments to the bank before the problem is
corrected. You should print the test report to make sure that all payments are made as expected.
To print a remittance test report

3. On the Options FastTab, select the Show Dimensions field to print dimensions on the test report.
See Also
Remittance Errors
Cancel Payments
Create Remittance Suggestions in the Norwegian
Version
You can create a remittance suggestion so that payment proposals are sent to vendors who are set up to receive
remittance payments. One payment transaction per posting date for each vendor is transferred to the bank.
NOTE
To avoid creating payment suggestions for vendors who are remitted when the usual vendor suggestion process is used,
add a filter for Remittance on the Suggest Vendor Payments page and set the filter to No .
To create a remittance suggestion

2. Choose the Remittance Suggestion action.
3. On the Suggest Remittance Payments page, on the Options FastTab, fill in the fields as described in
Last Payment Date Specify the last payment date.
Find Payment Discounts Select if you want to search for entries where a payment
discount is available.
Use Vendor Priority Select if the vendor priority should be used to search
entries.
Available Amount (LCY) Specify the payments for total amounts that are less
than or equal to the given amount.
Posting Date Specify a posting date.
Replace Posting Date with Due Date Select to insert the due date of the entry as the posting
date for the payments.
Test Document Type Specify which of the following document types should be
tested for payment:
- All - All document types are tested.

- Invoice/Credit memo - Only invoice or credit memo
entries are tested.
Invoice/Debit Vendor Ledger Entries only Select to pay only invoice or debit entries.

See Also
Remittance Errors
Cancel Payments
Types of Payment Returns Files in the Norwegian
Version
Business Central includes two types of payment return files that can be imported:
Receipt returns
Settlement returns
You can also choose to not use return files by selecting the Return File Is Not In Use field in the Remittance
Agreement table. For more information, see Set Up Remittance Agreements.
Receipt Returns
The receipt return is received from the bank after you have sent the remittance file to the bank. When data is
imported, information about the number of invoices that are received correctly and the number that are
received with error is displayed. After you import a receipt return, the status of the payments in the Waiting
Journal table is set to Approved .
NOTE
You may also receive a rejected return from the bank. If the remittance is rejected, the settlement return will not be
received.
Settlement Returns
The settlement return is received from the bank after the payment is executed. When data is imported,
information about the number of settled invoices is displayed.
The following occurs when the settlement return is imported:
Payment status in the Waiting Journal table is set to Settled .
Information will be transferred from the Waiting Journal page to the payment journal.
A balancing account will be created for each transaction.
Document numbers will be inserted for each transaction.
Exchange Rates by Settlement

For a payment, the exchange rates are managed in the following ways:
Payment from an account in local currency - If a payment in another currency is from an account in LCY,
the bank will flag the settlement return with a warning about the exchange rate between LCY and the
currency that is used as payment.
Payment from a currency account - If payment is made from a currency account, the exchange rate for
this currency and LCY is used. This is because the bank does not inform the system about the exchange
rate.
Warnings on Settlement Returns

When the settlement return is imported, warnings can occur. Payment journal lines with warnings are marked
with a symbol. To view the information about the warning, you can open the Settlement Info page.
See Also
Remittance Errors
Cancel Payments
Import Payment Return Data in the Norwegian
Version
To import receipt and settlement returns, use the Rem. payment order – impor t page. If any errors are
indicated when importing settlement returns, you can view this information on the Settlement Info page.
To import return data

1. Choose the icon, enter Rem. payment order – impor t , and then choose the related link.
Payment order note Enter a note that is transferred to the payment order.
ControlBatch Select the check box to verify return files in advance to

ensure if the import can be made. Return data is not
imported.
Return files Specifies how many return files are found and imported.
3. Choose the Return Files button to display the return files.

4. On the Return Files page, select the Impor t option next to each file to be imported. If the option is
cleared, the file will not be imported.
To view settlement information

1. Choose the icon, enter Settlement Info , and then choose the related link.
2. On the General FastTab, view the fields as described in the following table.
Remittance Handling Ref. Shows the reference that the bank enters for foreign
payments.
Remittance Warning If selected, the journal line contains a warning.
Remittance Warning Text Shows the description of the warning, if applicable.
See Also
Remittance Errors
Cancel Payments
Remittance Errors in the Norwegian Version
Remittance errors for payments may occur when data is transferred and after payments have been sent to the
bank. Both kinds of errors are reported on the Return Error page.
The remittance system handles all error codes which can be sent through the return files. It is not required to
manually cancel payments rejected by the bank.
Types of Errors
There are two types of remittance errors:
Transfer error
Rejection
Transfer Errors
If errors occur during transfer and no return data is created, payments have not been received by the bank.
If the payment file cannot be sent to the bank, you must cancel the payment order in the remittance system.
Rejections
If there is an error or information is missing with a payment that was sent to the bank, the return will contain a
rejection of the payment.
NOTE
Rejections vary from bank to bank. Contact your bank regarding how to handle rejection of payments.
If there is a rejection, the error code from the bank and an explanation is displayed for the payment on the
Waiting Journal page. You will have to handle the rejection based how the remittance agreement was set up.
For more information, see Set Up Remittance Agreements.
See Also
Cancel Payments
View Remittance Error Codes in the Norwegian
Version
For a remittance error, the error code from the bank and an explanation of the error will be shown for the
payment on the Waiting Journal page.
To view error codes

1. Choose the icon, enter Return Error , and then choose the related link.
2. On the Return Error page, fill in the fields as described in the following table.
Waiting Journal Reference Specify the reference code from the waiting journal.
Message Text Specify the message from the bank.
3. Choose the Close button.
See Also
Remittance Errors
Cancel Payments
Cancel Payments in the Norwegian Version
Business Central includes Norwegian enhancements that allow you to cancel payments. If the payment has been
sent to the bank, the bank must be contacted to cancel the remittance that they received.
A payment order can be canceled if the payments are not received by the bank and a new remittance
must be made. You can also cancel a payment order if you do not want to transfer the payments to the
bank, for example if the payments are incorrect. Only open payment orders can be canceled.
An individual payment can be canceled if the payment cannot be processed by the bank and a new
remittance has to be made. You can also cancel a payment if you do not want to process the payment.
Settled payments cannot be canceled.
To cancel a payment order

1. Choose the icon, enter Remittance Payment Order , and then choose the related link.
2. Select the payment order, choose the Expor t action, and then choose the Cancel Payment Order action.
To cancel a payment
1. Choose the icon, enter Waiting Journal , and then choose the related link.
2. Select the payment, and then choose the Cancel Payment action.
ee Also
Rcipient Reference Codes
Remittance Errors
Delete Remittance Payment Orders in the
Norwegian Version
Orders can be deleted if they are managed in full and are in a closed financial year. An order is managed in full if
no payments on the Waiting Journal page have a status of Sent or Approved .
To delete a remittance payment order

1. Choose the icon, enter Delete rem. payment order , and then choose the related link.
2. On the Delete rem. payment order page, fill in the fields as described in the following table.
Star t date Specify the start date of orders to be deleted.
End date Specify the end date of orders to be deleted.
See Also
Remittance Errors
Cancel Payments
Export Remittance Payments in the Norwegian
Version
You can use the export remittance payments process to export the payments file to your computer. You can then
transfer the remittance payments to the bank.
IMPORTANT
Before you can export a remittance payment, you must select a payment format in the Payment Expor t Format field
on the Bank Account Card page.
You export payments to a bank file by choosing the Expor t Payments button on the Payment Journal page.
The process may be different, depending on the export format that you select:
Payments using the SEPA payment standard are directly exported to a file when you choose the Expor t
Payments button. For more information, see Making Payments.
Payments using local payment standards, such as Telepay , are exported with either the Remittance -
expor t (bank) or the Remittance - expor t (BBS) report, which automatically opens when you choose
the Expor t Payments button.
The procedure for exporting payments using the Remittance – Expor t batch job is described in this topic.
To export remittance payments using the Remittance - Export batch

jobs
2. Prepare to export the payments from the journal. For more information, see Export Payments to a Bank
File.
3. Choose the Expor t Payments action.
4. In the report page that opens, choose the Options FastTab, and fill in the fields as described in the
following table.
Remittance agreement code Specify the code for the agreement.
Operator Specify the operator number.
Password Specify the password for the payments.
Division Specify the division that is paying remittance.
Current note Specify a note for the payment.
Filename Specify the name and directory of the payment file.

The payment information is exported to the file that is set up in the remittance agreement.
The payment journal is deleted and the transactions are transferred to the waiting journal.
See Also
Remittance Errors
Cancel Payments
A General Interbank Recurring Order (giro) is a payment system that operates like a credit transfer.
The last line on the giro uses the OCR-B font. This is required by Bankenes Betalingssentral (BBS) for use with
optical character recognition (OCR) when handling payments from customers. For more information, see the
Brukehåndbok Indbetalingstjeneste (NO).pdf on the NETS.eu website.
The OCR-B-10 BT font is generally available from software vendors. In Business Central, Norwegian sales
documents use the OCR-B-10 BT font from BitStream Inc. on the giro. For more information, see the fonts.com
website at OCR-B-10 BT.
You can use any OCR-B font, but if other fonts are used, the sales documents must be updated by a Microsoft
Certified Partner. Contact your partner for more information.
See Also
Set Up OCR Payments
You can process electronic payments from customers according to a predefined payment ID. This is often
referred to as an optical character recognition (OCR) payment. The payment ID is used with electronic payment
transactions. Customers can refer to this ID when they make payments. The payment ID is also used to identify
imported payment transactions and automatically apply imported payment data.
To set up OCR payments

1. Choose the icon, enter OCR Setup , and then choose the related link.
Format Select an OCR payment file format. Formats include BBS

and Data Dialog .
FileName Enter the full path of the OCR payment file.
Delete Return File Select to rename the file after import and prevent the file
from being imported more than one time.
3. On the Gen. Ledger FastTab, fill in the fields as described in the following table.
Bal. Account Type Select a balance account type. Balance account types
include Gen. Ledg. Account and Bank Account .
Bal. Account No. Select a balance account number.
Max. Divergence Enter a maximum divergence value. If the divergence on

a payment is less than or equal to the value entered, the
divergence amount is automatically posted. Otherwise,
the divergence is not automatically posted. In both
situations, a warning is displayed in the cash receipt
journal when importing OCR Giro payments.
Divergence Account No. Enter the divergence account number that will receive
posting.
Journal Template Name Select the name of the journal template that should
receive the imported OCR Giro payments.
Journal Name Select the name of the journal that should receive the
imported OCR Giro payments.
If the Journal Template Name and Journal Name

fields are blank, you can import OCR Giro payments in
any journal. Otherwise, you must import OCR Giro
payments in the journal that is specified.
NOTE
OCR payments can only be posted to cash receipt journals when the Force Doc. Balance field has been cleared in the
Gen. Journal Template table. For more information, see Gen. Journal Template.
See Also
Before you can receive optical character recognition (OCR) payments, you must make the following
preparations:
Set up a cash receipt journal template to balance OCR transactions according to the document number,
instead of the document type.
Import and post the OCR payment files to a cash receipt journal.
To import OCR payments

2. In the Batch Name field, select a journal batch.
NOTE
OCR payments can only be posted to a cash receipt journal that does not use a balance account in the Bal.
Account No. field on the cash receipt journal line.
3. Choose the Impor t Payments action.

4. On the OCR Payment-BBS page, fill in the fields as described in the following table.
File Name Enter the full path of the import file.
5. Choose the OK button to import the payment file to the journal.
To post OCR payments

The OCR payment files are posted to the cash receipt journal.
See Also
Set Up OCR Payments
Work With General Journals
You can print the OCR Journal – Test report to test the imported payment transactions in the cash receipt
journal. You can also view potential warnings and reconcile conflicts before the payments are posted to the
journal.
To print the OCR Journal – Test report

1. Choose the icon, enter OCR Journal - Test , and then choose the related link.
Show only Lines with OCR Errors Select to print only the journal lines that contain a
warning in the test report.
Show Dimensions Select to print dimension information on the test report.
See Also
Set Up OCR Payments
Apply General Ledger Entries in Closed Periods
Business Central allows you to post entries after a posting period is closed, even if no actual posting is
performed during that period. You can also choose the users who will make these entries.
To apply an entry in a closed period

2. On the General FastTab, select the Application always Allowed check box to apply entries outside the
allowed posting period.
NOTE
By default, the Application always Allowed check box is not selected.

5. On the User Setup page, select the Application always Allowed check box for each user who can
apply entries to a closed period.
See Also
Recurring Orders
You can use recurring orders to create blanket order templates so that sales orders can be created based on date
intervals that you define. For example, if you deliver the same sales order every two weeks, you can use a
blanket sales order and create recurring orders.
You can use recurring groups to define a range of parameters that show how you make the orders. These
groups are assigned to blanket orders that have to be created regularly. To create the recurring orders, you will
have to periodically run the create recurring orders process. For more information see Create Recurring Orders.
See Also
Create Recurring Orders in the Norwegian Version
The create recurring orders process will find all of the recurring orders based on the options selected on the
Create Recurring Orders page and will create the new sales orders. This is a periodic activity that you must
run regularly.
To create recurring orders

1. Choose the icon, enter Create Recurring Orders , and then choose the related link.
Processing Date Enter the date to process the blanket orders.
Create only latest Select to create only the latest recurring order for the
blanket orders processed. This option overrides the
equivalent option for the recurring group.
See Also
Recurring Orders
Create Blanket Sales Orders
The Recurring Group Code field on the Blanket Sales Order page defines date formulas that can be used
both as a template and to create sales orders based on date intervals. You must set up recurring groups before
you can set up recurring orders.
To set up recurring groups

1. Choose the icon, enter Recurring Groups , and then choose the related link.
Code Enter a code to identify the recurring group.
Description Enter a description for the recurring group.
Date formula Enter a date formula to calculate the time interval

between orders.
Create only the latest Select if you want only the latest recurring order created
if the recurring group interval created by the Date
formula has been exceeded.
If the order date on the blanket sales order has exceeded

more than one interval period, selecting this check box
prevents how all orders are created, and will only create
the latest order.
Star ting date Enter the first date of the recurring group.
Closing date Enter the last date of the recurring group.
4. On the Update FastTab, fill in the fields as described in the following table.
Update Document Date Select one of the following options to update the
document date:
- Posting Date - The document date is calculated using

the posting date and the date formula specified in the
Document Date Formula field.
- Processing Date - The document date is calculated
using the processing date and the date formula specified
in the Document Date Formula field.
Document Date Formula Enter a date formula to calculate the document date on
the order.
Deliver y Date Formula Enter a date formula to calculate the delivery date on the
order.
Update Price Select one of the following options for updating prices
on new orders:
- Fixed - The price used on a new order is the same

price that is specified in the blanket order.
- Recalculate - The price on a new order is recalculated
to reflect the current price for the customer.
- Reset - The price on a new order is cleared to specify a
new price.
Update Number Select one of the following options to manage the

quantity specified on the original order:
- Constant - The quantity on the blanket order remains

unchanged. This enables you to make orders indefinitely
from the blanket order.
- Reduce - The quantity on the blanket order is reduced
with the quantity that is specified on the new order. The
recurring order processing stops when the quantity
specified on the blanket order is used on new orders.
Reset Deliver y Select to reset the delivery options for the recurring
group.
See Also
Recurring Orders
After you create a recurring group, you can set up recurring orders on the blanket sales order by adding the
group to the order. For more information, see Create Blanket Sales Orders.
To set up a recurring order

Order Date Enter the order date. The order date is used when you
create new recurring orders. Orders with an order date
on or before the processing date are processed.
Recurring Group Code Enter the recurring group code for the recurring group.
When a blanket order contains a recurring group code,
the blanket order is available as a recurring order.
Quantity Enter the quantity for the blanket order.
Qty. to Ship Enter the quantity to ship. This quantity is used when
you create new orders as recurring orders.
See Also
Recurring Orders
The Payroll Data Definitions Extension in the
Norwegian Version
If your business uses the Huldt & Lillevik L¯nn - Visma payroll service provider in Norway, the Payroll Data
Definitions (NO) extension can help you quickly and accurately register payroll transactions from these
providers. The extension contains data exchange definitions that enable you to import payroll transactions in
files that the providers send to you. For more information about data exchange definitions, see Set Up Data
Getting Started
The first step is to map the types of payroll transactions to the general ledger accounts that you want to post
them to in Business Central. For example, you might want to post retirement plan contributions to an account
named Pension, and the taxes paid on the contributions to an account named Pension Tax. This happens outside
of Business Central, for example, you might use an Excel worksheet to visualize the mapping. Work with the
payroll service provider to ensure that the file they export contains the mapping. Typically, you can find
information about how to configure export files on the provider's website.
After you install the extension, the next step is to specify the format for the payroll data file from the payroll
service provider. To do that, go to the General Ledger Setup page and choose the provider in the Payroll
Trans. Impor t Format field.

See Also
Import Payroll Transactions in the Norwegian
Version
You can import payroll transactions into a general journal from the leading Norwegian payroll solution, Huldt &
Lillevik L¯nn - Visma. You can then use the general journal to post the imported payroll transactions to general
ledger accounts or bank accounts. To import payroll transactions, you must first set up payroll integration.
NOTE
To import payroll transactions, your Business Central must include the Payroll Data Definitions (NO) extension. If you
are not sure if you have this extension, please talk to your administrator.
To import payroll transactions

See Also
The Payroll Data Definitions (NO) Extension
Kunde ID (KID) is a customer identification number that provides a payment reference to the vendor and
ensures that the vendor is posting the payment correctly. You can set up KID numbers on sales documents to
identify document and customer information on electronic banking transactions.
To set up KID numbers on sales documents

2. On the Documents FastTab, fill in the fields as described in the following table.
KID Setup Specifies a KID number format.
Document No. length Enter the number of digits used for the document
number.
Customer No. length Enter the number of digits used for the customer
number.
Use KID on Fin. Charge Memo Select to print KID numbers on finance charge memos.
Note: If selected, then you must also select the
Document Type + Document No. format in the KID
Setup field.
Use KID on Reminder Select to print KID numbers on reminders. Note: If

selected, then you must also select the Document Type
+ Document No. format in the KID Setup field.
See Also
Set Up Document Printing
In Business Central, you can print the sales reports that use the required giro specifications by using different
paper types and paper trays.
When you use tray numbers and paper sources for Norwegian sales documents, you must consider how the
printer and printer driver interpret this information. You may have to specify other tray numbers for your
specific printer.
NOTE
KID information will also print where the giro information is printed.
The following documents require a printed giro:

Invoices
Credit memos
Finance charge memos
Reminders
The Norwegian version of Business Central contains the following sets of sales documents.
SET DESC RIP T IO N
1 The standard Business Central documents. No giro

information is printed.
2 The giro is printed on every page. The last page prints the
giro total.
To set up paper trays

1. Choose the icon, enter Printer Selections , and then choose the related link.
2. Select the report.
3. Choose the Sales Document Paper Tray Setup action.
4. Select a paper source from the First Page - Paper Source field.
5. The First Page – Tray Number field will automatically display the selected paper source. You can also
manually enter a tray number.
IMPORTANT
Not all printers will have the same paper source names. You can specify a number in the Tray Number field. The
number may correspond to a paper source. To find the number that a specific printer is using, see the technical
documentation for the printer.
The Other Pages and Giro Page fields are set up the same way.
See Also
Russia Local Functionality
In Business Central, there are Russian-specific features that you can use to track and manage your business. For
example, you can use the local functionality features in Business Central to calculate VAT due based on Russian
VAT rates and regulations.
Core Finance
Account Schedules Overview Available Now
Import and Export Account Schedules Available Now
Define an Account Schedule Extension Available Now
Define an Account Schedule Constant Available Now
Work with Account Schedules Available Now
General Ledger Correspondence Available Now
С urrency Available Now
Set Up Responsible Employees and Advance Statements Available Now
Payables and Receivables Available Now
Enter Custom Declarations Information Available Now
Set Up and Create Letters of Attorney Available Now
Russian Payables Reports Available Now
Russian Receivables Reports Available Now
Set Up Customer Prepayments Available Now
Set Up Vendor Prepayments Available Now
Posting Vendor and Customer Prepayments Available Now
Prepayment Differences Available Now
Set Up Customer and Vendor Agreements Available Now
Fixed Assets
Fixed Assets Available Now
Calculate Assessed Tax Available Now
Depreciation Bonus Available Now
Fixed Asset Charges Available Now
Gratuitous receipt of fixed assets Available Now
Fixed Asset Inventory Available Now
Fixed Asset Locations and Employees Available Now
Fixed Asset Turnover Available Now
Create Future Expense Journals Available Now
Create a Fixed Asset Charge Available Now
Create a Credit Memo for a Fixed Asset Charge Available Now
Selling Fixed Assets Available Now
Release, Track, and Write-Off Fixed Assets Available Now
View Posted Entries on a Fixed Asset Charge Available Now
Set Up an Intangible Assets Account Available Now
Account for the Cost to Dispose a Fixed Asset Available Now
Undepreciable Fixed Assets Available Now
VAT
VAT Available Now
Set Up VAT Ledgers Available Now
Prepare VAT Entries for Posting Available Now
Settlement VAT Available Now
Unload books of purchased and sales in XML. VAT Declaration Available Now
VAT by customer prepayments Available Now
VAT reinstatement Available Now
Vendor Tax Agent scheme Available Now
Tax Accounting
Tax Accounting Available Now
Set Up Tax Accounting Available Now
Tax Registers Available Now
Create Tax Registers Available Now
Set Up Tax Register Sections Available Now
Tax Differences Available Now
Accounting for personal income tax payments Available Now
Upload KLADR Available Now
Statutory Reports Available Now
Banking
Bank Management Available Now
Inventory
Inventory Available Now
Inventory Setup Available Now
Item Documents Available Now
Item Obligatory Acts Available Now
Inventory Act of Receivables And Payables INV-17 Available Now
Item General Ledger Turnover Available Now
Create the TORG-29 Goods Report Available Now
Bill of Lading 2022 release wave 1
Human Resources
Human Resources Available Now
Payroll Available Now
Establishment of charges and deductions to the employee Available Now
Absence registration Available Now
Dismissal Available Now
Forming and Changing Staff List Order Available Now
Vacation planning Available Now
See Also
Russian Chart of Accounts
Special Codes for Company Information, Customers, Vendors
Account schedules are one of the main tools that you can use to provide information for required statutory
reports. By using user-defined rows and columns, you can decide which data you want to compare and how.
This means that you can create as many customized financial statements as you want without using Report
Designer. You can also choose to use a predefined column layout for any account schedule.
To better manage the report data, you can:
Create general ledger correspondence.
Create constants.
Create extensions.
Create expressions.
Account schedules are set up in the Account Schedules window.
NOTE
Make sure to print the following reports to review the general ledger account information that you will be using in
account schedules:
G/L Account Turnover report G/L Account Card report G/L Account Entries Analysis report
See Also
You can import and export account schedules into other companies and databases.
To import and export account schedules

2. Choose the Impor t Settings or the Expor t Settings action. An extensible markup language (XML) file will
be created for the import or export.
NOTE
When you import account schedules, all existing records with primary key values that are equal to imported values will be
deleted.
See Also
Business Central enables you to define an extension for an account schedule line. Extensions are useful if you
want to filter the data of your general ledger accounts.
To define an account schedule extension

1. Choose the icon, enter Account Schedule , and then choose the related link.
2. Select the account schedule for which you want to define an extension.
3. Select Edit account schedule .
4. In the Row No. field, select the number of the account schedule row for which you want to define an
extension.
5. In the Totaling Type field, select Custom , and then select the table that you want to use from the Extension
Source Table field.
Based on your selections, the account schedule information is filtered from the entry tables, and then new
amounts are calculated for the specified account schedule line.
See Also
Business Central enables you to define a constant for an account schedule line. Constants are useful if an
account schedule value does not change.
To define an account schedule constant

1. Choose the icon, enter Account Schedule , and then choose the related link.
2. Select the account schedule for which you want to define a constant.
3. Select Edit account schedule .
4. In the Row No. field, select the number of the account schedule row for which you want to define a constant.
5. In the Totaling Type field, select Constant , and then enter a constant value in the Totaling field.
See Also
Use account schedules to get insight into the financial data stored in your chart of accounts. Account schedules
analyze figures in G/L accounts, and compare general ledger entries with general ledger budget entries. The
results display in charts on your Home page, such as the Cash Flow chart.
Business Central provides a few sample account schedules that you can use right away, or you can set up your
own rows and columns to specify the figures to compare. For example, you can create account schedules to
calculate profit margins on dimensions like departments or customer groups. You can create as many
customized financial statements as you want.
Setting up account schedules requires an understanding of the financial data in the chart of accounts. For
example, you can view general ledger entries as percentages of budget entries. This requires that budgets are
created. For more information, see Create Budgets.
Account Categories and Account Schedules

You can use account categories to change the layout of your financial statements. After you set up your account
categories in the G/L Account Categories window, and you choose the Generate Account Schedules
action, the underlying account schedules for the core financial reports are updated. The next time you run one of
these reports, such as the balance statement, new totals and subentries are added, based on your changes.
To create new account schedules

You use account schedules to analyze figures in general ledger accounts or to compare general ledger entries
with general ledger budget entries. For example, you can view the general ledger entries as percentages of the
budget entries.
2. In the Account Schedule Names window, choose the New action to create a new account schedule
name.
3. Fill in the fields as necessary. Choose a field to read a short description of the field or link to more
information.
4. Choose the Edit Account Schedule action.
5. In the Account Schedule window, fill in the fields as necessary.
When you have created a new account schedule and set up the rows, you must set up columns. You can
either set them up manually or assign a predefined column layout to your account schedule.
6. Choose the Edit Column Layout Setup action.
7. In the Column Layout window, fill in the fields as necessary.
NOTE
If you did not assign a default column layout to the account schedule, you must set the columns up manually.
To create a column that calculates percentages

Sometimes you may want to include a column in an account schedule to calculate percentages of a total. For
example, if you have a number of rows that break down sales by dimension, you may want a column to indicate
the percentage of total sales that each row represents.
2. In the Account Schedule Names window, select an account schedule.
3. Choose the Edit Account Schedule action to set up an account schedule row to calculate the total on which
the percentages will be based.
4. Insert a line immediately above the first row for which you want to display a percentage.
5. Fill in the fields on the line as follows: In the Totaling Type field, enter Set Base for Percent . In the
Totaling field, enter a formula for the total that the percentage will be based on. For example, if row 11
contains the total sales, enter 11 .
6. Choose the Edit Column Layout Setup action to set up a column.
7. Fill in the fields on the line as follows: In the Column Type field, select Formula . In the Formula field, enter
a formula for the amount that you want to calculate a percentage for, followed by %. For example, if column
number N contains the net change, enter N% .
8. Repeat steps 4 through 7 for each group of rows that you want to break down by percentage.
To set up account schedules with overviews

You can use an account schedule to create a statement comparing general ledger figures and general leger
budget figures.
2. In the Account Schedule Names window, select an account schedule.
3. Choose the Edit Account Schedule action
4. In the Account Schedule window, in the Name field, select the default account schedule name.
5. Choose the Inser t Accounts action.
6. Select the accounts that you want to include in your statement, and then choose the OK button.
The accounts are now inserted into your account schedule. If you want you can also change the column
layout.
7. Choose the Over view action.
8. On the Dimension Filters FastTab, set the budget filter to the desired filter name.
Now you can copy and paste your budget statement into a spreadsheet.
See Also
Finance
Setting Up Finance
General Ledger Correspondence
The general ledger correspondence feature enables you to:

Create a correspondence transaction periodically.
Post correspondence operations when you post general ledger transactions.
Analyze a number of reports for correspondence.
Creating a General Ledger Correspondence Entry

The following procedure shows how to periodically create general ledger correspondence entries.
1. Choose the icon, enter Create G/L Correspondence , and then choose the related link.
2. Enter the Transaction No. field with the transaction number if general ledger correspondence is to be
created only for the selected transaction. Otherwise, leave it blank.
To set up automatic general ledger correspondence:
2. Select the Automatic G/L Correspondence check box.
Reports
The following reports have been added for the analysis of data from correspondence transactions:
General Ledger - Correspondence (page 12403; report 12431)
G/L Correspondence Entries (page 12401)
G/L Corresp. Journal Order (report 12432)
G/L Corresp Entries Analysis (report 12435)
General Ledger - Correspondence Window
The General Ledger - Correspondence window shows turnovers in the chosen period in correspondence.
1. Choose the icon, enter Correspondence , and then choose the related link.
2. Choose the General Ledger - Correspondence action.
The header of the General Ledger - Correspondence window contains the following filters:
Date Filter
Business unit Filter
Global Dimension 1 Filter
Global Dimension 2 Filter
In the subform, the report shows the turnover in correspondence with other accounts:
G/L Corresp Entries Analysis Report
The G/L Corresp Entries Analysis report shows the correspondence entries for each account. The report can
be used to get an overview of general ledger account entries with correspondence and totals.
1. Choose the icon, enter Correspondence , and then choose the related link.
2. Choose the G/L Corresp Entries Analysis action.
On the Options tab of the request form, you can set parameters by filling in the fields with the information
listed in the following table.
Period Beginning Enter the starting date of the period, for the entries that you
want to include in the report.
Ending of Period Enter the ending date of the period, for the entries that you
want to include in the report.
Other parameters : Specify the view of the report, such as whether the
Without Zero Net Changes , Without Zero Lines , information for each account should be written without zero
Debit Credit Separately , New Page for GL Acc lines or net changes.
See Also
Currency information, Import currency rates
Local currency information for printing forms is specified in General Ledger Setup .
Used fields on the General tab :
LCY Code
Local currency description
Import currencies
Go to Company information . Fill fields:
Impor t Curr. Exch. Rates Specifies if it is possible to run the Import Currency Exch.
Rate batch job.
Impor t Conflict Resolution Specifies what will happen if a user runs the Import Currency
Exch. rate batch job and there are conflicting exchange rates.
Go to Currency . О n the General tab fill fields for each currency:
Impor t Specifies if the currency has an imported exchange rate.
Ru Bank Code Specifies the Russian bank code associated with the currency.
Ru Bank Digital Code Specifies the Russian bank digital code associated with the
currency.
I m p o r t c u r r e n c y r a t e s:
1. Go to Departments -> Financial management -> Periodic activities -> Currency -> Import currency rates.
2. Enter the start and end dates of the period for which you want to adjust the exchange rates.
See Also
Adjust Exchange Rates
Set Up Responsible Employees and Advance
Statements
The Advance Statement report enables you to print and view information about payments made to and from
responsible employees. This report also enables you to print and view primary documents of responsible
employee expenses.
Creating the Responsible Employee Card

The Resp. Employee Card window is created for each responsible employee on the basis of the Employee
Card window, but it can also be created independently.
It provides the following information:
1. Responsible Employee card number
2. Data of the responsible employee (address, postal code or city, and telephone)
3. Contacts (telephone, e-mail address, Internet address)
4. General ledger entry postings of the responsible employee on the Posting FastTab (Gen. Bus. Posting
Group , VAT Bus. Posting Group , and Vendor Posting Group )
5. Documents of the responsible employee (unposted and posted advance statements), which can be opened
using the Documents button.
The following procedure shows how to access the Resp. Employee Card window.
To create a Responsible Employee card
1. Choose the icon, enter Resp. Employees , and then choose the related link.
2. Create a new card.
To create a Responsible Employee Card from an Employee card
2. Choose the Create Resp. Employee action.
3. The Resp. Employee Card window contains the following information entered manually or from the
corresponding glossary and settings.
No. Specifies the value that is filled automatically from the

Employee Card window, or is entered manually.
Name Specifies the value that is filled automatically from similar

fields in the Employee Card window or is entered
manually.
Address Specifies the value that is filled automatically from similar

manually.
Post Code Specifies the value that is filled automatically from similar
manually.
Countr y/Region Code Specifies the value that is filled automatically from similar
manually.
Phone No. Specifies the value that is filled automatically from similar
manually.
Search Name Specifies the value of the Name field is entered from the
displayed Resp. Employee Card window.
Communication (E-Mail, Home Page) Specifies the values that are filled automatically from
similar fields in the Employee Card window or is
entered manually.
Currency Code Specifies a blank by default.
Gen. Bus. Posting Group Specifies the value of the Adv. Stmt. Gen. Bus.
Posting Gr field from the Purchases and Payables setup
on the Advance Statement FastTab.
VAT Bus. Posting Group Specifies the value of the Adv. Stmt. VAT Bus. Posting
Gr field from the Purchases and Payables setup on the
Advance Statement FastTab.
Vendor Posting Group Specifies the value of the Adv. Stmt. Vendor Posting
Gr field from the Purchases and Payables setup on the
Advance Statement FastTab.
Creating the Advance Statement

The Advance Statement is created by the responsible employees. This statement contains information about
payments received by the employees and about primary documents that are provided to confirm the expenses.
The Advance Statement contains the following information:
Advance Statement number
Posting date and document date
Responsible employee data (code and name)
Advance purpose and posting description
Number of documents and pages
Remainder or overdraft document to register the payment document for the advance statement
Currency code to register currency expenses
Expense lines, which are registered according to the value selected in the Type in Advance Statement
lines field – G/L Account , Item , Fixed Asset , Charge (Item) , and Employee Purchase values
The following expense lines are registered according to the value selected in the Type field and No. or
Employee Purchase Vendor No. fields, in the lines of Advance Statement:
To write off the expense:
Type - G/L Account
No. - General ledger account number
To account for the purchased items or materials:
Type - Item
No. - Item cardnumber
To account for the purchased fixed asset:
Type - Fixed Asset
No. - Fixed Asset card number
To account for additional charges for purchased items:
Type - Charge (Item)
No . - Item charge code
To register the primary documents received from the vendor (in case primary documents have been received
from the vendor for items, fixed assets, or expenses by responsible employee):
Type - Empl. Purchase
Employee Purchase Vendor No. - Vendor number
To access the Advance Statement
1. Choose the icon, enter Advance Statements , and then choose the related link.
The Advance Statement window contains the following information in the General FastTab, in the
header, entered manually or filled in from the corresponding glossary and settings.
No. Specifies the number of the advance statement, which is

calculated automatically. The number depends on the
value of the Advance Statement Nos. field that was
specified in the Purchases & Payables Setup window
on the Advance Statement FastTab.
Posting Date , Document Date Specifies the posting date and document date. By
default, these fields are filled in with the value from the
work date. It can also be filled in manually.
Employee No. Specifies the number of responsible employee. The value

is selected manually from the vendor list.
Employee Name Specifies the name of responsible employee. This field is

filled in automatically with the values of the Name and
Name2 fields of the Resp. Employee Card window.
Advance Purpose Specifies the purpose of advance.
Posting Description Specifies the posting description of the document. This

field is filled in automatically with the value from the
Invoice No. field. The field can be edited manually.
Vendor Invoice No. Specifies the number of an external document. This field
is filled in automatically.
2. The Advance Statement window contains the following information in the Statement FastTab in the
header, entered manually or filled in from the corresponding glossary and settings.
No. of Documents , No. of Pages Specifies the number of documents that confirm
expenses and number of pages of these documents. The
fields are filled in manually with numeric values.
Remaining or Overdraft Doc. No. Specifies the cash document that closes the remaining or
overdraft amount for this advance statement. A payment
document is selected from the vendor ledger entries of
the responsible employee.
The Advance statement window contains the following information from the expense lines that are
created.
Type Select G/L Account, Item, Fixed Asset, Charge (Item),

Empl. Purchase depending on the type of expenses.
No. If Type = G/L Account : In the No. field, select a general

ledger account from the General Ledger Account List
glossary. If Type = Item : In the No. field, select an Item
card from the Item List glossary. If Type = Fixed Asset :
In the No. field, select a Fixed Asset card from the Fixed
Asset List glossary. If Type = Charge (Item) : In the No.
field, select an item charge from the Item Charges and
Fixed Asset Charges glossary.
Empl. Purchase Vendor No. If Type = Empl. Purchase : In the Empl. Purchase
Vendor No. field, select a Vendor card from the Vendor
List glossary.
Empl. Purchase Entr y No If Type = Empl. Purchase : In the Empl. Purchase

Entr y No. field, select a posted vendor entry from the
vendor ledger entries. Note: You must post an invoice
from the vendor before registering in advance
statement, in case a responsible employee receives
primary documents (invoice-facture for example) from
the vendor.
Empl.Purchase Document No, Empl. Purchase The fields are filled in manually. In the Empl.Purchase
Document Date Document No . field, enter the number of the
document that confirmed expenses in the current line. In
the Empl. Purchase Document Date field, enter the
date of the document that confirmed expenses in the
current line.
Description Description of expenses in the current line. The

Description field is filled in with the value of the Name
or Description field from the selected card by default.
Quantity Direct Cost Excl. VAT Quantity and cost of expenses (items and fixed assets).
The fields are filled in with numeric values manually.
The Created Document Status field reflects the current document status. To change the current
document status from Open to Released .
3. Choose the Release action. The released advance statement will be accessible for printing.
Printing an Unposted Advance Statement
The following procedure shows how to print an unposted advance statement.
To print an unposted Advance Statement
1. Choose the icon, enter Advance Statements , and then choose the related link.
2. In the Advance Statement window, choose the Print action.
Note
The report is usually printed after creating the document for signing and confirmation.
3. On the Purchase Header FastTab, apply the following filters.
F IEL D F ILT ER
No. This field contains the unposted advance statement

number. By default, a value from the open document is
entered.
Document Type This field is filled in automatically.
4. On the Options FastTab, specify the employees for signing the document as listed in the following table.
PA RA M ET ER DESC RIP T IO N
Accountant (Cashier) Select an employee code (cashier) from the Employee List
table to fill in the corresponding fields in the statement.
Accountant Select an employee code (accountant) from the

Employee List table to fill in the corresponding fields in
the statement.
Viewing the Posted Advance Statement

To following procedure demonstrates how to access the posted Advance Statement .
To view the posted advance statement
1. Choose the icon, enter Posted Advance Statement , and then choose the related link.
A posted Advance Statement reflects all the information entered in the document in the Advance statement.
Printing the Posted Advance Statement

The following procedure shows how to print the posted Advance Statement .
To print a posted advance statement
1. Choose the icon, enter Posted Advance Statements and then choose the related link.
2. Choose the Print action. The Posted Advance Statement dialog box opens.
Note
The report is usually printed as an approved and confirmed document.
3. On the Purch. Inv. Header FastTab of the report, apply the following filters.
F IEL D F ILT ER
No. This field contains the number of the posted advance

statement. By default, this value is entered from the
open document.
4. On the Options FastTab, specify the employees to sign the document as listed in the following table.
Accountant (Cashier) Select the employee code (cashier) from the Employee
List table to fill in the corresponding fields in the report.
Accountant Select the employee code (accountant) from the

Employee List table to fill in the corresponding fields in
the report.
See Also
Human Resources
Payables and Receivables in the Russian version
In Russia, there are specific Business Central features that you can use to track and manage your accounts
payable and accounts receivable.
Getting Started with Payables and Receivables

Use the following table to learn more about the payables and receivables features that are available for Russia.
Enter Custom Declarations Information Enables you to create and print customs declarations for
import and export goods.
Set Up and Create Letters of Attorney Enables you to create and print a Letter of Attorney that you
can use to authorize an individual or organization to act on
the behalf of another in a legal or business matter.
Russian Payables Reports Enables you to view and print general ledger turnover and
finance reports that originate from vendor purchase
transactions.
Russian Receivables Reports Enables you to view and print general ledger turnover and
finance reports that originate from customer sales
transactions.
Set Up Customer Prepayments Enables you to set up advance payments on sales orders
that are received before a final invoice is issued.
Set Up Vendor Prepayments Enables you to set up advance payments on purchase orders
that are paid before a final invoice is issued.
Posting Vendor and Customer Prepayments Enables you to post and apply prepayment.
Prepayment differences Enables you to post prepayment differences.
Set Up Customer and Vendor Agreements Enables you to set up agreements with customers and
vendors.
See Also
Custom declaration
Russian legislation requires companies to record and track the customs declaration number for all imported
goods. If a company sells imported goods, it must print the customs declaration number and the country of
origin on invoices.
Setup
NOTE
You may need to enable this capability by going to the Feature Management page and enable Feature Update: Use
tracking by package number in reser vation and tracking system .
To check the format of customs declarations

Custom declarations have a special format. You can verify that your format is correct by choosing Yes in the
Check CD No. Format field on the Inventor y Setup page. You must also specify a format on the CD
Number Format page. The following table describes the symbols you can use.
SY M B O L USE F O R
# Any number.
@ Any Russian or Latin letter.
? Any character
All other characters are an exact match.

To set up item tracking codes
2. Create new item tracking codes that will be used for items that require custom declaration tracking.
3. Set the Package Specific Tracking to Yes for the item tracking code.
4. Choose CD Tracking Location Setup , where you can define rules for specific locations. For example, you
can configure a foreign location to use temporary customs declaration tracking until the moment the goods
cross the border and receive a real customs declaration number.
6. Assign the item tracking code to all items that require customs declaration tracking.
To create a customs declaration
1. Choose the icon, enter Custom Declarations , and then choose the related link.
2. Create a new customs declaration, and fill in the following fields.
No. Specifies the custom declaration number.

Description Specifies the description of the custom declaration

number.
Source Type Select the source type for the custom declaration. Source
types include Blank , Customer , Vendor , and Item .
Source No. Specifies the source number from either the Customer ,
Vendor , or Item List table.
Countr y of Origin Code Specifies the country/region for the customer if all the
items in the customs declaration came from the same
country/region. Information from this field is copied to
lines on the customs declaration.
Declaration Date Enter the date of the customs declaration.
3. Create lines with items according to the content of the declaration you received from the customs
authority.
NOTE
You may want to create a temporary customer declaration to enable scenarios when goods are first received at a custom
location. Set Temporar y CD Number to Yes on the lines of the temporary customs declaration. You will be able to
assign permanent customs declaration number when transferring goods to or from customs and your warehouse.
If you choose Yes in the Check CD No. Format field on the Inventor y Setup page, the Temporar y CD Number
field is automatically set based on what you entered in the CD No field.
Purchase and Sales

The process of assigning a customs declaration number is similar to assigning lot and serial numbers. For more
information, see Assign Serial and Lot Numbers to Items for Tracking
To change a customs declaration number
The process of changing customs declaration numbers is similar to changing lot and serial numbers. For more
information, see Reclassify Serial and Lot Numbers
Printing the Factura-Invoice

You must print the customs declaration number on Factura-Invoice documents.
To print the posted factura-invoice
1. Choose the icon, enter Posted Sales Invoice , and then choose the related link.
2. Choose the Print action, and then choose Posted Factura-Invoice .
3. Choose the Print action to print the report, or choose the Preview action to view it on the screen. Choose
the Cancel action to save the information without printing the report.
To print the factura-invoice before posting
2. Choose the Print action, and then choose the Order Factura-Invoice action.
3. Choose the Print action to print the report, or choose the Preview action to view it on the screen. Choose
the Cancel action to save the information without printing the report.
See Also
Set Up and Create Letters of Attorney
The letter of attorney feature enables you to create and print a Letter of Attorney, and to also print a journal of
Letters of Attorney.
Set up numbering for open and released Letters of Attorney. Numbers for open documents are generated after
a new document is created. Numbers for released documents are generated after a document is printed. This
number is documented in the printing form of the document and in the Letter of Attorney journal.
The following procedure shows how to set up the numbering for Letters of Attorney.
To set up a letter of attorney

2. On the Background Posting FastTab, fill in the Letter of Attorney Nos. and Released Letter of
Attorney Nos. fields.
The following procedure shows how to create a Letter of Attorney.
To create a letter of attorney

1. Choose the icon, enter Letters of Attorney and then choose the related link.
2. Create a new document and fill in the fields in the following table.
Letter of Attorney No. Enter the number of the printed document. This number
is documented in the printing form of the document and
in the Letter of Attorney journal. This field is filled in
automatically from the numbering series.
Employee No. Enter the employee number.
Employee Full Name Specifies the name of the employee. The field is filled in
automatically from the Employee Card .
Employee Job Title Specifies the job title of the employee. The field is filled in
automatically from the Employee Card .
Source Document Type Enter the type of source document. You can create a
Letter of Attorney (header and lines) on the basis of an
existing purchase document that is not yet posted.
Source Document No. Enter the source document number.
Buy-from Vendor No. Specifies the vendor number. The field is filled in
automatically from the purchase document when a
source document is chosen. You can manually choose
the vendor.
Buy-from Vendor Name Specifies the name of the vendor. The field is filled in
automatically from the Vendor Card .
Document Description Specifies information about the source document. The

field is filled in automatically, but you can also manually
enter the document description.
Realization Check Specifies the document that is realized.
Document Date Enter the date of the Letter of Attorney. This field is filled
in with the work date by default. Manually enter the date
of the document, if needed.
Validity Date Enter the validity date of the document. This field is filled
in by default, with the date that occurs 15 days after the
document date. Manually enter the validity date, if
needed.
Status Specifies the status of the document.
No. Enter the number of the open document. This field is

filled in automatically from the numbering series.
See Also
Set Up Responsible Employees and Advance Statements
The payables report feature enables you to view the vendor general ledger turnover for general ledger accounts
for finance entries with the source type Vendor on the screen and in the form of a printed report. The following
reports are also provided:
Vendor General Ledger Turnover (page 12407)
Vendor General Ledger Turnover (report 12451)
Vendor Accounting Card (report 12445)
Vendor Turnover (report 12444)
Vendor Posting Group Turnover (report 12443)
Vendor Entries Analysis (report 12446)
Vendor Reconciliation Act (report 14911)
Vendor General Ledger Turnover (Page 12407)

The Vendor General Ledger Turnover page is an electronic window that shows the vendor turnover for
general ledger accounts in the context of vendors.
To access this window, choose the Financial Management action, choose the Payables action, and then
choose the Turnover action. This window contains all the information about a vendor's entries such as the
general ledger entries with the source type Vendor with the amounts in local currency (LCY).
The lines of the window contain the information listed in the following table.
C O L UM N DESC RIP T IO N
No. Select this column to enter the vendor number. This column
is not editable.
Name Select this column to enter the vendor name. This column is
not editable.
Vendor Posting Group Select this column to enter the vendor posting group. This
column is not editable.
Starting Balance LCY, Debit Amount (LCY), Credit Amount Select this column to enter the balance at the beginning and
(LCY), Ending Balance LCY, Net Change (LCY). the end of the period, debit amount, credit amount, and net
change for the period. All amounts are shown in the local
currency. The values of these columns are calculated for all
the general ledger entries with the source type Vendor.
These columns are not editable.
The following procedure shows how to access the window with the option for the Vendor action.
Choose the Vendor action, choose the Vendor G/L Turnover action, and then choose the Card action
(SHIFT+F5 Hot Key) to view the vendor card for the selected line.
Vendor General Ledger Turnover Report (Report 12451)

The Vendor General Ledger Turnover report is used to analyze turnover as well as for analysis of the vendor
account balances. It is usually printed monthly, but can be printed for any given period.
The following procedure shows how to access the Vendor General Ledger Turnover report.
1. Choose the Financial Management action, choose the Payables action, and then choose the Turnover
action.
2. Choose the Vendor G/L Turnover action, choose the Print action, and then choose the G/L Turnover
action.
The Options FastTab contains the fields listed in the following table.
Rounding Precision Select this field to choose the required rounding precision
such as 0.001, 0.01, 1, or 1000.
Replace zero values by blanks Select this field to replace zero values with blanks during
printing.
Skip zero lines Select this field to exclude lines with zero values.
Vendor Accounting Card Report (Report 12445)

The Vendor Accounting Card report provides the following information for all of a vendor's entries for a
specific period:
Starting balance
Posting date
Document number
Description
Net change debit
Net change credit
Document type
Ending balance
This report is usually printed monthly and on the date of inventory, but can be printed for any given period.
The following procedure shows how to access the Vendor Accounting Card report.
1. Choose the Financial Management action, choose the Payables action, and then choose the Turnover
action.
2. Choose the Vendor G/L Turnover action, choose the Print action, and then choose the Vendor
Accounting Card action.
The Vendor FastTab of the request page contains the same fields as the Vendor FastTab of the Vendor
General Ledger Turnover report. On the Options FastTab, you can select the New page for Vendor check
box to print the information for each vendor on a separate page.
Vendor Turnover Report (Report 12444)

The Vendor Turnover report is used to print the data about a vendor's entries for a specific period in the
context of separate contracts (agreements). The system fills in the following information about the vendor:
Starting balance (debit or credit at the start of the period)
Net change (debit or credit)
Ending balance (debit or credit at the end of the period)
To access the Vendor Turnover report
Choose the icon, enter Vendor Turnover , and then choose the related link.
The Vendor FastTab of the request page contains the same fields as the Vendor FastTab of the Vendor
General Ledger Turnover report. On the Options FastTab, you can specify the same format options as on the
Options FastTab of the Vendor General Ledger report.
Rounding Precision Select this field to choose the required rounding precision
such as 0.001, 0.01, 1, or 1000.
printing.
Skip accounts without net changes Select this field to exclude lines without net changes within
the period.
Skip accounts with zero ending balance Select this field to exclude lines with zero ending balances at
the end of the period.
Vendor Posting Group Turnover Report (Report 12443)

The Vendor Posting Group Turnover report is used to print information on the vendor's entries that are
accumulated in the vendor posting groups. The printed data contains the following information:
Vendor posting group code
Vendor posting group name
Starting balance (debit or credit)
Ending balance (debit or credit)
To access the Vendor Posting Group Turnover report
Choose the Financial Management action, choose the Payables action, choose the Repor ts action, and
then choose the Vendor Posting Group Turnover action.
On the Vendor Posting Group FastTab of the request page, you can specify the vendor posting group code or
a range of vendor posting group codes, depending on whether you want to print the report for one vendor
posting group, or for a range of vendor posting groups.
On the Options FastTab, you can specify the same format options as on the Options FastTab of the Vendor
General Ledger Turnover report.
Vendor Entries Analysis Report (Report 12446)

The Vendor Entries Analysis report shows the vendor's liabilities at the beginning and at the end of the
period, entry analysis, and invoice discharging. The printed data contains the following information:
Posting date
Document number
Document name
Type (payment, invoice)
Amount
Amount closed
Payment date
This report enables you to determine the invoice and payment interdependence, and it also shows closed
entries, due invoices, partially discharged invoices, and vendor prepayment amounts.
To access the Vendor Entries Analysis report.
then choose the Vendor Entries Analysis action.
On the Vendor FastTab of the request page, you can define the vendor number or a range of numbers,
depending on whether you want to print the report for one vendor or for a number of vendors. On the Options
FastTab, you can specify the format options listed in the following table.
Star ting Date Select this option to specify the start date of the period.
Ending of period Select this option to specify the end date of the period.
Repor t Currency Select this option to specify the currency you want to use in
the report. You can choose: - Local currency -
Transaction currency
New Page For Vendor Select this option to print the data for each vendor on a
separate page.
Vendor Reconciliation Act Report (Report 14911)

The Vendor Reconciliation Act report shows the payments or liabilities of the vendor. It is used for the
reconciliation of mutual payments of contractors.
To access the Vendor Reconciliation Act report
then choose the Vendor Reconciliation Act action.
The following levels of details are possible:
Full Detail
Partial Detail
None
Full Detail
If Full Detail is selected as the detail level, the report prints the following data for each document for the current
and previous periods:
Document number and the numbers of the documents connected with it.
The balance on each document (debit or credit)
Document date
Description
The report prints the following on the right side of the window (vendor's data) if Print Contactor Data is
active on the Options FastTab of the request page:
Document amount
Debit
Credit
Partial Detail
If Partial Detail is selected as the detail level, the report displays the balance on each document for the current
and previous periods, but does not display the connections to the invoices, credit notes, and payments.
None
If None is selected as the detail level, the report shows the following information for each vendor:
The balance at the beginning of the period
Net changes for the period
The balance at the end of the period
Amount of the vendor liabilities
General managers' signatures
On the Vendor FastTab of the request page, you can define the vendor number or a range of numbers,
depending on whether you want to print a report for one vendor or for a number of vendors.
See Also
The receivables report feature enables you to view the customer general ledger turnover for finance entries of
general ledger accounts with the source type Customer. The following reports are also provided:
Customer General Ledger Turnover (report 12450)
Customer Accounting Card (report 12441)
Customer Turnover (report 12439)
Customer Posting Group Turnover (report 12440)
Customer Entries Analysis (report 12442)
Customer Reconciliation Act (report 14910)
Customer General Ledger Turnover Report (Report 12450)

The Customer General Ledger Turnover report is used to analyze the turnover and to analyze customer
account balances. It is usually printed monthly, but it can be printed for any given period.
Rounding Precision Select this field to choose the required rounding precision:
0.001, 0.01, 1, or 1000.
printing.
Print Agreements if it is selected, all amounts in reports will be calculated and

shown in the section of agreements.
Customer Accounting Card Report (Report 12441)

The Customer Accounting Card report provides the following information for all of a customer's entries for a
specific period:
Starting balance
Posting date
Document number
Description
Net change debit
Net change credit
Document type
Ending balance
It is printed monthly and on the date of inventory, but can be printed for any given period.
The following procedure shows how to access the Customer Accounting Card report.
1. Choose the Financial Management action, choose the Receivables action, and then choose the Turnover
action.
2. Choose the Customer G/L Turnover action, choose the Print action, and then choose the Customer
Accounting Card action.
The Customer FastTab of the request page contains the same fields as the Customer FastTab of the Customer
General Ledger Turnover report. On the Options FastTab, you can select the New page per Customer field to
print the information for each customer on a separate sheet.
Customer Turnover Report (Report 12439)

The Customer Turnover report is used to print the data about a customer's entries for a specific period. It can
also be created for customers separately for agreements. The printed data contains the following information:
Number
Name
Starting balance (debit or credit at beginning of the period)
Ending balance (debit or credit at end of the period)
To access the Customer Turnover report
Choose the Financial Management action, choose the Receivables action, choose the Repor ts action,
and then choose the Customer Turnover action.
The Customer FastTab of the request page contains the same fields as the Customer FastTab of the Customer
Rounding Precision Select this field to choose the required rounding precision:
0.001, 0.01, 1, or 1000.
printing.
Skip accounts without net changes Select this field to exclude lines without net changes within
the period.
Skip accounts with zero ending balance Select this field to exclude lines with zero ending balances at
the end of the period.
Customer Posting Group Turnover Report (Report 12440)

The Customer Posting Group Turnover report is used to print information on the customer's entries that are
accumulated in the customer posting groups. The printed data contains the following information:
Customer posting group code
Customer posting group name
Starting balance (debit or credit)
Ending balance (debit or credit)
To access the Customer Posting Group Turnover report
and then choose the Customer Posting Group Turnover action.
On the Options FastTab, you can specify the same format options as on the Options FastTab of the Customer
Customer Entries Analysis (Report 12442)

The Customer Entries Analysis report shows the customer's liabilities at the beginning and at the end of the
period, entry analysis, and invoice discharging. The printed data contains the following information
Posting date
Document number
Document name
Type (payment, invoice)
Amount
Amount closed
Payment date
This report shows all the entries of the customer for a certain period. The analysis of the report enables you to
determine the invoice and payment interdependence, shows closed entries, due invoices, partially discharged
invoices, and customer prepayment amounts.
To access the Customer Entries Analysis report
and then choose the Customer Entries Analysis action.
On the Customer FastTab of the request page, define the customer number or a range of numbers, depending
on whether you want to print the report for one customer or for a range of customers. On the Customer
Ledger Entr y FastTab, you can enter a filter value for one document or for a range of documents.
On the Options FastTab, you can specify the format options listed in the following table.
Star ting Date Enter the start date of the period.
Ending of period Enter the end date of the period
Repor t Currency Enter currency that you want to use in the report. You can
choose: - Local currency - Transaction currency
New Page For Customer Select this field to print the data for each customer on a
separate page.
Customer - Reconciliation Act (Report 14910)

The Customer – Reconciliation Act report shows the payments or liabilities of the customer. It is used for the
reconciliation of mutual payments of contractors.
To access the Customer – Reconciliation Act report
and then choose the Customer - Reconciliation Act action.
The following levels of detail are possible:
Full
Partial
None
Full Detail
If Full is selected as the detail level, the report prints the following data for each document for the current and
previous periods:
Document number and numbers of documents connected with it
The balance on each document (debit or credit)
Document date
Description
The report prints the following information on the right side of the window (customer's data) in case the Print
Contactor Data check box is selected on the Options FastTab of the request page:
Document amount
Debit
Credit
Partial Detail
If Partial Detail is selected as the detail level, the report shows the balance on each document for the current and
previous periods, but no connections to the invoices, credit notes, and payments.
None
If None is selected as the detail level, the report shows, for each customer, the balance at the beginning of the
period, net changes for the period, and the balance at the end of the period. It also shows the amount of the
customer liabilities.
Star ting Date Enter the start date of the period.
Ending Date of the Period Enter the end date of the period.
Repor t Currency Enter the currency that you want to use in the report. You
can choose any currency from the glossary of currencies.
Detailed Select one of these values: - Full - Par tial - None
See Also
Set Up Customer Prepayments
Prepayments are advance payments on sales orders that are received, invoiced, and posted before the final
invoice is issued. For example, you may require a deposit before you manufacture and ship an item to a
customer. Prepayments let you invoice and collect advance payments from customers and post the payments
against the correct invoices and accounts.
To set up customer prepayments

2. On the Numbering FastTab, verify that the number series for the Posted Prepmt. Inv. Nos. is the same
as the Posted Invoice Nos.. Also verify that the number series for the Posted Prepmt. Cr. Memo
Nos. is the same as the Posted Credit Memo Nos..
3. On the Prepayment FastTab, enter the following information.
Use Prepayment Account Select to post prepayments using the subaccount

specified in the Prepayment Account field in the
Customer Posting Groups window.
Create Prepayment Invoice Select to create an invoice for the prepayment. If this
field is not selected, an invoice for the prepayment will
not be created.
Posted Prepayment Nos. Enter the code of the number series that you want to
use for prepayment invoices.
Posted PD Doc. Nos. Enter the code of the number series that you want to
use for prepayment documents.
PD Doc. Nos. Type Select if you want to use a number series or symbol to
identify prepayment documents.
Symbol for PD Doc. Enter a symbol to be printed on prepayment documents.
PD Gains Condition Dim Value Enter the code for the dimension that is used to
generate conditional prepayment gains.
PD Losses Condition Dim Value Enter the code for the dimension that is used to
generate conditional prepayment losses.
PD Gains Kind Dim Value Enter the code for the dimension that is used to
generate payment in kind prepayment gains.
PD Losses Kind Dim Value Enter the code for the dimension that is used to
4. Open the Customer Posting Groups window.

5. In the Prepayment Account field, specify the general ledger accounts that you want to use for posting
customer prepayments.
6. Choose the Close button to close the window and save your entries.
You can now invoice and collect advance payments from customers and post the payments to the correct
invoices and accounts.
See Also
Set Up Vendor Prepayments
Prepayments are advance payments on purchase orders that are paid before the final invoice is issued. For
example, you may be required by a vendor to prepay 20 percent of the invoice amount on a manufactured item.
Prepayments allow you track and record advance payments on purchase invoices.
To set up vendor prepayments

2. On the Numbering FastTab, verify that the number series for the Posted Prepmt. Inv. Nos. is the same
as the Posted Invoice Nos.. Also verify that the number series for Posted Prepmt. Cr. Memo Nos. is
the same as the Posted Credit Memo Nos..
3. On the Prepayment FastTab, enter the following information.
Use Prepayment Account Select to post prepayments using the special subaccount
specified in the Prepayment Account field in the
Vendor Posting Groups window.
Posted PD Doc. Nos. Enter the code of the number series that you want to
use for prepayment documents.
PD Doc. Nos. Type Select if you want to use a number series or symbol to
identify prepayment documents.
Symbol for PD Doc. Enter a symbol to be printed on prepayment documents.
PD Gains Condition Dim Value Enter the code for the dimension that is used to
generate conditional prepayment gains.
PD Losses Condition Dim Value Enter the code for the dimension that is used to
generate conditional prepayment losses.
PD Gains Kind Dim Value Enter the code for the dimension that is used to
PD Losses Kind Dim Value Enter the code for the dimension that is used to
generate payment in kind prepayment losses.
4. Open the Vendor Posting Groups window.

5. In the Prepayment Account field, specify the general ledger accounts that you want to use for posting
vendor prepayments.
6. Choose Close to close the window and save your entries.
You can now track and record advance payments on purchase invoices.
See Also
Posting Vendor and Customer Prepayments
In the Russian version, prepayments work in a different way compared to the standard version of Business
Central. When we receive a prepayment, it is necessary by accounting rules to post the prepayment on a
separate account. Therefore, the vendor and customer posting groups have the Prepayment Account field.
Business Central uses this accounts for prepayment entries- Payment with Prepayment check mark.
To post a prepayment
1. On the General Journal page, select the Document Type - Payment and Prepayment check box.
2. Specify the account type and account number, the balance account type, and the balance account number.
3. Post the general journal.
To apply prepayments
1. Go to the Vendor Ledger Entries or Customer Ledger Entries page.
2. Select a line with a posted prepayment, and then choose the Apply action.
3. Select the line with the invoice to which you want to apply the prepayment, and then choose the Set
applies-to ID action.
See Also
Prepayment Differences
When you apply a prepayment to an invoice in a foreign currency, Business Central calculates the difference in
the amounts based on currency exchange rates between the invoice and the prepayment and create a
prepayment difference entry for the invoice.
Setup for Purchases
On the Purchases & Payables Setup page, fill in the fields:
Use Prepayment Account Specifies if you want to post prepayments using the general
ledger account.
Posted PD Doc. Nos. Specifies the number series from which numbers are
assigned to new records.
PD Doc. Nos. Type Specifies if you want to use a number series or symbol to
identify prepayment transaction entries.
Symbol for PD Doc Specifies the symbol that identifies prepayment related
entries.
Setup for Sales

On the Sales & Receivables Setup page, fill in the fields:
Use Prepayment Account Specifies if you want to post prepayments using the general
ledger account.
Create Prepayment Invoice Specifies if you want to create an invoice for the prepayment.
Posted Prepayment Nos. Specifies the number series from which numbers are
Posted PD Doc. Nos. Specifies the number series from which numbers are
PD Doc. Nos. Type Specifies if you want to use a number series or symbol to
identify prepayment transaction entries.
Symbol for PD Doc. Specifies a symbol that identifies prepayment related entries.
See Also
The customer and vendor agreements feature provides the following:

A list of agreements for customers and vendors
An agreement card where all the required information about agreements is stored
Synchronization between agreements and dimensions, to enable use of existing reports and dimension
analyses
The following procedure shows how to set up an agreement for a customer, but the procedure for a vendor is
similar and starts from the Purchases & Payables window.
To set up an agreement
2. To set up agreement, on the Dimensions FastTab and Numbering FastTabs, enter information in the
fields listed in the following table.
Dimension Agreement Select a dimension code for agreements.
Synch. Agreement Dimension Select this field to create a dimension value code after
agreements is created, and the dimension value codes
are equal to the agreement codes.
Customer Agreement Nos. Select the customer agreement number series.
To create a customer or vendor agreement

2. Select a customer from the list, and then choose the Edit action.
3. Expand the Agreements FastTab, and modify the Agreement Posting field.
4. Choose the Agreements action. In the Customer Agreements window, choose the New action.
5. In the Customer or Vendor Agreement card, enter the information in the following fields listed in the
table.
Code Enter the code for an agreement. Enter a maximum of 20

characters, both numbers and letters. It is created by
default from the number series set up in the General
Ledger Setup form.
Description Enter the description of the agreement. Enter a

maximum of 250 characters, both numbers and letters.
Source No. Select this field to see the number of the vendor or
customer for whom the agreement is created.
Source Name Enter the name of the vendor or customer for whom the
agreement is created. The source name is automatically
retrieved from the Vendor or Customer table.
Dimension Value Code Enter the dimension value code. Enter agreement and
dimension functionality. The dimension value code is
equal to the agreement code when the Synch.
Agreement Dimensions field is selected in the Sales
& Receivables Setup window.
Star ting Date Enter starting date of the period for which you want to
use the agreement.
Expire Date Enter the expiration date of the agreement.
Blocked Select this field to prevent posting of entries on the

agreement. When you try to create a document with a
blocked agreement, an error message is displayed. An
agreement is usually blocked after the expiration date.
On the Navigate tab, you can find the following functions:

List - Shows a list of customer or vendor agreements.
Ledger Entries - Shows customer or vendor ledger entries posted with this agreement code.
The agreements are fully synchronized with dimensions. You can post transactions and choose the dimension
value code of the appropriate agreement from the list of agreements.
See Also
Overview - Fixed Assets
In Russia, there are specific Business Central features that you can use to track and manage your fixed assets.
You can use fixed assets functionality to manage depreciation and maintenance costs, track the movement of
fixed assets, manage the sale or disposal of fixed assets, and generate various reports and statistics.
Getting Started with Fixed Assets

Use the following table to learn more about the fixed asset features that are available for Russia.
Calculate Assessed Tax Enables you to calculate the assessed tax for fixed assets.
Depreciation Bonus Enables you to include fixed asset and capital investment
expenses in the current period.
Set Up Fixed Asset Depreciation Enables you to understand and use depreciation methods
that are unique to Russia.
Fixed Asset Charges Enables you to include additional charges on the purchase of
fixed assets in the fixed asset acquisition cost.
Gratuitous receipt of fixed assets Specifies how to post gratuitous receipt of fixed assets
Fixed Asset Inventory Enables you to generate, process, filter, and print fixed asset
inventory lists for auditing in compliance with legal
requirements.
Fixed Asset Locations and Employees Enables you to manage the movement and history of fixed
assets.
Fixed Asset Turnover Enables you to manage the turnover of fixed assets.
Create Future Expense Journals Enables you to post expenses to a special account that are
later included as expenses.
Create a Fixed Asset Charge Specifies how to create a new fixed asset charge.
Create a Credit Memo for a Fixed Asset Charge Specifies how to fix an error on a fixed asset charge of an
invoice using a credit memo.
Selling Fixed Assets Specifies how to sale fixed asset
Release, Track, and Write-Off Fixed Assets Specifies how to release, track, and write-off the fixed assets
of your organization.
View Posted Entries on a Fixed Asset Charge Specifies how to view all posted fixed asset entries for each
fixed asset charge code.
Set Up an Intangible Assets Account Enables you to post intangible asset transactions to a special
intangible assets account.
Account for the Cost to Dispose a Fixed Asset Enables you to account for the cost to dispose a fixed asset
as an expense.
Undepreciable Fixed Assets Enables you to recognize the complete cost of a fixed asset
at the time of acquisition.

Calculate Assessed Tax
The assessed tax feature enables you to calculate the assessed tax for fixed assets. The assessed tax is based on
the information provided in the Fixed Asset Setup window. You can also export the results of the calculated tax
as a Microsoft Office Excel template.
To work with the functionality of calculating assessed tax, you must specify the following settings:
- parameters in the Fixed Asset Setup page
- create and fill Tax authorities page
- fill in information about the organization
- create current directories
- fill in the parameters in the fixed asset cards
To calculate assessed tax

1. Choose the icon, enter Assessed Tax Allowances , and then choose the related link.
2. In the Assessed Tax Allowances window, fill in the fields as described in the following table.
Code Specifies the code for the assessed tax that is associated
with the fixed asset.
Name Specifies the name of the assessed tax code.

4. Choose the icon, enter Assessed Tax Codes , and then choose the related link.
5. In the Assessed Tax Codes window, fill in the fields as described in the following table.
Code Specifies a code for an assessed tax allowance.
Description Specifies a description for the assessed tax code.
Region Code Specifies a two-character region code that is used

together with the Tax Authority No. field to determine
the OKATO code.
Rate % Specifies the tax rate for the assessed tax. If there are any
tax allowances that reduce the tax rate, they must be
included in the rate percentage.
Dec. Rate Tax Allowance Code Specifies a code for the assessed tax allowance code that
reduces the calculated assessed tax amount according to
the tax allowances directory. This code is defined in the
Assessed Tax Allowance table.
Dec. Amount Tax Allowance Code Specifies the amount of an assessed tax allowance.
Decreasing Amount Specifies the value to be used in the assessed tax

calculation if there is a tax allowance that reduces
assessed taxes.
Exemption Tax Allowance Specifies a code for an assessed tax allowance exemption.
This code is defined in the Assessed Tax Allowance
table.
Decreasing Amount Type Specifies whether the decreasing amount value is a

percentage or an amount.
6. Choose the Close button.

7. Choose the icon, enter OKATO Codes , and then choose the related link.
8. In the OKATO Codes window, fill in the Region Code and the Tax Authority No. fields, and then
10. On the Assessed Tax FastTab, fill in the fields as described in the following table.
Assessed Tax Code Specifies the assessed tax code that is associated with
the fixed asset.
Proper ty Type Specifies the property type of the fixed the fixed asset.
Property types include: Immovable UGSS Proper ty ,
Immovable Distributed Proper ty , Other Proper ty ,
and Special Economic Zone Proper ty .
Book Value per Share Specifies the book value of the fixed asset, per share.
OKATO Code Specifies the region where the current fixed asset is
situated.
Tax Amount Paid Abroad Specifies the amount of tax that was paid abroad for the
fixed asset.

12. To print the assessed tax declaration, you have to first import the declaration template. In the Fixed
Asset Setup window, select the template name from the Templates FastTab.
13. Choose the icon, enter Calculate Assessed Tax , and then choose the related link.
14. In the Calculate Assessed Tax window, fill in the Tax Authority No., Year , and the Repor ting Period
fields.
See Also
Fixed Assets
Depreciation Bonus
Depreciation bonus is an accelerated depreciation method applied in tax accounting because of provisions in the
Russian tax laws. A depreciation bonus enables you to include fixed asset and capital investment expenses in the
current period at the rate of 10 percent or 30 percent.
Depreciation Bonus Calculation

A depreciation bonus can be calculated and applied for the following types of transactions:
Acquisition costs of fixed assets.
Acquisition costs and appreciation of capital investments for all previous periods excluding the current
period.
The rate of the depreciation bonus is 10 percent or 30 percent, depending on the class of the fixed asset. The
rate is set for a depreciation group using the Depr. Bonus Percentage field in the Depreciation Group
window.
After the depreciation bonus is calculated and posted for a period, all transactions are cleared in preparation for
the next period.
Depreciation Bonus Settings

Before depreciation bonus is calculated, you will have to make sure that the appropriate settings have been
applied in the Tax Register Setup window. Use the information in the following table to apply depreciation
bonus settings.
Rel. Act as Depr. Bonus Base Select if you want fixed asset releases to be used to calculate
the depreciation bonus base.
Depr. Bonus TD Code Enter a tax difference code that is used to calculate the
depreciation bonus. The selected tax difference code should
be identified as a depreciation bonus during tax difference
setup.
Depr. Bonus Recover y from Enter the starting date from which depreciation is recovered
if the fixed asset is sold. If the fixed asset is sold before this
date and the depreciation bonus has already been applied,
the depreciation bonus will not be recovered.
Depr. Bonus Recov. Per. (Year) Enter the period in which the depreciation bonus is
recovered if the fixed asset is sold.
Depr. Bonus Recover y TD Code Enter the tax difference code that is used to calculate the
depreciation bonus recovery amount in tax accounting.
Selecting and Canceling Depreciation Bonus Transactions

Depreciation bonus transactions should be posted before the monthly depreciation amount is calculated and
posted.
To select depreciation bonus transactions for posting for a period, select Depr. Bonus in the Fixed Asset
Journal window and the Fixed Asset G/L Journal window.
You can cancel depreciation bonus transactions by running the Cancel FA Ledger Entries batch job. After
posting the depreciation bonus cancellation, all operations that are included in the depreciation bonus base
must be manually selected as the depreciation bonus base.
See Also
Fixed Assets
Fixed Asset Charges
You can use fixed asset charges to include additional charges on the purchase of fixed assets in the fixed asset
acquisition cost. For more information, see How to: Create a Fixed Asset Charge.
After service
Repair
Modernization
Partial write-off
Revaluation
In addition, you can also specify how the fixed asset will be depreciated. You can use various depreciation
methods for your fixed assets. If you want to depreciate one or more fixed assets by several depreciation
methods, you must set up multiple fixed asset depreciation methods.
See Also
Gratuitous Receipt of Fixed Assets.
Posting gratuitous receipt of fixed assets operation is registered in one of the sections of the Ledger journal for
fixed assets:
1. Go to Financial management > Fixed Assets > Journals > FA G/L Journals
2. Fill the journal lines:
Posting Date Enter the transaction date. Financial transactions and

operations with fixed assets will be generated on the same
date.
Document No. Depending on the settings of the journal section, the

document number is entered manually or filled in
automatically.
Document Type Not fill
Account Type Fixed Asset
Account No. Code of Fixed Asset
Depreciation Book Code Specify the code of the depreciation book in which the
Acquisition of fixed assets is posted.
FA Posting Type Acquisition Cost
Description You must enter a brief description of the business

transaction. This description will be reflected in all transaction
books and statements of transactions.
Amount Enter the amount of the transaction with the "+ " sign.
Bal. Account Type G/L Account
Bal. Account No. G/L Account for accounting of deferred income.
TAX Difference Code Tax difference code for the acquisition of fixed assets.
3. Post the line.
NOTE
Since the fixed asset was not acquired by the organization, it does not have the right to apply a depreciation bonus for
such an asset. Therefore, if the company enjoys the right of application of the depreciation bonus should exclude the cost
of acquisition of the asset from the calculation base for the depreciation bonus.
4. If the option Create Acquis. FA Tax Ledger turned off in TAX Register Setup , then the value of the fixed
asset issued in this way is not reflected in the depreciation book for tax accounting. Therefore, it is necessary
to form an additional operation in FA Journals .
5. Fill the line FA Journals .
Posting Date Enter the transaction date. Financial transactions and

operations with fixed assets will be generated on the same
date.
Document No. Depending on the settings of the journal section, the

document number is entered manually or filled in
automatically.
Document Type Not fill
FA No. Code of Fixes Asset
Depreciation Book Code Specify the code of the depreciation book in which the
Acquisition of fixed assets is posted.
FA Posting Type Acquisition Cost
Description You must enter a brief description of the business

transaction. This description will be reflected in all transaction
books and statements of transactions.
Amount Enter the amount of the transaction with the "+ " sign.
6. As a result of posting FA Journals , an acquisition entry is generated in the fixed asset Ledger for the
depreciation book for tax accounting.
See Also
Fixed Assets
The fixed assets inventory feature enables you to:

Process inventory auditing of fixed assets in accordance with legal requirements.
Generate electronic inventory lists of fixed assets that are to be inventoried with calculated quantities and
amounts.
Divide the inventory lists by the physical locations of fixed assets (by Fixed Asset Location code).
Filter the inventory lists by other analytics (such as responsible employee).
Print the forms with inventory lists that show all inventoried fixed assets, as well as lists that show the fixed
assets with differences only in quantities or amounts.
Print unified fixed asset forms.
Inventory Lists of Fixed Assets

You must create inventory lists of fixed assets with calculated quantities and amounts for inventory auditing. The
lists are divided by analytics such as physical locations and employees responsible for certain fixed assets.
You can create special templates in the Fixed Asset Journal window.
The following procedure shows how to generate a list of fixed assets that are to be inventoried.
1. Choose the icon, enter FA Journals , and then choose the related link.
2. Choose the Calculate FA action. The request form of a report that makes fixed asset inventory lists is
displayed.
3. On the Fixed Asset FastTab, filter the fixed assets.
NOTE
They can be filtered by any parameter from the Fixed Asset card, such fixed asset location or responsible
employee.
The parameters listed in the following table are on the Options FastTab.
Fixed Asset Journal Template Select the fixed asset journal template to work with the fixed
assets list during the inventory auditing process. It is filled
by default with the fixed asset journal template.
Depreciation Book Code Select the depreciation book with the records, which will be
calculated by quantities and amounts.
Star ting Document No. Specify the document number used to make lines in the
fixed asset journal.
Document Date Specify the document date.

Posting Date Specify the posting date. The quantities and amounts are
calculated on this date. The Posting Date field is also filled
with this value.
Show Fixed Asset with Book Value = 0 Select this field to create fixed asset journal lines for fixed
assets which have a book value of zero.
The report creates one batch in the fixed asset journal template for every fixed asset location that is filtered in
the request form. For every fixed asset that is filtered, one journal line is created in the batch according to its
location. A journal batch is created for fixed assets in each fixed asset location.
The following procedure shows how to begin inventory auditing by fixed asset locations.
1. Select the batch according to the fixed asset location, and choose ОК.
NOTE
You can view the fixed assets lines that are filtered in the report and the lines that are in this fixed asset location.
2. Place the columns of the fixed asset journal so that you can view calculated and actual quantities and
amounts. They are reflected in the following fields:
Actual Quantity
Calc. Quantity
Actual Amount
Calc. Amount
NOTE
The amount value is the book value of the fixed asset.
See Also
The fixed assets locations and the fixed assets employees feature enable you to:
Control the movement of fixed assets and to keep the history of the movements of fixed assets between
locations and responsible employees.
Enter the fixed assets location and responsible employee in documents and journals for fixed asset posting.
This information is reflected in fixed assets operations.
Create reports and calculations that use the history of the movements of fixed assets. You can also connect
employees (by default), locations (item location), and regions in an official classification (OKATO code) to any
fixed assets location.
Setup
The following procedure shows how to make sure the FA Location Code and Employee No. fields are always
filled in for fixed assets.
1. Choose the icon, enter *FA Setup, and then choose the related link.
2. On the General FastTab, select the FA Location Mandator y check box.
NOTE
When this field is selected, fixed asset posting procedures are controlled as long as they generate fixed asset operations
with a non-zero value in the Quantity field.
1. Select the Employee No. Mandator y check box.
NOTE
When this field is selected, fixed asset posting procedures are controlled as long as they generate fixed asset operations
with a non-zero value in the Quantity field.
Added Fields
Fields with references to fixed asset locations and responsible employees have been added to the following:
Lines of purchase documents
Fixed asset journals
Fixed asset G/L journals
Fixed asset reclassification journals
Fixed asset acts
If the Employee No. Mandator y or the FA Location Mandator y check box is selected in the Fixed Asset
Setup window, then the fields with references to corresponding tables must be filled in for fixed asset
operations. If you enter a value in the FA Location Code field in a line, then the Employee No. field and
Location Code field (if it exists in the line) are filled with the corresponding default values from the Fixed Asset
Location table. Then the values of the fields can be changed manually.
When posting the documents and journals, the values of these fields are transferred to the corresponding new
fixed asset operations and to corresponding fields in the Fixed Asset cards.
See Also
Fixed Asset Turnover
The fixed asset turnover feature enables you to:

Control the turnover of fixed assets or certain groups of fixed assets.
View useful information about fixed assets in one place.
Compare the posting of one fixed asset in different fixed asset depreciation books.
Post fixed assets financial results monitoring.
The following reports and windows are part of fixed assets:
FA Turnover report
Comparing Depr. Book Entries report
FA Sheet window
FA G/L Turnover window
Fixed Asset G/L Turnover report
Fixed Asset Turnover Report

The FA Turnover report shows the fixed asset turnover. Use the report to view information such as the fixed
asset name, quantity, status, depreciation dates, and amounts. The report can be used as documentation for the
correction of quantities or for auditing.
Comparing Depreciation Book Entries Report

The Comparing Depr. Book Entries report shows the amounts of fixed asset operations of the main types in
two selected depreciation books for all selected fixed assets. You can view the amounts of the acquisition cost,
write-down, appreciation, and depreciation. The report can be used for auditing the posting of fixed asset
operations.
Fixed Asset Sheet Window

The FA Sheet window shows information similar to the FA Turnover report, but in a window. It has some
differences in the options set, in extra filtering functionality, and in fields in the layout. The window shows fixed
asset turnover. It runs on the basis of fixed asset depreciation books.
Fixed Asset General Ledger Turnover Window

The FA G/L Turnover window shows financial turnover as a result of fixed asset posting. General ledger entries
are the basis for amounts shown in the window. You can define what is shown in the window by setting filters.
Fixed Asset General Ledger Turnover Report

The Fixed Asset G/L Turnover report is similar to the FA G/L Turnover window, but it is in a printing layout,
and has differences in the options and in the information and fields that can be shown in the layout. You can
define what is included in the report by setting filters.
See Also
Fixed Asset Charges
Fixed Assets
Create Future Expense Journals
Future expense journals are used to post expenses to a special account on a monthly basis. These future
expenses are later included as expenses. VAT is deducted when future expenses are included in current expenses.
You must select Future Expenses in the Type field of the General Journal Templates window. In addition, be
sure you select the Recurring and Copy VAT Setup to Jnl. Lines check boxes in the General. Journal
Templates window.
To create future expense journals

Use the VAT Posting Setup window to create VAT posting groups. For more information, see Report VAT
to Tax Authorities.
2. On the Settlement FastTab, in the VAT Settlement Template field, select a template.
3. Select a batch in the VAT Settlement Batch field. This determines the batch where future expenses and
VAT will be produced.
5. Create a purchase invoice for the Deferral general ledger account (97).
6. Create and post the payment and apply the invoice and payment.
VAT is not deducted at this time. It is deducted later, on a monthly basis through the Future Expense
Journal.
7. Choose the icon, enter Future Expense Journals , and then choose the related link.
8. In the Future Expense Journal window, fill in the fields as described in the following table.
FA Posting Date Specifies the fixed asset posting date that is associated
with the future expense journal.
Document No. Specifies the document number that is associated with

the future expense journal.
FA No. Specifies the fixed asset number that is associated with

Depreciation Book Code Specifies the depreciation book code that is associated
FA Posting Type Specifies the fixed asset posting type that is associated
with the future expense journal. Fixed asset posting
types include Acquisition Cost , Depreciation , Write-
Down , Appreciation , Custom 1 , Custom 2 ,
Disposal, Maintenance , Salvage Value , and
Transfer .
Description Specifies the description that is associated with the

future expense journal.
Location Code Specifies the location code that is associated with the
Amount Specifies the amount that is associated with the future

expense journal.
Depr. Amount w/o Normalization Specifies the depreciation amount without

normalizations that is associated with the future expense
journal.
Actual Quantity Specifies the actual quantity that is associated with the
Calc. Quantity Specifies the calculated quantity that is associated with

Actual Amount Specifies the actual amount that is associated with the
Calc. Amount Specifies the calculated amount that is associated with

Actual Remaining Amount Specifies the actual remaining amount that is associated
Salvage Amount Specifies the salvage amount that is associated with the
No. of Depreciation Days Specifies the number of depreciation days that is

associated with the future expense journal.
Depr. Until FA Posting Date Specifies if the depreciation until fixed asset posting date
is used with the future expense journal.
Depr. Acquisition Cost Specifies if the depreciation acquisition cost is used with
Duplicate in Depreciation Book Specifies the duplicate in depreciation book that is

FA Error Entr y No. Specifies the fixed asset error entry number that is

The amount entered in the Amount field will be transferred from the Future Expenses account to the Current
Expenses account. VAT will be calculated according to VAT setup (percentage) on the basis of the posted amount,
and VAT deduction (realized VAT) will be posted.
See Also
Fixed Assets
The following procedure shows how to create a new fixed asset charge.
To create a fixed asset charge

1. Choose the icon, enter FA Charge Card , and then choose the related link.
No. Specify the fixed asset charge code.
Description Specify the description of the fixed asset charge.
Gen. Prod. Posting Group Specify the default general product posting group that
will be used for the fixed asset charge code.
VAT Prod. Posting Group Specify the default VAT product posting group that will
be used for the fixed asset charge code.
Global Dimension 1 Code Specify the global dimension code that is associated with
the fixed asset charge.
Global Dimension 2 Code Specify the global dimension code that is associated with
the fixed asset charge.
Exclude Cost for TA Select if you want to exclude the fixed asset charge from
tax accounting.
G/L Acc. For Released FA Specify the general ledger account to post the fixed asset
charge amount to when the fixed asset is released.
Tax Difference Code FA Specify the tax difference code that is associated with the
fixed asset charge.
See Also
If you need to fix an error on a fixed asset charge of an invoice, you can post a credit memo for the fixed asset
charge. The following procedure shows how to create a credit memo for the fixed asset charge.
To create a credit memo for a fixed asset charge

1. Choose the icon, enter Purchase Credit Memo , and then choose the related link.
2. Enter the credit memo information for the erroneous fixed asset charge.
NOTE
You can also create a credit memo for the fixed asset charge by copying the original invoice.
See Also
Fixed Assets
Selling Fixed Assets
A sale or transfer of a fixed asset consists of two stages.
Stage 1: Depreciation of fixed assets

1. Go to Depar tments > Financial management > Fixed Assets > FA G/L Journals .
2. Fill the journal lines:
Posting Date Specifies the same date as the FA Posting Date field when
the line is posted.
Account No. Fixed asset code to be depreciate
Depreciation Book Code Specifies the code for the depreciation book to which the line
will be posted
FA Posting Type Depriciation
Amount not fill
Bal. Account Type G/L Account
Bal.Account No. G/L Account for expenses related to the sale of fixed assets
Depr. until FA Posting Date Selected
Stage 2: Sale of fixed assets by the sales account

1. Go to Financial management > Receivables > Invoices
2. The fields in the document header are filled in the same way as the sales order fields.
3. Fill the lines:
Type Fixed Asset
No. Fixed Asset Code
Quantity 1
Unit Price Price of Fixed Asset

See Also
Fixed Assets
Release, Track, and Write off Fixed Assets
You can manage your fixed assets utilizing the fixed assets acts features in Business Central. Fixed assets acts
allow you to release, track, and write-off the fixed assets of your organization.
The first step to managing your fixed assets is to set up fixed assets numbering and source codes.
To set up fixed asset numbering

1. Choose the icon, enter Fixed Asset Setup , and then choose the related link.
2. On the Numbering FastTab, select a number series for each type of fixed asset transaction.
3. Choose the OK button to close the window and save your entries.
To set up fixed asset source codes

2. On the Fixed Assets FastTab, select a source code for each type of fixed asset.
3. Choose the OK button to close the window and save your entries.
Releasing Fixed Assets into Service

An asset is recognized as a fixed asset after it is released into service for the organization. You can use the FA
Release Act window to release fixed assets into service.
To release fixed assets into service
1. Choose the icon, enter FA Release Act , and then choose the related link.
No. Enter the identification number that is assigned to the

fixed asset release.
Posting Description Enter a description for the fixed asset release. A

description is automatically created from the document
type and release number.
Reason Document No. Enter the identification number of the source document
that is the reason for the fixed asset release.
Reason Document Date Enter the date of the source document that is the reason
for the fixed asset release. This information is used in
fixed asset reports and entries.
FA Posting Date Enter the date on which the fixed asset release is posted.
This information is used in fixed asset reports and
entries.
External Document No. Enter the number of the external document that relates
to this fixed asset release.
Posting No. Enter an identifying posting number to use for the fixed
asset release entry.
Shor tcut Dimension 1 Code Enter the department code that is associated with the
fixed asset.
Shor tcut Dimension 2 Code Enter the incexp code that is associated with the fixed
asset.
FA No. Enter the identification number that is assigned to the

fixed asset to be released.
Description Enter a description for the fixed asset.
Depreciation Book Code Enter the code for the depreciation book that is used to
post depreciation for the fixed asset. The value is set
using information from the Fixed Asset Setup window.
New Depreciation Book Code Enter an alternative depreciation book code that is used
to post depreciation for the released fixed asset entry.
4. Choose the OK button to post your entries and release the fixed assets into service.
Tracking the Movement of Fixed Assets

Tracking the location and status of fixed assets is an important function within most organizations. For example,
you may want to record the movement of office equipment from a previous location to a new location. You can
use the FA Movement Act window to track the movement of fixed assets and record the status of your fixed
assets.
To track the movement of fixed assets
1. Choose the icon, enter FA Movement Act , and then choose the related link.
No. Enter an identification number that is assigned to the

fixed asset movement entry.
Posting Description Enter a description for the fixed asset movement entry. A
type and movement number.
that is the reason for the fixed asset movement.
for the fixed asset movement. This information is used in
FA Location Code Specifies the location of the fixed asset before it being
moved.
New FA Location Code Enter the new location for the fixed asset.
FA Posting Date Enter the date on which the fixed asset movement entry
is posted. This information is used in fixed asset reports
and entries.
to this fixed asset movement entry.
asset movement entry.
fixed asset.
asset.
FA No. Enter an identification number that is assigned to the

fixed asset movement line entry.
Description Enter a description for the fixed asset movement line

entry.
Status Enter the status of the fixed asset. The options include
Inventor y , Montage , Operation , Maintenance ,
Repair , Disposed , and Written Off .
New Depreciation Book Code Enter a new depreciation book code that is used to post
depreciation after the fixed asset movement entry is
posted.
Reason Code Enter a reason code fixed asset movement entry.
4. Choose the OK button to post your entries and record the movement of the fixed asset.
Writing Off the Value of a Fixed Asset

During the sale or disposal of a fixed asset, you may want to write-off the remaining book value of the asset that
has not been depreciated. You can use the FA Writeoff Act window to write-off the remaining value of a fixed
assets.
To write -off the value of a fixed asset
1. Choose the icon, enter FA Writeoff Act , and then choose the related link.
No. Enter an identification number that is assigned to the

fixed asset write-off entry.
Posting Description Enter a description for the fixed asset write-off entry. A
type and write-off number.
that is the reason for the fixed asset write-off.
for the fixed asset write-off. This information is used in
FA Location Code Specifies the location of the fixed asset.
FA Employee No. Enter the employee number of the person who

maintains possession of the fixed asset.
FA Posting Date Enter the date on which the fixed asset write-off entry is
posted. This information is used in fixed asset reports
and entries.
to this fixed asset write-off entry.
asset write-off entry.
fixed asset.
asset.
FA No. Enter an identification number that is assigned to the

fixed asset write-off line entry.
Description Enter a description for the fixed asset write-off line entry.
Item Receipt No. Enter the receipt number from the item sale or disposal
document.
Reason Code Enter a reason code for the fixed asset write-off entry.
4. Choose the OK button to post your entries and record the write-off of the fixed asset.
See Also
Fixed Assets
You can view all posted fixed asset entries for each fixed asset charge code. The following procedure shows how
to view the posted entries.
To view a posted entry on a fixed asset charge

Choose the icon, enter FA Ledger Entries , and then choose the related link.
See Also
Set Up an Intangible Assets Account
The intangible assets accounting feature allows you to post intangible assets to a special account called the
Intangible Assets account. Intangible assets are non-monetary assets that cannot be physically measured. You
can also include current expenses by using monthly depreciation.
The procedure for posting an intangible asset account is similar to the procedure used to post a fixed asset
account.
To set up an intangible asset account

2. Open the card for a fixed asset.
3. In the Fixed Asset Card window, select Intangible Asset in the FA Type field.
4. Purchase and release the intangible asset. For more information, see Purchase and Release Undepreciable
Fixed Assets.
See Also
Fixed Assets
Account for the Cost to Dispose a Fixed Asset
The maintenance on disposal feature enables you to account for the amount spent to dispose a fixed asset (FA)
as an expense. You can post operations related to spending for the disposal of a fixed asset so that they will be
reflected in the FA Write-Off Act forms.
The expenses of a fixed asset disposal can be posted from general ledger journals, fixed asset journals, and
purchase documents. The following procedure shows how to post the expenses for a fixed asset disposal by
using the Fixed Asset General Ledger Journal.
The expenses on a fixed asset disposal can be printed in the FA Write-off Act FA-4 report and the FA Writeoff Act
FA-4a report.
To set up a maintenance code

1. Choose the icon, enter FA Setup , and then choose the related link.
2. In the Fixed Asset Setup window, on the General FastTab, enter a maintenance code in the On Disposal
Maintenance Code field.
To post expenses on a fixed asset disposal

2. In the Fixed Asset G/L Journal window, fill in the fields as described in the following table.
Account Type Select Fixed Asset as the account type.
Account No. Specifies the number of the fixed asset for disposal for
which the expenses are made.
FA Posting Type Select Maintenance as the fixed asset posting type.
Maintenance Code Specifies the maintenance code that is entered in the On

Disposal Maintenance Code field of the Fixed Asset
Setup window.
To print a report with expenses on a fixed asset disposal

1. Choose the icon, enter FA Writeoff Act , and then choose the related link.
2. In the FA Writeoff Act window, enter the expenses that are posted for the fixed asset.
NOTE
If the expenses on the disposal of the fixed asset are made in advance, they are displayed on the second page of
the report.
After the fixed asset write-off report is posted, it becomes the posted fixed asset write-off report.
See Also
Fixed Assets
Undepreciable Fixed Assets
The undepreciable fixed assets feature enables you to repay fixed assets with the whole amount of their
acquisition at the time of their release. It also automatically creates quantity records for these fixed assets in
order to keep records of their existence and movements in quantitative terms.
Create a depreciation book to keep records of the quantities of fixed assets that will be repaid at the time of
release for the amount that they were acquired for. For more information, see Set Up a Quantity Book.
To set up an undepreciable fixed asset

2. In the Fixed Asset Card window, on the Depreciation FastTab, select the Undepreciable FA field.
To create a purchase order for an undepreciable fixed asset

1. Choose the icon, enter Purchase Order , and then choose the related link.
To create a release order for an undepreciable fixed asset

1. Choose the icon, enter FA Releases , and then choose the related link.
2. Open a release.
3. In the FA Release Act window, choose the Post action.
See Also
Fixed Assets
VAT Overview in the Russian Version
VAT is charged on transactions that involve goods and services in Russia or goods imported into Russia.
VAT Calculation
VAT rates in Russia are tiered into three rate levels. Each of these levels can be applied to specific types of goods
and services, for example:
The highest VAT rate is applied to transactions that involve most types of goods and services.
The mid-level VAT rate is applied to transactions that involve a select group of food products, children’s
products, and medical goods.
The lowest VAT rate is a tax incentive that is applied to exported goods.
There are several business activities that are exempt from VAT in Russia. For example, insurance, banking, and
medical transactions are not subject to VAT.
An organization’s VAT liability is calculated as the difference between the VAT due on sales and the VAT from the
cost of the goods or services sold. VAT is calculated for a transaction according to the rates and rules that are in
effect on the day of the transaction.
VAT Payments
For most organizations, VAT payments are required to be submitted no later than the 20th day of the month.
The timely submission of VAT payments is the responsibility of the taxpayer.
See Also
Set Up VAT Ledgers
Settlement VAT
Unload books of purchased and sales in XML. VAT Declaration
VAT by customer prepayments
VAT reinstatement
Vendor Tax Agent scheme
Set Up VAT Ledgers
VAT ledgers are used to store details about VAT in transactions that involve goods and services in Russia or
goods imported into Russia. You can create and store different kinds of VAT ledgers. For example, you can create
VAT ledgers for:
Sales to different groups of customers
Sales amount differences and prepayments
Purchases from different vendor groups
To use VAT ledgers, you must specify the relevant number series.
To set up VAT ledgers

2. In the General Ledger Setup window, on the Numbering FastTab, fill in the fields as described in the
following table.
VAT Purch. Ledger No. Series Specifies the number series that you want to use for VAT
ledgers for purchase documents.
VAT Sales Ledger No. Series Specifies the number series that you want to use for VAT
ledgers for sales documents.
You must ensure that vendor purchase documents cannot be posted without stating the invoice date and
number.
3. Choose the icon, enter Vendor Posting Groups , and then choose the related link.
4. In the Vendor Posting Groups window, for the relevant posting groups, select the VAT Invoice
Mandator y field.
Next, you must set up VAT posting. For each VAT posting setup you must specify if entries that use the
setup must be included in VAT ledgers.
6. In the VAT Posting Setup window, for each VAT posting setup, fill in the fields as described in the
following table.
Not Include into VAT Ledger Specifies if entries that use the setup must be included in
VAT ledgers. For more information, see Not Include into
VAT Ledger.
VAT Exempt Specifies if entries that use this posting setup are VAT
exempt. For more information, see VAT Exempt.
Now, you can create VAT ledgers for purchases and sales.
See Also
Register VAT on Purchase Orders
Create VAT Ledgers
Create Additional Sheets
You may want to periodically remit the net VAT from sales and purchase transactions to the tax authorities. You
can use the VAT Settlement Worksheet to prepare transactions with open VAT amounts for posting and copy
the entries to the appropriate VAT settlement journal. This is typically done before you run the Calc. and Post
VAT Settlement batch job to post and close VAT entries.
To prepare VAT entries for posting

1. Choose the icon, enter VAT Settlement Worksheet , and then choose the related link.
2. Select the filters that define the VAT related transactions that you want to include in the VAT settlement.
Type Select the type of transactions that you want to include

in the VAT settlement.
View by Select the time period for the VAT settlement.
View as Select how you want to view the net VAT. The options
include Net Change and Balance at Date .
3. Choose Suggest Documents . Transactions with open VAT entries that match the filters that you selected
will be displayed.
4. Review the transactions that are included to ensure accuracy. If necessary, adjust your filter selection.
5. Choose Copy Lines to Journal .
The entries are copied to the appropriate VAT settlement journals. You can now run the Calc. and Post VAT
Settlement batch job to close the VAT entries.
See Also
VAT Settlement
It is possible to settlement full VAT or part of VAT.
Setup
You must set up VAT posting groups in the VAT posting setup page. You can specify a VAT Business posting
group and VAT product posting group.
Type of VAT calculation – normal VAT
Type of transit VAT – Amount and tax
You can specify a VAT transit account
In the field "Type of unrealized VAT" - percentage
Specify the VAT Account
Checked the "VAT manual" installed
The VAT settlement template and VAT settlement batch is specified
Specified Account Unreal. VAT
VAT settlement
For manual settlement of VAT it is necessary to use the VAT settlement worksheet.
The working date must be set to the current month in which VAT is to be settlement.
NOTE
Before calculating VAT, you must check the data of the VAT document. If you see that the data is empty, you must fill in
the fields and use the -> Change Vendor VAT Invoices function. An additional way to change the VAT invoice data is to
use this function in the vendor Ledger.
Click "Suggest documents" and get a list of documents to settlement VAT.

Next, click on the "Copy lines to journal" button to transfer the lines (which are selected) to the VAT settlement
journal.
After posting the journal – formed transaction in the VAT register.
VAT allocation
It is possible to consider only part of the amount of the VAT and write off the other part.
1. You must use the VAT Allocation function in the VAT settlement Journal .
2. Fill the fields:
Type of VAT, you can select whether this allocation of VAT, write-off or charge.
Account No. - account for VAT allocation.
Specify the percentage or amount of the allocation.
3. Click OK. Post the journal.
See Also
Upload Books of Purchases and Sales and the VAT
Declaration in XML Format
To upload VAT reports to XML files, you must configure the folder where the files will be uploaded.
Go to Statutor y Repor t Setup and fill Excel Repor ts Folder Name and Electronic Files Folder Name .
VAT Declaration
The VAT Declaration file is formed on the basis of the generated data on VAT Purchase Ledgers or VAT Sales
Ledgers, additional sheets and the journal of invoices.
For the correct formation of the VAT Declaration is necessary:
1. Generate VAT Purchase Ledgers or VAT Sales Ledgers, additional sheets for the required period (see
Create VAT Ledgers).
2. Correct the data of VAT Purchase Ledgers or VAT Sales Ledgers, if necessary.
3. Generate and check the journal of invoices.
4. Upload purchase and sales books, as well as additional sheets in XML format.
5. Upload the journal of issued and received invoices (if there are operations for the period) in XML format.
6. Generate the VAT Declaration in XML format.
7. The generated files will be located in the folder specified in the setting Statutor y Repor t Setup,
Electronic Files Folder Name.
Upload purchase and sales books, and additional sheets to XML files
To upload VAT Purchase Ledgers or VAT Sales Ledgers to XML, you need to stand on the line with the generated
VAT Ledger, click Print, Export XML (to upload the book).
The system will generate an XML file in the folder specified in the settings and fill the Name of XML file field for
the book.
You should upload additional sheets to XML only if they are not empty.
For unloading of additional sheets of VAT Purchase Ledgers or VAT Sales Ledgers in the XML you need to stand
on the line with the generated VAT Ledger, click Print, Export additional sheet XML (for upload of additional sheet
in the workbook in XML).
The system will generate an XML file in the folder specified in the settings and fill the Name of XML file field for
the additional sheet.
Uploading VAT Declaration to XML

To generate a Declaration file, go to Depar tments -> VAT Declaration -> Expor t VAT Declaration to XML :
To calculate and upload a file, you must specify:
Year
Period type – Quarter if the Declaration is submitted quarterly
Period number
In the VAT purchase ledgers and VAT sales ledgers fields, you must select the generated purchase and sales
books.
If the books do not appear in the selected period, you can remove the filter and all the books will be available for
selection.
The system automatically completes the data on the names of XML files for VAT Purchase Ledgers, VAT Sales
Ledgers and additional sheets on the basis of previously unloaded files:
XML Purchase Ledgers name
XML Sales Ledgers name
XML Sales Ledgers additional sheet name
XML Purchase Ledgers additional sheet name
Place Code – you must specify the location code of the organization.
Signator yNo – choose the code of the employee.
Tax Auth No – specify the code of the tax authority where the Declaration is submitted.
To upload the Declaration, click OK in the lower right corner of the form.
The generated file will be located in the folder specified in the configuration Statutor y Repor t Setup,
Electronic Files Folder Name .
See Also
VAT by Customer Prepayment
When a company receives a prepayment from a Customer, you must create a VAT invoice and a VAT record for
the amount of VAT.
Setup
1. To enable the unrealized VAT in the window General Ledger Setup .
2. Setup the unrealized VAT type and choose the account which will be taken of the operation of unrealized VAT
VAT posting setup .
3. To configure the customer posting groups: set account, which will be taken of the operation of the
prepayment.
4. For each account in the chart of accounts, assign:
General type of accounting
VAT business group
VAT product posting group
4. Setup the VAT posting in VAT Posting setup page.
Receiving prepayment
After you receive prepayment from a customer, the system creates unrealized VAT records and VAT invoices.
Post prepayment in the General journal (see Prepayment to the vendor and customers).
Return prepayment
To return a prepayment, you must create a realized VAT record.
Go to Customer ledger entries -> select returned prepayment -> press return payment.
Fill in the fields:
Posting Date Specifies the posting date of the entries that you want to
include in the report or batch job.
Document No. Specifies the number of the related document.
New posting Date Specifies the new posting date.
New Document No. Specifies the new document number for the prepayment.
Posting Description Specifies the description that will be added to the resulting
posting.
Correction Specifies the operation is corrective.

Click "OK". The system will automatically create corrective entries.
See Also
VAT Reinstatement
In certain cases, VAT payers are required to reinstate VAT.

It is known that the organizations acquiring fixed assets, goods, works, services (further – goods), have the right
to accept to deduction of the input VAT on them at accomplishment of all conditions for deduction. But if later
circumstances change and it becomes clear that there is no right to deduct VAT, the tax will have to be reinstate.
In other words, the reinstatement VAT is previously deducted VAT, which in a certain amount must be returned
back to the budget.
VAT accounting group settings

VAT reinstatement is possible in case of using transit VAT with manual post through the VAT journal.
In VAT posting setup , settings must be made:
VAT calculation type – NORMAL VAT.
The unrealized VAT type is NOT EMPTY (for example Percentage).
Trans. VAT account – must not be filled.
Transit VAT Type – should not be filled.
Manual VAT Settlement checked.
The template and batch VAT settlement is specified.
VAT reinstatement template and VAT reinstatement batch – set.
VAT reinstatement
To reinstate previously accepted for deduction of VAT used VAT Reinstatement Worksheet .
1. In the VAT Reinstatement Worksheet page, you must run the task Suggest Documents .
2. You must set a filter by date (usually at the end of the month, as the documents were read).
And you can specify a filter on VAT Business and VAT product posting groups.
As a result of the work of the task in the journal, the VAT lines of operations to be restored (a list of
purchase documents in which there are VAT operations previously accepted for post).
The field Realized VAT Amount reflects the amount of VAT on the document, which was deducted and
which can be reinstate.
3. In this worksheet, select the lines that you want to reinstate and click the "Copy lines to Journal" button.
Before that, you need to set a filter by date by right-clicking on the name of any column. Add filter "Filter
totals by".
4. You can reistate the entire transaction (for the entire amount of VAT sold), you can set a factor (for
example, 0.5) to reistate part of the amount.
5. The selected line will be transferred to the VAT Reinstatement journal for posting.
See Also
Vendor Tax Agent Scheme
VAT from Internal Funds

Fill in the fields on the vendor card.
1. Agreement FastTab:
Agreement posting - mandatory.
Agreement numbers required.
2. On the agreement card:
VAT Bus. Posting Group
VAT Agent Prod. Posting Group
VAT Payment Source Type - Internal Funds
Prepayment and Payment VAT

1. Create and release an invoice
Agreement No. (with settings for Vendor with VAT Payment from internal funds) should be specified.
2. Create a line in Payment Journal:
Document Type - Payment
Prepayment - yes
Prepayment Document No is required.
3. Post lines of Journal
Operations with VAT are automatically generated in rubles.
4. Create and post line in Payment Journal for Tax Authority with VAT Amount of prepayment.
5. Ship and post invoice.
6. Create a line in Payment Journal
Initial Document No. - No. of posted invoice
Applies-to Doc. No. - No. of posted invoice
7. Create and post payment to the Tax Authority.
8. Go to VAT Settlement Worksheet. Post VAT (see Settlement VAT).
VAT from Vendor Funds

Fill the fields in Vendor Card.
1. On Agreement tab:
Agreement posting - mandatory.
Agreement Nos is required.
2. In Agreement card:
VAT Bus. Posting Group
VAT Agent Prod. Posting Group
VAT Payment Source Type - Vendor Funds
Post Prepayment and Payment VAT

1. Create and release an invoice.
2. For the payment in the currency for the bank and in rubles for the vendor it is necessary to create two
lines in the payment journal .
For vendor :
Posting Date,
Prepayment - yes
Account Type - Vendor
Account No.
Agreement No.
Bal. Account Type - G/L Account
Bal. Account - " "
Currency Code - " "
Prepayment Document No. is required
Amount - in rubles
For Bank :
Posting Date,
Prepayment - yes
Account Type - Bank Account
Account No.
Agreement No.
Bal. Account - " "
Currency Code
Amount - in USD/EUR
3. Post the lines of Journal.
4. Ship.
You can change the Currency Code and Amount in the Invoice.
6. Apply Entry.
7. Go to VAT Settlement Worksheet. Post VAT (see Settlement VAT).
At the end of the period will be formed entries as a result of revaluation of debt.
8. Create and post lines in Payment Journal.
For the payment in the currency for the bank and in rubles for the vendor it is necessary to create two
lines in the payment journal.
For vendor :
Posting Date
Account Type - Vendor
Account No.
Internal Document No.
Agreement No.
Bal. Account - " "
Currency Code - " "
Prepayment Document No. is required
Amount - in rubles
For Bank :
Posting Date,
Account Type - Bank Account
Account No.
Agreement No.
Bal. Account - " "
Currency Code
Amount - in USD/EUR
See Also
Tax Accounting
In Business Central, you can set up and maintain tax registers to track taxable profits and losses. This is based on
the following tax accounting principles:
The financial database is used for tax accounting.
The chart of accounts is used to track taxable profits and losses.
Income and expenses are recorded using separate subaccounts and dimensions.
Fixed asset transactions and expenses for future periods are tracked using the depreciation book for tax
accounting.
Tax registers are grouped and totaled monthly. Each register has 12 values for a 12 month tax period.
Because Business Central keeps the history of all transactions, detailed information from a transaction that
changes taxable profits is automatically tracked. The information collected in tax registers meets the principles of
tax reliability and tax validity.
Tax Registers
There are two types of tax registers that are used for tracking taxable profits and losses.
TA X REGIST ER T Y P E DESC RIP T IO N
Analytic Tax Register An analytic register is based on ledger entries for taxable
transactions. The information provides a continuous
chronological reflection of business operations, which tracks
taxable profits and losses based on tax codes.
Synthetic Tax Register A synthetic register is based on summarized and calculated

information from an analytic register or another synthetic
register.
Transactions are processed using specific tax accounting principles that are applied to the following types of tax
registers.
TA X REGIST ER DESC RIP T IO N
General Ledger Entry An analytic register based on general ledger transaction

entries.
CV Entry A group of analytic registers based on information

associated with debtor or creditor liabilities.
Fixed Asset Entry A group of analytic registers based on tax data for fixed
assets. This group is created by using a fixed asset ledger
and a tax depreciation book that is not integrated with the
financial accounting ledger.
Item Entry An analytic register based on posted item transactions.

TA X REGIST ER DESC RIP T IO N
Future Expense Entry A group of analytic registers based on tax data for future
expenses. This group is created by using a fixed asset ledger
and a tax depreciation book that is not integrated with the
financial accounting ledger.
Accumulation A synthetic register based on calculated algorithms defined

during tax register set up.
See Also
Tax Registers
Tax Differences
Accounting for personal income tax payments
Upload KLADR
Tax accounting lets you apply rules for recognizing income and expenses that follow your local tax laws. You can
activate tax accounting features in Business Central by setting up tax registers.
To activate tax accounting

1. Choose the icon, enter Tax Register Setup , and then choose the related link.
2. On the General FastTab, select codes for the following dimensions.
Condition Dimension Code Select a dimension code that describes the condition of
the tax register.
Kind Dimension Code Select a dimension code that describes the type of tax
register.
3. Select the following fields to activate entries in the tax register.
Create Acquis. FA Tax Ledger Select to create fixed asset acquisition entries.
Create Reclass. FA Tax Ledger Select to create fixed asset reclassification entries.
Create Acquis. FE Tax Ledger Select to create future expense acquisition entries.
4. Select the appropriate depreciation books in the Tax Depreciation Book and Future Exp.
Depreciation Book fields. The depreciation books that you select should not be integrated with the
Business Central finance module.
5. Select the Create Data for Printing Forms check box to enable detailed tax register entry information
to be printed on reports and forms.
6. Choose the Close button to close the window and save your entries.
For more information about how to set up and customize tax registers, see Create Tax Registers.
See Also
Tax Accounting
Tax Registers
Tax Differences
Tax Registers
In Business Central, you can set up tax registers to track and manage taxable profits and losses in accordance
with Russian tax accounting principles. Tax registers allow you to group taxable transactions into logical
categories and apply tax accounting rules for the recognition of revenue and expenditures.
Types of Tax Registers

There are two types of tax registers that are used for tracking taxable profits and losses.
TA X REGIST ER T Y P E DESC RIP T IO N
Tax Register Setup Specifies tax register details where you can set up and
manage taxable profits and losses.
Create Tax Registers Creates the tax registers that you define using the Tax
Register Setup window.
See Also
Tax Differences
The following procedure shows how to create tax registers.

1. Choose Financial Management , choose Tax Accounting , choose Setup , choose Tax Register s, and
then choose Sections .
2. In the Tax Register Sections window, choose the Functions button.
3. Select one of the following fields:
Copy Section -Copies data from one tax register to another.
Clear Registers -Clears data already created in the tax registers and is used for debugging
conditions to re-count tax registers.
Create Registers -Creates data in the tax registers**.**
4. To create data, choose Create Register . The Tax Register Create window opens.
5. On the General tab, enter the fields described in the following table.
Periodicity Enter a period to create data in tax accounting registers.

The allowed values are: - Month - Quar ter - Year
Note: If you select a month, the data in the selected
registers will be created especially for that month. If you
select a quarter, the data will be created for each of the
three months of that quarter. If you select a year, the
data will be created for each of the 12 months of that
year.
Accounting Period The value entered in this field depends on the value
selected in the Periodicity field. Select the accounting
period (Month , Quar ter , or Year ).
From, To These fields are filled in automatically and show start and
end dates of the chosen period.
G/L Entries, Vend's/Cust's, Items, Fixed Asset, Select the fields to calculate registers of the appropriate
Fut. Exp., Payroll, Templates type.
Status This field displays information about the version of the

tax register.
Star ting Date, Ending Date This field displays the dates given when setting the tax
register version.
6. Choose OK to create the tax register.
NOTE
If the creation of registers for an already counted period is selected, a warning is displayed. At this stage of the tax
register > creation, it is possible either to continue counting and delete all existing data, or stop.
7. To view the calculated information in the Tax Register Accumulation window, choose Financial
Management , choose Tax Accounting , choose Repor ting, and then choose Profit Tax .
8. Using the register list, you can view the contents of any register or using the arrows at the top of the
window, you can view the information going from one register to another.
9. With the arrows and buttons in the lower-left corner of the window, you can view the contents of the
registers for previously counted periods.
10. Choose the Drill-down button in the Amount field to view the sources based on which this was
counted. A source can be a tax register or a list of transactions forming this amount, depending on the
settings. If the source forming the sum is a tax register, choose the Drill-down button to open the
window where the source tax register information is displayed. Then choose the Drill-down button in
the Amount field on this form to get a list of transactions forming the amount.
11. Select a document and choose Find Entries to get all the transactions of the selected document.
12. Choose Show Related Entries to view all the transactions of any entry ledger that is created.
See Also
Tax Accounting
Tax Registers
Collecting Profit Tax Information for Tax Declaration
Find Entries
You can either create a new tax register section or select a tax register section to be used in a company during
the current taxation period. You can select a tax register section that was valid during previous taxation periods
and view tax information for any of the periods. You can copy tax registers from one tax register section into
another. You can also set up tax registers and adjust the algorithm of information collection into tax registers.
The following procedure shows how to set up tax register sections.
To set up a tax register

1. Choose the icon, enter Tax Registers , and choose the related link.
2. In the Tax Registers Sections window, choose the New action.
3. On the General FastTab, enter the fields described in the following table.
Code The code of the existing tax register version for a certain
taxation period is displayed. Create the code for a new
tax register section, if necessary.
Description Enter a description for the tax register section.
Status This field can have any one of the following values: -
Blocked - Open - Repor ting - Closed The Blocked
status is set by default when you create a new section.
This shows that a new tax register section is created and
that the register does not contain any data. Change the
status to Open manually to continue further set up.
Using this status, during tax register calculation and
recalculation, you cannot check the availability of data for
the previous and following taxation periods. The
continuity of creating tax registers in the current period
is not controlled. This status target allows you to enable
debugging of the tax register calculation accuracy. If the
Status has the value Repor ting , the continuity of tax
data creation is controlled. This is the production
working mode with the Tax Accounting module. In this
status, only the end date must be changed. The status
value Closed indicates a closed taxation period. It can be
set after all tax registers for the taxation period are built.
Star ting Date Enter the start date of the tax register section.
Ending Date Enter the end date of the tax register section.
4. On the Dimensions FastTab, enter the dimension codes to filter the information selected for tax registers.
Dimension codes can be changed only when the Status field of the tax register version has the value
Open .
5. On the Balance FastTab, enter the deadlines for debtor and creditor liabilities applied in accordance with
the current taxation period. For example, Debit Balance Point 1 = - 45D, Debit Balance Point 2 = - 90D.
6. On the System FastTab, select the actual norm code for the current tax register version in the Norm
Jurisdiction Code field. Select the form number 17209 in the Form ID field.
Choose the OK button.
7. In the Tax Registers window, choose the Registers action.
8. In the Tax Register Names window, you can add new registers to the list. To create a new tax register, do
one of the following:
a. Place the cursor in an empty line at the end of the register list and enter the information on the new
register.
b. Place the cursor on the register you want to create the new one after. Then press F3 and enter the
information on the new register.
9. Enter the fields described in the following table.
No. Enter the number of the tax register.
Description Enter the name of the tax register.
Storing Method Select the tax register type. You can choose one of the
following options: - Calculation (accumulating) - Build
entry (creation on the basis of posted ledgers entries)
Table ID Select 17208 for the tax register with storing method
calculation. For the tax register with storing method
build entry depending on the source entry of the
register, select one of following: 17209 , 17210 , 17211 ,
17212 , 17213 , 17214 .
Mapping of the source entries of the register and Table IDs are listed in the following table.
VA L UE DESC RIP T IO N
17209 For registers created based on general ledger entries
17210 For registers created based on customer and vendor entries
17211 For registers created based on fixed assets and immaterial

assets entries
17212 For register created based on item entries
17213 For registers created based on expenses of future periods
17214 For registers created based on the payroll entry ledger
If a new version of the tax register is created, the window with the register list will be empty. In this window, you
can manually enter all the tax registers to be used, or you can select the Copy Section action in the Tax
Register Section window and copy the register list with its settings from any of the existing tax register
sections.
In the Copy Tax Register Section window, enter the section from which you want to copy the register.
The following procedure shows how to remove a tax register from the register list.
To remove a tax register from the register list

1. Choose the Registers action, and then choose the Edit action to select the register card.
3. Choose the Delete action to remove the register from the register list.
See Also
Tax Accounting
Tax Registers
Collecting Profit Tax Information for Tax Declaration
Tax Differences
Tax differences are variations in tax amounts caused by the different rules for recognizing income and expenses
between entries for book accounting and tax accounting.
In Business Central, you can set up tax difference registers and tax difference journals to track and manage
differences between book accounting and tax accounting amounts.
Preparing the Chart of Accounts

Before you set up tax differences, you will have to make sure that your chart of accounts is set up to correctly
handle tax accounting and tax differences. At a minimum, your chart of accounts must contain tax difference
accounts for income and expense transactions.
Getting Started with Tax Differences

To set up and view tax difference entries, you will use the following tables, which support tax differences
windows.
W IN DO W DESC RIP T IO N
Tax Diff. Posting Group Specifies posting groups for tax difference transactions.
Tax Diff. Journal Template Specifies the journals that are used for posting tax difference
entries.
Tax Calc. Corresp. Entry Specifies tax difference information that is needed for
external reports and forms.
Tax Diff. Journal Line Specifies posted tax difference journal entries.
See Also
Setting up Tax Difference Calculation
Tax Difference Registers
Tax Accounting
Tax Registers
Accounting for Personal Income Tax Payments
The Fund for the calculation and payment of personal income tax must be registered in the system as a supplier-
tax authority.
Personal income tax calculations can be divided into three parts:
Accrual of tax;
Payment of taxes;
Formation of mandatory reporting.
Calculation of the amount of personal income tax is carried out automatically at the time of the main payroll for
each employee.
At the time of accounting of the salary document, the formation of operations of debt on personal income tax
for each employee in correspondence with the specified code of the supplier of the tax authority and the
corresponding operations in the Ledger is carried out.
Personal income tax is paid by forming a payment order to the tax authority.
See Also
Tax Accounting
Upload KLADR
Business Central supports work with the classifier of addresses of the Russian Federation KL ADR – the
departmental classifier created for distribution of territories between tax inspections and the automated mailing
of correspondence.
Upload of KLADR can be carried out on separate regions as required.
1. Search for Import KLADR .
2. Specify the path to the file containing addresses KLADR.
KLADR is available for free download on the GNIVC website.
3. Specify the region code.
4. Click "OK".
See Also
Tax Accounting
Statutory Reports
Business Central lets you set up statutory reports so that you can import and export data for electronic tax
reporting and other required documents.
After you have set up a report and specified the required information, you can export the report to Excel, and
then print the report.
Getting Started with Statutory Reports

Use the windows based on the following key tables to set up and create statutory reports.
TA B L ES DESC RIP T IO N
Statutory Report Setup Specifies information that is used to set up statutory reports
including templates, formats, number series, and export
destinations.
Format Version Specifies setup information about the different report

formats. This includes when to use which report, the XML
schema to use, and the required data format.
Statutory Report Specifies a list of statutory reports with detailed information,

such as type, format version, and if the statutory report is
currently active. From this window, you can define statutory
report tables, requisites groups, the XML element lines, and
you can export data.
Statutory Report Table Specifies information that is required to set up reporting

tables including scalability limits, templates, and standard
text. From this window, you can define table rows, columns,
individual requisites, and data source mapping.
Stat. Report Table Row Allows you to define row formats and functions for your
statutory report tables.
Stat. Report Table Column Allows you to define column formats for your statutory
report tables.
Stat. Report Requisites Group Specifies the conditions used to format and process
statutory reports including export type, Microsoft Excel
mapping, and cell quantity.
Data for Statutory Reports

The statutory reports are based on account schedules and tax registers. For each statutory report that you set
up in the Statutor y Repor ts window, you define how the data maps to fields on tables in Dynamics NAV by
creating table mappings. In the Statutor y Repor t Tables window, in the Int. Source Type field, you specify
the area that the data comes from as described in the following table.
Acc. Schedule The data is based on an account schedule.
Tax Register The data is based on a tax register. For more information, see
Tax Registers.
Tax Difference The data is based on a tax difference. For more information,
see Tax Differences.
Payroll Analysis Repor t The data is based on payroll analysis.
See Also
Tax Accounting
Tax Differences
Bank Management
In Business Central, you can create bank directory structures to keep bank reference information in one location,
create budget classifications, add bank account details to specific general ledger accounts, and print and post
required documents.
Creating Bank Directory Structures

You can use a bank directory structure to keep reference information about all the banks in one location. This
information can be used to automatically fill in the corresponding fields in the Bank Account Card , Vendor
Bank Account Card , and Customer Bank Account Card windows.
Creating Budget Classification Codes

You can use a budget classification codes catalog in bank payments that are made to the state budget, such as
tax payments. These codes allow you to track the classification of budget payment types in the state budget.
Creating Bank Account Details Records

You can use bank account details to define dimensions and other codes that are pertinent to bank payment
orders and bank statements. Records in a bank operation that have the account type information set to G/L
Account can have bank account details attached to the specified account. Bank account details are set up in the
Bank Account Details window.
Printing and Posting Required Documents

You can prepare bank payment order documents, cash order documents, and payments in the payment journal
by copying procedures from the posted bank payment order and cash order documents. Then you can create
the printed documents and post them in the required format.
You can print the following required bank management documents.
Bank Payment Order This report is a copy of the bank payment order.
Bank Account G/L Turnover This report is a list of general ledger turnover information.
Bank Account Card This report contains information about bank operations.
See Also
Set Up a Bank Payment Order
Inventory in the Russian Version
Russian inventory functionality is described in several topics.
In This Section
Inventory Setup
Item Documents
Inventory Setup
As part of inventory management, you can set up inventory to:

Assign item charges on purchases from foreign countries/regions based on weight or volume
Use the same column for original and corrective postings
Item Charge Assignment in Purchase Documents

In Russia, Business Central can assign item charges on purchases from foreign countries/regions based on
weight or volume. For each item, in the Item Card window, on the Foreign Trade FastTab, if the Gross
Weight Mandator y and Unit Volume Mandator y check boxes are selected, you must fill in the Gross
Weight and Unit Volume fields. When you suggest an item charge assignment on a purchase order, you must
specify that the distribution principle, weight, and volume are added to the options to choose from. For more
information, see Use Item Charges to Account for Additional Trade Costs.
Item Corrections
You can set up inventory to use the same column for original and corrective postings. This is often referred to as
red storno.
You can use red storno posting to post corrections for the following inventory entries:
Corrective entries in the item journal
Reversal of item documents such as item receipts and item shipments
Posting item revaluation or item reclassification journals
Periodic adjustments of item costs
For more information, see Post Red Storno Corrections.
Adjusting Item Cost
If you select the Enable Red Storno field in the Inventor y Setup window, then negative deviations are posted
according to red storno when you run the Adjust Cost - Item Entries batch job.
See Also
Item Documents
Post Red Storno Corrections
Inventory Documents
Business Central includes reports that you must submit for official reporting, such as the Write-off act TORG-16,
Items Receipt Act TORG-1, and Receipt Deviations TORG-2 reports.
Report Act Items Receipt M-7, Items Receipt Act TORG-1, and Receipt
Deviations TORG-2 Based on an Unposted Inventory Receipt
The following procedure shows how to create a following reports based on inventory receipt documents that
are not posted.
Act Items Receipt M-7
Items Receipt Act TORG-1
Receipt Deviations TORG-2
1. Choose the icon, enter Inventor y Receipt , and then choose the related link.
2. Fill in the fields. For more information, see Count and Adjust Inventory Using Documents.
3. Choose the Employee Signatures action to specify the signature of the person in charge.
Employee Type Specifies the type of the employee.
Employee No. Specifies the employee number of the employee who

must sign.
Employee Name Specifies the values that are retrieved from the standard
fields of the selected Employee Card .
Report Act Items Receipt M-7, Items Receipt Act TORG-1, and Receipt
Deviations TORG-2 Based on an Posted Inventory Receipt
The following procedure shows how to create a following reports based on posted inventory receipt.
Act Items Receipt M-7
Items Receipt Act TORG-1
Receipt Deviations TORG-2
1. Choose the icon, enter Posted Inventor y Receipts , and then choose the related link.
Report Item Write-off act TORG-16 Based on an Unposted Inventory

Shipment
The following procedure shows how to create a Item Write-off act TORG-16 report based on inventory
shipment documents that are not posted.
1. Choose the icon, enter Inventor y Shipment , and then choose the related link.
2. Fill in the fields. For more information, see Count and Adjust Inventory Using Documents.

must sign.
Report Item Write-off act TORG-16 Based on an posted Inventory

Shipment
The following procedure shows how to create a Item Write-off act TORG-16 report based on a posted inventory
shipments.
1. Choose the icon, enter Item Shipments , and then choose the related link.
The functions available in the Item Shipment window are same as those in the Item Receipt window.
Report Transfer Order TORG-13 Based on an Unposted Transfer

Document
The following procedure shows how to create a Transfer Order TORG-13 report based on transfer documents
that are not posted.
1. Choose the icon, enter Transfer Orders , and then choose the related link.
2. Fill in the fields. For more information, see Transfer Inventory Between Locations.

must sign.
Report Transfer Order TORG-13 Based on a Posted Transfer Document

- Transfer Receipt
The following procedure shows how to create a report based on a posted transfer document called a transfer
receipt.
1. Choose the icon, enter Posted Transfer Receipt , and then choose the related link.
Report Transfer Order TORG-13 Based on a Posted Transfer Document

- Transfer Shipment
The following procedure shows how to create a report based on a posted transfer document called a transfer
shipment.
1. Choose the icon, enter Posted Transfer Shipments , and then choose the related link.
See Also
Inventory Setup
The item obligatory acts feature enables you to print the obligatory reports used for the material and
production resources in your company. These reports contain item information such as the item number and
description, item storage place, item information brand, sort, profile, size, unit of measure, and vendor
information.
You can print reports for the various accounts used for material and production resources.
The following table provides the list of reports and how to print the reports.
Item Card M-17 The report is printed after registering a shipment transaction
to get a signature confirming the receipt of items and
materials in the primary document. It is also printed at the
end of the reporting period to create a primary document
with all the required signatures of responsible employees. To
print Item Card M-17 - Choose the icon, enter Item
Card M-17 , and then choose the related link. For more
information, see Item Card M-17.
Physical Inventory Form INV-3 (Inventory Description) The report is required to register the inventory results. To
print Physical Inventory Form INV-3 - Choose the icon,
enter Phys. Inventor y Journal, choose Print , and then
select the Phys. Inventor y Form INV-3 check box. For
more information, see Phys. Inventory Form INV-3.
Physical Inventory Form INV-19 (Comparison sheet) On the request form, enter information such as inventory
basis, document number, document date, inventory start
date, inventory end date, inventory form date, and status at
date. The report is required to register inventory results. To
print Physical Inventory Form INV-19 - Choose the icon,
enter Phys. Inventor y Journal, choose Print , and then
select the Phys. Inventor y Form INV-19 check box. For
more information, see Phys. Inventory Form INV-19.
Transfer Order TORG-13 report (internal transfer order) This report enables you to print an internal transfer order for
items and packing. - To print Transfer Order TORG-13 report
- Choose the icon, enter Transfer Order , and then
choose the related link. Open the transfer order, and on the
Report tab, choose Transfer Order TORG-13 . For more
information, see Transfer Order TORG-13.
Shipment Request M-11 Before printing this report, enter information such as entry
type code, from whom, sent (employee), and received
(employee) on the request form. This report enables you to
print a shipment request for internal transfer of materials. -
To print Shipment Request M-11 - Choose the icon, enter
Item Reclass. Journal, choose Print , and then select the
Shipment Request M-11 check box. For more
information, see Shipment Request M-11.
Warehouse Purchase Receipt М-4 report To print the report from the purchase order - Choose the
icon, enter Purchase Orders , select an order, choose Print ,
and then select the Purchase Receipt M-4 check box. For
more information, see Purchase Receipt M-4 To print the
report from a posted purchase invoice - Choose the icon,
enter Posted Purchase Invoices , select an order, choose
Print , and then select the Purchase Receipt M-4 check
box. This report is usually printed at the time of receiving
items and materials at the warehouse.
Sales Shipment M-15 To print Sales Shipment M-15 from the sales order - Choose
the icon, enter Sales Orders , select an order, choose
Print , and then select the Sales Shipment M-15 check
box. To print Sales Shipment M-15 from the sales invoice -
Choose the icon, enter Sales Invoices , select an invoice,
choose Print , and then select the Sales Shipment M-15
check box. To print from the posted sales invoice - Choose
the icon, enter Posted Sales Invoices , select an invoice,
choose Print , and then select the Sales Shipment M-15
check box. This report is usually printed at the time of
shipment of materials out of the company. For more
information, see Sales Shipment M-15 and Posted Sales
Shipment M-15.
See Also
Item Documents
The inventory act of receivables and payables feature enables you to prepare an inventory of debts and
liabilities, and print reports in the following formats:
INV-17
Supplement to INV-17
Setting Up a Number Series for Inventory Acts

The following procedure shows how to set up a number series for inventory acts.
2. In the General Ledger Setup window, fill in the Contractor Invent. Act Nos. field.
Inventory Act Processing

You can create and process inventory acts of contractors' accounts. You can print inventory acts.
Creating an Inventory Act Card
The following procedure shows how to create an inventory act card.
1. Choose the General Ledger action, choose the Analysis & Repor ting action, and then choose the
Contractor Invent. Act. action.
2. In the Inventor y Account Card window, enter information in the following fields:
No. This field displays the number of the act, and is filled in
automatically from the number series.
Act Date This field displays the act date, and is filled in with the
work date.
Inventor y Date This field displays the date of inventory, and is filled with
the work date. Debts and liabilities will be calculated on
this date.
Reason Document Type Select the type of reason document from the following: -
Order - Resolution - Regulation
3. Choose the Add Lines action.
NOTE
You must not set filters.
Debts and liabilities for vendors and customers are calculated, and lines are created. For each customer
and vendor, the total debt and the total liability amount (taking posting groups into account) on the
inventory date are calculated, and shown in a separate line. The line fields are listed in the following table.
Contractor Type This field displays the contractor type (Customer, Vendor).
Contractor No. This field displays the number corresponding to the

contractor.
Contractor Name This field displays the name of the contractor.
Posting Group, G/L Account No. This field displays the posting group and the receivables or
payables account for which the debt or liability amount is
calculated.
Categor y This field displays the amount category (Debts, Liabilities).
Total Amount This field displays the total amount of debts or liabilities.
Confirmed Amount This field displays the total amount of debts or liabilities by
default.
Changing Separate Lines in an Inventory Act

The following procedure shows how to change individual lines in an inventory act in the Inventor y Account
Card window.
1. Specify whether the amount (or part of the amount) is one of the following:
Confirmed by contractor
Not confirmed
Overdue
2. If the amount is not confirmed, enter the amount that is not confirmed in the Not Confirmed Amount
field.
3. If the amount is overdue, enter the overdue amount in the Overdue Amount field.
4. To correct a line that has an incorrect amount (for instance, if some documents are not posted, or not
applied), choose the Add Lines action.
5. Select the vendor or customer code, and then choose the OK button.
The debts and liabilities amount for the selected vendor or customer is recalculated and the lines are inserted in
the document.
Printing the INV-17 form and the Supplement to INV-17 form

The following procedure shows how to print the INV-17 form and the Supplement to INV-17 form.
1. In the Inventor y Account Card window, choose the Release action.
2. Choose the Act action, and then choose the Signatures action.
3. Select the following fields:
Chairman
Member1
Member2
Member3
Accountant
NOTE
All selected signatures will be reflected in the appropriate fields.
4. Choose the Print action, and then choose the Invent. Act INV-17 action to print the inventory act.
5. Choose the Print action, and then choose the Supplement to Invent. Act INV-17 action to print the
supplement to the inventory act.
See Also
The following pages and reports enable the creation of turnover sheet for goods and materials.
Item General Ledger Turnover - Page 12449
Item Turnover (Qty.) - Report 12469
Item General Ledger Turnover Page (12449)

The Item General Ledger Turnover window shows the turnover for items in quantities and costs, the balance
at the beginning of the month, positive and negative adjustment, and the balance at the end of the month.
The Item General Ledger Turnover window is usually created monthly, and can also be created for the date
of inventory. The data in the Item General Ledger Turnover window is checked with the warehouse
accounting data. The cost data is checked with the net changes and balances of:
Account 41, Items
Account 10, Materials
To access the Item General Ledger Turnover window
1. Choose the icon, enter Item G/L Turnover , and then choose the related link.
2. On the Options FastTab, you can specify the format options listed in the following table.
Date Filter Enter the period the data is analyzed for. You can use the
buttons in the lower left of the window, or you can specify
the period manually.
Location Filter Enter the location code that the information must be filtered
for. You can enter a maximum of 10 characters, both
numbers and letters.
Global Dimension 1 Filter Enter the filter value for the analysis on the Global
Dimension 1 filter.
Global Dimension 2 Filter Enter the filter value for the analysis on the Global
Dimension 2 filter.
The window contains fields with the information listed in the following table. You cannot edit the fields.
No. This field displays the item number.
Description This field displays the description of the item.
Base Unit of Measure This field displays the base unit of measure of the item. The
unit of measure is specified in the Item card as the Base.
Star ting Quantity , Ending Quantity , Debit Quantity , These fields provide information about the quantity of the
Credit Quantity item—item quantity at the beginning and at the end of the
period, and positive and negative correction in quantities of
the item. Quantities are specified in base units of measure.
Star ting Cost , Ending Cost , Debit Cost , Credit Cost These fields provide information about the cost of the item,
at the beginning and at the end of the period, and the item
positive and negative adjustments in financial amounts.
These field values are calculated on the basis of the cost
amounts posted in the general ledger entry.
To display the selected item card

Choose the Item button and then Card (Shift+F5 Hot Key).
To print the Item Turnover (Qty.) or Item Turnover Checklist reports.
Choose the Print action, and then choose the Turnover Sheet or the Turnover Checklist action.
Item Turnover (Qty.) Report (12469)

To analyze net changes and balances of items and materials, you can print the Item Turnover (Qty.) report and
export it to Microsoft Office Excel. The report prints the following data from the Item General Ledger Turnover
window:
Item number and description
Balance at the beginning of the specified period (quantity and cost)
Positive adjustment (quantity and cost)
Negative adjustment (quantity and cost)
Balance at the end of the specified period (quantity and cost )
Unit of measure
The following procedure shows how to access the turnover sheet.
1. Choose the icon, enter Item General Ledger Turnover , and then choose the related link.
2. Choose the Print action, and then choose the Turnover Sheet action.
The turnover sheet is printed monthly and on the date of inventory, but it can be printed for any given period.
The Item FastTab of the request page contains fields with the information listed in the following table.
No. Enter an item number or a range of item numbers to print

an item general ledger turnover for one item or for a group
of items.
Location Filter Enter the location code that the information must be filtered
for, to print the Item General Ledger Turnover window for
one or several locations. You can enter a maximum of 10
characters, both numbers and letters. The field value is
entered automatically in the Location Filter field
Date Filter Enter the period that the report is printed for.
Rounding Precision Choose the required rounding precision: 0.001, 0.01, 1, or

1000.
Replace zero values by blanks Select this field if you want to replace zero values with
blanks.
Skip accounts without net changes Select this field to exclude from the report the accounts with
zero turnovers for the given period.
Skip accounts with zero ending balance Select this field to exclude from the report the accounts with
zero ending balance at the end of the period.
Skip zero lines Select this field to exclude from the report the lines with zero
values.
Unit of Measure Choose a unit of measure for calculating report quantities: -

Base – In base units of measure - Sale – In units of measure
for sales - Purchase – In units of measure for purchases
Print Quantity Select this field to print the quantity that is mentioned in the
report.
Print Cost Select this field to print the costs that are mentioned in the
report.
Expor t to Excel Select this field to export the report to Microsoft Office Excel.
See Also
The TORG-29 report shows the item documents that you can use to submit for receipts and shipments for a
location.
When you run the report for a location, the Last Goods Repor t No. and Last Goods Repor t Date fields in
the Location Card window are updated to ensure consistent reporting.
To create the TORG-29 report

1. Choose the icon, enter Item Repor t TORG-29 , and then choose the related link.
Location Code Specifies the location that the report is for.
Repor t No. Specifies the number of times that the report has printed
based on the value of the Last Goods Repor t No. field
in the Location Card window.
Responsible Employee Specifies the employee who is responsible for the validity
of the data in the report.
Repor t Acceptor Specifies the employee who is responsible for accepting

the report.
Repor t Date Specifies the date of the report.
Star t Date Specifies the start date for the report.
End Date Specifies the start date for the report.
Operation Type Optionally, specifies the type of operation. This

information will be included in the report.
Attaches No. Specifies the number of attachments to the report.
Receipt Detailing Specifies what the detailed information for each entry is
based on. If you select Document , amounts are totaled
for each document. If you select Item , the amount and
quantity are totaled for each item. If you select
Operation , the amount and quantity are included in a
single transaction.
Shipment Detailing Specifies what the detailed information for each entry is
based on. If you select Total Amount , the report
summarizes amounts in a single line. If you select
Document , amounts are totaled for each document. If
you select Item , the amount and quantity are totaled for
each item. If you select Operation , the amount and
quantity are included in a single transaction.
Amount Type Specifies what the amounts are based on, cost or sales
price. If you set this field to Sales Price , the Sales Type ,
Show Cost Amount for Receipts , and Show Cost
Amounts for Shipment fields become available.
Sales Type Specifies the type of price list. If you select Customer
Price List or Campaign , you can select the price list in
the Sales Code field. If you select All Customers , a
unified price list is used.
Sales Code Specifies the price list. Depending on the selection in the
Sales Type field, you can specify either a customer price
group or a campaign number.
Show Cost Amount for Receipts Specifies if each receipt line must be divided into two
lines. If selected, the first line for a receipt represents
item cost, and the second line represents the sales
margin.
Show Cost Amounts for Shipment Specifies if each shipment line must be divided into two
lines. If selected, the first line for a receipt represents the
item cost, and the second line represents the sales
margin.
See Also
Bill of Lading in the Russian Version
In Russia, a bill of lading is a legal document between the company that ships the items and the carrier. The
document accompanies the shipped items, and it serves as a receipt of shipment when the items are delivered
at the destination.
Set up bills of lading report

To set up the Bill of Lading report, use the following steps:
1. Choose the icon, enter Repor t Selection – Sales , and then choose the related link.
2. In the Usage field, choose Shipment
3. On the relevant line, add the report 14951 to the line so it can be printed from the Posted Sales Shipment
page.
The report is exported to Microsoft Excel.
Printing document
When you set up the document, it can be printed from any Posted Sales Shipment . When you print the
report, the report is exported to Excel.
Human Resources
In This Section:
Payroll
Establishment of charges and deductions to the employee
Dismissal
Forming and changing Staff List Order, Staff Arrangement
Vacation planning
Payroll
The basic unit of payroll is the salar y element . Each salary element has an individual setting that provides
calculation of accrual/deduction/deduction according to pre-defined rules.
Types of salary element:
Wage
Bonus
Income tax
Tax deduction
Deduction
Other
Funds
Salary elements that are similar in purpose are combined into calculation types . Each type of calculation has a
certain priority, which determines its sequence in the overall payroll.
Other types of calculation that must be made when calculating the final or interim payments of wages, forms a
Calculated payroll group (or the calculation Group ). The calculation group is set in the employee card.
Main functions of the payroll module:
Appointment of wages;
Implementation of compensation and incentive payments (bonuses);
Calculation of average earnings;
Provision of basic types of deduction defined by the current legislation;
Provision of tax deductions according to the current legislation;
Calculation of personal income tax and payments to funds according to the current legislation.
Payroll accounting groups

Accounting payroll group belongs to the category of special accounting groups.
For each payroll item, a payroll accounting group can be defined, the setup determines the Ledger accounts to
be used when generating transactions. The posting group that is set up for the item can be overridden in the
calculation type (to enable payroll expenses to be allocated to different Ledger accounts). The accounting group
specified in the calculation type has a higher priority. By default, all payroll items use the posting group specified
on the employee card (the Posting group field), which has the lowest priority.
Payroll
Payroll is performed by a special salary document, individual for each employee.
Business Central supports two types of payroll documents:
Payment of salary in interperiod;
Basic payroll.
The first type of document is used to calculate employee payments during the month (prepayment, vacation,
sick leave, dismissal). When you post a payroll document of this type, no transactions are generated in the
General Ledger and transactions in the payroll Ledger. On the basis of documents of this type can be formed
payment documents for payment to an individual.
The second type of document – the basic payroll – should be formed for each employee at the end of each
month after taking into account all types of orders for the absence and approval of the timesheet. When you
post a payroll document of the second type, transactions are generated in the payroll Ledger, as well as financial
transactions in the Ledger; the resulting wage arrears are reflected on the corresponding card of the individual
vendor. On the basis of the existing debt can be formed for each individual employee payment documents.
The organization and principle of calculation of both types of documents is the same:
1. Go to Human Resources > Payrol > Payroll documents
2. To automatically generate payroll documents, run the Suggest documents function.
3. Fill in the fields:
Calculation Period Specify the period for which the salary will be calculated.
Calculation Date The calculation date is set equal to the last day of the month
of the selected calculation period and corresponds to the
date of accounting of the salary document (date of payroll
employee).
Calculation Group Code Do not fill the field for the final payroll at the end of the
month. Calculation group will be used from imployee card.
To pay in the interperiod, enter the code of the desired
calculation group.
Create New Documents Select the check box if you want to create new payroll
documents in any case. If the field is not marked, the system
will try to use previously created payroll documents for this
employee (the employee Code and period Code fields must
match the parameters of the current calculation)
Show Messages Select the check box to display detailed messages about
errors that occur at the time of calculation. If the field is not
marked, error messages will not be displayed, and incorrect
payroll documents will not be generated
4. To generate salary documents, click OK.
NOTE
If you have generated documents but have not found any new documents in the list, try to update the page (Actions –
Update).
5. For the formation of transactions in the Ledger and the possibility of payment of wages in the inter-period
salary documents must be post.
See Also
Human Resources
Establishing Charges and Deductions to the
Employee
The Employee Journal is the primary means of changes in the list of charges/deductions established for the
employee. The employee journal can also be used to record non-financial personnel orders.
The most often through journal recorded:
orders on the bonuses of the employee;
orders on administrative fine;
orders on allocation to the employee of the benefits/social payments defined by law;
statements on the employee deductions specified in law;
orders on allocation to the employee of financial assistance, a gift.
NOTE
The employee journal has no restrictions on the registration of certain types of charges and deductions, but the essential
working conditions should be changed by supplementing the employment contract. This ensures the possibility of
forming the necessary printed forms of documents for the employee.
The list of fields that must be filled on the employee journal line is determined by the payroll element code.
Fill in the journal lines, which is used to register charges/deductions with a predetermined amount.
Posting Date Specifies the entry's posting date.
Period Code Payment period of charges/deductions. By default, the

period code is determined based on the posting date. If
necessary, the period code can be changed. The period code
determines whether charges/deduction is included in the
payroll document
Document Date Specifies the date when the related document was created.
Document No. Specifies the number of the related document.
HR Order No. The number of the personnel order that will be displayed in
the printed form of the document. By default, the field value
is the same as the document Number field
HR Order Date Date of the personnel order to be displayed in the printed

form of the document. By default, the field value is the same
as the document date field
Employee No. Specifies the number of the involved employee.

Element Code Specifies the code of the related payroll element for tax
registration purposes.
Post Action Add
Description A text description of the charges/deductions
Starting Date Specifies the first day of activity in question.
Ending Date Specifies the last day of the activity in question. The field can
be empty. In this case, the accrual is interpreted as indefinite
and will be included in the payroll calculation until it is
canceled.
Wage Period To/Wage Period From The period for which this type of accrual is set. The field is
required for salary elements of the Bonuses type.
Amount Amount of charges/deductions
The journal line must be posted for the charges/deductions to take effect.
All charges and deductions are recorded in the employee Ledger entries. The list of charges and deductions of
each employee is available in the employee card.
The generated accrual will be automatically included in the payroll calculation for the period defined by the start
date and end date fields.
Update charges
In order to cancel or change a previously made employee accrual, you must generate the employee journal line
as described above, except for the following fields:
Post Action Close – to stop the inclusion of the payroll item in the
payroll.The date from which the payroll item is no longer
included in the payroll calculation must be specified in the
end date field (usually the last date of the month). You can
leave the Amount field blank because the value of this field
does not change in the employee Ledger. Update – change
the amount for an existing charge/hold. Please note that the
Amount field must be filled in. Otherwise, the transaction
amount will be set to 0, that is, the accrual/deduction is
actually canceled.
Applies-to entry The entry number from the Employee Ledger Entries that
you want to close or update.
In the process of posting a journal line of this type, the specified entry is modified in the Employee Ledger
Entries. The modification changes the Amount or end date of the operation.
See Also
Human Resources
All types of absence which are paid according to the legislation on average earnings shall be registered by the
corresponding types of orders.
There are four types of orders in Business Central:
Vacation;
Travel;
Sick leave;
Other types of absence.
All types of orders are issued in a similar way.
1. Go to Depar tments > Human resources > Absence Orders
2. Fill the header of order:
No. Specifies the number of the involved entry or record,

according to the specified number series.
Employee No. Specifies the number of the involved employee.
Posting Date Specifies the entry's posting date.
HR Order No. Number of the order for absence which will be displayed in
the corresponding printed form of the document. By default,
the value of the field is the same as the value of the No. field,
but can be changed manually
HR Order Date Date of the order for absence, which will be displayed in the
printed form of the document. By default, the field value is
the same as the document date field, but can be changed
manually
Period Code The period code in which the current document must be
included in the payroll document. By default, the field is filled
in automatically with a period code that corresponds to the
posting date
3. Fill the line:
Time Activity Code Temporary activity code corresponding to the type of order
Element Code Specifies the code of the related payroll element for tax
registration purposes.
Description Specifies the description associated with this line.
Start Date Specifies the first day of the activity in question.
End Date Specifies the last day of the activity in question.
4. For the formation of transactions in the books document should be post.

Absence types defined by a considered order, recorded in the Employee Ledger Entries.
The considered order can be cancelled. The function is available in the form of a card of the considered order.
Only orders for which wages are not calculated may be cancelled.
See Also
Human Resources
Dismissal
For the dismissed is created additional line of the employment contract with Operation type Dismissal.
Registration of the order on dismissal is carried out in the following sequence.
1. For indefinite employment contracts, fill the end date field in the employment contract header. The field
must contain the employee's dismissal date.
2. Create a new line and specify Dismissal in the Operation Type field.
3. Fill the contract fields:
Dismissal Reason Code of Dismissal Reason
Dismissal Document In the field, you can enter a document of reason for
dismissal, if necessary
If the employee at dismissal rely compensation payments, they should be specified in the terms of the contract.
The code of obligatory compensation payment is also linked to the reason of termination of the employment
contract.
4. Approve the contract line (Function – Approve line ).
5. The following sequence of actions will be performed during the approval of the employment contract line
with the type dismissal.
The employment contract will be assigned the closed status.
Creates a new record of dismissal in the history of the employee at the enterprise.
6. The employee card contains information about the dismissal (in the field Status set the value Dismissed,
filled in the fields date of dismissal and Code of the reason for dismissal .
See Also
Human Resources
Forming and Changing the Staff List Order
You can form and change the staff list.
Changing of Staff List

To make changes in the Staff List go to Human Resources > Organization > Staff list Order
1. In the header of the order, fill the fields:
No. Specifies the number of the involved entry or record,

according to the specified number series.
Posting date Specifies the entry's posting date.
HR Order No., HR Order Date The number and date specified in the fields are used to form
the printed form of the order to make changes to the staff
List
Description Specifies the description associated with this line.
The HR Manager No. and Chief Accountant No. fields are filled automatically according to the organization
settings.
2. The fields must be filled on the lines:
Type Position/Org. Unit
Code Code of position or Org. Unit
Action Approve/Reopen/Close/Rename – type of action to be

performed on this staffing item
3. Post order.
NOTE
Only an unoccupied position that is not the highest for any other position can be closed.
A unit can be closed if all positions in it are closed.
Forming of staff list

In Business Central, there is a concept of archive staffing. Archive staffing allows you to save the status of the
staff list at the time of its creation.
Staff list for any date you can see: Human Resources > Organization > Staff List .
By default, the staff list displays only the actual (approved) positions on the working date set in the system. The
necessary data can be obtained by setting special filters on the form.
To create an archive, click the Archive button.
The formed staff list for the specified date is transferred to the list of posted documents. Human Resources >
Archive > Archived Staff List
Staff Arrangement
Staff list is document impersonal, it indicates the number of posts in the organization and salaries for them.
However, some companies print a special form that is not regulated by the legislation – Staff Arrangement.
Staff Arrangement – a document that indicates which units approved in the staff list are occupied, indicating the
name of the employee, their salary and allowances, and which are still vacant.
The form of Staff Arrangement is formed on the basis of the archived staff list.
To create a printed form of Staff Arrangement, find (or form) an archive form of staff list and click the Print
button.
When you run the report, check the box Staff Arrangement and select the desired mode of report generation
in the field Show Staff .
Click OK to generate the report.
See Also
Human Resources
Vacation Planning
Business Central provides a schedule of vacations for a calendar year:

1. Go to Human Resources > Vacation Planning > Vacation Schedule
2. To create a vacation schedule, create a new schedule by specifying in the Year field the calendar year for
which the vacation schedule is drawn up. The Description field contains the name of the schedule.
3. To add all employees in the line of schedule use Suggest Employees .
4. The following fields must be filled in to form the main vacation schedule form:
Employee No.;
Start date;
End date.
Field Actual Star t Date is filled automatically when the orders to vacation is posted. If necessary, the field can
be filled in manually.
The remaining fields of the form are filled in as needed in case of transfer of leave.
See Also
Human Resources
Spain Local Functionality in the Spanish Version
The following topics describe local functionality that is unique to the Spanish version of Business Central.
VAT
SII - Invoice and Credit Memo Types in Sales and Purchase Documents Available Now
VAT Reports Available Now
Report 340 Available Now
Create Report 340 Available Now
Set Up 340 Reports for Small Businesses Available Now
Create Templates for Telematic VAT Statements in Text File Format Available Now
Create Templates for Telematic VAT Statements in XML File Format Available Now
Export VAT Statements in XML Format Available Now
Export VAT Statements in Text Format Available Now
Equivalence Charges Available Now
Banking & Payments
Electronic Payments – AEB N34.1 Available Now
Set Up Bank Accounts for Electronic Payments Available Now
Pay Vendors by Using Electronic Payments Available Now
Export Electronic Payments Available Now
Void Electronic Payments Available Now
Set Up Bank CCC Codes Available Now
Enter CCC Codes Available Now
Set Up Payment Days and Non-Payment Periods Available Now
Cash Payments Available Now
Cartera Module Available Now
Receivables Cartera Module Available Now
Payments Cartera Module Available Now
Core Finance
Set Up and Close Income Statement Balances Available Now
Indent and Validate Chart of Accounts Available Now
Ignore Discounts in General Ledger Accounts Available Now
Export Account Schedules to ASC Format Available Now
Print Account Book Reports Available Now
Print Sales and Purchase Invoice Books Available Now
Transaction Numbers Available Now
Print and Post All Transactions for a Period Available Now
General
Corrective Invoices Available Now
Calculating Due Dates Available Now
Set Up Operation Codes Available Now
Enter NACE Codes Available Now
Set Limits for Due Dates Available Now
See Also
Start a free trial!

VAT Reports in the Spanish Version
VAT is charged on transactions that involve goods and services in Spain or goods imported into Spain. The
following information provides more details about VAT functionality.
Equivalence Charge
Equivalence Charge (EC) tax applies to activities that do not follow VAT rules. According to EC rules, companies
must pay a surcharge to their vendors in addition to VAT. However, they can only charge VAT without the
surcharge on sales invoices.
VAT with EC Percentage
Preset general posting groups have an EC percentage in addition to their VAT percentage. Although the EC is
tracked separately, both tax values are merged with VAT when it is possible. If the EC percentage is a separate
field in the posting group, the EC is merged with the value in the VAT % column.
For printing sales and purchase invoice books, the VAT percent and EC percentages are displayed in the VAT
Entr y table during posting.
NOTE
If the item has no taxable VAT, 0 is automatically displayed in the VAT % field in the VAT information pages.
Telematic VAT
With telematic VAT you can design and generate monthly and yearly tax reports as electronic files or printed
files. You can submit these reports to the tax authorities using a third-party program or an XML file from the tax
authorities' website.
VAT Statement
The VAT statement displays VAT amounts and base amounts in different columns.
There are two report template types in the VAT Statement Name table:
One-Column Repor t
Two-Columns Repor t
VAT -VIES Declaration
You can report VAT on sales to other countries in the European Union (EU). For more information, see Report
VAT to Tax Authorities.
See Also
Spain Local Functionality
Report 340
Report 347
Report 340 in the Spanish Version
The Repor t 340 report contains information about invoices and taxes that were issued or received by your
company in a given period. The report is generated in a format that is approved by the tax authorities. This
report should be submitted in the company's monthly or quarterly liquidation period, depending on the size of
the company. This file can be uploaded to the Spanish Tax Agency website or submitted on CD-ROM. For more
information, see the Spanish Tax Agency website. If the number of operations exceeds 1,000,000, the report can
be submitted electronically.
Reporting Requirements for Entrepreneurs and Small Companies

The reporting requirements for entrepreneurs and small businesses are modified to support businesses that use
the cash accounting criteria (CAC).
A company can use the cash accounting method if business sales do not exceed 2,000,000 euros per year. There
is one exception to this rule for a business whose receipts in cash from any single customer exceeds the sum of
100,000 euros.
In Business Central, you can set up posting groups for cash-based VAT accounting for purchases and sales.
If you file a report under this regimen, the following label is applied to certain Business Central reports:
Régimen especial del criterio de caja . The modified reports are:
Report 117 Reminder
Report 118 Finance Charge Memo
Report 205 Order Confirmation
Report 206 Sales - Invoice
Report 207 Sales - Credit Memo
Report 405 Purchase Order
Report 406 Purchase – Invoice
Report 407 Purchase - Credit Memo
Report 5900 Service Order
Report 5911 Service - Invoice
Report 5912 Service - Credit Memo
File Format
The file format for the Repor t 340 report includes one deponent record, and at least one issued invoice or one
received invoice. Deponent information comes from the Company Information table and the request form.
Issued invoices come from the companies to which you have sold goods or services. Customer information
comes from the Customer table. Received invoices come from the companies from which you have purchased
goods or services. Vendor information comes from the Vendor table.
NOTE
If there are no file format records, the file is not created and an error message is displayed.
Entries Included in Report 340

The entries included in Repor t 340 must have been posted in the period and fiscal year entered in the request
form. The entries that are included in the report of payments in cash can be posted from the previous year.
Businesses
Repor t 340 must include the following entries:
Posted sales invoices and credit memos.
Posted purchase invoices and credit memos.
Posted service invoices and credit memos.
Auto invoices and auto credit memos.
Payments in cash.
Entries in the Sales Invoice Book report must be included in the report as issued invoices.
Entries in the Purchase Invoice book report must be included in the report as received invoices.
Small Businesses
For small businesses and entrepreneurs operating under the Cash Accounting Criteria (CAC), Report 340
reports invoices under the CAC. The invoice is marked with a "Z" for operation type. If the invoice is under the
CAC, then the following is reported:
Payment/receipt method, that is, cash, check, transfer, and so forth. This field is blank in the report if no
payment collection has occurred.
Payment/receipt amount (full, partial)
Payment/receipt dates
Invoices Including Different VAT Percentages or EC Percentages
If the invoice has more than one VAT percentage or equivalence charge (EC) percentage, the report must include
all of the records with different VAT percentage and EC percentage. If the invoice includes equivalence charges
(EC), the EC percentage and EC amount without VAT will be displayed.
All of these records will show the same invoice ID and customer VAT number.
File Format Restrictions

Before creating the Repor t 340 report, you should consider the following file format restrictions:
All amounts must be in euro.
All amounts must be positive. In the fields where negative amounts are possible, N is specified.
All text must be capitalized.
All alphanumeric fields must be left-aligned.
All numeric fields must be right-aligned.
Special characters are converted to standard characters.
If the field has no value, it will be empty for alphanumeric fields and populated with zeros for numeric fields.
See Also
Create Report 340
Payments in Cash
Spain Local Functionality
Create Report 340 in the Spanish Version
Report 340 includes all sales invoices and purchase invoices posted by a company during a given period. The
report also includes the operation codes with related taxes and payments in cash.
This report is generated in a format approved by the tax authorities. You should submit this report on a monthly
or quarterly basis, depending on the size of your company.
To create Report 340

1. Choose the icon, enter Make 340 Declaration , and then choose the related link.
2. On the Make 340 Declaration page, on the Options FastTab, fill in the fields as described in the
following table.
Fiscal Year Enter the fiscal year for which you want to create the
operation declaration.
Month Select the month that you want to include in the

operations declaration.
Min. Payment Amount Enter the amount that you have received in cash for the
selected G/L Acc. for Payments in Cash . Impor tant:
The field is designed for reporting payments in cash. The
amoun

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Welcome to Business Central

Development and administration content

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Get insight to the performance of your business activities Business Intelligence

Manage sales processes and information, such as quotes, Sales

Manage purchasing processes and information, such as Purchasing

Register new inventory or service-type items, categorize Inventory

Organize your fixed assets, ensure correct periodic Fixed Assets

Keep detailed records of your employees, and register Human Resources

Plan the production operations that are required to Planning

Define shop floor resources and their capacity, schedule Manufacturing

Set up and use workflows that connect tasks performed by Workflow

Record external documents in Business Central, including Incoming Documents

Set up a marketing campaign. Walkthrough: Conducting a Sales Campaign

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About This Walkthrough

Selecting the Target Audience

To save your segmentation criteria

Mining the Data

To bring back the removed contacts

Linking a Segment to a Campaign

Sending Letters and Email Messages to Contacts

About This Walkthrough

Customer 20000 1896-S 40

Customer 20000 1900-S 30

6. Close all pages.

Creating an Order that Requires a Prepayment

Creating a Prepayment Invoice

Creating an Additional Prepayment Invoice

Applying the Prepayments

Document Type Payment

Account Type Customer

Account No. 20000

3. Choose the Process action, and then Apply Entries .

Invoicing the Remaining Amount

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About This Walkthrough

USER ID A P P RO VER ID UN L IM IT ED P URC H A SE A P P RO VA L

Creating the Approval Workflow

To create and enable a purchase order approval workflow

Use the Approval Workflow

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About This Walkthrough

Preparing Sample Data

1000 Consulting on hall setup Begin-Total

1010 Consultation meeting with customer Posting

1020 Development Posting

1090 Consulting Total End-Total

1 Both Budget (today's Resource Tricia 40

2 Both Budget (today's Resource Timothy 40

3 Both Budget (today's G/L Account 8430 (Travel) 2 400

1 Both Budget (today's Resource Tricia 80

2 Both Budget (today's Item 80201 1

Calculating Remaining Usage

Creating and Posting a Job Sales Invoice

Handling Fixed Prices

1 Both Budget and Resource Tricia 30

Close the page.

Making Payments by Installments